Amended in Assembly June 19, 2014

Amended in Senate April 9, 2014

Amended in Senate March 27, 2014

Senate Bill No. 971

Introduced by Senator Huff

February 10, 2014

An act to amend Sections 17199.4, 17592.74, begin delete 32282,35292.5, end delete begin insert 32282, 35292.5, end insert 41003.3, 47613.1, 47650, 47651, 48660, and 60851 of, to repeal Sections 315.5, 316.5, 317, 1982.3, 1982.5, 1983.5, 17584.3, 17586, 17588, 17592, 32285, 46306, 47613.2, 47634.1, 48660.2, begin delete 48663, end delete and 48664 of, to repeal Article 11 (commencing with Section 1830) of Chapter 6 of Part 2 of Division 1 of Title 1 of, to repeal Article 1 (commencing with Section 41500), Article 2 (commencing with Section 41505), Article 3 (commencing with Section 41510), Article 4 (commencing with Section 41520), Article 5 (commencing with Section 41530), and Article 7 (commencing with Section 41570) of Chapter 3.2 of Part 24 of Division 3 of Title 2 of, to repeal Article 13 (commencing with Section 41920) of Chapter 5 of Part 24 of Division 3 of Title 2 of, to repeal Article 5 (commencing with Section 44520), Article 6 (commencing with Section begin delete 44560),Article end delete begin insert 44560), Article end insert 8 (commencing with Section 44580), Article 10 (commencing with Section begin delete 44630),and end delete begin insert 44630), and end insert Article 10.6 (commencing with Section 44650) of Chapter 3 of Part 25 of Division 3 of Title 2 of, to repeal Article 4.5 (commencing with Section 52378), Article 5 (commencing with Section 52381), and Article 8 (commencing with Section 52480) of Chapter 9 of Part 28 of Division 4 of Title 2 of, to repeal Article 4 (commencing with Section 52750) of Chapter 11 of Part 28 of Division 4 of Title 2 of, to repeal Article 1 (commencing with Section 52800) of Chapter 12 of Part 28 of Division 4 of Title 2 of, to repeal Article 3 (commencing with Section 60240) and Article 7 (commencing with Section 60350) of Chapter 2 of Part 33 of Division 4 of Title 2 of, to repeal Chapter 13 (commencing with Section 11200) begin delete and Chapter 17 (commencing with Section 11600) end delete of Part 7 of Division 1 of Title 1 of, to repeal Chapter 2.5 (commencing with Section 37300) of Part 22 of Division 3 of Title 2 of, to repeal Chapter 3.3 (commencing with Section 44700), Chapter 3.33 (commencing with Section 44720), Chapter 3.36 (commencing with Section 44735), and Chapter 3.45 (commencing with Section 44755) of Part 25 of Division 3 of Title 2 of, to repeal Chapter 6.8 (commencing with Section 52080), Chapter 6.9 (commencing with Section 52100), Chapter 6.10 (commencing with Section 52120), Chapter 8 (commencing with Section 52200), Chapter 8.5 (commencing with Section 52250), Chapter 8.6 (commencing with Section 52270), and Chapter 12.5 (commencing with Section 52920) of Part 28 of Division 4 of Title 2 of, to repeal Chapter 2 (commencing with Section 54100) of Part 29 of Division 4 of Title 2 of, to repeal Chapter 5 (commencing with Section 58700) of Part 31 of Division 4 of Title 2 of, and to repeal Chapter 4 (commencing with Section 60500) of Part 33 of Division 4 of Title 2 of, the Education Code, relating to school finance.

LEGISLATIVE COUNSEL’S DIGEST

SB 971, as amended, Huff. School finance: categorical programs.

Existing law establishes the public school system in this state, and, among other things, provides for the establishment of county superintendents of schools, school districts, and charter schools throughout the state and for the provision of instruction at the public elementary and secondary schools these local educational agencies maintain. Existing law establishes a public school financing system that requires state funding for county superintendents of schools, school districts, and charter schools to be calculated pursuant to a local control funding formula, as specified.

Existing law establishes various education programs under which funding is provided for specific educational purposes, which are commonly known as categorical programs, including, among many others, programs for community-based English tutoring, teacher training, and class size reduction. Existing law further authorizes local educational agencies to expend, for any local educational purpose, the funds previously required to be spent on specified categorical education programs.

This bill would repeal many provisions requiring, authorizing, or prescribing the elements of certain categorical education programs. The bill would make conforming changes, correct cross-references, and make other nonsubstantive changes.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

SECTION 1.  

Section 315.5 of the Education Code is repealed.

SEC. 2.  

Section 316.5 of the Education Code is repealed.

SEC. 3.  

Section 317 of the Education Code is repealed.

SEC. 4.  

Article 11 (commencing with Section 1830) of Chapter
6 of Part 2 of Division 1 of Title 1 of the Education Code is
repealed.

SEC. 5.  

Section 1982.3 of the Education Code is repealed.

SEC. 6.  

Section 1982.5 of the Education Code is repealed.

SEC. 7.  

Section 1983.5 of the Education Code is repealed.

SEC. 8.  

Chapter 13 (commencing with Section 11200) of Part
7 of Division 1 of Title 1 of the Education Code is repealed.

begin delete

SEC. 9.  

Chapter 17 (commencing with Section 11600) of Part
7 of Division 1 of Title 1 of the Education Code is repealed.

end delete

begin delete SEC. 10. end delete
begin insert SEC. 9. end insert   

Section 17199.4 of the Education Code is amended to
read:

17199.4.  

(a) Notwithstanding any other law, any participating
party, in connection with securing financing or refinancing of
projects, or working capital pursuant to this chapter, may elect to
guarantee or provide for payment of the bonds and related
obligations in accordance with the following conditions:

(1) If a participating party adopts a resolution by a majority vote
of its board to participate under this section, it shall provide notice
to the Controller of that election. The notice shall include a
schedule for the repayment of principal and interest on the bonds,
and any other costs necessary or incidental to financing pursuant
to this chapter, and identify a trustee appointed by the participating
party or the authority for purposes of this section. If payment of
all or a portion of the principal and interest on the bond is secured
by a letter of credit or other instrument of direct payment, the
notice may provide for reimbursements to the provider of the
instrument in lieu of payment of that portion of the principal and
interest of the bonds. The notice shall be provided not later than
the date of issuance of the bonds or 60 days before the next
payment, whichever date is later. The participating party shall
update the notice at least annually if there is a change in the
required payment for any reason, including, but not limited to,
providing for new or increased costs necessary or incidental to the
financing.

(2) If, for any reason, the participating party will not make a
payment at the time the payment is required, the participating party
shall notify the trustee of that fact and of the amount of the
deficiency. If the trustee receives this notice from the participating
party, or does not receive any payment by the date that payment
becomes due, the trustee shall immediately communicate that
information to the Controller.

(3) Upon receipt of the notice required by paragraph (2), the
Controller shall make an apportionment to the trustee on the date
shown in the schedule in the amount of the deficiency for the
purpose of making the required payment. The Controller shall
make that apportionment only from moneys designated for
apportionment to a participating party, provided that such moneys
are from one or begin delete more end delete begin insert both end insert of the following:

(A) Any funding apportioned for purposes of revenue limits or
the local control funding formula pursuant to Section 42238.02,
as implemented by Section 42238.03, to a school district or county
office of education without regard to the specific funding source
of the apportionment.

(B) Any funding apportioned for purposes of the charter school
block grant or the local control funding formula pursuant to Section
42238.02, as implemented by Section 42238.03, to a charter school
without regard to the specific funding source of the apportionment.

(4) As an alternative to the procedures set forth in paragraphs
(2) and (3), the participating party may provide a transfer schedule
in its notice to the Controller of its election to participate under
this section. The transfer schedule shall set forth amounts to be
transferred to the trustee and the date for the transfers. The
Controller, subject to the limitation in paragraph (3), shall make
apportionments to the trustee of those amounts on the specified
date for the purpose of making those transfers. The authority may
require a participating party to proceed under this subdivision.

(b)  begin insert (1) end insert  The amount apportioned for a participating party
pursuant to this section shall be deemed to be an allocation to the
participating party and shall be included in the computation of
allocation, limit, entitlement, or apportionment for the participating
party.

begin delete

The

end delete

begin insert (2) end insert begin insert   end insert begin insert The end insert participating party and its creditors do not have a claim
to funds apportioned or anticipated to be apportioned to the trustee
by the Controller pursuant to paragraph (3) and (4) of subdivision
(a), or to the funds apportioned to by the Controller to the trustee
under any other provision of this section.

(c) (1)  Participating parties that elect to participate under this
section shall apply to the authority. The authority shall consider
each of the following priorities in making funds available:

(A) First priority shall be given to school districts, charter
schools, or county offices of education that apply for funding for
instructional classroom space.

(B) Second priority shall be given to school districts, charter
schools, or county offices of education that apply for funding of
modernization of instructional classroom space.

(C) Third priority shall be given to all other eligible costs, as
defined in Section 17173.

(2) The authority shall prioritize applications at appropriate
intervals.

(3) A school district electing to participate under this section
that has applied for revenue bond moneys for purposes of joint
venture school facilities construction projects, pursuant to Article
5 (commencing with Section 17060) of Chapter 12, shall not be
subject to the priorities set forth in paragraph (1).

(d) This section shall not be construed to make the State of
California liable for any payments within the meaning of Section
1 of Article XVI of the California Constitution or otherwise, except
as expressly provided in this section.

(e) A school district that has a qualified or negative certification
pursuant to Section 42131, or a county office of education that has
a qualified or negative certification pursuant to Section 1240, may
not participate under this section.

begin delete SEC. 11. end delete
begin insert SEC. 10. end insert   

Section 17584.3 of the Education Code is repealed.

begin delete SEC. 12. end delete
begin insert SEC. 11. end insert   

Section 17586 of the Education Code is repealed.

begin delete SEC. 13. end delete
begin insert SEC. 12. end insert   

Section 17588 of the Education Code is repealed.

begin delete SEC. 14. end delete
begin insert SEC. 13. end insert   

Section 17592 of the Education Code is repealed.

begin delete SEC. 15. end delete
begin insert SEC. 14. end insert   

Section 17592.74 of the Education Code is amended
to read:

17592.74.  

Notwithstanding any other law, the funds provided
to school districts from the School Facilities Emergency Repair
Account pursuant to this article for the purpose of emergency repair
grants shall not be deposited into a school district deferred
maintenance fund for purposes established pursuant to Section
17582.

begin delete SEC. 16. end delete
begin insert SEC. 15. end insert   

Section 32282 of the Education Code is amended to
read:

32282.  

(a) The comprehensive school safety plan shall include,
but not be limited to, both of the following:

(1) Assessing the current status of school crime committed on
school campuses and at school-related functions.

(2) Identifying appropriate strategies and programs that will
provide or maintain a high level of school safety and address the
school’s procedures for complying with existing laws related to
school safety, which shall include the development of all of the
following:

(A) Child abuse reporting procedures consistent with Article
2.5 (commencing with Section 11164) of Chapter 2 of Title 1 of
Part 4 of the Penal Code.

(B) Disaster procedures, routine and emergency, including
adaptations for pupils with disabilities in accordance with the
federal Americans with Disabilities Act of 1990 (42 U.S.C. Sec.
12101 et seq.). The disaster procedures shall also include, but not
be limited to, both of the following:

(i) Establishing an earthquake emergency procedure system in
every public school building having an occupant capacity of 50
or more pupils or more than one classroom. A school district or
county office of education may work with the Office of Emergency
Services and the Seismic Safety Commission to develop and
establish the earthquake emergency procedure system. The system
shall include, but not be limited to, all of the following:

(I) A school building disaster plan, ready for implementation
at any time, for maintaining the safety and care of pupils and staff.

(II) A drop procedure whereby each pupil and staff member
takes cover under a table or desk, dropping to his or her knees,
with the head protected by the arms, and the back to the windows.
A drop procedure practice shall be held at least once each school
quarter in elementary schools and at least once a semester in
secondary schools.

(III) Protective measures to be taken before, during, and
following an earthquake.

(IV) A program to ensure that pupils and both the certificated
and classified staff are aware of, and properly trained in, the
earthquake emergency procedure system.

(ii) Establishing a procedure to allow a public agency, including
the American Red Cross, to use school buildings, grounds, and
equipment for mass care and welfare shelters during disasters or
other emergencies affecting the public health and welfare. The
school district or county office of education shall cooperate with
the public agency in furnishing and maintaining the services as
the school district or county office of education may deem
necessary to meet the needs of the community.

(C) Policies pursuant to subdivision (d) of Section 48915 for
pupils who committed an act listed in subdivision (c) of Section
48915 and other school-designated serious acts which would lead
to suspension, expulsion, or mandatory expulsion recommendations
pursuant to Article 1 (commencing with Section 48900) of Chapter
6 of Part 27 of Division 4 of Title 2.

(D) Procedures to notify teachers of dangerous pupils pursuant
to Section 49079.

(E) A discrimination and harassment policy consistent with the
prohibition against discrimination contained in Chapter 2
(commencing with Section 200) of Part 1.

(F) The provisions of any schoolwide dress code, pursuant to
Section 35183, that prohibits pupils from wearing “gang-related
apparel,” if the school has adopted that type of a dress code. For
those purposes, the comprehensive school safety plan shall define
“gang-related apparel.” The definition shall be limited to apparel
that, if worn or displayed on a school campus, reasonably could
be determined to threaten the health and safety of the school
environment. Any schoolwide dress code established pursuant to
this section and Section 35183 shall be enforced on the school
campus and at any school-sponsored activity by the principal of
the school or the person designated by the principal. For purposes
of this paragraph, “gang-related apparel” shall not be considered
a protected form of speech pursuant to Section 48950.

(G) Procedures for safe ingress and egress of pupils, parents,
and school employees to and from school.

(H) A safe and orderly environment conducive to learning at
the school.

(I) The rules and procedures on school discipline adopted
pursuant to Sections 35291 and 35291.5.

(b) It is the intent of the Legislature that schools develop
comprehensive school safety plans using existing resources,
including the materials and services of the partnership, pursuant
to this chapter. It is also the intent of the Legislature that schools
use the handbook developed and distributed by the School/Law
Enforcement Partnership Program entitled “Safe Schools: A
Planning Guide for Action” in conjunction with developing their
plan for school safety.

(c) Each schoolsite council or school safety planning committee
in developing and updating a comprehensive school safety plan
shall, where practical, consult, cooperate, and coordinate with
other schoolsite councils or school safety planning committees.

(d) The comprehensive school safety plan may be evaluated
and amended, as needed, by the school safety planning committee,
but shall be evaluated at least once a year, to ensure that the
comprehensive school safety plan is properly implemented. An
updated file of all safety-related plans and materials shall be readily
available for inspection by the public.

(e) As comprehensive school safety plans are reviewed and
updated, the Legislature encourages all plans, to the extent that
resources are available, to include policies and procedures aimed
at the prevention of bullying.

(f) The comprehensive school safety plan, as written and updated
by the schoolsite council or school safety planning committee,
shall be submitted for approval under subdivision (a) of Section
32288.

begin delete SEC. 17. end delete
begin insert SEC. 16. end insert   

Section 32285 of the Education Code is repealed.

begin delete SEC. 18. end delete
begin insert SEC. 17. end insert   

Section 35292.5 of the Education Code is amended
to read:

35292.5.  

(a) Every public and private school maintaining any
combination of classes from kindergarten to grade 12, inclusive,
shall comply with all of the following:

(1) Every restroom shall at all times be maintained and cleaned
regularly, fully operational and stocked at all times with toilet
paper, soap, and paper towels or functional hand dryers.

(2) The school shall keep all restrooms open during school hours
when pupils are not in classes, and shall keep a sufficient number
of restrooms open during school hours when pupils are in classes.

(b) Notwithstanding subdivision (a), a school may temporarily
close a restroom as necessary for pupil safety or as necessary to
repair the facility.

begin delete SEC. 19. end delete
begin insert SEC. 18. end insert   

Chapter 2.5 (commencing with Section 37300) of
Part 22 of Division 3 of Title 2 of the Education Code is repealed.

begin delete SEC. 20. end delete
begin insert SEC. 19. end insert   

Section 41003.3 of the Education Code is amended
to read:

41003.3.  

(a) Consistent with the provisions of Article 4
(commencing with Section 17455) of Chapter 4 of Part 10.5 of
Division 1 of Title 1, from July 1, 2008, to June 30, 2010, inclusive,
the Dixon Unified School District may sell surplus real property
previously used as the school farm on Sievers Road, located five
miles outside of the city and which is not feasible for future school
construction, together with any personal property located thereon,
purchased entirely with local funds. The proceeds of the sale shall
be deposited into the general fund of the school district in order
to reestablish a 3-percent reserve. The remainder of the proceeds
from the sale of the property that are not used to reestablish the
3-percent reserve shall be deposited into the capital outlay fund
of the school district.

(b) In order to expend funds pursuant to subdivision (a), the
school district shall meet all of the following conditions:

(1) The school district shall not be eligible for new construction
funding for 10 years from the date that funds are deposited into
the general fund of the school district pursuant to subdivision (a),
except that the school district may apply for new construction
funds if both of the following conditions are met:

(A) At least five years have elapsed since the date upon which
the sale was executed pursuant to subdivision (a).

(B) The State Allocation Board determines that the school
district has demonstrated enrollment growth or a need for additional
sites or building construction that the school district could not have
easily anticipated at the time the sale was executed pursuant to
subdivision (a).

(2) The governing board of the school district shall complete a
governance training program focusing on fiscal management
provided by the County Office Fiscal Crisis and Management
Assistance Team.

(3) Any remaining funds from the sale of the property shall be
exhausted for capital outlay purposes before a request for
modernization funding.

(4) Notwithstanding any other law, the Dixon Unified School
District, from July 1, 2008, to June 30, 2010, inclusive, shall not
be eligible to receive financial hardship assistance pursuant to
Article 8 (commencing with Section 17075.10) of Chapter 12.5
of Part 10 of Division 1 of Title 1.

(5) The governing board of the school district shall certify all
of the following to the State Allocation Board:

(A) The school district has no major deferred maintenance
requirements that cannot be completed with existing capital outlay
resources.

(B) The sale of the real property pursuant to this section does
not violate any provisions of a local general obligation bond act.

(C) The real property sold pursuant to this section is not suitable
to meet any projected school construction need for the next 10
years.

(6) Before exercising the authority granted by this section, the
governing board of the school district, at a regularly scheduled
meeting, shall present a plan for expending one-time resources
pursuant to this section. The plan shall identify the source and use
of the funds, and describe how the proposed use of funds, in
combination with budget reductions, will address the school
district’s deficit spending and restore the ongoing fiscal solvency
of the school district.

(7) No later than 10 years after the date of the sale of surplus
property pursuant to subdivision (a), the school district shall deposit
into its capital outlay fund an amount equal to the amount of the
proceeds from the sale of the property that is deposited into the
school district’s general fund as needed to establish the 3-percent
reserve in accordance with subdivision (a).

(c) This section shall remain in effect only until January 1, 2021,
and as of that date is repealed, unless a later enacted statute, that
is enacted before January 1, 2021, deletes or extends that date.

begin delete SEC. 21. end delete
begin insert SEC. 20. end insert   

Article 1 (commencing with Section 41500) of
Chapter 3.2 of Part 24 of Division 3 of Title 2 of the Education
Code is repealed.

begin delete SEC. 22. end delete
begin insert SEC. 21. end insert   

Article 2 (commencing with Section 41505) of
Chapter 3.2 of Part 24 of Division 3 of Title 2 of the Education
Code is repealed.

begin delete SEC. 23. end delete
begin insert SEC. 22. end insert   

Article 3 (commencing with Section 41510) of
Chapter 3.2 of Part 24 of Division 3 of Title 2 of the Education
Code is repealed.

begin delete SEC. 24. end delete
begin insert SEC. 23. end insert   

Article 4 (commencing with Section 41520) of
Chapter 3.2 of Part 24 of Division 3 of Title 2 of the Education
Code is repealed.

begin delete SEC. 25. end delete
begin insert SEC. 24. end insert   

Article 5 (commencing with Section 41530) of
Chapter 3.2 of Part 24 of Division 3 of Title 2 of the Education
Code is repealed.

begin delete SEC. 26. end delete
begin insert SEC. 25. end insert   

Article 7 (commencing with Section 41570) of
Chapter 3.2 of Part 24 of Division 3 of Title 2 of the Education
Code is repealed.

begin delete SEC. 27. end delete
begin insert SEC. 26. end insert   

Article 13 (commencing with Section 41920) of
Chapter 5 of Part 24 of Division 3 of Title 2 of the Education Code
is repealed.

begin delete SEC. 28. end delete
begin insert SEC. 27. end insert   

Article 5 (commencing with Section 44520) of
Chapter 3 of Part 25 of Division 3 of Title 2 of the Education Code
is repealed.

begin delete SEC. 29. end delete
begin insert SEC. 28. end insert   

Article 6 (commencing with Section 44560) of
Chapter 3 of Part 25 of Division 3 of Title 2 of the Education Code
is repealed.

begin delete SEC. 30. end delete
begin insert SEC. 29. end insert   

Article 8 (commencing with Section 44580) of
Chapter 3 of Part 25 of Division 3 of Title 2 of the Education Code
is repealed.

begin delete SEC. 31. end delete
begin insert SEC. 30. end insert   

Article 10 (commencing with Section 44630) of
Chapter 3 of Part 25 of Division 3 of Title 2 of the Education Code
is repealed.

begin delete SEC. 32. end delete
begin insert SEC. 31. end insert   

Article 10.6 (commencing with Section 44650) of
Chapter 3 of Part 25 of Division 3 of Title 2 of the Education Code
is repealed.

begin delete SEC. 33. end delete
begin insert SEC. 32. end insert   

Chapter 3.3 (commencing with Section 44700) of
Part 25 of Division 3 of Title 2 of the Education Code is repealed.

begin delete SEC. 34. end delete
begin insert SEC. 33. end insert   

Chapter 3.33 (commencing with Section 44720) of
Part 25 of Division 3 of Title 2 of the Education Code is repealed.

begin delete SEC. 35. end delete
begin insert SEC. 34. end insert   

Chapter 3.36 (commencing with Section 44735) of
Part 25 of Division 3 of Title 2 of the Education Code is repealed.

begin delete SEC. 36. end delete
begin insert SEC. 35. end insert   

Chapter 3.45 (commencing with Section 44755) of
Part 25 of Division 3 of Title 2 of the Education Code is repealed.

begin delete SEC. 37. end delete
begin insert SEC. 36. end insert   

Section 46306 of the Education Code is repealed.

begin delete SEC. 38. end delete
begin insert SEC. 37. end insert   

Section 47613.1 of the Education Code is amended
to read:

47613.1.  

The Superintendent shall make both of the following
apportionments on behalf of a charter school in a school district
in which all schools have been converted to charter schools
pursuant to Section 47606:

(a) For each pupil enrolled in the charter school who is entitled
to special education services, the state and federal funds for special
education services for that pupil that would have been apportioned
for that pupil to the school district to which the charter petition
was submitted.

(b) Funds for the programs described in Sections 63000 and
64000, to the extent that any pupil enrolled in the charter school
is eligible to participate.

begin delete SEC. 39. end delete
begin insert SEC. 38. end insert   

Section 47613.2 of the Education Code is repealed.

begin delete SEC. 40. end delete
begin insert SEC. 39. end insert   

Section 47634.1 of the Education Code, as added by
Section 24 of Chapter 2 of the Fourth Extraordinary Session of
the Statutes of 2009, is repealed.

begin delete SEC. 41. end delete
begin insert SEC. 40. end insert   

Section 47650 of the Education Code is amended to
read:

47650.  

A charter school shall be deemed to be a school district
for purposes of determining the manner in which warrants are
drawn on the State School Fund pursuant to Section 14041. For
purposes of Section 14041, a charter school’s “total amount
certified” means the state aid portion of the charter school’s total
local control funding formula allocation pursuant to Section
42238.02, as implemented by Section 42238.03.

begin delete SEC. 42. end delete
begin insert SEC. 41. end insert   

Section 47651 of the Education Code is amended to
read:

47651.  

(a) A charter school may receive the state aid portion
of the charter school’s total local control funding formula allocation
pursuant to Section 42238.02, as implemented by Section 42238.03,
directly or through the local educational agency that either grants
its charter or was designated by the state board.

(1) In the case of a charter school that elects to receive its
funding directly, the warrant shall be drawn in favor of the county
superintendent of schools of the county in which the local
educational agency that begin delete approved end delete begin insert granted end insert the charter or was
designated by the state board as the oversight agency pursuant to
paragraph (1) of subdivision (k) of Section 47605 is located, for
deposit to the appropriate funds or accounts of the charter school
in the county treasury. The county superintendent of schools is
authorized to establish appropriate funds or accounts in the county
treasury for each charter school.

(2) In the case of a charter school that does not elect to receive
its funding directly pursuant to this section, the warrant shall be
drawn in favor of the county superintendent of schools of the
county in which the local educational agency that granted the
charter is located or was designated the oversight agency by the
state board pursuant to paragraph (1) of subdivision (k) of Section
47605, for deposit to the appropriate funds or accounts of the local
educational agency.

(3) In the case of a charter school, the charter of which was
granted by the state board, but for which the state board has not
delegated oversight responsibilities pursuant to paragraph (1) of
subdivision (k) of Section 47605, the warrant shall be drawn in
favor of the county superintendent of schools in the county where
the local educational agency is located that initially denied the
charter that was later begin delete approved end delete begin insert granted end insert by the state board. The
county superintendent of schools is authorized to establish
appropriate funds or accounts in the county treasury for each
charter school.

(b) On or before June 1 of each year, a charter school electing
to receive its funding directly shall so notify the county
superintendent of schools of the county in which the local
educational agency that granted the charter is located or, in the
case of charters for which the state board has designated an
oversight agency pursuant to paragraph (1) of subdivision (k) of
Section 47605, the county superintendent of schools of the county
in which the designated oversight agency is located. An election
to receive funding directly shall apply to all funding that the charter
school is eligible to receive including, but not limited to, the local
control funding formula allocation pursuant to Section 42238.02,
as implemented by Section 42238.03, other state and federal
categorical aid, and lottery funds.

begin delete SEC. 43. end delete
begin insert SEC. 42. end insert   

Section 48660 of the Education Code is amended to
read:

48660.  

The governing board of a school district may establish
one or more community day schools for pupils who meet one or
more of the conditions described in subdivision (b) of Section
48662. A community day school may serve pupils in any of
kindergarten and grades 1 to 6, inclusive, or any of grades 7 to 12,
inclusive, or the same or lesser included range of grades as may
be found in an individual middle or junior high school operated
by the school district. If a school district is organized as a school
district that serves kindergarten and grades 1 to 8, inclusive, but
no higher grades, the governing board of the school district may
establish a community day school for any kindergarten and grades
1 to 8, inclusive, upon a two-thirds vote of the governing board of
the school district. It is the intent of the Legislature, that to the
extent possible, the governing board of a school district operating
a community day school for any of kindergarten and grades 1 to
8, inclusive, separate younger pupils from older pupils within that
community day school.

begin delete SEC. 44. end delete
begin insert SEC. 43. end insert   

Section 48660.2 of the Education Code is repealed.

begin delete

SEC. 45.  

Section 48663 of the Education Code is repealed.

end delete

begin delete SEC. 46. end delete
begin insert SEC. 44. end insert   

Section 48664 of the Education Code is repealed.

begin delete SEC. 47. end delete
begin insert SEC. 45. end insert   

Chapter 6.8 (commencing with Section 52080) of
Part 28 of Division 4 of Title 2 of the Education Code is repealed.

begin delete SEC. 48. end delete
begin insert SEC. 46. end insert   

Chapter 6.9 (commencing with Section 52100) of
Part 28 of Division 4 of Title 2 of the Education Code is repealed.

begin delete SEC. 49. end delete
begin insert SEC. 47. end insert   

Chapter 6.10 (commencing with Section 52120) of
Part 28 of Division 4 of Title 2 of the Education Code is repealed.

begin delete SEC. 50. end delete
begin insert SEC. 48. end insert   

Chapter 8 (commencing with Section 52200) of Part
28 of Division 4 of Title 2 of the Education Code is repealed.

begin delete SEC. 51. end delete
begin insert SEC. 49. end insert   

Chapter 8.5 (commencing with Section 52250) of
Part 28 of Division 4 of Title 2 of the Education Code is repealed.

begin delete SEC. 52. end delete
begin insert SEC. 50. end insert   

Chapter 8.6 (commencing with Section 52270) of
Part 28 of Division 4 of Title 2 of the Education Code is repealed.

begin delete SEC. 53. end delete
begin insert SEC. 51. end insert   

Article 4.5 (commencing with Section 52378) of
Chapter 9 of Part 28 of Division 4 of Title 2 of the Education Code
is repealed.

begin delete SEC. 54. end delete
begin insert SEC. 52. end insert   

Article 5 (commencing with Section 52381) of
Chapter 9 of Part 28 of Division 4 of Title 2 of the Education Code
is repealed.

begin delete SEC. 55. end delete
begin insert SEC. 53. end insert   

Article 8 (commencing with Section 52480) of
Chapter 9 of Part 28 of Division 4 of Title 2 of the Education Code
is repealed.

begin delete SEC. 56. end delete
begin insert SEC. 54. end insert   

Article 4 (commencing with Section 52750) of
Chapter 11 of Part 28 of Division 4 of Title 2 of the Education
Code is repealed.

begin delete SEC. 57. end delete
begin insert SEC. 55. end insert   

Article 1 (commencing with Section 52800) of
Chapter 12 of Part 28 of Division 4 of Title 2 of the Education
Code is repealed.

begin delete SEC. 58. end delete
begin insert SEC. 56. end insert   

Chapter 12.5 (commencing with Section 52920) of
Part 28 of Division 4 of Title 2 of the Education Code is repealed.

begin delete SEC. 59. end delete
begin insert SEC. 57. end insert   

Chapter 2 (commencing with Section 54100) of Part
29 of Division 4 of Title 2 of the Education Code is repealed.

begin delete SEC. 60. end delete
begin insert SEC. 58. end insert   

Chapter 5 (commencing with Section 58700) of Part
31 of Division 4 of Title 2 of the Education Code is repealed.

begin delete SEC. 61. end delete
begin insert SEC. 59. end insert   

Article 3 (commencing with Section 60240) of
Chapter 2 of Part 33 of Division 4 of Title 2 of the Education Code
is repealed.

begin delete SEC. 62. end delete
begin insert SEC. 60. end insert   

Article 7 (commencing with Section 60350) of
Chapter 2 of Part 33 of Division 4 of Title 2 of the Education Code
is repealed.

begin delete SEC. 63. end delete
begin insert SEC. 61. end insert   

Chapter 4 (commencing with Section 60500) of Part
33 of Division 4 of Title 2 of the Education Code is repealed.

begin delete SEC. 64. end delete
begin insert SEC. 62. end insert   

Section 60851 of the Education Code is amended to
read:

60851.  

(a) Commencing with the 2003-04 school year and
each school year thereafter, each pupil completing grade 12 shall
successfully pass the high school exit examination as a condition
of receiving a diploma of graduation or a condition of graduation
from high school. Funding for the administration of the high school
exit examination shall be provided for in the annual Budget Act.
The Superintendent shall apportion funds appropriated for this
purpose to enable school districts to meet the requirements of this
subdivision and subdivisions (b), (c), and (d). The state board shall
establish the amount of funding to be apportioned per test
administered, based on a review of the cost per test.

(b) Each pupil shall take the high school exit examination in
grade 10 beginning in the 2001-02 school year and may take the
examination during each subsequent administration, until each
section of the examination has been passed.

(c) (1)  At the parent or guardian’s request, a school principal
shall submit a request for a waiver of the requirement to
successfully pass the high school exit examination to the governing
board of the school district for a pupil with a disability who has
taken the high school exit examination with modifications that
alter what the test measures and has received the equivalent of a
passing score on one or both subject matter parts of the high school
exit examination. A governing board of a school district may waive
the requirement to successfully pass one or both subject matter
parts of the high school exit examination for a pupil with a
disability if the principal certifies to the governing board of the
school district that the pupil has all of the following:

(A)  An individualized education program adopted pursuant to
the federal Individuals with Disabilities Education Act (20 U.S.C.
Sec. 1400 et seq.) or a plan adopted pursuant to Section 504 of the
federal Rehabilitation Act of 1973 (29 U.S.C. Sec. 794(a)) in place
that requires the accommodations or modifications to be provided
to the pupil when taking the high school exit examination.

(B)  Sufficient high school level coursework either satisfactorily
completed or in progress in a high school level curriculum
sufficient to have attained the skills and knowledge otherwise
needed to pass the high school exit examination.

(C)  An individual score report for the pupil showing that the
pupil has received the equivalent of a passing score on the high
school exit examination while using a modification that
fundamentally alters what the high school exit examination
measures as determined by the state board.

(2) A school district shall report to the state board, in a manner
and by a date determined by the Superintendent, the number and
characteristics of waivers reviewed, granted, and denied under this
subdivision and any additional information determined to be in
furtherance of this subdivision.

(d) The high school exit examination shall be offered in each
public school and state special school that provides instruction in
grades 10, 11, or 12, on the dates designated by the Superintendent.
begin delete An end delete begin insert A high school end insert exit examination may not be administered on
any date other than those designated by the Superintendent as
examination days or makeup days.

(e) The results of the high school exit examination shall be
provided to each pupil taking the examination within eight weeks
of the examination administration and in time for the pupil to take
any section of the examination not passed at the next
administration. A pupil shall take again only those parts of the
begin insert high school exit end insert examination he or she has not previously passed
and may not retake any portion of the begin insert high school end insert exit examination
that he or she has previously passed.

(f) Supplemental instruction shall be provided to any pupil who
does not demonstrate sufficient progress toward passing the high
school exit examination. To the extent that school districts have
aligned their curriculum with the state academic content standards
adopted by the state board, the curriculum for supplemental
instruction shall reflect those standards and shall be designed to
assist the pupils to succeed on the high school exit examination.
This chapter does not require the provision of supplemental
services using resources that are not regularly available to a school
or school district, including summer school instruction. In no event
shall any action taken as a result of this subdivision cause or require
reimbursement by the Commission on State Mandates. Sufficient
progress shall be determined on the basis of either of the following:

(1) The results of the assessments administered pursuant to
Article 4 (commencing with Section 60640) of Chapter 5 and the
minimum levels of proficiency recommended by the state board
pursuant to Section 60648.

(2) The grades of the pupil and other indicators of academic
achievement designated by the school district.