BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 2216
                                                                  Page  1

          Date of Hearing:   May 14, 2014

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mike Gatto, Chair

                   AB 2216 (Muratsuchi) - As Amended:  May 1, 2014 
                           
          Policy Committee:                              EducationVote:7-0

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:              No

           SUMMARY  

          This bill extend through 2016-17, the requirement that a school  
          district  expend no less than the amount of funds the school  
          district expended for regional occupational centers or programs  
          (ROC/P)  in the 2012-13 fiscal year. This bill also requires the  
          Superintendent of Public Instruction (SPI) to convene a task  
          force to study funding models for ROC/P and provide  
          recommendations to the Legislature and the Director of Finance  
          on or before September 1, 2016. 

           FISCAL EFFECT  :   

          1)General Fund administrative costs to the California Department  
            of Education in the range of $500,000 to $550,000 to convene a  
            task force and report on recommended funding models. This cost  
            assumes CDE will contract with an outside research entity to  
            do a national review of CTE funding models.

           COMMENTS  :   

           1)Purpose  .  The 2013-14 Budget Act included a  
            maintenance-of-effort (MOE) that required a school agency  
            expend the same level of funding for ROC/P programs in 2013-14  
            and 2014-15 as it did in the 2012-13 fiscal year. This MOE is  
            set to expire in 2015.  The author contends these programs are  
            difficult to rebuild once dismantled and is concerned about  
            the lack of a dedicated funding source to maintain these  
            programs. 

           2)ROC/Ps.   ROC/Ps provide career technical education (CTE)  
            during the school day, after school, and in the evening in  
            high schools and regional centers.  As a categorical program,  








                                                                  AB 2216
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            ROC/Ps were last funded at $384 million per year.  From  
            2008-09 to 2012-13, districts were given flexibility over the  
            use of these funds.  In 2010, approximately 42% of districts  
            responding to a survey by the Legislative Analyst's Office  
            reported using at least some of their ROC/P funds to support  
            other programs.   

            In 2013-14, ROC/P funds were rolled into the Local Control  
            Funding Formula (LCFF).  However, districts are required to  
            maintain their 2012-13 level of ROC/P funding through 2014-15.  
             Extending this requirement for an additional year limits  
            local discretion on use of these funds. 
                
            3)Additional investments in CTE  . California has several  
            state-funded programs that support CTE:

             a)   The Career Pathways Trust provides $250 million in  
               one-time funding in 2013-14 for competitive grants to  
               improve linkages between CTE programs at schools, community  
               colleges, and local businesses.  These funds are available  
               for expenditure through 2015-16.
                
              b)   The CTE Pathways Initiative provides $48 million for  
               purposes similar to the Career Pathways Trust.  This  
               initiative, which sunsets at the end of 2014-15, also  
               provides support for California Partnership Academies and  
               Linked Learning, which support small learning cohorts that  
               integrate a career theme with academic education.
                
              c)   Specialized Secondary Programs provide $4.9 million in  
               competitive start-up grants for pilot programs that prepare  
               students for college and careers in specialized fields,  
               including math, science, and the arts.
                
              d)   The Agricultural CTE Incentive Program provides $4.1  
               million in ongoing funding for the purchase of non-salary  
               items, such as equipment and field trips, for agricultural  
               education.

          In addition to the programs listed above, the LCFF includes a  
          2.6% "add-on" for the 9-12 grade span funding for college and  
          career readiness.  Based on a target funding level of $8,289 for  
          this grade span, that is about $215 per average daily attendance  
          for these programs.









                                                                  AB 2216
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           Analysis Prepared by  :    Misty Feusahrens / APPR. / (916)  
          319-2081