BILL NUMBER: AB 1186	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MAY 6, 2013
	AMENDED IN ASSEMBLY  APRIL 10, 2013

INTRODUCED BY   Assembly Member Bonilla

                        FEBRUARY 22, 2013

   An act to amend Section 42605 of the Education Code, relating to
school finance.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1186, as amended, Bonilla. School finance: categorical
programs.
   Existing law establishes various categorical education programs
and appropriates the funding for those programs in the annual Budget
Act. Existing law requires the Superintendent of Public Instruction,
for the 2008-09 to 2014-15 fiscal years, inclusive, to apportion from
the amounts provided in the annual Budget Act for specified
categorical education programs an amount based on the relative
proportion that the local educational agency received in the 2008-09
fiscal year for those programs and authorizes school districts, for
those fiscal years, to use these funds, with specified exceptions,
for any educational purpose, to the extent permitted by federal law.
Existing law requires a local educational agency to report
expenditures of these funds to the State Department of Education.
   This bill would require the Superintendent to apportion from the
amounts provided in the annual Budget Act for specified categorical
education programs an amount based on the relative proportion that
the local educational agency received in the 2008-09 fiscal year for
those programs, through the 2019-20 fiscal year.  The bill
would authorize school districts, for each fiscal year from the
2013-14 fiscal year to the 2019-20 fiscal year, inclusive, to use
these funds for any educational purpose, with specified exceptions
and to the extent permitted by federal law, if at least 9% of those
funds are used for purposes of professional development for
certificated and administrative employees to implement the common
core academic content standards, purchasing technology for the
purpose of implementing state assessments aligned with the common
core academic content standards, or implementation of programs that
integrate science, technology, engineering, and math, as appropriate
for pupils in grades 7 to 12, inclusive, or a combination of those
purposes.  The bill would, commencing with the 2013-14
fiscal year, require  these provisions to be   a
recipient of these funds to use at least 9% of the funds for
purposes of professional development for certificated and
administrative employees to implement the common core academic
content standards, purchasing technology for the purpose of
implementing state assessments aligned with the common core academic
content standards, or implementation of programs that integrate
science, technology, engineering, and mathematics, as appropriate,
for pupils in grades 7 to 12, inclusive, or a combination of 
 those purposes. The bill would provide that the requirement that
9% of the funds be used for the purposes described above is 
inoperative if  total  funding for the specified categorical
programs  for the 2013-14 fiscal year  is not increased by
18% from that funding for the prior fiscal year or if a local control
funding formula for kindergarten and grades 1 to 12, inclusive, is
enacted during the 2013-14 legislative session. By extending the
period of time that a local educational agency is required to report
expenditures of funds received pursuant to this provision to the
department, the bill would impose a state-mandated local program.
   The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that, if the Commission on State Mandates
determines that the bill contains costs mandated by the state,
reimbursement for those costs shall be made pursuant to these
statutory provisions.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 42605 of the Education Code is amended to read:

   42605.  (a) (1) Unless otherwise prohibited under federal law or
otherwise specified in  subdivision (e),  
subdivisions (e) and (g),  for the 2008-09 fiscal year to the
2019-20 fiscal year, inclusive, recipients of funds from the items
listed in paragraph (2) may use funding received, pursuant to
subdivision (b), from any of these items listed in paragraph (2) that
are contained in Section 2.00 of the annual Budget Act, for any
educational  purpose if, for each fiscal year from the
2013-14 fiscal year to the 2019-20 fiscal year, inclusive, the
recipient uses at least 9 percent of the total amount of funds
received pursuant to subdivision (b) for any, or a combination, of
the following purposes:   purpose.  
   (A) Professional development for certificated and administrative
employees to implement the common core academic content standards
established pursuant to Section 60605.8.  
   (B) Purchasing technology for the purpose of implementing state
assessments aligned with the common core academic content standards.
 
   (C) Implementation of programs that integrate science, technology,
engineering, and mathematics, as appropriate for pupils in grades 7
to 12, inclusive. 
   (2) Items 6110-104-0001, 6110-105-0001, 6110-108-0001,
6110-122-0001, 6110-124-0001, 6110-137-0001, 6110-144-0001,
6110-150-0001, 6110-151-0001, 6110-156-0001, 6110-181-0001,
6110-188-0001, 6110-189-0001, 6110-190-0001, 6110-193-0001,
6110-195-0001, 6110-198-0001, 6110-204-0001, 6110-208-0001,
6110-209-0001, 6110-211-0001, 6110-227-0001, 6110-228-0001,
6110-232-0001, 6110-240-0001, 6110-242-0001, 6110-243-0001,
6110-244-0001, 6110-245-0001, 6110-246-0001, 6110-247-0001,
6110-248-0001, 6110-260-0001, 6110-265-0001, 6110-266-0001,
6110-267-0001, 6110-268-0001, and 6360-101-0001 of Section 2.00.
   (b) (1) For the 2009-10 fiscal year to the 2014-15 fiscal year,
inclusive, the Superintendent or other administering state agency, as
appropriate, shall apportion from the amounts provided in the annual
Budget Act for the items enumerated in paragraph (2) of subdivision
(a) an amount to recipients based on the same relative proportion
that the recipient received in the 2008-09 fiscal year for the
programs funded through the items enumerated in paragraph (2) of
subdivision (a).
   (2) This section and Section 42 of Chapter 12 of the Third
Extraordinary Session of the Statutes of 2009 do not authorize a
school district that receives funding on behalf of a charter school
pursuant to Sections 47634.1 and 47651 to redirect this funding for
another purpose unless otherwise authorized in law or pursuant to an
agreement between a charter school and its chartering authority.
Notwithstanding paragraph (1), for the 2008-09 fiscal year to the
2019-20 fiscal year, inclusive, a school district that receives
funding on behalf of a charter school pursuant to Sections 47634.1
and 47651 shall continue to distribute the funds to those charter
schools based on the relative proportion that the school district
distributed in the 2007-08 fiscal year, and shall adjust those
amounts to reflect changes in charter school attendance in the school
district. The amounts allocated shall be adjusted for any greater or
lesser amount appropriated for the items enumerated in paragraph (2)
of subdivision (a). For a charter school that began operation in the
2008-09 fiscal year, if a school district received funding on behalf
of that charter school pursuant to Sections 47634.1 and 47651, the
school district shall continue to distribute the funds to that
charter school based on the relative proportion that the school
district distributed in the 2008-09 fiscal year and shall adjust the
amount of those funds to reflect changes in charter school attendance
in the school district. The amounts allocated shall be adjusted for
any greater or lesser amount appropriated for the items enumerated in
paragraph (2) of subdivision (a).
   (3) Notwithstanding paragraph (1), for the 2008-09 fiscal year to
the 2019-20 fiscal year, inclusive, the Superintendent shall
apportion from the amounts appropriated by Item 6110-211-0001 of
Section 2.00 of the annual Budget Act an amount to a charter school
in accordance with the per-pupil methodology prescribed in
subdivision (c) of Section 47634.1.
   (4) Notwithstanding paragraph (1), for the 2008-09 fiscal year to
the 2019-20 fiscal year, inclusive, the Superintendent shall
apportion from the amounts provided in the annual Budget Act an
amount to a school district, charter school, and county office of
education based on the same relative proportion that the local
educational agency received in the 2007-08 fiscal year for the
programs funded through the following items contained in Section 2.00
of the annual Budget Act: 6110-104-0001, 6110-105-0001,
6110-156-0001, 6110-190-0001, Schedule (3) of 6110-193-0001,
6110-198-0001, 6110-232-0001, and Schedule (2) of 6110-240-0001.
   (5) For purposes of paragraph (4), if a direct-funded charter
school began operation in the 2008-09 fiscal year, the amount that
the charter school was entitled to receive from the items enumerated
in paragraph (4) for the 2008-09 fiscal year, as certified by the
Superintendent in March 2009, is deemed to have been received in the
2007-08 fiscal year.
   (c) (1) This section does not obligate the state to refund or
repay reductions made pursuant to this section. A decision by a
school district to reduce funding pursuant to this section for a
state-mandated local program shall constitute a waiver of the
subvention of funds that the school district is otherwise entitled to
pursuant to Section 6 of Article XIII B of the California
Constitution on the amount so reduced.
   (2) (A) As a condition of receipt of funds, the governing board of
the school district or governing board of the county office of
education, as appropriate, at a regularly scheduled open public
hearing shall take testimony from the public, discuss, approve or
disapprove the proposed use of funding, and make explicit for each of
the budget items in paragraph (2) of subdivision (a) the purposes
for which the funds will be used.
   (B) The regularly scheduled open public hearing held pursuant to
subparagraph (A) shall be held before and independent of a meeting
where the governing board of the school district or governing board
of the county office of education adopts a budget. If the governing
board intends to close a program funded by the items listed in
paragraph (2) of subdivision (a), the governing board shall identify,
in the notice of the agenda of the public hearing or at another
public hearing, the program or programs proposed to be closed.
   (3) Using the Standardized Account Code Structure reporting
process, a local educational agency shall report expenditures of
funds pursuant to the authority of this section by using the
appropriate function codes to indicate the activities for which these
funds are expended. The department shall collect this information
and provide it to the Department of Finance and the appropriate
policy and budget committees of the Legislature by April 15, 2010,
and annually thereafter on April 15 until, and including, April 15,
2021.
   (d) For the 2008-09 fiscal year to the 2019-20 fiscal year,
inclusive, local educational agencies that use the flexibility
provision of this section shall be deemed to be in compliance with
the program and funding requirements contained in statutory,
regulatory, and provisional language, associated with the items
enumerated in subdivision (a).
   (e) Notwithstanding subdivision (d), the following requirements
shall continue to apply:
   (1) For Item 6110-105-0001 of Section 2.00 of the annual Budget
Act, the amount authorized for flexibility shall exclude the funding
provided to fund remedial educational services pursuant to Provision
4. For Item 6110-156-0001 of Section 2.00 of the annual Budget Act,
the amount authorized for flexibility shall exclude the funding
provided for instruction of CalWORKs-eligible students pursuant to
Schedules (2) and (3) and Provisions 2 and 4.
   (2) (A) Any instructional materials purchased by a local
educational agency for kindergarten and grades 1 to 8, inclusive, and
for grades 9 to 12, inclusive, shall be aligned with the state
standards adopted pursuant to Section 60605 or 60605.8, and shall
also meet the reporting and sufficiency requirements contained in
Section 60119.
   (B) For purposes of this section, "sufficiency requirements" are
the requirements that each pupil has sufficient textbooks and
instructional materials in the four core areas as defined by Section
60119 and that all pupils within the local educational agency who are
enrolled in the same course shall have identical textbooks and
instructional materials, as specified in Section 1240.3.
   (3) For Item 6110-195-0001 of Section 2.00 of the annual Budget
Act, the item shall exclude moneys that are required to fund awards
for teachers that have previously met the requirements necessary to
obtain these awards, until the award is paid in full.
   (4) For Item 6110-266-0001 of Section 2.00 of the annual Budget
Act, a county office of education shall conduct at least one site
visit to each of the required schoolsites pursuant to Section 1240
and shall fulfill all of the duties set forth in Sections 1240 and
44258.9.
   (5) For Item 6110-198-0001 of Section 2.00 of the annual Budget
Act, a school district or county office of education that operates
the child care component of the Cal-SAFE program shall comply with
paragraphs (5) and (6) of subdivision (c) of Section 54746.
   (f) This section does not invalidate any state law pertaining to
teacher credentialing requirements or the functions that require
credentials.
   (g) (1) Commencing with the 2013-14 fiscal year,  this
section shall be inoperative if either of the following apply
  the authorization   in subdivision (a), to
use funding received pursuant to subdivision (b)   for any
educational purpose, shall only apply if, for each fiscal year from
2013-14 fiscal year to the 2019-20 fiscal year, inclusive, the
recipient uses at least 9 percent of the total amount of funds
received pursuant to subdivision (b) for any, or a combination, of
the following purposes  : 
   (A) Professional development for certificated and administrative
employees to implement the common core academic content standards
established pursuant to Section 60605.8.  
   (B) Purchasing technology for the purpose of implementing state
assessments aligned with the common core academic content standards.
 
   (C) Implementation of programs that integrate science, technology,
engineering, and mathematics, as appropriate for pupils in grades 7
to 12, inclusive.  
   (2) This subdivision shall be inoperative if either of the
following apply: 
   (A) The  amounts   total amount 
provided for the items enumerated in paragraph (2) of subdivision (a)
for the 2013-14 fiscal year  are   is 
increased by less than 18 percent over the amount provided for those
items in the 2012-13 fiscal year.
   (B) A local control funding formula for kindergarten and grades 1
to 12, inclusive, is enacted during the 2013-14 legislative session.

   (2) 
    (3)  If the department determines that this subdivision
applies, it shall promptly display that fact prominently on the
department's Internet Web site.
  SEC. 2.  If the Commission on State Mandates determines that this
act contains costs mandated by the state, reimbursement to local
agencies and school districts for those costs shall be made pursuant
to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of
the Government Code.