Ab - 94 - Education Finance

AMENDED IN SENATE MARCH 14, 2011
california legislature—2011–12 regular session
ASSEMBLY BILL No. 94
Introduced by Committee on Budget (Blumenfield (Chair), Alejo,

Allen, Brownley, Buchanan, Butler, Cedillo, Chesbro, Dickinson,
Feuer, Gordon, Huffman, Mitchell, Monning, and Swanson)
January 10, 2011
An act relating to the Budget Act of 2011. An act to amend Sections

1240.3, 2550, 2558.46, 8201, 8208, 8263.1, 8263.4, 8354, 8357, 8447,
8499, 14041.5, 14041.6, 17070.766, 17463.7, 17584.1, 17587, 17592.71,
33128.3, 41203.1, 42238.146, 42605, 42606, 45023.1, 45023.4, 46201.2,
52124.3, 60200.7, 69432.7, 69432.9, 69433.6, 76243, 76300, 84043,
and 84321.6 of, to amend and renumber Section 60422.1 of, and to add
Sections 8263.2, 14041.65, 41204.3, 69433.2, and 84321.7 to, the
Education Code, to amend Section 11323.2 of the Welfare and
Institutions Code, and to amend Items 6110-161-0001, 6110-485, and
6110-488 of Section 2.00 of the Budget Act of 2010 (Chapter 712 of the
Statutes of 2010), relating to education finance, making an
appropriation therefor, and declaring the urgency thereof, to take effect
immediately, bill related to the budget.
legislative counsel’s digest

AB 94, as amended, Committee on Budget. Budget Act of 2011.
Education finance: Budget Act of 2011.
(1) Existing law requires the county superintendent of schools of
each county, among other specified duties, to make annual visits to
each school in his or her county to observe its operation and to learn
of its problems. Existing law requires that the priority objective of those
visits is the determination of whether each school has sufficient
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textbooks, as defined. Existing law, until July 1, 2013, and for the
2008–09 to the 2012–13 fiscal years, inclusive, describes what is meant
by sufficient textbooks or instructional materials for purposes of these
visits by the county superintendent of schools.
This bill would extend the operation of this provision by 2 fiscal years,
until July 1, 2015.
(2) Existing law requires the Superintendent of Public Instruction to
make specified computations to determine the amount to be allocated
for direct services and other purposes provided by county
superintendents of schools. Under this provision, in each of the fiscal
years from 2008–09 to 2012–13, inclusive, the units of average daily
attendance (ADA) are required to include the same amount of ADA for
classes for adults and regional occupational centers and programs used
in the calculation for the 2007–08 fiscal year.
This bill would extend this provision to apply to the 2013–14 and
2014–15 fiscal years.
(3) Existing law requires a revenue limit to be calculated for each
county superintendent of schools, adjusted for various factors, and
reduced, as specified. Existing law reduces the revenue limit for each
county superintendent of schools for the 2010–11 fiscal year by a deficit
factor of 18.250%.
This bill would set the deficit factor for each county superintendent
of schools for the 2011–12 and 2012–13 fiscal years at 19.892%.
(4) The Child Care and Development Services Act, administered by
the State Department of Education, provides that children who are 13
years of age or younger and their parents are eligible, with certain
requirements, for child care and development services.
This bill would instead provide that children who are 10 years of age
or younger, children with exceptional needs, children 12 years of age
or younger who are recipients of child protective services or at risk of
abuse, neglect, or exploitation, children 12 years of age or younger
who are provided services during nontraditional hours, children 12
years of age or younger who are homeless, and children who are 11
and 12 years of age, as funding permits, as specified, are eligible, with
certain requirements, for child care and development services.
(5) Existing law provides that the preferred placement for a child
who is 11 or 12 years of age and is otherwise eligible for subsidized
child care services is in a before or after school program. Existing law
requires contractors to report annually to the State Department of
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Education the amount of savings resulting from these provisions, as

specified.
This bill would instead provide that a child who is 11 or 12 years of
age and who is otherwise eligible for subsidized child care and
development services, except for his or her age, shall be given first
priority for enrollment, and in cases of programs operating at full
capacity, first priority on the waiting list for a before or after school
program, as specified, and would require contractors to provide each
family of an otherwise eligible 11 or 12 year old child with information
about the availability of before and after school programs located in
the family’s community. This bill would remove provisions requiring
contractors to report savings to the department.
(6) Existing law provides that necessary supportive services shall
be available to every participant in the CalWORKs program, including
child care, as specified. Existing law provides that, to the extent funds
are available, paid child care shall be available to a participant with
a dependent child in the assistance unit who needs paid child care if
the child is 11 or 12 years of age.
This bill would remove the requirement that paid child care be
available to a participant for a child who is 11 or 12 years of age.
(7) Existing law provides for income eligibility standards for families
to receive child care and development services. Existing law provides
that “income eligible,” for the purposes of the Child Care and
Development Services Act, means that a family’s adjusted monthly
income is at or below 75% of the state median income, adjusted for
family size, and adjusted annually.
This bill instead would provide that “income eligible,” for the
purposes of the Child Care and Development Services Act, means that
a family’s adjusted monthly income is at or below 70% of the state
median income, adjusted for family size, and adjusted annually.
The bill would provide for the reduction of child care and development
services, and the disenrollment of specified families from subsidized
child care services, in accordance with prescribed priorities.
(8) Existing law provides for 3 stages of child care for CalWORKs
recipients. Existing law provides that the 3rd stage of child care begins
when a funded child care space is available, and further provides that
CalWORKs recipients are eligible for this stage of child care. Existing
law also provides that persons who received a lump-sum diversion
payment or diversion services and former CalWORKs participants are
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eligible if they have an income that does not exceed 75% of the state
median income.
This bill instead would provide that persons who received a lump-sum
diversion payment or diversion services and former CalWORKs
participants are eligible if they have an income that does not exceed
70% of the state median income.
(9) Existing law requires the cost of state-funded child care services
to be governed by regional market rates and requires the regional
market rate ceilings to be established at the 85th percentile of the 2005
regional market rate survey for that region. Existing law prohibits
reimbursement to license-exempt child care providers from exceeding
80% of the family child care home rate established pursuant to these
provisions.
This bill would instead prohibit reimbursement to license-exempt
child care providers from exceeding 60% of the family child care home
rate, effective July 1, 2011.
The bill would adjust the family fee schedule that was in effect for
the 2007–08, 2008–09, 2009–10, 2010–11 fiscal years to reflect income
eligibility limits specified in this bill for the 2011–12 fiscal year. The
bill would require the adjusted fee schedule to be submitted to the
Department of Finance for referral in order to be implemented by July
1, 2011.
(10) Existing law limits the amount of specified revenue limit
apportionments that counts towards the minimum funding obligation
for the following fiscal year to $1,601,655,000.
This bill would decrease that amount to $1,101,655,000.
(11) Existing law requires the Controller to draw warrants on the
State Treasury in each month of each year in specified amounts for
principal apportionments for purposes of funding school districts, county
superintendents of schools, and community college districts. Existing
law defers the drawing of those warrants, as specified.
This bill would defer additional specified amounts of the warrants
for school districts and county superintendents of schools from April,
May, and June to July, and from March and April to August. The bill
would make additional deferrals, from February to July, August, and
September, from April to September, and from May to September, for
the 2010–11 fiscal year only.
(12) The Leroy F. Greene School Facilities Act of 1998 requires the
State Allocation Board to require school districts applying for funds
under that act to deposit, into a specified account for ongoing and major
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maintenance of school buildings, an amount equal to or greater than

3% of the total general fund expenditures of the applicant school district.
Existing law, for the 2008–09 to the 2012–13 fiscal years, inclusive,
reduces that deposit requirement to an amount equal to 1% of the total
general fund expenditures of the applicant school district. Existing law
exempts a school district that maintains its facilities in good repair, as
defined, from this 1% requirement.
through the 2014–15 fiscal year.
(13) Existing law, until January 1, 2012, authorizes a school district
to deposit the proceeds from the sale of surplus school property, together
with any personal property located on that property, purchased entirely
with local funds, into the general fund of the school district and to use
those proceeds for any one-time general fund purpose.
This bill would extend the operation of this provision to January 1,
2014.
(14) Existing law, until July 1, 2013, renders inoperative a
requirement for the governing board of a school district to make a
report regarding proposals and plans for expenditure for the deferred
maintenance of school district facilities.
This bill would extend the operation of this provision to July 1, 2015.
(15) Existing law, to become operative on July 1, 2013, will authorize
the State Allocation Board to each year reserve an amount not to exceed
10% of the funds transferred from any source to the State School
Deferred Maintenance Fund for apportionments to school districts in
instances of extreme hardship.
This bill would delay the operation of this provision until July 1, 2015.
(16) Existing law establishes the School Facilities Emergency Repair
Account in the State Treasury, and requires the State Allocation Board
to administer the account. Existing law establishes the Proposition 98
Reversion Account in the General Fund, and requires that the
Legislature, from time to time, transfer into this account moneys
previously appropriated in satisfaction of the constitutional minimum
funding requirements that have not been disbursed or otherwise
encumbered for the purposes for which they were appropriated. Existing
law generally requires an amount, equaling 50% of the unappropriated
balance of the Proposition 98 Reversion Account or $100,000,000,
whichever is greater, to be transferred in the annual Budget Act from
the Proposition 98 Reversion Account to the School Facilities
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Emergency Repair Account. However, the amount to be transferred

under this provision was set at zero for the 2009–10 fiscal year.
This bill would also set at zero the amount to be transferred under
this provision from the Proposition 98 Reversion Account to the School
Facilities Emergency Repair Account for the 2010–11 and 2011–12
fiscal years.
(17) Existing law, for the 2009–10 fiscal year, sets the minimum state
requirement for a local educational agency’s reserve for economic
uncertainties at 1⁄3 of the percentage for a reserve adopted by the State
Board of Education as of May 1, 2009, and requires a school district
to make progress in the 2010–11 fiscal year to returning to compliance
with the specified standards and criteria adopted by the state board.
Existing law restores this requirement, for the 2011–12 fiscal year, to
the percentage adopted by the state board as of May 1, 2009.
This bill instead would provide that, for the 2010–11 and 2011–12
fiscal years, the minimum state requirement for a local educational
agency’s reserve for economic uncertainties is 1⁄3 of the percentage for
a reserve adopted by the state board as of May 1, 2009, and require a
school district to make progress in the 2012–13 fiscal year to returning
to compliance with the specified standards and criteria adopted by the
state board. This bill would restore this requirement, for the 2013–14
fiscal year, to the percentage adopted by the state board as of May 1,
2009.
(18) Existing law requires, for the 1990–91 fiscal year and each
fiscal year thereafter, that moneys to be applied by the state for the
support of school districts, community college districts, and direct
elementary and secondary level instructional services provided by the
state be distributed in accordance with certain calculations governing
the proration of those moneys among the 3 segments of public education.
Existing law makes that provision inapplicable to the fiscal years
between 1992–93 and 2010–11, inclusive.
This bill would make that provision inapplicable to the 2011–12 fiscal
year.
(19) Existing law prescribes the percentage of General Fund revenues
appropriated for school districts and community college districts for
purposes of the provisions of the California Constitution requiring
minimum funding for the public schools.
This bill would require the Director of Finance to adjust that
percentage in a specified manner for purposes of the 2011–12 fiscal
year.
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(20) Existing law requires the county superintendent of schools to

determine a revenue limit for each school district in the county and
requires the amount of the revenue limit to be adjusted for various
factors. Existing law reduces the revenue limit for each school district
for the 2010–11 fiscal year by a deficit factor of 17.963%.
This bill would maintain the deficit factor for each school district for
the 2011–12 fiscal year at 19.608%.
(21) 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 2012–13 fiscal years, inclusive, to apportion from the
amount provided in the annual Budget Act for specified categorical
education programs an amount based on the same relative proportion
that the local educational agency received in the 2008–09 fiscal year
for those programs, with certain exceptions. Existing law authorizes
school districts, for the 2008–09 to 2012–13 fiscal years, inclusive, to
use the categorical education program funds, with specified exceptions,
for any educational purpose.
This bill would extend the operation of this provision for 2 additional
fiscal years, thus extending it through the 2014–15 fiscal year. By
allowing funds appropriated for specified purposes to be expended for
any educational purpose for 2 additional fiscal years, the bill would
make an appropriation.
(22) Existing law requires the Superintendent of Public Instruction
to allocate, for the 2010–11 fiscal year, a supplemental categorical
block grant to a charter school that began operation in the 2008–09,
2009–10, or 2010–11 fiscal year.
This bill would extend the operation of this provision to require the
Superintendent to make these allocations for the 2011–12 fiscal year,
and to include charter schools that began operation in the 2011–12
fiscal year.
(23) Existing law establishes the Jack O’Connell Beginning-Teacher
Salary Incentive Program, under which a county superintendent of
schools, or the county board of education, may increase the salary for
certain teachers on its adopted certificated employee salary schedule,
as specified. The provisions establishing the program require certain
calculations to be made with respect to the average daily attendance
(ADA) of the participating local educational agencies, and more
specifically require specified adjustments to be made in the calculation
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of ADA attributable to regional occupational centers and programs for

the 2008–09 to the 2012–13 fiscal years, inclusive.
This bill would extend the requirement for these adjustments to be
made to the 2013–14 and 2014–15 fiscal years.
(24) Existing law, commencing with the 2009–10 school year and
continuing through the 2012–13 school year, authorizes a school
district, county office of education, or charter school to reduce the
equivalent of up to 5 days of instruction or the equivalent number of
instructional minutes without incurring fiscal penalties.
fiscal years, thus extending it through the 2014–15 school year.
(25) Existing law establishes the Class Size Reduction Program,
under which a participating school district or county office of education
reduces class size to 20 pupils per class in kindergarten and grades 1
to 3, inclusive. Existing law provides that, for the 2008–09, 2009–10,
2010–11, and 2011–12 fiscal years, a school district that has received
funding under the program but has not implemented its class size
reduction program for all classes and grades for which it received
funding under the program, an amount is deducted from the next
principal apportionment of state funds to that district in accordance
with a schedule.
This bill would extend the operation of this provision to the 2012–13
and 2013–14 fiscal years.
(26) Existing law prohibits the State Board of Education from
adopting instructional materials until the 2013–14 school year.
This bill would extend this prohibition through the 2015–16 school
year.
(27) Existing law, for the 2008–09 to the 2012–13 fiscal years,
inclusive, provides that the governing board of a school district is not
required to provide pupils with instructional materials by a specified
period of time following adoption of those materials by the State Board
of Education.
through the 2014–15 fiscal year.
(28) Under existing law, a community college or community college
district may not permit any person to access student records without
the written consent of the student or under judicial order for access,
with specified exceptions generally relating to education. Existing law
provides that a person, persons, agency, or organization that is
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permitted access to student records is prohibited from further disclosing

the records without the written consent of the student, as specified.
This bill would allow a person, persons, agency, or organization that
is permitted access to student records to disclose them pursuant to the
extent permitted under specified federal law and state law.
(29) Existing law, the Ortiz-Pacheco-Poochigian-Vasconcellos Cal
Grant Program (Cal Grant Program), establishes the Cal Grant A and
B Entitlement Awards, the California Community College Transfer Cal
Grant Entitlement Awards, the Competitive Cal Grant A and B Awards,
the Cal Grant C Awards, and the Cal Grant T Awards under the
administration of the Student Aid Commission, and establishes eligibility
requirements for awards under these programs for participating students
attending qualifying institutions.
Existing law sets forth the maximum household income and asset
levels for participants in the various grant programs under the act.
These maximum levels are set forth as they were adopted by the
commission for the 2001–02 academic year, but have been annually
adjusted based on the percentage change in the cost of living as defined
in a specified provision of the California Constitution.
This bill would provide that the maximum household income and
asset levels applicable to a renewing applicant would be the greater of
the adjusted household income and asset levels or the maximum
household income and asset levels at the time of the renewing recipient’s
initial Cal Grant award, as specified.
This bill would impose additional requirements, except as specified,
on qualifying institutions, requiring the commission to certify by October
1 of each year the institution’s latest 3-year cohort default rate as most
recently reported by the United States Department of Education. The
bill would provide that an otherwise qualifying institution that did not
meet a specified 3-year cohort default rate would be ineligible for new
Cal Grant awards at the institution.
This bill would require the Legislative Analyst’s Office to submit a
report to the Legislature by January 1, 2013, on the implementation of
the 3-year cohort default rate provisions of the act, as specified.
The bill would specify that financial need, for the purposes of the act,
would be determined to establish both an applicant’s initial eligibility
for a Cal Grant award and a renewing applicant’s continued eligibility
using federal financial need methodology, as prescribed.
The bill would also require participating institutions, beginning in
2012, to annually report to the commission enrollment, persistence,
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and graduation data, as well as job placement, salary, and wage

information for undergraduate programs, as specified.
(30) Existing law establishes community college districts under the
administration of community college governing boards, and authorizes
these districts to provide instruction at community college campuses
throughout the state. Existing law requires the governing board of each
community college district to charge each student, with specified
exceptions, a fee of $26 per unit per semester, effective with the fall
term of the 2009–10 academic year.
This bill would increase that fee to $36 per unit per semester, effective
with the fall term of the 2011–12 academic year.
(31) Existing law, for the 2009–10 to 2012–13 fiscal years, inclusive,
authorizes a community college district to use funds apportioned to the
district for specified categorical programs, for purposes of a prescribed
list of programs.
fiscal years, through the 2014–15 fiscal year.
(32) Existing law requires the Board of Governors of the California
Community Colleges to adopt regulations for the payment of
apportionments to community college districts. Existing law,
notwithstanding the board of governors’ authority in this respect, makes
various adjustments to the payment of these apportionments.
This bill would revise the manner in which these apportionments are
made according to specified criteria. The bill would appropriate
$961,000,000 from the General Fund to the Board of Governors of the
California Community Colleges for apportionments to community
college districts for expenditure during the 2012–13 fiscal year in
accordance with a specified schedule.
(33) Under existing law, the Controller is required to draw warrants
on the State Treasury in each month of each year in specified amounts
for purposes of funding school districts, county superintendents of
schools, and community college districts. Existing law defers the
drawing of those warrants, as specified.
This bill would, commencing with the 2011–12 fiscal year, authorize
the Controller to issue up to $13 million of warrants for a community
college district for the principal apportionments for the month of June,
that are instead to be drawn in July, subject to the approval of the
Director of Finance, as specified.
If the total amount requested by community college districts exceeds
$13 million, the Controller, the Treasurer, and the Director of Finance
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may authorize additional payments, not to exceed $39 million. The

determination whether there is sufficient cash available to make these
payments would be made no later than May 1, as specified. In making
this determination, the Controller, the Treasurer, and the Director of
Finance would be required to consider costs for state government, the
scope of any identified cash shortage, timing, achievability, legislative
direction, and impact and hardship imposed on potential affected
programs, as specified. The Department of Finance would be required
to notify the Joint Legislative Budget Committee within 10 days of this
determination and identify the total amount of requests that will be
paid.
The bill would provide that if the total amount of cash made available
is less than the amount requested, as specified, payments to community
college districts must be prioritized according to the date the Office of
the Chancellor of the California Community Colleges and the
Department of Finance were notified. Payments would be required to
be made no later than June 20.
This bill would specify that warrants drawn pursuant to this
authorization shall be deemed to be General Fund revenues
appropriated to school districts, as specified.
(34) The Budget Act of 2010 made numerous appropriations for the
support of public education in this state.
This bill would make adjustments in the schedules of 3 items of the
Budget Act of 2010 with respect to the funding of specified programs.
(35) The Administrative Procedure Act, among other things, sets
forth procedures for the development, adoption, and promulgation of
regulations by administrative agencies charged with the implementation
of statutes.
This bill would authorize the State Department of Social Services and
the State Department of Education, notwithstanding the procedures
required by the Administrative Procedure Act, to implement the
provisions of the bill that relate to the Child Care and Development
Services Act through all-county letters, management bulletins, or similar
instructions.
(36) The bill would provide that the implementation of the provisions
of the bill related to the provision of child care services would not be
subject to the appeal and resolution procedures for agencies that
contract with the State Department of Education for these purposes.
(37) This bill would reappropriate up to $60,000,000 in unobligated
balances appropriated in the Budget Act of 2009 to the State Department
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of Education for CalWORKs Stage 3 child care services for the period
of April 1, 2011, to June 30, 2011, inclusive. The bill would also require
the State Department of Education to use those funds for eligible families
pursuant to a specified provision as it read on January 1, 2011.
(38) This bill would appropriate $905,700,000 from the General
Fund to the State Department of Education for 10 specified programs
according to a specified schedule, and would require the department
to encumber these funds by July 31, 2012. The bill would provide that,
for purposes of satisfying the minimum annual funding obligation for
school districts required by the California Constitution, the appropriated
funds are General Fund revenues appropriated for school districts and
community college districts for the 2012–13 fiscal year.
(39) Existing law creates the Charter School Revolving Loan Fund
in the State Treasury and authorizes the Superintendent of Public
Instruction to make loans from the fund to applicant charter schools in
accordance with specified criteria.
This bill would appropriate $5,000,000 from the General Fund to
augment the Charter School Revolving Loan Fund.
(40) This bill would set the cost-of-living adjustment for specified
items in the Budget Act of 2011 at 0% for the 2011–12 fiscal year,
notwithstanding the cost-of-living adjustment specified in existing
statutes.
(41) This bill would require funds appropriated pursuant to specified
items in the Budget Act of 2011 to be encumbered by July 31, 2012.
(42) Existing law provides for collection and maintenance of
educational data. Existing law requires the State Department of
Education to contract for the development of the California Longitudinal
Pupil Achievement Data System (CALPADS), for the purpose of
providing for the retention and analysis of longitudinal pupil
achievement data on specified achievement tests.
This bill would appropriate $2,257,000 from the Federal Trust Fund
to the State Department of Education, in accordance with a specified
schedule, for purposes of the implementation and support of the
CALPADS.
The bill would require, as a condition of receiving funds to administer
CALPADS, the State Department of Education to ensure that local
educational agencies are provided with standardized templates that
include prepopulated data necessary to meet the requirements of the
School Accountability Report Card.
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(43) Under existing law, the amount of revenue that a district may

collect annually for general purposes, called a revenue limit, is
calculated in accordance with various statutory formulas. A basic aid
school district is a school district where property tax revenues exceed
the revenue limit and the district consequently does not receive a state
apportionment.
This bill would express legislative intent that basic aid school districts
assume categorical funding reductions proportionate to the revenue
limit reductions implemented for nonbasic aid school districts in the
2008–09 and 2009–10 fiscal years. The bill would include calculations
to implement these funding reductions.
(44) Existing law appropriates funding for class size reduction in
kindergarten and grades 1 to 3, inclusive, to be expended consistent
with the specified requirements.
This bill would reduce that appropriation in accordance with specified
requirements, and would identify funds that the State Department of
Education would be required to use if the funds appropriated for this
program are determined to be insufficient.
The bill would require the Superintendent of Public Instruction to
certify to the Controller the amounts needed for the 2011–12 fiscal year
to fund the class size reduction program and set forth a schedule for
the transfer of that funding. The bill would require the Controller to
transfer that funding from the General Fund to the State School Fund,
thereby making an appropriation.
The bill would require the Superintendent, before making each
certification, to notify the Department of Finance, the Legislative
Analyst, and the appropriate policy and fiscal committees of the
Legislature regarding the amounts the Superintendent intends to certify
and would require the notification to include the data used in
determining the amounts to be certified.
(45) Existing law establishes the University of California, which is
administered by the Regents of the University of California and the
California State University, which is administered by the Trustees of
the California State University.
This bill would require the Regents of the University of California
and the Trustees of the California State University, in implementing
reductions contained in the Budget Act of 2011, to minimize fee and
enrollment impacts on students by targeting actions that lower the costs
of instruction and administration. The bill would require the regents
and the trustees to submit recommended budget options, with savings
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estimates for each identified solution, to the Legislature, the Governor,

and stakeholders for review and comment by June 1, 2011, prior to
adoption of a final plan. The bill would state enrollment goals for the
2011–12 academic year and require the regents and the trustees to
report to the Legislature by May 1, 2012, on whether the University of
California and the California State University have met their respective
2011–12 enrollment goals. If the goals are not met, the Director of
Finance would be directed to revert the total amount of enrollment
funding associated with the total share of the enrollment goal that was
not met to the General Fund by May 15, 2012. This bill would require
the regents and the trustees to submit a final detailed report to the
Governor, the Department of Finance, and the Legislature, as specified,
by September 1, 2012.
(46) This bill would make conforming changes, correct some
cross-references, and make other technical, nonsubstantive changes.
(47) The funds appropriated by this bill would be applied toward
the minimum funding requirements for school districts and community
college districts imposed by Section 8 of Article XVI of the California
Constitution.
(48) The California Constitution authorizes the Governor to declare
a fiscal emergency and to call the Legislature into special session for
that purpose. Governor Schwarzenegger issued a proclamation
declaring a fiscal emergency, and calling a special session for this
purpose, on December 6, 2010. Governor Brown issued a proclamation
on January 20, 2011, declaring and reaffirming that a fiscal emergency
exists and stating that his proclamation supersedes the earlier
proclamation for purposes of that constitutional provision.
This bill would state that it addresses the fiscal emergency declared
and reaffirmed by the Governor by proclamation issued on January
20, 2011, pursuant to the California Constitution.
(49) This bill would declare that it is to take immediate effect as an
urgency statute and a bill providing for appropriations related to the
Budget Bill.
This bill would express the intent of the Legislature to enact statutory
changes relating to the Budget Act of 2011.
Vote: majority 2⁄3. Appropriation: no yes. Fiscal committee: no
yes. State-mandated local program: no.
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The people of the State of California do enact as follows:
1 SECTION 1. It is the intent of the Legislature to enact statutory

2 changes relating to the Budget Act of 2011.
3 SECTION 1. Section 1240.3 of the Education Code is amended
4 to read:
5 1240.3. (a) For the purposes of Section 1240, for the 2008–09
6 to 2012–13 2014–15 fiscal years, inclusive, sufficient textbooks
7 or instructional materials include standards-aligned textbooks or
8 instructional materials, or both, that were adopted prior to July 1,
9 2008, by the state board or local educational agency pursuant to
10 statute, unless those local educational agencies purchased or
11 arranged to purchase textbooks or instructional materials adopted
12 by the state board after that date. It is the intent of the Legislature
13 that each local educational agency provide each pupil with
14 standards-aligned textbooks or instructional materials from the
15 same adoption, consistent with Sections 60119 and 60422. This
16 section does not require a local educational agency to purchase all
17 of the instructional materials included in an adoption if the
18 materials that are purchased are made available to all the pupils
19 for whom they are intended in all of the schools within the local
20 educational agency.
21 (b) Notwithstanding Section 1240 or any other law, for the
22 2008–09 to 2012–13 2014–15 fiscal years, inclusive, a county
23 superintendent of schools, in making visits to schools as specified
24 in Section 1240, shall determine the status of sufficient textbooks
25 as defined in subdivision (a).
26 (c) This section shall become inoperative on July 1, 2013 2015,
27 and, as of January 1, 2014 2016, is repealed, unless a later enacted
28 statute that is enacted before January 1, 2014 2016, deletes or
29 extends the dates on which it becomes inoperative and is repealed.
30 SEC. 2. Section 2550 of the Education Code is amended to
31 read:
32 2550. For each fiscal year, the Superintendent shall make the
33 following computations to determine the amount to be allocated
34 for direct services and other purposes provided by county
35 superintendents of schools:
36 (a) For programs operated pursuant to subdivision (a) of Section
37 14054, the Superintendent shall:
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1 (1) Determine the allowances that county superintendents

2 received per unit of average daily attendance in the prior fiscal
3 year. The Superintendent shall increase each amount by a
4 percentage equal to the inflation allowance calculated for the
5 current fiscal year pursuant to Section 2557.
6 (2) Multiply each amount determined in paragraph (1) by the
7 actual number of units of average daily attendance in the prior
8 fiscal year for programs maintained by each county superintendent.
9 For purposes of this paragraph, the number of units of average
10 daily attendance shall include only units generated by elementary
11 districts with less than 901 units of average daily attendance, high
12 school districts with less than 301 units of average daily attendance,
13 and unified school districts with less than 1,501 units of average
14 daily attendance within each county superintendent’s jurisdiction.
15 (b) For programs operated pursuant to subdivision (b) of Section
16 14054, the Superintendent shall:
17 (1) (A) For the 1999–2000 fiscal year, determine the rate per
18 unit of average daily attendance calculated for each county office
19 of education pursuant to subdivision (b) of Section 2567 and
20 increase each rate by a percentage equal to the inflation allowance
21 calculated in Section 2557.
22 (B) For the 2000–01 fiscal year, determine the rate per unit of
23 average daily attendance calculated for each county office of
24 education pursuant to subdivision (b) of Section 2568 and increase
25 each rate by a percentage equal to the inflation allowance calculated
26 in Section 2557.
27 (C) For the 2001–02 fiscal year and each fiscal year thereafter,
28 determine the allowances that county superintendents received per
29 unit of average daily attendance in the prior fiscal year. The
30 Superintendent of Public Instruction shall increase each amount
31 by a percentage equal to the inflation allowance calculated for the
32 current fiscal year pursuant to Section 2557.
33 (2) (A) Multiply each amount determined in paragraph (1) by
34 the units of average daily attendance in the current fiscal year for
35 programs for kindergarten and grades 1 to 12, inclusive, maintained
36 by each county superintendent. For the purposes of this paragraph,
37 average daily attendance shall include only the total units of
38 average daily attendance credited to all elementary, high school,
39 and unified school districts within each county superintendent’s
40 jurisdiction and to the county superintendent.
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1 (B) For purposes of this paragraph, in each of the 2008–09,

2 2009–10, 2010–11, 2011–12, and 2012–13, 2013–14, and 2014–15
3 fiscal years, the units of average daily attendance in each of those
4 fiscal years for programs for kindergarten and grades 1 to 12,
5 inclusive, maintained by each county superintendent shall include
6 the same amount of average daily attendance for classes for adults
7 and regional occupational centers and programs used in the
8 calculation pursuant to this subdivision for the 2007–08 fiscal year.
9 SEC. 3. Section 2558.46 of the Education Code is amended to
10 read:
11 2558.46. (a) (1) For the 2003–04 fiscal year, the revenue limit
12 for each county superintendent of schools determined pursuant to
13 this article shall be reduced by a 1.195 percent deficit factor.
14 (2) For the 2004–05 fiscal year, the revenue limit for each county
15 superintendent of schools determined pursuant to this article shall
16 be reduced by a 0.323 percent deficit factor.
17 (3) For the 2003–04 and 2004–05 fiscal years, the revenue limit
18 for each county superintendent of schools determined pursuant to
19 this article shall be reduced further by a 1.826 percent deficit factor.
22 be reduced further by a 0.898 percent deficit factor.
25 be reduced by a 7.839 percent deficit factor.
28 be reduced by an 18.621 percent deficit factor.
31 be reduced by an 18.250 percent deficit factor.
32 (8) For the 2011–12 fiscal year, the revenue limit for each
33 county superintendent of schools determined pursuant to this article
34 shall be reduced by a 19.892 percent deficit factor.
35 (b) In computing the revenue limit for each county
36 superintendent of schools for the 2006–07 fiscal year pursuant to
37 this article, the revenue limit shall be determined as if the revenue
38 limit for that county superintendent of schools had been determined
39 for the 2003–04, 2004–05, and 2005–06 fiscal years without being
40 reduced by the deficit factors specified in subdivision (a).
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1 (c) In computing the revenue limit for each county

5 for the 2009–10 fiscal year without being reduced by the deficit
6 factors specified in subdivision (a).
7 (d) In computing the revenue limit for each county
12 factors specified in subdivision (a).
13 (e) In computing the revenue limit for each county
18 factor specified in subdivision (a).
20 read:
21 8201. The purpose of this chapter is as follows:
22 (a) To provide a comprehensive, coordinated, and cost-effective
23 system of child care and development services for children to age
24 13 and their parents, who are 10 years of age or younger, for
25 children with exceptional needs as defined in subdivision (l) of
26 Section 8208, for children 12 years of age or younger who are
27 recipients of child protective services or at risk of abuse, neglect,
28 or exploitation as described in subparagraph (D) of paragraph
29 (1) of subdivision (a) of Section 8263 and as defined in subdivision
30 (k) of Section 8208, for children 12 years of age or younger who
31 are provided services during nontraditional hours as defined in
32 subdivision (al) of Section 8208, for children 12 years of age or
33 younger who are homeless as described in subparagraph (C) of
34 paragraph (1) of subdivision (a) of Section 8263, and for children
35 who are 11 and 12 years of age, as funding permits, pursuant to
36 subdivision (h) of Section 8447, including a full range of
37 supervision, health, and support services through full- and part-time
38 programs.
39 (b) To encourage community-level coordination in support of
40 child care and development services.
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1 (c) To provide an environment that is healthy and nurturing for

2 all children in child care and development programs.
3 (d) To provide the opportunity for positive parenting to take
4 place through understanding of human growth and development.
5 (e) To reduce strain between parent and child in order to prevent
6 abuse, neglect, or exploitation.
7 (f) To enhance the cognitive development of children, with
8 particular emphasis upon those children who require special
9 assistance, including bilingual capabilities to attain their full
10 potential.
11 (g) To establish a framework for the expansion of child care
12 and development services.
13 (h) To empower and encourage parents and families of children
14 who require child care services to take responsibility to review the
15 safety of the child care program or facility and to evaluate the
16 ability of the program or facility to meet the needs of the child.
18 read:
19 8208. As used in this chapter:
20 (a) “Alternative payments” includes payments that are made by
21 one child care agency to another agency or child care provider for
22 the provision of child care and development services, and payments
23 that are made by an agency to a parent for the parent’s purchase
24 of child care and development services.
25 (b) “Alternative payment program” means a local government
26 agency or nonprofit organization that has contracted with the
27 department pursuant to Section 8220.2 8220.1 to provide alternative
28 payments and to provide support services to parents and providers.
29 (c) “Applicant or contracting agency” means a school district,
30 community college district, college or university, county
31 superintendent of schools, county, city, public agency, private
32 nontax-exempt agency, private tax-exempt agency, or other entity
33 that is authorized to establish, maintain, or operate services
34 pursuant to this chapter. Private agencies and parent cooperatives,
35 duly licensed by law, shall receive the same consideration as any
36 other authorized entity with no loss of parental decisionmaking
37 prerogatives as consistent with the provisions of this chapter.
38 (d) “Assigned reimbursement rate” is that rate established by
39 the contract with the agency and is derived by dividing the total
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AB 94 — 20 —
1 dollar amount of the contract by the minimum child day of average

2 daily enrollment level of service required.
3 (e) “Attendance” means the number of children present at a
4 child care and development facility. “Attendance,” for the purposes
5 of reimbursement, includes excused absences by children because
6 of illness, quarantine, illness or quarantine of their parent, family
7 emergency, or to spend time with a parent or other relative as
8 required by a court of law or that is clearly in the best interest of
9 the child.
10 (f) “Capital outlay” means the amount paid for the renovation
11 and repair of child care and development facilities to comply with
12 state and local health and safety standards, and the amount paid
13 for the state purchase of relocatable child care and development
14 facilities for lease to qualifying contracting agencies.
15 (g) “Caregiver” means a person who provides direct care,
16 supervision, and guidance to children in a child care and
17 development facility.
18 (h) “Child care and development facility” means any residence
19 or building or part thereof in which child care and development
20 services are provided.
21 (i) “Child care and development programs” means those
22 programs that offer a full range of services for children from
23 infancy to 13 who are 10 years of age or younger, for children
24 with exceptional needs as defined in subdivision (l), for children
25 12 years of age or younger who are recipients of child protective
26 services or at risk of abuse, neglect, or exploitation as described
27 in subparagraph (D) of paragraph (1) of subdivision (a) of Section
28 8263 and as defined in subdivision (k), for children 12 years of
29 age or younger who are provided services during nontraditional
30 hours as defined in subdivision (al), for children 12 years of age
31 or younger who are homeless as described in subparagraph (C)
32 of paragraph (1) of subdivision (a) of Section 8263, and for
33 children who are 11 and 12 years of age, as funding permits,
34 pursuant to subdivision (h) of Section 8447, for any part of a day,
35 by a public or private agency, in centers and family child care
36 homes. These programs include, but are not limited to, all of the
37 following:
38 (1) General child care and development.
39 (2) Migrant child care and development.
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1 (3) Child care provided by the California School Age Families

2 Education Program (Article 7.1 (commencing with Section 54740)
3 of Chapter 9 of Part 29 of Division 4 of Title 2).
4 (4) California state preschool program.
5 (5) Resource and referral.
6 (6) Child care and development services for children with
7 exceptional needs.
8 (7) Family child care home education network.
9 (8) Alternative payment.
10 (9) Schoolage community child care.
11 (j) “Child care and development services” means those services
12 designed to meet a wide variety of needs of children and their
13 families, while their parents or guardians are working, in training,
14 seeking employment, incapacitated, or in need of respite. These
15 services may include direct care and supervision, instructional
16 activities, resource and referral programs, and alternative payment
17 arrangements.
18 (k) “Children at risk of abuse, neglect, or exploitation” means
19 children who are so identified in a written referral from a legal,
20 medical, or social service agency, or emergency shelter.
21 (l) “Children with exceptional needs” means either of the
22 following:
23 (1) Infants and toddlers under three years of age who have been
24 determined to be eligible for early intervention services pursuant
25 to the California Early Intervention Services Act (Title 14
26 (commencing with Section 95000) of the Government Code) and
27 its implementing regulations. These children include an infant or
28 toddler with a developmental delay or established risk condition,
29 or who is at high risk of having a substantial developmental
30 disability, as defined in subdivision (a) of Section 95014 of the
31 Government Code. These children shall have active individualized
32 family service plans, shall be receiving early intervention services,
33 and shall be children who require the special attention of adults in
34 a child care setting.
35 (2) Children ages 3 to 21 years, inclusive, who have been
36 determined to be eligible for special education and related services
37 by an individualized education program team according to the
38 special education requirements contained in Part 30 (commencing
39 with Section 56000) of Division 4 of Title 2, and who meet
40 eligibility criteria described in Section 56026 and Sections 56333
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AB 94 — 22 —
1 to 56338, inclusive, Article 2.5 (commencing with Section 56333)

2 of Chapter 4 of Part 30 of Division 4 of Title 2, and Sections 3030
3 and 3031 of Title 5 of the California Code of Regulations. These
4 children shall have an active individualized education program,
5 shall be receiving early intervention services or appropriate special
6 education and related services, and shall be children who require
7 the special attention of adults in a child care setting. These children
8 include children with mental retardation, hearing impairments
9 (including deafness), speech or language impairments, visual
10 impairments (including blindness), serious emotional disturbance
11 (also referred to as emotional disturbance), orthopedic impairments,
12 autism, traumatic brain injury, other health impairments, or specific
13 learning disabilities, who need special education and related
14 services consistent with Section 1401(3)(A) of Title 20 of the
15 United States Code.
16 (m) “Closedown costs” means reimbursements for all approved
17 activities associated with the closing of operations at the end of
18 each growing season for migrant child development programs
19 only.
20 (n) “Cost” includes, but is not limited to, expenditures that are
21 related to the operation of child care and development programs.
22 “Cost” may include a reasonable amount for state and local
23 contributions to employee benefits, including approved retirement
24 programs, agency administration, and any other reasonable program
25 operational costs. “Cost” may also include amounts for licensable
26 facilities in the community served by the program, including lease
27 payments or depreciation, downpayments, and payments of
28 principal and interest on loans incurred to acquire, rehabilitate, or
29 construct licensable facilities, but these costs shall not exceed fair
30 market rents existing in the community in which the facility is
31 located. “Reasonable and necessary costs” are costs that, in nature
32 and amount, do not exceed what an ordinary prudent person would
33 incur in the conduct of a competitive business.
34 (o) “Elementary school,” as contained in former Section 425 of
35 Title 20 of the United States Code (the National Defense Education
36 Act of 1958, Public Law 85-864, as amended), includes early
37 childhood education programs and all child development programs,
38 for the purpose of the cancellation provisions of loans to students
39 in institutions of higher learning.
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1 (p) “Family child care home education network” means an entity

2 organized under law that contracts with the department pursuant
3 to Section 8245 to make payments to licensed family child care
4 home providers and to provide educational and support services
5 to those providers and to children and families eligible for
6 state-subsidized child care and development services. A family
7 child care home education network may also be referred to as a
8 family child care home system.
9 (q) “Health services” include, but are not limited to, all of the
10 following:
11 (1) Referral, whenever possible, to appropriate health care
12 providers able to provide continuity of medical care.
13 (2) Health screening and health treatment, including a full range
14 of immunization recorded on the appropriate state immunization
15 form to the extent provided by the Medi-Cal Act (Chapter 7
16 (commencing with Section 14000) of Part 3 of Division 9 of the
17 Welfare and Institutions Code) and the Child Health and Disability
18 Prevention Program (Article 6 (commencing with Section 124025)
19 of Chapter 3 of Part 2 of Division 106 of the Health and Safety
20 Code), but only to the extent that ongoing care cannot be obtained
21 utilizing community resources.
22 (3) Health education and training for children, parents, staff,
23 and providers.
24 (4) Followup treatment through referral to appropriate health
25 care agencies or individual health care professionals.
26 (r) “Higher educational institutions” means the Regents of the
27 University of California, the Trustees of the California State
28 University, the Board of Governors of the California Community
29 Colleges, and the governing bodies of any accredited private
30 nonprofit institution of postsecondary education.
31 (s) “Intergenerational staff” means persons of various
32 generations.
33 (t) “Limited-English-speaking-proficient and
34 non-English-speaking-proficient children” means children who
35 are unable to benefit fully from an English-only child care and
36 development program as a result of either of the following:
37 (1) Having used a language other than English when they first
38 began to speak.
39 (2) Having a language other than English predominantly or
40 exclusively spoken at home.
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1 (u) “Parent” means a biological parent, stepparent, adoptive

2 parent, foster parent, caretaker relative, or any other adult living
3 with a child who has responsibility for the care and welfare of the
4 child.
5 (v) “Program director” means a person who, pursuant to Sections
6 8244 and 8360.1, is qualified to serve as a program director.
7 (w) “Proprietary child care agency” means an organization or
8 facility providing child care, which is operated for profit.
9 (x) “Resource and referral programs” means programs that
10 provide information to parents, including referrals and coordination
11 of community resources for parents and public or private providers
12 of care. Services frequently include, but are not limited to: technical
13 assistance for providers, toy-lending libraries, equipment-lending
14 libraries, toy- and equipment-lending libraries, staff development
15 programs, health and nutrition education, and referrals to social
16 services.
17 (y) “Severely disabled children” are children with exceptional
18 needs from birth to 21 years of age, inclusive, who require intensive
19 instruction and training in programs serving pupils with the
20 following profound disabilities: autism, blindness, deafness, severe
21 orthopedic impairments, serious emotional disturbances, or severe
22 mental retardation. “Severely disabled children” also include those
23 individuals who would have been eligible for enrollment in a
24 developmental center for handicapped pupils under Chapter 6
25 (commencing with Section 56800) of Part 30 of Division 4 of Title
26 2 as it read on January 1, 1980.
27 (z) “Short-term respite child care” means child care service to
28 assist families whose children have been identified through written
29 referral from a legal, medical, or social service agency, or
30 emergency shelter as being neglected, abused, exploited, or
31 homeless, or at risk of being neglected, abused, exploited, or
32 homeless. Child care is provided for less than 24 hours per day in
33 child care centers, treatment centers for abusive parents, family
34 child care homes, or in the child’s own home.
35 (aa) (1) “Site supervisor” means a person who, regardless of
36 his or her title, has operational program responsibility for a child
37 care and development program at a single site. A site supervisor
38 shall hold a permit issued by the Commission on Teacher
39 Credentialing that authorizes supervision of a child care and
40 development program operating in a single site. The Superintendent
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1 may waive the requirements of this subdivision if the

2 Superintendent determines that the existence of compelling need
3 is appropriately documented.
4 (2) For California state preschool programs, a site supervisor
5 may qualify under any of the provisions in this subdivision, or
6 may qualify by holding an administrative credential or an
7 administrative services credential. A person who meets the
8 qualifications of a site supervisor program director under both
9 Section Sections 8244 and subdivision (e) of Section 8360.1 is
10 also qualified under this subdivision.
11 (ab) “Standard reimbursement rate” means that rate established
12 by the Superintendent pursuant to Section 8265.
13 (ac) “Startup costs” means those expenses an agency incurs in
14 the process of opening a new or additional facility prior to the full
15 enrollment of children.
16 (ad) “California state preschool program” means part-day and
17 full-day educational programs for low-income or otherwise
18 disadvantaged three- and four-year-old children.
19 (ae) “Support services” means those services that, when
20 combined with child care and development services, help promote
21 the healthy physical, mental, social, and emotional growth of
22 children. Support services include, but are not limited to: protective
23 services, parent training, provider and staff training, transportation,
24 parent and child counseling, child development resource and
25 referral services, and child placement counseling.
26 (af) “Teacher” means a person with the appropriate permit issued
27 by the Commission on Teacher Credentialing who provides
28 program supervision and instruction that includes supervision of
29 a number of aides, volunteers, and groups of children.
30 (ag) “Underserved area” means a county or subcounty area,
31 including, but not limited to, school districts, census tracts, or ZIP
32 Code areas, where the ratio of publicly subsidized child care and
33 development program services to the need for these services is
34 low, as determined by the Superintendent.
35 (ah) “Workday” means the time that the parent requires
36 temporary care for a child for any of the following reasons:
37 (1) To undertake training in preparation for a job.
38 (2) To undertake or retain a job.
39 (3) To undertake other activities that are essential to maintaining
40 or improving the social and economic function of the family, are
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AB 94 — 26 —
1 beneficial to the community, or are required because of health

2 problems in the family.
3 (ai) “Three-year-old children” means children who will have
4 their third birthday on or before December 2 of the fiscal year in
5 which they are enrolled in a California state preschool program.
6 (aj) “Four-year-old children” means children who will have
7 their fourth birthday on or before December 2 of the fiscal year in
8 which they are enrolled in a California state preschool program.
9 (ak) “Local educational agency” means a school district, a
10 county office of education, a community college district, or a
11 school district on behalf of one or more schools within the school
12 district.
13 (al) “Nontraditional hours” means that the parent or legal
14 guardian has a certified need for child care that includes hours
15 during the period from 6:00 p.m. to 6:00 a.m. on any day of the
16 week or during any period between 6:00 a.m. Saturday to 6:00
17 a.m. Monday.
19 read:
20 8263.1. For (a) For purposes of this chapter, “income eligible”
21 means that a family’s adjusted monthly income is at or below 75
22 70 percent of the state median income, adjusted for family size,
23 and adjusted annually. The
24 (b) Notwithstanding any other law, for the 2011–12 fiscal year,
25 the income eligibility limits that were in effect for the 2007–08
26 fiscal year shall be reduced to 70 percent of the state median
27 income that was in use for the 2007–08 fiscal year, adjusted for
28 family size, effective July 1, 2011.
29 (c) The income of a recipient of federal supplemental security
30 income benefits pursuant to Title XVI of the Federal federal Social
31 Security Act (42 U.S.C. Sec. 1381 et seq.) and state supplemental
32 program benefits pursuant to Title XVI of the Federal federal
33 Social Security Act and Chapter 3 (commencing with Section
34 12000) of Part 3 of Division 9 of the Welfare and Institutions Code
35 shall not be included as income for the purposes of determining
36 eligibility for child care under this chapter.
37 SEC. 7. Section 8263.2 is added to the Education Code, to
38 read:
39 8263.2. (a) Notwithstanding any other provision of law,
40 effective July 1, 2011, the department shall reduce the maximum
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1 reimbursable amounts of the contracts for the Preschool Education

2 Program, the General Child Care Program, the Migrant Day Care
3 Program, the Alternative Payment Program, the CalWORKs Stage
4 3 Program, and the Allowance for Handicapped Program by 15
5 percent. The department may consider the contractor’s
6 performance or whether the contractor serves children in
7 underserved areas as defined in subdivision (ag) of Section 8208
8 when determining contract reductions, provided that the aggregate
9 reduction to each program specified in this subdivision is 15
10 percent.
11 (b) Notwithstanding any other provision of law, effective July
12 1, 2011, families shall be disenrolled from subsidized child care
13 services, consistent with the priorities for services specified in
14 subdivision (b) of Section 8263. Families shall be disenrolled in
15 the following order:
16 (1) Families whose income exceeds 70 percent of the state
17 median income (SMI) adjusted for family size, except for families
18 whose children are receiving child protective services or are at
19 risk of being neglected or abused.
20 (2) Families with the highest income below 70 percent of the
21 SMI, in relation to family size.
22 (3) Families that have the same income and have been enrolled
23 in child care services the longest.
24 (4) Families that have the same income and have a child with
25 exceptional needs.
26 (5) Families whose children are receiving child protective
27 services or are at risk of being neglected or abused, regardless of
28 family income.
30 read:
31 8263.4. (a) The preferred placement for children Beginning
32 on July 1, 2011, a child who are is 11 or 12 years of age and who
33 are is otherwise eligible for subsidized child care and development
34 services except for his or her age, as specified in subdivision (a)
35 of Section 8201 and subdivision (i) of Section 8208, shall be in
36 given first priority for enrollment, and in cases of programs
37 operating at full capacity, first priority on the waiting list for a
38 before or after school program established pursuant to Article 22.5
39 (commencing with Section 8482) or Article 22.6 (commencing with
40 Section 8484.7). Contractors shall provide each family of an
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AB 94 — 28 —
1 otherwise eligible 11 or 12 year old with information about the

2 availability of before and after school programs located in the
3 family’s community.
4 (b) Children who are 11 or 12 years of age shall be eligible for
5 subsidized child care services only for the portion of care needed
6 that is not available in a before or after school program provided
7 pursuant to Article 22.5 (commencing with Section 8482) of
8 Chapter 2 or Article 22.6 (commencing with Section 8484.7) of
9 Chapter 2. Contractors shall provide each family of an eligible 11
10 or 12 year old with the option of combining care provided in a
11 before or after school program with subsidized child care in another
12 setting, for those hours within a day when the before or after school
13 program does not operate, in order to meet the child care needs of
14 the family.
15 (c) Children who are 11 or 12 years of age, who are eligible for
16 and who are receiving subsidized child care services, and for whom
17 a before or after school program is not available, shall continue to
18 receive subsidized child care services.
19 (d) A before or after school program shall be considered not
20 available when a parent certifies in writing, on a form provided
21 by the State Department of Education that is translated into the
22 parent’s primary language pursuant to Sections 7295.4 and 7296.2
23 of the Government Code, the reason or reasons why the program
24 would not meet the child care needs of the family. The reasons
25 why a before or after school program shall be considered not
26 available shall include, but not be limited to, any of the following:
27 (1) The program does not provide services when needed during
28 the year, such as during the summer, school breaks, or intersession.
29 (2) The program does not provide services when needed during
30 the day, such as in the early morning, evening, or weekend hours.
31 (3) The program is too geographically distant from the child’s
32 school of attendance.
33 (4) The program is too geographically distant from the parent’s
34 residence.
35 (5) Use of the program would create substantial transportation
36 obstacles for the family.
37 (6) Any other reason that makes the use of before or after school
38 care inappropriate for the child or burdensome on the family.
39 (e) If an 11 or 12 year old child who is enrolled in a subsidized
40 child development program becomes ineligible for subsidized child
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1 care under subdivision (b) and is disenrolled from the before or

2 after school program, or if the before or after school program no
3 longer meets the child care needs of the family, the child shall be
4 given priority to return to the subsidized child care services upon
5 the parent’s notification of the contractor of the need for child care.
6 (f) This section does not apply to an 11 or 12 year old child with
7 a disability, including a child with exceptional needs who has an
8 individual education plan as required by the Individuals with
9 Disabilities Education Act (20 U.S.C. Sec. 1400), Section 504 of
10 the Rehabilitation Act of 1973 (29 U.S.C. Sec. 794), or Part 30
11 (commencing with Section 56000) of this code.
12 (g) The savings generated each contract year by the
13 implementation of the changes made to this section by the act
14 amending this section during the 2005 portion of the 2005-06
15 Regular Session shall remain with each alternative payment
16 program, child development center, or other contractor for the
17 provision of child care services, except for care provided by
18 programs pursuant to Article 15.5 (commencing with Section
19 8350). Each contractor shall report annually to the department the
20 amount of savings resulting from this implementation, and the
21 department shall report annually to the Legislature the amount of
22 savings statewide resulting from that implementation.
23 (b) A program with available capacity may enroll a child who
24 is 11 or 12 years of age pursuant to subdivision (a) and resides
25 outside the attendance area of the school, but within the territorial
26 jurisdiction of the same local educational agency. A program is
27 not responsible for providing transportation for children enrolled
28 in the program who resides outside the attendance area of the
29 school.
30 (c) This section does not apply to an 11 or 12 year old child
31 who is a recipient of child protective services or at risk of abuse,
32 neglect, or exploitation as described in subparagraph (D) of
33 paragraph (1) of subdivision (a) of Section 8263 and as defined
34 in subdivision (k) of Section 8208, a child 12 years of age or
35 younger who is provided services during nontraditional hours as
36 defined in subdivision (al) of Section 8208, children 12 years of
37 age or younger who are homeless as described in subparagraph
38 (C) of paragraph (1) of subdivision (a) of Section 8263, or an 11
39 or 12 year old child with a disability, including a child with
40 exceptional needs who has an individualized education program
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AB 94 — 30 —
1 as required by the federal Individuals with Disabilities Education

2 Act (20 U.S.C. Sec. 1400 et seq.), Section 504 of the federal
3 Rehabilitation Act of 1973 (29 U.S.C. Sec. 794), or Part 30
4 (commencing with Section 56000) of Division 4 of Title 2.
6 read:
7 8354. (a) The third stage of child care begins when a funded
8 space is available. CalWORKs recipients are eligible for the third
9 stage of child care. Persons who received a lump-sum diversion
10 payment or diversion services and former CalWORKs participants
11 are eligible if they have an income that does not exceed 75 70
12 percent of the state median income pursuant to Section 8263.1.
13 The third stage shall be administered by programs contracting with
14 the State Department of Education. Parents’ eligibility for child
15 care and development services will be governed by Section 8263
16 and regulations adopted by the State Department of Education.
17 (b) In order to move welfare recipients and former recipients
18 from their relationship with county welfare departments to
19 relationships with institutions providing services to working
20 families, it is the intent of the Legislature that families that are
21 former recipients of aid, or are transitioning off aid, receive their
22 child care assistance in the same fashion as other low-income
23 working families. Therefore, it is the intent of the Legislature that
24 families no longer rely on county welfare departments to obtain
25 child care subsidies beyond the time they are receiving other
26 services from the welfare department.
27 (c) A county welfare department shall not administer the third
28 stage of child care for CalWORKs recipients except to the extent
29 to which it delivered those services to families receiving, or within
30 one year of having received, Aid to Families with Dependent
31 Children prior to the enactment of this section.
32 (d) This article does not preclude county welfare departments
33 from operating an alternative payment program under contract
34 with the State Department of Education to serve families referred
35 by child protective services.
37 read:
38 8357. (a) The cost of child care services provided under this
39 article shall be governed by regional market rates. Recipients of
40 child care services provided pursuant to this article shall be allowed
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— 31 — AB 94
1 to choose the child care services of licensed child care providers

2 or child care providers who are, by law, not required to be licensed,
3 and the cost of that child care shall be reimbursed by counties or
4 agencies that contract with the State Department of Education if
5 the cost is within the regional market rate. For purposes of this
6 section, “regional market rate” means care costing no more than
7 1.5 market standard deviations above the mean cost of care for
8 that region. The regional market rate ceilings shall be established
9 at the 85th percentile of the 2005 regional market rate survey for
10 that region.
11 (b) Reimbursement to license-exempt child care providers shall
12 not exceed 80 60 percent of the family child care home rate
13 established pursuant to subdivision (a), effective July 1, 2011.
14 (c) Reimbursement to child care providers shall not exceed the
15 fee charged to private clients for the same service.
16 (d) Reimbursement shall not be made for child care services
17 when care is provided by parents, legal guardians, or members of
18 the assistance unit.
19 (e) A child care provider located on an Indian reservation or
20 rancheria and exempted from state licensing requirements shall
21 meet applicable tribal standards.
22 (f) For purposes of this section, “reimbursement” means a direct
23 payment to the provider of child care services, including
24 license-exempt providers. If care is provided in the home of the
25 recipient, payment may be made to the parent as the employer,
26 and the parent shall be informed of his or her concomitant legal
27 and financial reporting requirements. To allow time for the
28 development of the administrative systems necessary to issue direct
29 payments to providers, for a period not to exceed six months from
30 the effective date of this article, a county or an alternative payment
31 agency contracting with the State Department of Education may
32 reimburse the cost of child care services through a direct payment
33 to a recipient of aid rather than to the child care provider.
34 (g) Counties and alternative payment programs shall not be
35 bound by the rate limits described in subdivision (a) when there
36 are, in the region, no more than two child care providers of the
37 type needed by the recipient of child care services provided under
38 this article.
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AB 94 — 32 —
1 (h) Notwithstanding any other provision of law, reimbursements

2 to child care providers based upon a daily rate may only be
3 authorized under either of the following circumstances:
4 (1) A family has an unscheduled but documented need of six
5 hours or more per occurrence, such as the parent’s need to work
6 on a regularly scheduled day off, that exceeds the certified need
7 for child care.
8 (2) A family has a documented need of six hours or more per
9 day that exceeds no more than 14 days per month. In no event shall
10 reimbursements to a provider based on the daily rate over one
11 month’s time exceed the provider’s equivalent full-time monthly
12 rate or applicable monthly ceiling.
13 (3) This subdivision shall not limit providers from being
14 reimbursed for services using a weekly or monthly rate, pursuant
15 to subdivision (c) of Section 8222.
17 read:
18 8447. (a) The Legislature hereby finds and declares that greater
19 efficiencies may be achieved in the execution of state subsidized
20 child care and development program contracts with public and
21 private agencies by the timely approval of contract provisions by
22 the Department of Finance, the Department of General Services,
23 and the State Department of Education and by authorizing the State
24 Department of Education to establish a multiyear application,
25 contract expenditure, and service review as may be necessary to
26 provide timely service while preserving audit and oversight
27 functions to protect the public welfare.
28 (b) (1) The Department of Finance and the Department of
29 General Services shall approve or disapprove annual contract
30 funding terms and conditions, including both family fee schedules
31 and regional market rate schedules that are required to be adhered
32 to by contract, and contract face sheets submitted by the State
33 Department of Education not more than 30 working days from the
34 date of submission, unless unresolved conflicts remain between
35 the Department of Finance, the State Department of Education,
36 and the Department of General Services. The State Department of
37 Education shall resolve conflicts within an additional 30 working
38 day time period. Contracts and funding terms and conditions shall
39 be issued to child care contractors no later than June 1. Applications
40 for new child care funding shall be issued not more than 45
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1 working days after the effective date of authorized new allocations

2 of child care moneys.
3 (2) Notwithstanding paragraph (1), the State Department of
4 Education shall implement the regional market rate schedules
5 based upon the county aggregates, as determined by the Regional
6 Market survey conducted in 2005.
7 (3) Notwithstanding paragraph (1), for the 2006–07 fiscal year,
8 the State Department of Education shall update the family fee
9 schedules by family size, based on the 2005 state median income
10 survey data for a family of four. The family fee schedule used
11 during the 2005–06 fiscal year shall remain in effect. However,
12 the department shall adjust the family fee schedule for families
13 that are newly eligible to receive or will continue to receive services
14 under the new income eligibility limits. The family fees shall not
15 exceed 10 percent of the family’s monthly income.
16 (4) Notwithstanding any other law, the family fee schedule that
17 was in effect for the 2007–08, 2008–09, 2009–10, and 2010–11
18 fiscal years shall be adjusted to reflect the income eligibility limits
19 specified in subdivision (b) of Section 8263.1 for the 2011–12 fiscal
20 year, and shall retain a flat fee per family. The revised family fee
21 schedule shall begin at income levels at which families currently
22 begin paying fees, and shall reflect an increase of 10 percent to
23 existing fees. The revised family fees shall not exceed 10 percent
24 of the family’s monthly income. The State Department of Education
25 shall first submit the adjusted fee schedule to the Department of
26 Finance for approval in order to be implemented by July 1, 2011.
27 (4)
28 (5) It is the intent of the Legislature to fully fund the third stage
29 of child care for former CalWORKs recipients.
30 (c) With respect to subdivision (b), it is the intent of the
31 Legislature that the Department of Finance annually review
32 contract funding terms and conditions for the primary purpose of
33 ensuring consistency between child care contracts and the child
34 care budget. This review, shall include evaluating any proposed
35 changes to contract language or other fiscal documents to which
36 the contractor is required to adhere, including those changes to
37 terms or conditions that authorize higher reimbursement rates, that
38 modify related adjustment factors, that modify administrative or
39 other service allowances, or that diminish fee revenues otherwise
40 available for services, to determine if the change is necessary or
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AB 94 — 34 —
1 has the potential effect of reducing the number of full-time

2 equivalent children that may be served.
3 (d) Alternative payment child care systems, as set forth in Article
4 3 (commencing with Section 8220), shall be subject to the rates
5 established in the Regional Market Rate Survey of California Child
6 Care Providers for provider payments. The State Department of
7 Education shall contract to conduct and complete a Regional
8 Market Rate Survey no more frequently than once every two years,
9 consistent with federal regulations, with a goal of completion by
10 March 1.
11 (e) By March 1 of each year, the Department of Finance shall
12 provide to the State Department of Education the State Median
13 Income amount for a four-person household in California based
14 on the best available data. The State Department of Education shall
15 adjust its fee schedule for child care providers to reflect this
16 updated state median income; however, no changes based on
17 revisions to the state median income amount shall be implemented
18 midyear.
19 (f) Notwithstanding the June 1 date specified in subdivision (b),
20 changes to the regional market rate schedules and fee schedules
21 may be made at any other time to reflect the availability of accurate
22 data necessary for their completion, provided these documents
23 receive the approval of the Department of Finance. The Department
24 of Finance shall review the changes within 30 working days of
25 submission and the State Department of Education shall resolve
26 conflicts within an additional 30 working day period. Contractors
27 shall be given adequate notice prior to the effective date of the
28 approved schedules. It is the intent of the Legislature that contracts
29 for services not be delayed by the timing of the availability of
30 accurate data needed to update these schedules.
31 (g) Notwithstanding any other provision of law, no family
32 receiving CalWORKs cash aid may be charged a family fee.
33 (h) Notwithstanding any other law, effective July 1, 2011, the
34 State Department of Education shall amend CalWORKs Stage 2
35 and Stage 3, general child care, migrant child care, and alternative
36 payment contracts to reflect the lower priority for providing
37 subsidized child care and development services for 11 and 12 year
38 olds, except for 11 and 12 year olds who are eligible pursuant to
39 subparagraphs (C) and (D) of paragraph (1) of subdivision (a) of
40 Section 8263, children with exceptional needs as defined in
98
— 35 — AB 94
1 subdivision (l) of Section 8208, and children who are served during
2 nontraditional hours as defined in subdivision (al) of Section 8208.
3 The State Department of Education shall include language in all
4 contracts stating that funds are not to be expended providing
5 services to 11 and 12 year olds, with the exceptions noted above,
6 until such time as the department determines and notifies
7 contractors that funding for providing those services is available.
8 The State Department of Education shall submit a request and
9 receive prior approval from the Department of Finance before
10 expending funds to serve low priority 11 and 12 year olds.
12 read:
13 8499. For purposes of this chapter, the following definitions
14 shall apply:
15 (a) “Block grant” means the block grant contained in Title VI
16 of the Child Care and Development Fund, as established by the
17 Personal Responsibility and Work Opportunity Reconciliation Act
18 of 1996 (P.L. 104-193).
19 (b) “Child care” means all licensed child care and development
20 services and license-exempt child care, including, but not limited
21 to, private for-profit programs, nonprofit programs, and publicly
22 funded programs, for all children up to and including 12 years of
23 age, including children with exceptional needs and children from
24 all linguistic and cultural backgrounds, pursuant to subdivision
25 (a) of Section 8201 and subdivision (i) of Section 8208.
26 (c) “Child care provider” means a person who provides child
27 care services or represents persons who provide child care services.
28 (d) “Community representative” means a person who represents
29 an agency or business that provides private funding for child care
30 services, or who advocates for child care services through
31 participation in civic or community-based organizations but is not
32 a child care provider and does not represent an agency that
33 contracts with the State Department of Education to provide child
34 care and development services.
35 (e) “Consumer” means a parent or person who receives, or who
36 has received within the past 36 months, child care services.
37 (f) “Department” means the State Department of Education.
38 (g) “Local planning council” means a local child care and
39 development planning council as described in Section 8499.3.
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AB 94 — 36 —
1 (h) “Public agency representative” means a person who

2 represents a city, county, city and county, or local educational
3 agency.
4 SEC. 13. Section 14041.5 of the Education Code is amended
5 to read:
6 14041.5. (a) Notwithstanding subdivision (a) of Section 14041,
7 commencing with the 2002–03 fiscal year, warrants for the
8 principal apportionments for the month of June instead shall be
9 drawn in July of the same calendar year pursuant to the certification
10 made pursuant to Section 41335.
11 (b) Except as provided in subdivisions (c) and (d), for purposes
12 of making the computations required by Section 8 of Article XVI
13 of the California Constitution, the warrants drawn pursuant to
14 subdivision (a) shall be deemed to be “General Fund revenues
15 appropriated to school districts,” as defined in subdivision (c) of
16 Section 41202 for the fiscal year in which the warrants are drawn
17 and included within the “total allocations to school districts and
18 community college districts from General Fund proceeds of taxes
19 appropriated pursuant to Article XIIIB” as defined in subdivision
20 (e) of Section 41202, for the fiscal year in which the warrants are
21 drawn.
22 (c) For the 2003–04 school year, the amount of apportionments
23 for revenue limits computed pursuant to Section 42238 from any
24 of the apportionments made pursuant to Section 14041 that are
25 deemed “General Fund revenues appropriated for school districts,”
26 as defined in subdivision (c) of Section 41202 for the following
27 fiscal year and included within the “total allocations to school
28 districts and community college districts from General Fund
29 proceeds of taxes appropriated pursuant to Article XIII B” as
30 defined in subdivision (e) of Section 41202, for the 2004–05 fiscal
31 year shall be seven hundred twenty-six million two hundred
32 seventy thousand dollars ($726,270,000). Any amount in excess
33 of seven hundred twenty-six million two hundred seventy thousand
34 dollars ($726,270,000) that is apportioned in July of 2004 is
35 deemed “General Fund revenues appropriated for school districts,”
36 as defined in subdivision (c) of Section 41202 for the 2003–04
37 fiscal year and included within the “total allocations to school
38 districts and community college districts from General Fund
39 proceeds of taxes appropriated pursuant to Article XIII B” as
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1 defined in subdivision (e) of Section 41202, for the 2003–04 fiscal

2 year.
3 (d) For the 2004–05 school year to the 2007–08 school year,
4 inclusive, the amount of apportionments for revenue limits
5 computed pursuant to Section 42238 from any of the
6 apportionments made pursuant to Section 14041 that are deemed
7 “General Fund revenues appropriated for school districts,” as
8 defined in subdivision (c) of Section 41202 for the following fiscal
9 year and included within the “total allocations to school districts
10 and community college districts from General Fund proceeds of
11 taxes appropriated pursuant to Article XIII B” as defined in
12 subdivision (e) of Section 41202, for the following fiscal year shall
13 be seven hundred fifteen million one hundred eighteen thousand
14 dollars ($715,118,000). Any amount in excess of seven hundred
15 fifteen million one hundred eighteen thousand dollars
16 ($715,118,000) that is apportioned in July of any year is deemed
18 defined in subdivision (c) of Section 41202 for the prior fiscal year
19 and included within the “total allocations to school districts and
20 community college districts from General Fund proceeds of taxes
21 appropriated pursuant to Article XIIIB” as defined in subdivision
22 (e) of Section 41202, for the prior fiscal year.
23 (e) For the 2008–09 school year, and each school year thereafter,
24 the amount of apportionments for revenue limits computed pursuant
25 to Section 42238 from any of the apportionments made pursuant
26 to Section 14041 that are deemed “General Fund revenues
27 appropriated for school districts,” as defined in subdivision (c) of
28 Section 41202 for the following fiscal year and included within
29 the “total allocations to school districts and community college
30 districts from General Fund proceeds of taxes appropriated pursuant
31 to Article XIII B” as defined in subdivision (e) of Section 41202,
32 for the following fiscal year shall be one billion six one hundred
33 one million six hundred fifty-five thousand dollars
34 ($1,601,655,000) ($1,101,655,000). Any amount in excess of one
35 billion six one hundred one million six hundred fifty-five thousand
36 dollars ($1,601,655,000) ($1,101,655,000) that is apportioned in
37 July of any year is deemed “General Fund revenues appropriated
38 for school districts,” as defined in subdivision (c) of Section 41202
39 for the prior fiscal year and included within the “total allocations
40 to school districts and community college districts from General
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AB 94 — 38 —
1 Fund proceeds of taxes appropriated pursuant to Article XIII B”

2 as defined in subdivision (e) of Section 41202, for the prior fiscal
3 year.
5 to read:
6 14041.6. (a) Notwithstanding subdivision (a) of Section 14041,
7 or any other law, commencing with the 2008–09 fiscal year,
8 warrants for the principal apportionments for the month of February
9 in the amount of two billion dollars ($2,000,000,000) instead shall
10 be drawn in July of the same calendar year pursuant to the
11 certification made pursuant to Section 41339.
12 (b) Notwithstanding subdivision (a) of Section 14041 or any
13 other law, commencing with the 2009–10 fiscal year, warrants for
14 the principal apportionments for the month of April in the amount
15 of six hundred seventy-eight million six hundred eleven thousand
16 dollars ($678,611,000) and for the month of May in the amount
17 of one billion dollars ($1,000,000,000) instead shall be drawn in
18 August of the same calendar year pursuant to the certification made
19 pursuant to Section 41339.
20 (c) Notwithstanding subdivision (a) of Section 14041 or any
22 the principal apportionments for the month of April in the amount
23 of four hundred twenty nineteen million twenty thousand dollars
24 ($420,000,000) and ($419,020,000), for the month of May in the
25 amount of eight hundred million dollars ($800,000,000), and for
26 the month of June in the amount of five hundred million dollars
27 ($500,000,000), instead shall be drawn in July of the same calendar
28 year pursuant to the certification made pursuant to Section 41339.
29 (d) Notwithstanding subdivision (a) of Section 14041 or any
31 the principal apportionments for the month of March in the amount
32 of one billion three hundred million dollars ($1,300,000,000) and
33 for the month of April in the amount of seven hundred sixty-three
34 million seven hundred ninety-four thousand dollars ($763,794,000)
35 instead shall be drawn in August of the same calendar year
36 pursuant to the certification made pursuant to Section 41339.
37 (d)
38 (e) Except as provided in subdivisions (c) and (e) of Section
39 41202, for purposes of making the computations required by
40 Section 8 of Article XVI of the California Constitution, the
98
— 39 — AB 94
1 warrants drawn pursuant to subdivisions (a), (b), and (c), and (d)
2 shall be deemed to be “General Fund revenues appropriated to
3 school districts,” as defined in subdivision (c) of Section 41202,
4 for the fiscal year in which the warrants are drawn and included
5 within the “total allocations to school districts and community
6 college districts from General Fund proceeds of taxes appropriated
7 pursuant to Article XIIIB,” as defined in subdivision (e) of Section
8 41202, for the fiscal year in which the warrants are drawn.
10 read:
11 14041.65. (a) Notwithstanding subdivision (a) of Section
12 14041.6, for the 2010–11 fiscal year only, warrants for the
13 principal apportionments for the month of February in the amount
14 of twenty-four million seven hundred thousand dollars
15 ($24,700,000) instead shall be drawn in July of the same calendar
16 year pursuant to the certification made pursuant to Section 41339.
17 (b) Notwithstanding subdivision (a) of Section 14041.6, for the
18 2010–11 fiscal year only, warrants for the principal
19 apportionments for the month of February in the amount of one
20 billion four hundred five million five hundred thousand dollars
21 ($1,405,500,000) instead shall be drawn in August of the same
22 calendar year pursuant to the certification made pursuant to
23 Section 41339.
24 (c) Notwithstanding subdivision (a) of Section 14041.6, for the
26 apportionments for the month of February in the amount of five
27 hundred sixty-nine million eight hundred thousand dollars
28 ($569,800,000) instead shall be drawn in September of the same
29 calendar year pursuant to the certification made pursuant to
30 Section 41339.
31 (d) Notwithstanding subdivision (c) of Section 14041.6, for the
33 apportionments for the month of April in the amount of four
34 hundred nineteen million twenty thousand dollars ($419,020,000)
35 instead shall be drawn in September of the same calendar year
36 pursuant to the certification made pursuant to Section 41339.
37 (e) Notwithstanding subdivision (c) of Section 14041.6, for the
39 apportionments for the month of May in the amount of eight
40 hundred million dollars ($800,000,000) instead shall be drawn in
98
AB 94 — 40 —
1 September of the same calendar year pursuant to the certification

2 made pursuant to Section 41339.
4 to read:
5 17070.766. Notwithstanding paragraph (2) of subdivision (b)
6 of Section 17070.75, for the 2008–09, 2009–10, 2010–11, 2011–12,
7 and 2012–13, 2013–14, and 2014–15 fiscal years, the board shall
8 require a school district to deposit into the account established
9 pursuant to paragraph (1) of subdivision (b) of Section 17070.75
10 only an amount equal to 1 percent of the total expenditures by a
11 district from its general fund in the 2008–09, 2009–10, 2010–11,
12 2011–12, and 2012–13, 2013–14, and 2014–15 fiscal years
13 respectively, but if the school district maintains its facilities in
14 good repair, as defined in Section 17002, it shall be exempt from
15 this 1 percent requirement. A school district may elect to deposit
16 into the account an amount that is greater than the amount required
17 by the board pursuant to this section.
19 to read:
20 17463.7. (a) Notwithstanding any other law, a school district
21 may deposit the proceeds from the sale of surplus real property,
22 together with any personal property located on the property,
23 purchased entirely with local funds, into the general fund of the
24 school district and may use the proceeds for any one-time general
25 fund purpose. If the purchase of the property was made using the
26 proceeds of a local general obligation bond or revenue derived
27 from developer fees, the amount of the proceeds of the transaction
28 that may be deposited into the general fund of the school district
29 may not exceed the percentage computed by the difference between
30 the purchase price of the property and the proceeds from the
31 transaction, divided by the amount of the proceeds of the
32 transaction. For the purposes of this section, proceeds of the
33 transaction means either of the following, as appropriate:
34 (1) The amount realized from the sale of property after
35 reasonable expenses related to the sale.
36 (2) For a transaction that does not result in a lump-sum payment
37 of the proceeds of the transaction, the proceeds of the transaction
38 shall be calculated as the net present value of the future cashflow
39 generated by the transaction.
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— 41 — AB 94
1 (b) The State Allocation Board shall reduce an apportionment

2 of hardship assistance awarded to the particular school district
3 pursuant to Article 8 (commencing with Section 17075.10) by an
4 amount equal to the amount of the sale of surplus real property
5 used for a one-time expenditure of the school district pursuant to
6 this section.
7 (c) If the school district exercises the authority granted pursuant
8 to this section, the district is ineligible for hardship funding from
9 the State School Deferred Maintenance Fund under Section 17587
10 for five years after the date proceeds are deposited into the general
11 fund pursuant to this section.
12 (d) Before a school district exercises the authority granted
13 pursuant to this section, the governing board of the school district
14 shall first submit to the State Allocation Board documents
15 certifying the following:
16 (1) The school district has no major deferred maintenance
17 requirements not covered by existing capital outlay resources.
18 (2) The sale of real property pursuant to this section does not
19 violate the provisions of a local bond act.
20 (3) The real property is not suitable to meet projected school
21 construction needs for the next 10 years.
22 (e) Before the school district exercises the authority granted
23 pursuant to this section, the governing board of the school district
24 at a regularly scheduled meeting shall present a plan for expending
25 one-time resources pursuant to this section. The plan shall identify
26 the source and use of the funds and describe the reasons why the
27 expenditure will not result in ongoing fiscal obligations for the
28 school district.
29 (f) The Office of Public School Construction shall submit an
30 interim and a final report to the State Allocation Board and the
31 budget, education policy, and fiscal committees of the Legislature
32 that identifies the school districts that have exercised the authority
33 granted by this section, the amount of proceeds involved, and the
34 purpose for which those proceeds were used. The interim report
35 shall be submitted by January 1, 2011, and the final report by
36 January 1, 2012 2014.
37 (g) This section shall remain in effect only until January 1, 2012
38 2014, and as of that date is repealed, unless a later enacted statute,
39 that is enacted before January 1, 2012 2014, deletes or extends
40 that date.
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AB 94 — 42 —
1 SEC. 18. Section 17584.1 of the Education Code, as amended

2 by Section 6 of Chapter 12 of the Third Extraordinary Session of
3 the Statutes of 2009, is amended to read:
4 17584.1. (a) The governing board of a school district shall
5 discuss proposals and plans for expenditure of funds for the
6 deferred maintenance of school district facilities at a regularly
7 scheduled public hearing.
8 (b) The purposes of this section are to inform the public
9 regarding the local decisionmaking process relating to the deferred
10 maintenance of school facilities and to provide a foundation for
11 local accountability in that regard.
12 (c) This section shall become inoperative on July 1, 2013 2015,
14 statute, that becomes operative on or before January 1, 2014 2016,
15 deletes or extends the dates on which it becomes inoperative and
16 is repealed.
17 SEC. 19. Section 17584.1 of the Education Code, as added by
18 Section 7 of Chapter 12 of the Third Extraordinary Session of the
19 Statutes of 2009, is amended to read:
20 17584.1. (a) The governing board of a school district shall
21 discuss proposals and plans for expenditure of funds for the
22 deferred maintenance of school district facilities at a regularly
23 scheduled public hearing.
24 (b) In any fiscal year that the school district does not set aside
25 0.5 percent of its current-year revenue limit average daily
26 attendance for deferred maintenance, the governing board of a
27 school district shall submit a report to the Legislature by March 1
28 of that year, with copies to the Superintendent, the state board, the
29 Department of Finance, and the State Allocation Board.
30 (c) The report required pursuant to subdivision (b) shall include
31 all of the following:
32 (1) A schedule of the complete school facilities deferred
33 maintenance needs of the school district for the current fiscal year,
34 including a schedule of costs per schoolsite and total costs.
35 (2) A detailed description of the school district’s spending
36 priorities for the current fiscal year and an explanation of why
37 those priorities, or any other considerations, have prevented the
38 school district from setting aside sufficient local funds so as to
39 permit it to fully fund its deferred maintenance program and, if
98
— 43 — AB 94
1 eligible, to participate in the state deferred maintenance funding

2 program as set forth in Section 17584.
3 (3) An explanation of the manner in which the governing board
4 of a school district plans to meet its current-year facilities deferred
5 maintenance needs without setting aside the funds set forth in
6 Section 17584.
7 (d) Copies of the report shall be made available at each
8 schoolsite within the school district, and shall be provided to the
9 public upon request.
10 (e) The purposes of this section are to inform the public
11 regarding the local decisionmaking process relating to the deferred
12 maintenance of school facilities and to provide a foundation for
13 local accountability in that regard.
14 (f) This section shall become operative on July 1, 2013 2015.
16 read:
17 17587. (a) Notwithstanding the limitations of Section 17584,
18 the State Allocation Board may each year reserve an amount not
19 to exceed 10 percent of the funds transferred from any source to
20 the State School Deferred Maintenance Fund for apportionments
21 to school districts, in instances of extreme hardship. The
22 apportionment shall be in addition to the apportionments made
23 pursuant to Section 17584. Not less than one-half of all funds made
24 available by this section shall be apportioned to school districts
25 that had an average daily attendance, excluding summer session
26 attendance, of less than 2,501 during the prior fiscal year.
27 An extreme hardship shall exist in a school district if the State
28 Allocation Board determines the existence of all of the following:
29 (1) That the district has deposited in its deferred maintenance
30 fund an amount equal to at least 0.5 percent of the total general
31 funds and adult education funds budgeted by the district for the
32 fiscal year, exclusive of any amounts budgeted for capital outlay
33 or debt service.
34 (2) That the district has a critical project on its five-year plan
35 which, if not completed in one year, could result in serious damage
36 to the remainder of the facility or would result in a serious hazard
37 to the health and safety of the pupils attending the facility.
38 (3) That the total funds deposited by the district and the state
39 pursuant to Section 17584 are insufficient to complete the project.
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1 (b) If a determination is made that a hardship exists pursuant to

2 subdivision (a), the State Allocation Board may increase the
3 apportionment to a school district by the amount it determines
4 necessary to complete the critical project.
5 (c) Notwithstanding subdivision (a), in any fiscal year in which
6 the State Allocation Board has apportioned all funding from the
7 State School Deferred Maintenance Fund for which school districts
8 have qualified under Section 17584, the board may apportion any
9 amount remaining in that fund for the purposes of this section.
10 (d) This section shall become operative on July 1, 2013 2015.
12 to read:
13 17592.71. (a) There is hereby established in the State Treasury
14 the School Facilities Emergency Repair Account. The State
15 Allocation Board shall administer the account.
16 (b) (1) Commencing with the 2005–06 fiscal year, an amount
17 of moneys shall be transferred in the annual Budget Act from the
18 Proposition 98 Reversion Account to the School Facilities
19 Emergency Repair Account, equaling 50 percent of the
20 unappropriated balance of the Proposition 98 Reversion Account
21 or one hundred million dollars ($100,000,000), whichever amount
22 is greater. Moneys transferred pursuant to this subdivision shall
23 be used for the purpose of addressing emergency facilities needs
24 pursuant to Section 17592.72.
26 the amount of money to be transferred from the Proposition 98
27 Reversion Account to the School Facilities Emergency Repair
28 Account pursuant to paragraph (1) shall not exceed one hundred
29 one million dollars ($101,000,000).
33 Account pursuant to paragraph (1) shall be zero.
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3 (c) The Legislature may transfer to the School Facilities
4 Emergency Repair Account other one-time Proposition 98 funds,
5 except funds specified pursuant to Section 41207, as repealed and
6 added by Section 6 of Chapter 216 of the Statutes of 2004.
7 Donations by private entities shall be deposited in the account and,
8 for tax purposes, be treated as otherwise provided by law.
9 (d) Funds shall be transferred pursuant to this section until a
10 total of eight hundred million dollars ($800,000,000) has been
11 disbursed from the School Facilities Emergency Repair Account.
13 to read:
14 33128.3. (a) Notwithstanding the standards and criteria adopted
15 pursuant to paragraph (3) of subdivision (a) of Section 33128, for
16 the 2009–10, 2010–11, and 2011–12 fiscal year years, the
17 minimum state requirement for a reserve for economic uncertainties
18 is one-third of the percentage for a reserve adopted by the state
19 board pursuant to Section 33128 as of May 1, 2009.
20 (b) The school district shall make progress, in the 2010–11
21 2012–13 fiscal year, toward returning to compliance with the
22 standards and criteria adopted pursuant to paragraph (3) of
23 subdivision (a) of Section 33128.
24 (c) For the 2011–12 2013–14 fiscal year, the minimum state
25 requirement for a reserve for economic uncertainties shall be
26 restored to the percentage adopted by the state board pursuant to
27 Section 33128 as of May 1, 2009.
28 (d) This section shall become inoperative on July 1, 2012 2014,
32 is repealed.
34 to read:
35 41203.1. (a) For the 1990–91 fiscal year and each fiscal year
36 thereafter, allocations calculated pursuant to Section 41203 shall
37 be distributed in accordance with calculations provided in this
38 section. Notwithstanding Section 41203, and for the purposes of
39 this section, school districts, community college districts, and direct
40 elementary and secondary level instructional services provided by
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1 the State of California shall be regarded as separate segments of

2 public education, and each of these three segments of public
3 education shall be entitled to receive respective shares of the
4 amount calculated pursuant to Section 41203 as though the
5 calculation made pursuant to subdivision (b) of Section 8 of Article
6 XVI of the California Constitution were to be applied separately
7 to each segment and the base year for the purposes of this
8 calculation under paragraph (1) of subdivision (b) of Section 8 of
9 Article XVI of the California Constitution were based on the
10 1989–90 fiscal year. Calculations made pursuant to this subdivision
11 shall be made so that each segment of public education is entitled
12 to the greater of the amounts calculated for that segment pursuant
13 to paragraph (1) or (2) of subdivision (b) of Section 8 of Article
14 XVI of the California Constitution.
15 (b) If the single calculation made pursuant to Section 41203
16 yields a guaranteed amount of funding that is less than the sum of
17 the amounts calculated pursuant to subdivision (a), the amount
18 calculated pursuant to Section 41203 shall be prorated for the three
19 segments of public education.
20 (c) Notwithstanding any other law, this section does not apply
21 to the 1992–93 to 2010–11 2011–12 fiscal years, inclusive.
23 read:
24 41204.3. (a) Notwithstanding any other law, for the 2011–12
25 fiscal year, the Director of Finance shall adjust “the percentage
26 of General Fund revenues appropriated for school districts and
27 community college districts, respectively, in fiscal year 1986–87”
28 for purposes of making the calculations required under paragraph
29 (1) of subdivision (b) of Section 8 of Article XVI of the California
30 Constitution in a manner that ensures that the shift to school
31 districts and community college districts of local property tax
32 revenues pursuant to subdivision (a) of Section 34183 of the Health
33 and Safety Code has no net fiscal impact upon the combined
34 amount of General Fund proceeds of taxes and allocated local
35 proceeds of taxes that are otherwise required to be applied by the
36 state for the support of school districts and community college
37 districts pursuant to Section 8 of Article XVI of the California
38 Constitution.
39 (b) For purposes of Section 8 of Article XVI of the California
40 Constitution, the property tax revenues transferred to school
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1 districts, county offices of education, and community college

2 districts pursuant to subdivision (a) of Section 34183 of the Health
3 and Safety Code shall constitute “allocated local proceeds of
4 taxes.”
5 (c) For the 2012–13 fiscal year, and for each fiscal year
6 thereafter, the adjustments provided in this section shall not be
7 made.
9 to read:
10 42238.146. (a) (1) For the 2003–04 fiscal year, the revenue
11 limit for each school district determined pursuant to this article
12 shall be reduced by a 1.198 percent deficit factor.
13 (2) For the 2004–05 fiscal year, the revenue limit for each school
14 district determined pursuant to this article shall be reduced by a
15 0.323 percent deficit factor.
16 (3) For the 2003–04 and 2004–05 fiscal years, the revenue limit
17 for each school district determined pursuant to this article shall be
18 further reduced by a 1.826 percent deficit factor.
31 (8) For the 2011–12 fiscal year, the revenue limit for each
32 school district determined pursuant to this article shall be reduced
33 by a 19.608 percent deficit factor.
34 (b) In computing the revenue limit for each school district for
35 the 2006–07 fiscal year pursuant to this article, the revenue limit
36 shall be determined as if the revenue limit for that school district
37 had been determined for the 2003–04, 2004–05, and 2005–06 fiscal
38 years without being reduced by the deficit factors specified in
39 subdivision (a).
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1 (c) In computing the revenue limit for each school district for
4 had been determined for the 2009–10 fiscal year without being
6 (d) In computing the revenue limit for each school district for
11 (e) In computing the revenue limit for each school district for
17 read:
18 42605. (a) (1) Unless otherwise prohibited under federal law
19 or otherwise specified in subdivision (e), for the 2008–09 fiscal
20 year to the 2012–13 2014–15 fiscal year, inclusive, recipients of
21 funds from the items listed in paragraph (2) may use funding
22 received, pursuant to subdivision (b), from any of these items listed
23 in paragraph (2) that are contained in an annual Budget Act, for
24 any educational purpose.
25 (2) Items 6110-104-0001, 6110-105-0001, 6110-108-0001,
26 6110-122-0001, 6110-123-0001, 6110-124-0001, 6110-137-0001,
27 6110-144-0001, 6110-150-0001, 6110-151-0001, 6110-156-0001,
28 6110-181-0001, 6110-188-0001, 6110-189-0001, 6110-190-0001,
29 6110-193-0001, 6110-195-0001, 6110-198-0001, 6110-204-0001,
30 6110-208-0001, 6110-209-0001, 6110-211-0001, 6110-227-0001,
31 6110-228-0001, 6110-232-0001, 6110-240-0001, 6110-242-0001,
32 6110-243-0001, 6110-244-0001, 6110-245-0001, 6110-246-0001,
33 6110-247-0001, 6110-248-0001, 6110-260-0001, 6110-265-0001,
34 6110-266-0001, 6110-267-0001, 6110-268-0001, and
35 6360-101-0001 of Section 2.00.
36 (b) (1) For the 2009–10 fiscal year to the 2012–13 2014–15
37 fiscal year, inclusive, the Superintendent or other administering
38 state agency, as appropriate, shall apportion from the amounts
39 provided in the annual Budget Act for the items enumerated in
40 paragraph (2) of subdivision (a) an amount to recipients based on
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1 the same relative proportion that the recipient received in the

2 2008–09 fiscal year for the programs funded through the items
3 enumerated in paragraph (2) of subdivision (a).
4 (2) This section and Section 42 of Chapter 12 of the 2009–10
5 Third Extraordinary Session of the Statutes of 2009 do not authorize
6 a school district that receives funding on behalf of a charter school
7 pursuant to Sections 47634.1 and 47651 to redirect this funding
8 for another purpose unless otherwise authorized in law or pursuant
9 to an agreement between a charter school and its chartering
10 authority. Notwithstanding paragraph (1), for the 2008–09 fiscal
11 year to the 2012–13 2014–15 fiscal year, inclusive, a school district
12 that receives funding on behalf of a charter school pursuant to
13 Sections 47634.1 and 47651 shall continue to distribute the funds
14 to those charter schools based on the relative proportion that the
15 school district distributed in the 2007–08 fiscal year, and shall
16 adjust those amounts to reflect changes in charter school attendance
17 in the district. The amounts allocated shall be adjusted for any
18 greater or lesser amount appropriated for the items enumerated in
19 paragraph (2) of subdivision (a). For a charter school that began
20 operation in the 2008–09 fiscal year, if a school district received
21 funding on behalf of that charter school pursuant to Sections
22 47634.1 and 47651, the school district shall continue to distribute
23 the funds to that charter school based on the relative proportion
24 that the school district distributed in the 2008–09 fiscal year and
25 shall adjust the amount of those funds to reflect changes in charter
26 school attendance in the district. The amounts allocated shall be
27 adjusted for any greater or lesser amount appropriated for the items
28 enumerated in paragraph (2) of subdivision (a).
29 (3) Notwithstanding paragraph (1), for the 2008–09 fiscal year
30 to the 2012–13 2014–15 fiscal year, inclusive, the Superintendent
31 shall apportion from the amounts appropriated by Item
32 6110-211-0001 of Section 2.00 of the annual Budget Act an amount
33 to a charter school in accordance with the per-pupil methodology
34 prescribed in subdivision (c) of Section 47634.1.
35 (4) Notwithstanding paragraph (1), for the 2008–09 fiscal year
36 to the 2012–13 2014–15 fiscal year, inclusive, the Superintendent
37 shall apportion from the amounts provided in the annual Budget
38 Act an amount to a school district, charter school, and county office
39 of education based on the same relative proportion that the local
40 educational agency received in the 2007–08 fiscal year for the
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AB 94 — 50 —
1 programs funded through the following items contained in Section

2 2.00 of the annual Budget Act: 6110-104-0001, 6110-105-0001,
3 6110-156-0001, 6110-190-0001, Schedule (3) of 6110-193-0001,
4 6110-198-0001, 6110-232-0001, and Schedule (2) of
5 6110-240-0001.
6 (5) For purposes of paragraph (4), if a direct-funded charter
7 school began operation in the 2008–09 fiscal year, the amount that
8 the charter school was entitled to receive from the items
9 enumerated in paragraph (4) for the 2008–09 fiscal year, as certified
10 by the Superintendent in March 2009, is deemed to have been
11 received in the 2007–08 fiscal year.
12 (c) (1) This section does not obligate the state to refund or repay
13 reductions made pursuant to this section. A decision by a school
14 district to reduce funding pursuant to this section for a
15 state-mandated local program shall constitute a waiver of the
16 subvention of funds that the school district is otherwise entitled to
17 pursuant to Section 6 of Article XIII B of the California
18 Constitution on the amount so reduced.
19 (2) As a condition of receipt of funds, the governing board of
20 the school district or board of the county office of education, as
21 appropriate, at a regularly scheduled open public hearing shall take
22 testimony from the public, discuss, approve or disapprove the
23 proposed use of funding, and make explicit for each of the budget
24 items in paragraph (2) of subdivision (a) the purposes for which
25 the funds will be used.
26 (3) Using the Standardized Account Code Structure reporting
27 process, a local educational agency shall report expenditures of
28 funds pursuant to the authority of this section by using the
29 appropriate function codes to indicate the activities for which these
30 funds are expended. The department shall collect and provide this
31 information to the Department of Finance and the appropriate
32 policy and budget committees of the Legislature by April 15, 2010,
33 and annually thereafter on April 15 until, and including, April 15,
34 2014 2016.
35 (d) For the 2008–09 fiscal year to the 2012–13 2014–15 fiscal
36 year, inclusive, local educational agencies that use the flexibility
37 provision of this section shall be deemed to be in compliance with
38 the program and funding requirements contained in statutory,
39 regulatory, and provisional language, associated with the items
40 enumerated in subdivision (a).
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1 (e) Notwithstanding subdivision (d), the following requirements

2 shall continue to apply:
3 (1) For Items Item 6110-105-0001 and of Section 2.00 of the
4 annual Budget Act, the amount authorized for flexibility shall
5 exclude the funding provided to fund remedial educational services
6 pursuant to Provision 4. For Item 6110-156-0001 of Section 2.00
7 of the annual Budget Act, the amount authorized for flexibility
8 shall exclude the funding provided for instruction of
9 CalWORKs-eligible students pursuant to Schedules (2) and (3)
10 and Provisions 2 and 4.
11 (2) (A) Any instructional materials purchased by a local
12 educational agency shall be the materials adopted by the state
13 board for kindergarten and grades 1 to 8, inclusive, and for grades
14 9 to 12, inclusive, the materials purchased shall be aligned with
15 state standards as defined by Section 60605, and shall also meet
16 the reporting and sufficiency requirements contained in Section
17 60119.
18 (B) For purposes of this section, “sufficiency” means that each
19 pupil has sufficient textbooks and instructional materials in the
20 four core areas as defined by Section 60119 and that all pupils
21 within the local educational agency who are enrolled in the same
22 course shall have identical textbooks and instructional materials,
23 as specified in Section 1240.3.
24 (3) For Item 6110-195-0001 of Section 2.00 of the annual Budget
25 Act, the item shall exclude moneys that are required to fund awards
26 for teachers that have previously met the requirements necessary
27 to obtain these awards, until the award is paid in full.
29 Act, a county office of education shall conduct at least one site
30 visit to each of the required schoolsites pursuant to Section 1240
31 and shall fulfill all of the duties set forth in Sections 1240 and
32 44258.9.
34 Act, a school district or county office of education that operates
35 the child care component of the Cal-SAFE program shall comply
36 with paragraphs (5) and (6) of subdivision (c) of Section 54746.
37 (f) This section does not invalidate any state law pertaining to
38 teacher credentialing requirements or the functions that require
39 credentials.
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2 read:
3 42606. (a) A local educational agency, including a
4 direct-funded charter school, may apply for any state categorical
5 program funding included in the annual Budget Act on behalf of
6 a school that begins operation in the 2008–09 to the 2012–13
7 2014–15 fiscal years, inclusive, but only to the extent the school
8 or local educational agency is eligible for funding and meets the
9 provisions of the program that were in effect as of January 1, 2009,
10 except that charter schools shall not apply for any of the programs
11 contained in Section 47634.4.
12 (b) A local educational agency that establishes a new school by
13 redirecting enrollment from its existing schools to the new school
14 shall not be eligible to receive funding in addition to the amounts
15 allocated pursuant to Section 42605 for the categorical programs
16 specified in that section or for the class size reduction program
17 pursuant to Sections 52122 and 52124.
18 (c) The Superintendent shall report the number of new schools
19 and the programs that these schools are applying for, including an
20 estimate of the cost for that year. This information shall by reported
21 by November 11, 2009, and each fiscal year thereafter, to the
22 appropriate committees of the Legislature, the Legislative Analyst’s
23 Office, and the Department of Finance.
24 (d) Notwithstanding subdivision (a), for the 2010–11 and
25 2011–12 fiscal year years, the Superintendent shall allocate a
26 supplemental categorical block grant to a charter school that began
27 operation in the 2008–09, 2009–10, or 2010–11, or 2011–12 fiscal
28 year. The supplemental categorical block grant shall equal one
29 hundred twenty-seven dollars ($127) per unit of charter school
30 average daily attendance as determined at the 2010–11 second
31 principal apportionment for schools commencing operations in
32 the 2008–09, 2009–10, or 2010–11 fiscal year, and at the 2011–12
33 second principal apportionment for schools commencing
34 operations in the 2011–12 fiscal year. These supplemental
35 categorical block grant funds may be used for any educational
36 purpose. A locally funded charter school that converted from a
37 preexisting school between the 2008–09 and 2010–11 2011–12
38 fiscal years is not eligible for funding specified in this section. A
39 charter school that receives funding pursuant to this subdivision
40 shall not receive additional funding for programs specified in
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1 paragraph (2) of subdivision (a) of Section 42605, with the

2 exception of the program funded pursuant to Item 6110-211-0001
3 of Section 2.00 of the annual Budget Act.
4 SEC. 28. Section 45023.1 of the Education Code, as added by
5 Section 8 of Chapter 374 of the Statutes of 2009, is amended to
6 read:
7 45023.1. (a) Commencing with the 2000–01 fiscal year, the
8 county superintendent of schools or the county board of education
9 may increase, for teachers meeting the requirements prescribed
10 by this section, the salary on its adopted certificated employee
11 salary schedule as provided in subdivision (b). For purposes of
12 this section, a teacher for whom the county superintendent of
13 schools or county board of education may increase salaries shall
14 meet all of the following criteria:
15 (1) Hold a valid California teaching credential, not including
16 an emergency permit, intern certificate or credential, or waiver.
17 (2) Possess a baccalaureate or higher degree.
18 (3) Receive a salary paid through the general fund of the county
19 office.
20 (b) The county superintendent of schools or county board of
21 education that increases its salaries pursuant to subdivision (a)
22 shall perform the following computations:
23 (1) The county superintendent of schools or county board of
24 education shall designate as the lowest salary on the salary schedule
25 for a certificated employee meeting the criteria in subdivision (a)
26 an amount that is at least an annual salary of thirty-four thousand
27 dollars ($34,000) in the 2000–01 fiscal year.
29 education shall increase to the annual salary amount in paragraph
30 (1) the salary of any certificated employee meeting the criteria in
31 subdivision (a) whose salary on the salary schedule for the
32 1999–2000 fiscal year was less than the amount computed in
33 paragraph (1) and, notwithstanding Section 45028, shall incorporate
34 that increase into the salary schedule commencing with the
35 2000–01 fiscal year.
36 (c) Each county office of education that increases its beginning
37 teacher annual minimum salary to thirty-four thousand dollars
38 ($34,000) pursuant to subdivision (b) shall elect, except as provided
39 in subdivision (j), to receive reimbursement for the cost of the
40 increase pursuant to only one of the following two options:
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AB 94 — 54 —
1 (1) Option One:
2 (A) In fiscal year 2000–01, a county superintendent of schools
3 or county office of education that increases salaries pursuant to
4 paragraph (2) of subdivision (b) and selects reimbursement Option
5 One shall receive an amount equal to six dollars ($6) times the
6 county office’s second principal apportionment average daily
7 attendance for the 1999–2000 fiscal year, excluding attendance in
8 adult education programs and charter schools participating in the
9 charter school block grant pursuant to Article 2 (commencing with
10 Section 47633) of Chapter 6 of Part 26.8 of Division 4.
11 (B) Divide the amount received from the state pursuant to
12 subparagraph (A) for the 2000–01 fiscal year by the county office
13 of education’s second principal apportionment average daily
14 attendance for the 1999–2000 fiscal year, excluding attendance in
15 adult education programs and charter schools participating in the
18 (C) For the 2001–02 fiscal year and each fiscal year thereafter,
19 for each county office of education that increases its salaries
20 pursuant to subdivision (a), the Superintendent shall add the sum
21 of clauses (i) and (ii) to the county office of education revenue
22 limit computed pursuant to Section 2550:
23 (i) Annually increase the funding rate per unit of average daily
24 attendance specified in subparagraph (B) by the percentage increase
25 identified pursuant to Section 2557 and multiply the resulting
26 product by the county office of education’s second principal
27 apportionment average daily attendance for the current fiscal year
28 excluding attendance in regional occupational centers/programs,
29 adult education programs, and charter schools participating in the
32 (ii) Annually increase the funding rate per unit of average daily
33 attendance specified in subparagraph (B) by the percentage increase
34 identified pursuant to Section 2557 and multiply the resulting
35 product by the county office of education’s second principal
36 apportionment average daily attendance for the current fiscal year
37 in regional occupational centers/programs excluding attendance
38 in charter schools participating in the charter school block grant
39 pursuant to Article 2 (commencing with Section 47633) of Chapter
40 6 of Part 26.8 of Division 4.
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1 (D) The county superintendent of schools or county office of

2 education shall utilize these incentive funds not only to meet the
3 new beginning teacher annual minimum salary of thirty-four
4 thousand dollars ($34,000), but may also use the funds to generally
5 enhance teachers’ salaries in order to achieve the goals of retention
6 of qualified, competent, and experienced teachers and the
7 attainment of a reasonable salary commensurate with a teacher’s
8 experience, education, and responsibilities.
9 (2) Option Two: A county superintendent of schools or county
10 office of education may submit a request to the Superintendent,
11 on a form supplied by the Superintendent, for state funding
12 computed as follows:
13 (A) Total the salaries of all certificated employees receiving
14 increased salaries up to a maximum of thirty-four thousand dollars
15 ($34,000) per person pursuant to subdivision (b) for the 2000–01
16 fiscal year.
17 (B) Total all salaries, based on the salary schedule for the
18 2000–01 fiscal year before the increase made pursuant to
19 subdivision (b), of all certificated employees receiving increased
20 salaries pursuant to subdivision (b).
21 (C) Subtract the amount in subparagraph (B) from the amount
22 in subparagraph (A).
23 (D) Multiply the amount in subparagraph (C) by the district’s
24 statutory benefit rates.
25 (E) For the 2000–01 fiscal year, a county superintendent of
26 schools or county office of education that increases salaries
27 pursuant to paragraph (2) of subdivision (b) and selects
28 reimbursement Option Two shall receive the sum of subparagraphs
29 (C) and (D).
30 (F) Divide the sum of the amounts received pursuant to
31 subparagraphs (C) and (D) for the 2000–01 fiscal year by the
32 county office of education average daily attendance for the second
33 principal apportionment for the 2000–01 fiscal year, excluding
34 attendance in adult education programs and charter schools
35 participating in the charter school block grant pursuant to Article
36 2 (commencing with Section 47633) of Chapter 6 of Part 26.8 of
37 Division 4.
38 (G) For the 2001–02 fiscal year and each fiscal year thereafter,
39 for each county office of education that increases its salaries
40 pursuant to subdivision (a), the Superintendent shall add the sum
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AB 94 — 56 —
1 of clauses (i) and (ii) to the county office of education revenue

2 limit computed pursuant to Section 2550:
3 (i) Annually increase the funding rate per unit of average daily
4 attendance calculated pursuant to subparagraph (F) by the
5 percentage increase identified pursuant to Section 2557 and
6 multiply the resulting product by the county office of education’s
7 second principal apportionment average daily attendance for the
8 current fiscal year excluding attendance in regional occupational
9 centers/programs, adult education programs, and charter schools
12 Division 4.
13 (ii) Annually increase the funding rate per unit of average daily
14 attendance calculated pursuant to subparagraph (F) by the
15 percentage increase identified pursuant to Section 2557 and
16 multiply the resulting product by the county office of education’s
17 second principal apportionment average daily attendance for the
18 current fiscal year in regional occupational centers/programs
19 excluding attendance in charter schools participating in the charter
20 school block grant pursuant to Article 2 (commencing with Section
21 47633) of Chapter 6 of Part 26.8 of Division 4.
22 (3) For purposes of the calculation required by clause (ii) of
23 subparagraph (C) of paragraph (1) and clause (ii) of subparagraph
24 (G) of paragraph (2), in the 2008–09, 2009–10, 2010–11, 2011–12,
25 and 2012–13, 2013–14, and 2014–15 fiscal years, a county office
26 of education’s second principal apportionment average daily
27 attendance for the current fiscal year shall be the second principal
28 apportionment average daily attendance for the 2007–08 fiscal
29 year.
30 (d) State funds received pursuant to this section and not used
31 pursuant to the conditions of this section shall be returned to the
32 state.
33 (e) If the funds requested by the county superintendents of
34 schools and the county offices of education for the 2000–01 fiscal
35 year exceed the state appropriation for this section, the
36 Superintendent shall reduce all requests by the application of a
37 single, common percentage factor for apportionment purposes, so
38 as not to exceed the amount appropriated for this purpose.
39 (f) A county office of education shall receive reimbursement
40 pursuant to subdivision (c) only. However, this section does not
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1 prohibit a school district and its employees from negotiating salary

2 schedules.
3 (g) The adjustments to county office of education revenue limits
4 prescribed in subparagraph (C) of paragraph (1) of subdivision (c)
5 and subparagraph (G) of paragraph (2) of subdivision (c) shall
6 continue so long as the increase in the salary schedule made
7 pursuant to paragraph (2) of subdivision (b) or subdivision (i) is
8 maintained.
9 (h) The Superintendent shall issue appropriate forms to county
10 offices of education no later than September 1, 2000. County
11 superintendents of schools or county offices of education shall
12 notify the Superintendent no later than September 30, 2001,
13 regarding which option they wish to exercise for the 2000–01 fiscal
14 year. County superintendents of schools or county offices of
15 education shall file their claim form for state funds with the
16 Superintendent no later than September 30, 2001.
17 (i) Adjustments made to county office of education revenue
18 limits pursuant to subparagraph (C) of paragraph (1) of subdivision
19 (c) and subparagraph (G) of paragraph (2) of subdivision (c) shall
20 not be considered part of the base revenue limit for the purpose of
21 computing equalization adjustments or determining other
22 wealth-related differences in school funding.
23 (j) Notwithstanding subdivision (c), a county office of education
24 that already has as the annual minimum salary for beginning
25 teachers who meet the criteria in subdivision (a) an amount equal
26 to or greater than thirty-four thousand dollars ($34,000) shall be
27 eligible to receive reimbursement pursuant to Option One.
28 (k) This section shall become operative on July 1, 2010.
30 to read:
31 45023.4. (a) This section shall be known, and may be cited,
32 as the Jack O’Connell Beginning-Teacher Salary Incentive
33 Program. Commencing in the 1999–2000 fiscal year the county
34 superintendent of schools or the county board of education may
35 increase, for teachers who meet the requirements of this
36 subdivision, the salary on its adopted certificated employee salary
37 schedule as provided in subdivision (b). For purposes of this
38 section, a teacher for whom the county superintendent of schools
39 or county board of education may increase salaries shall meet all
40 of the following criteria:
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AB 94 — 58 —
1 (1) Hold a valid California teaching credential, not including

2 an emergency permit, intern permit, or waiver.
3 (2) Possess a baccalaureate or higher degree.
4 (3) Receive a salary paid from the general fund of the district
5 or county office.
6 (b) The county superintendent of schools or county board of
7 education that elects to increase teachers’ salaries as authorized
8 pursuant to subdivision (a) shall perform the following
9 computations:
11 education shall designate as the lowest salary on the salary schedule
12 for a certificated employee meeting or exceeding the criteria in
13 subdivision (a) an amount equal to a minimum annual salary of
14 thirty-two thousand dollars ($32,000). If this salary change results
15 in costs to the county office of education that are equal to or greater
16 than the incentive received pursuant to subdivision (c), the
17 minimum salary shall be thirty-two thousand dollars ($32,000). If
18 this salary change results in costs to the county offices of education
19 that are less than the incentive received, the remainder shall be
20 used to increase the beginning salary by an amount above
21 thirty-two thousand dollars ($32,000) which fully applies the
22 incentive received.
24 education shall increase to the annual salary amount in paragraph
25 (1) the salary of a certificated employee meeting the criteria in
26 subdivision (a) whose salary on the salary schedule is less than
27 the amount computed in paragraph (1) and, notwithstanding Section
28 45028, shall incorporate that increase into the salary schedule.
29 (3) The newly adopted salary schedule shall contain only one
30 cell that meets the amount set forth in paragraph (1), which most
31 often is the first-year step of a salary schedule column for
32 certificated personnel who meet the criteria set forth in subdivision
33 (a). All other salary schedule cells shall exceed the level set forth
34 in paragraph (1) for personnel that meet the criteria in subdivision
35 (a).
36 (c) In the 1999–2000 fiscal year, the Superintendent shall divide
37 the amount appropriated for the purposes of this section by the
38 1998–99 second principal apportionment average daily attendance
39 for all county offices of education in the state. Each county office
40 of education that certifies to the Superintendent that it is in full
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1 compliance with this section shall receive following that

2 certification an amount equal to the results of the calculation
3 multiplied by the participating county office’s 1998–99 second
4 principal apportionment average daily attendance.
5 (d) For the 2000–01 fiscal year and each fiscal year thereafter,
6 for each county office of education that meets the requirements of
7 subdivision (b), the Superintendent shall add the sum of paragraphs
8 (1) and (2) to the county office of education revenue limit
9 computed pursuant to Section 2550.
10 (1) Annually increase the statewide average funding rate per
11 unit of average daily attendance calculated pursuant to subdivision
12 (c) by the percentage increase identified pursuant to Section 2557
13 and multiply the resulting product by the county office of
14 education’s second period average daily attendance for the prior
15 fiscal year excluding attendance in regional occupational centers
16 or programs, adult education programs, and charter schools
19 Division 4.
20 (2) Annually increase the statewide average funding rate per
21 unit of average daily attendance calculated pursuant to subdivision
22 (c) by the percentage increase identified pursuant to Section 2557
23 and multiply the resulting product by the county office of
24 education’s second period average daily attendance for the prior
25 fiscal year in regional occupational centers or programs excluding
26 attendance in charter schools participating in the charter school
27 block grant pursuant to Article 2 (commencing with Section 47633)
28 of Chapter 6 of Part 26.8 of Division 4.
29 (3) For purposes of the calculation required by paragraph (2),
30 in the 2008–09, 2009–10, 2010–11, 2011–12, and 2012–13,
31 2013–14, and 2014–15 fiscal years, the second period average
32 daily attendance for the prior fiscal year shall be the second period
33 average daily attendance for the 2007–08 fiscal year.
34 (e) The adjustment to the county office of education revenue
35 limit prescribed in subdivision (d) shall continue so long as the
36 increase in the salary schedule made pursuant to paragraph (2) of
37 subdivision (b) is maintained.
38 (f) The adjustment made to county office of education revenue
39 limits pursuant to subdivision (d) shall not be considered part of
40 the base revenue limit for purposes of computing equalization
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1 adjustments or determining other differences in school funding

2 that are based on the amount of funding received by a school
3 district or county office of education.
4 (g) This section shall become operative on July 1, 2010.
6 to read:
7 46201.2. (a) Commencing with the 2009–10 school year and
8 continuing through the 2012–13 2014–15 school year, a school
9 district, county office of education, or charter school may reduce
10 the equivalent of up to five days of instruction or the equivalent
11 number of instructional minutes without incurring the penalties
12 set forth in Sections 41420, 46200, 46200.5, 46201, 46201.5,
13 46202, and 47612.5. A school district, county office of education,
14 or charter school shall receive revenue limit funding based on the
15 adjustments prescribed pursuant to Section 42238.146 whether or
16 not it reduces the number of schooldays or instructional minutes.
17 (b) This section shall become inoperative on July 1, 2013 2015,
21 is repealed.
23 to read:
24 52124.3. (a) For the 2008–09, 2009–10, 2010–11, and
25 2011–12, 2012–13, and 2013–14 fiscal years only, the amounts
26 deducted pursuant to subdivision (d) of Section 52124 shall be as
27 follows:
28 (1) Five percent of the amount to which the school district would
29 otherwise be eligible for each class for which the annual average
30 enrollment determined pursuant to Section 52124.5 is greater than
31 or equal to 20.5 but less than 21.5.
32 (2) Ten percent of the amount to which the school district would
33 otherwise be eligible for each class for which the annual average
34 enrollment determined pursuant to Section 52124.5 is greater than
35 or equal to 21.5 but less than 22.5.
36 (3) Fifteen percent of the amount to which the school district
37 would otherwise be eligible for each class for which the annual
38 average enrollment determined pursuant to Section 52124.5 is
39 greater than or equal to 22.5 but less than 23.0.
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1 (4) Twenty percent of the amount to which the school district

4 greater than or equal to 23.0 but less than 25.0.
5 (5) Thirty percent of the amount to which the school district
8 greater than or equal to 25.0.
9 (b) For the 2008–09, 2009–10, 2010–11, and 2011–12, 2012–13,
10 and 2013–14 fiscal years, a local educational agency is eligible to
11 receive funding pursuant to this chapter only for the same number
12 of classes for which it had applied to receive program funding as
13 of January 31, 2009. A local educational agency that meets these
14 criteria is eligible for reduced funding under this section only for
15 the number of classes reported on its 2008–09 operations
16 application and is not eligible for funds under this chapter for
17 classes in addition to that number.
19 to read:
20 60200.7. Notwithstanding Sections 60200 and 60200.1, the
21 state board shall not adopt instructional materials or follow the
22 procedures adopted pursuant to Sections 60200 and 60200.1 until
23 the 2013–14 2015–16 school year.
24 SEC. 33. Section 60422.1 of the Education Code, as amended
25 by Section 29 of Chapter 2 of the Fourth Extraordinary Session
26 of the Statutes of 2009, is amended and renumbered to read:
27 60422.1.
28 60422.3. (a) Notwithstanding subdivision (i) of Section 60200,
29 Section 60422, or any other provision of law, for the 2008–09 to
30 the 2012–13 2014–15 fiscal years, inclusive, the governing board
31 of a school district is not required to provide pupils with
32 instructional materials by a specified period of time following
33 adoption of those materials by the state board.
34 (b) Notwithstanding subdivision (a), this section does not relieve
35 school districts of their obligations to provide every pupil with
36 textbooks or instructional materials, as provided in Section 1240.3.
37 (c) This section does not relieve school districts of the obligation
38 to hold a public hearing or hearings pursuant to subparagraphs (A)
39 and (B) of paragraph (1) of subdivision (a) of Section 60119.
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1 (d) This section shall become inoperative on July 1, 2013 2015,

5 is repealed.
7 to read:
8 69432.7. As used in this chapter, the following terms have the
9 following meanings:
10 (a) An “academic year” is July 1 to June 30, inclusive. The
11 starting date of a session shall determine the academic year in
12 which it is included.
13 (b) “Access costs” means living expenses and expenses for
14 transportation, supplies, and books.
15 (c) “Award year” means one academic year, or the equivalent,
16 of attendance at a qualifying institution.
17 (d) “College grade point average” and “community college
18 grade point average” mean a grade point average calculated on the
19 basis of all college work completed, except for nontransferable
20 units and courses not counted in the computation for admission to
21 a California public institution of higher education that grants a
22 baccalaureate degree.
23 (e) “Commission” means the Student Aid Commission.
24 (f) “Enrollment status” means part- or full-time status.
25 (1) “Part time,” for purposes of Cal Grant eligibility, means 6
26 to 11 semester units, inclusive, or the equivalent.
27 (2) “Full time,” for purposes of Cal Grant eligibility, means 12
28 or more semester units or the equivalent.
29 (g) “Expected family contribution,” with respect to an applicant,
30 shall be determined using the federal methodology pursuant to
31 subdivision (a) of Section 69506 (as established by Title IV of the
32 federal Higher Education Act of 1965, as amended (20 U.S.C. Sec.
33 1070 et seq.)) and applicable rules and regulations adopted by the
34 commission.
35 (h) “High school grade point average” means a grade point
36 average calculated on a 4.0 scale, using all academic coursework,
37 for the sophomore year, the summer following the sophomore
38 year, the junior year, and the summer following the junior year,
39 excluding physical education, reserve officer training corps
40 (ROTC), and remedial courses, and computed pursuant to
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1 regulations of the commission. However, for high school graduates

2 who apply after their senior year, “high school grade point average”
3 includes senior year coursework.
4 (i) “Instructional program of not less than one academic year”
5 means a program of study that results in the award of an associate
6 or baccalaureate degree or certificate requiring at least 24 semester
7 units or the equivalent, or that results in eligibility for transfer from
8 a community college to a baccalaureate degree program.
9 (j) “Instructional program of not less than two academic years”
10 means a program of study that results in the award of an associate
11 or baccalaureate degree requiring at least 48 semester units or the
12 equivalent, or that results in eligibility for transfer from a
13 community college to a baccalaureate degree program.
14 (k) “Maximum household income and asset levels” means the
15 applicable household income and household asset levels for
16 participants, including new applicants and renewing recipients,
17 in the Cal Grant Program, as defined and adopted in regulations
18 by the commission for the 2001–02 academic year, which shall be
19 set pursuant to the following income and asset ceiling amounts:
20
21 CAL GRANT PROGRAM INCOME CEILINGS
22
23 Cal Grant A,
24 C, and T Cal Grant B
25 Dependent and Independent students with dependents*
26 Family Size
27 Six or more $74,100 $40,700
28 Five $68,700 $37,700
29 Four $64,100 $33,700
30 Three $59,000 $30,300
31 Two $57,600 $26,900
32
33 Independent
34 Single, no dependents $23,500 $23,500
35 Married $26,900 $26,900
36
37 *Applies to independent students with dependents other than a
38 spouse.
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1 CAL GRANT PROGRAM ASSET CEILINGS

2
3 Cal Grant A,
4 C, and T Cal Grant B
5
6 Dependent** $49,600 $49,600
7 Independent $23,600 $23,600
8
9 **Applies to independent students with dependents other than a
10 spouse.
11
12 The commission shall annually adjust the maximum household
13 income and asset levels based on the percentage change in the cost
14 of living within the meaning of paragraph (1) of subdivision (e)
15 of Section 8 of Article XIII B of the California Constitution. The
16 maximum household income and asset levels applicable to a
17 renewing recipient shall be the greater of the adjusted maximum
18 household income and asset levels or the maximum household
19 income and asset levels at the time of the renewing recipient’s
20 initial Cal Grant award. For a recipient who was initially awarded
21 a Cal Grant for an academic year before the 2011–12 academic
22 year, the maximum household income and asset levels shall be the
23 greater of the adjusted maximum household income and asset
24 levels or the 2010–11 academic year maximum household income
25 and asset levels. An applicant or renewal recipient who qualifies
26 to be considered under the simplified needs test established by
27 federal law for student assistance shall be presumed to meet the
28 asset level test under this section. Prior to disbursing any Cal Grant
29 funds, a qualifying institution shall be obligated, under the terms
30 of its institutional participation agreement with the commission,
31 to resolve any conflicts that may exist in the data the institution
32 possesses relating to that individual.
33 (l) (1) “Qualifying institution” means an institution that
34 complies with paragraph (2) paragraphs (2) and (3) and is any of
35 the following:
36 (A) A California private or independent postsecondary
37 educational institution that participates in the Pell Grant Program
38 and in at least two of the following federal campus-based student
39 aid programs:
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1 (i) Federal Work-Study.
2 (ii) Perkins Loan Program.
3 (iii) Supplemental Educational Opportunity Grant Program.
4 (B) A nonprofit institution headquartered and operating in
5 California that certifies to the commission that 10 percent of the
6 institution’s operating budget, as demonstrated in an audited
7 financial statement, is expended for the purposes of institutionally
8 funded student financial aid in the form of grants, that demonstrates
9 to the commission that it has the administrative capacity to
10 administer the funds, that is accredited by the Western Association
11 of Schools and Colleges, and that meets any other state-required
12 criteria adopted by regulation by the commission in consultation
13 with the Department of Finance. A regionally accredited institution
14 that was deemed qualified by the commission to participate in the
15 Cal Grant Program for the 2000–01 academic year shall retain its
16 eligibility as long as it maintains its existing accreditation status.
17 (C) A California public postsecondary educational institution.
18 (2) (A) The institution shall provide information on where to
19 access California license examination passage rates for the most
20 recent available year from graduates of its undergraduate programs
21 leading to employment for which passage of a California licensing
22 examination is required, if that data is electronically available
23 through the Internet Web site of a California licensing or regulatory
24 agency. For purposes of this paragraph, “provide” may exclusively
25 include placement of an Internet Web site address labeled as an
26 access point for the data on the passage rates of recent program
27 graduates on the Internet Web site where enrollment information
28 is also located, on an Internet Web site that provides centralized
29 admissions information for postsecondary educational systems
30 with multiple campuses, or on applications for enrollment or other
31 program information distributed to prospective students.
32 (B) The institution shall be responsible for certifying to the
33 commission compliance with the requirements of subparagraph
34 (A).
35 (3) (A) The commission shall certify by October 1 of each year
36 the institution’s latest three-year cohort default rate as most
37 recently reported by the United States Department of Education.
38 (B) For purposes of the 2011–12 academic year, an otherwise
39 qualifying institution with a 2008 trial three-year cohort default
40 rate reported by the United States Department of Education as of
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AB 94 — 66 —
1 February 28, 2011, that is equal to or greater than 24.6 percent

2 shall be ineligible for initial and renewal Cal Grant awards at the
3 institution, except as provided in subparagraph (F).
4 (C) For purposes of the 2012–13 academic year, and every
5 academic year thereafter, an otherwise qualifying institution with
6 a three-year cohort default rate that is equal to or greater than 30
7 percent, as certified by the commission on October 1, 2011, and
8 every year thereafter, shall be ineligible for initial or renewal Cal
9 Grant awards at the institution, except as provided in
10 subparagraph (F).
11 (D) (i) An otherwise qualifying institution that becomes
12 ineligible under this paragraph for initial and renewal Cal Grant
13 awards may regain its eligibility for the academic year following
14 an academic year in which it satisfies the requirements established
15 in subparagraph (B) or (C), as applicable.
16 (ii) If the United States Department of Education corrects or
17 revises an institution’s three-year cohort default rate that originally
18 failed to satisfy the requirements established in subparagraph (B)
19 or (C), as applicable, and the correction or revision results in the
20 institution’s three-year cohort default rate satisfying those
21 requirements, that institution shall immediately regain its eligibility
22 for the academic year to which the corrected or revised three-year
23 cohort default rate would have been applied.
24 (E) An otherwise qualifying institution for which no three-year
25 cohort default rate has been reported by the United States
26 Department of Education shall be provisionally eligible to
27 participate in the Cal Grant Program until a three-year cohort
28 default rate has been reported for the institution by the United
29 States Department of Education.
30 (F) An institution that is ineligible for initial and renewal Cal
31 Grant awards at the institution under subparagraph (B) or (C)
32 shall be eligible for renewal Cal Grant awards for recipients who
33 were enrolled in the ineligible institution during the academic year
34 before the academic year for which the institution is ineligible and
35 who choose to renew their Cal Grant awards to attend the
36 ineligible institution. Cal Grant awards subject to this
37 subparagraph shall be reduced as follows:
38 (i) The maximum Cal Grant A and B awards specified in the
39 annual Budget Act shall be reduced by 20 percent.
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1 (ii) The reductions specified in this subparagraph shall not

2 impact access costs as specified in subdivision (b) of Section 69435.
3 (G) Notwithstanding any other law, the requirements of this
4 paragraph shall not apply to institutions with 40 percent or less
5 of undergraduate students borrowing federal student loans, using
6 information reported to the United States Department of Education
7 for the academic year two years prior to the year in which the
8 commission is certifying the three-year cohort default rate pursuant
9 to subparagraph (A).
10 (H) By January 1, 2013, the Legislative Analyst shall submit to
11 the Legislature a report on the implementation of this paragraph.
12 The report shall be prepared in consultation with the commission,
13 and shall include policy recommendations for appropriate
14 measures of default risk and other direct or indirect measures of
15 quality or effectiveness in educational institutions participating
16 in the Cal Grant Program, and appropriate scores for those
17 measures. It is the intent of the Legislature that appropriate policy
18 and fiscal committees review the requirements of this paragraph
19 and consider changes thereto.
20 (m) “Satisfactory academic progress” means those criteria
21 required by applicable federal standards published in Title 34 of
22 the Code of Federal Regulations. The commission may adopt
23 regulations defining “satisfactory academic progress” in a manner
24 that is consistent with those federal standards.
26 to read:
27 69432.9. (a) A Cal Grant applicant shall submit a complete
28 official financial aid application pursuant to Section 69433 and
29 applicable regulations adopted by the commission.
30 (b) Financial need shall be determined to establish an
31 applicant’s initial eligibility for a Cal Grant award and a renewing
32 recipient’s continued eligibility using the federal financial need
33 methodology pursuant to subdivision (a) of Section 69506 and
34 applicable regulations adopted by the commission, and as
35 established by Title IV of the federal Higher Education Act of
36 1965, as amended (20 U.S.C. Secs. 1070 et seq.).
37 (1) “Expected family contribution,” with respect to an applicant
38 or renewing recipient shall be determined using the federal
39 methodology pursuant to subdivision (a) of Section 69506 (as
40 established by Title IV of the federal Higher Education Act of
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AB 94 — 68 —
1 1965, as amended (20 U.S.C. Secs. 1070 et seq.)) and applicable

2 rules and regulations adopted by the commission.
3 (2) “Financial need” means the difference between the student’s
4 cost of attendance as determined by the commission and the
5 expected family contribution. The calculation of financial need
6 shall be consistent with Title IV of the federal Higher Education
7 Act of 1965, as amended (20 U.S.C. Secs. 1070 et seq.).
8 (3) (A) The minimum financial need required for receipt of an
9 initial and renewal Cal Grant A or Cal Grant C award shall be no
10 less than the maximum annual award value for the applicable
11 institution, plus an additional one thousand five hundred dollars
12 ($1,500) of financial need.
13 (B) The minimum financial need required for receipt of an initial
14 and renewal Cal Grant B award shall be no less than seven hundred
15 dollars ($700).
16 (c) The commission shall require that a grade point average be
17 submitted for all Cal Grant A and B applicants, except for those
18 permitted to provide test scores in lieu of a grade point average.
19 The commission shall require that each report of a grade point
20 average include a certification, executed under penalty of perjury,
21 by a school official, that the grade point average reported is
22 accurately reported. The certification shall include a statement that
23 it is subject to review by the commission or its designee. The
24 commission shall adopt regulations that establish a grace period
25 for receipt of the grade point average and any appropriate
26 corrections, and that set forth the circumstances under which a
27 student may submit a specified test score designated by the
28 commission, by regulation, in lieu of submitting a qualifying grade
29 point average. It is the intent of the Legislature that high schools
30 and institutions of higher education certify the grade point averages
31 of their students in time to meet the application deadlines imposed
32 by this chapter.
34 read:
35 69433.2. As a condition for its voluntary participation in the
36 Cal Grant Program, each Cal Grant participating institution shall,
37 beginning in 2012, annually report to the commission, and as
38 further specified in the institutional participation agreement, both
39 of the following for its undergraduate programs:
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1 (a) Enrollment, persistence, and graduation data for all students,

2 including aggregate information on Cal Grant recipients.
3 (b) The job placement rate and salary and wage information
4 for each program that is either (1) designed or advertised to lead
5 to a particular type of job; or (2) advertised or promoted with any
6 claim regarding job placement.
8 to read:
9 69433.6. (a) Cal Grant A awards and Cal Grant B awards may
10 be renewed for a total of the equivalent of four years of full-time
11 attendance in an undergraduate program provided that minimum
12 financial need as defined in paragraph (3) of subdivision (b) of
13 Section 69432.9 continues to exist. Commencing with the 2001–02
14 academic year, the total number of years of eligibility for grants
15 pursuant to this section shall be based on the student’s educational
16 level in his or her course of study as designated by the institution
17 of attendance when the recipient initially receives payment for a
18 grant.
19 (b) For a student enrolled in an institutionally prescribed
20 five-year undergraduate program, Cal Grant A awards and Cal
21 Grant B awards may be renewed for a total of five years of full-time
22 attendance, provided that minimum financial need, as defined in
23 paragraph (3) of subdivision (b) of Section 69432.9, continues to
24 exist.
25 (c) (1) A Cal Grant Program award recipient who has completed
26 a baccalaureate degree, and who has been admitted to and is
27 enrolled in a program of professional teacher preparation at an
28 institution approved by the California Commission on Teacher
29 Credentialing is eligible for, but not entitled to, renewal of a Cal
30 Grant Program award for an additional year of full-time attendance,
31 if minimum financial need, as defined in paragraph (3) of
32 subdivision (b) of Section 69432.9, continues to exist.
33 (2) Payment for an additional year is limited to only those
34 courses required for an initial teaching authorization. An award
35 made under this subdivision may not be used for other courses.
36 (d) A student’s Cal Grant renewal eligibility shall not have
37 lapsed more than 15 months prior to the payment of an award for
38 purposes of this section.
40 read:
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AB 94 — 70 —
1 76243. (a) A community college or community college district

2 is not authorized to permit access to student records to any person
3 without the written consent of the student or under unless pursuant
4 to judicial order, except that access may be permitted to the
5 following:
6 (1) Officials and employees of the community college, if that
7 person has they have a legitimate educational interest to inspect a
8 record.
9 (2) Authorized representatives of the Comptroller General of
10 the United States, the Secretary of Health, Education, and Welfare,
11 an administrative head of an education agency, state education
12 officials, or their respective designees or the United States Office
13 of Civil Rights, where that information is necessary to audit or
14 evaluate a state or federally supported education program or
15 pursuant to a federal or state law, except that when the collection
16 of personally identifiable information is specifically authorized
17 by federal law, any data collected by those officials shall be
18 protected in a manner that will not permit the personal
19 identification of students or their parents by other than those
20 officials, and any personally identifiable data shall be destroyed
21 when no longer needed for that audit, evaluation, and enforcement
22 of federal legal requirements.
23 (3) Other state and local officials or authorities to the extent
24 that information is specifically required to be reported pursuant to
25 state law adopted prior to November 19, 1974.
26 (4) Officials of other public or private schools or school systems,
27 including local, county, or state correctional facilities where
28 educational programs are provided, where the student seeks or
29 intends to enroll, or is directed to enroll, subject to the rights of
30 students as provided in Section 76225.
31 (5) Agencies or organizations in connection with a student’s
32 application for, or receipt of, financial aid, provided that
33 information permitting the personal identification of students may
34 be disclosed only as may be necessary for those purposes as to
35 determine the eligibility of the student for financial aid, to
36 determine the amount of the financial aid, to determine the
37 conditions that will be imposed regarding the financial aid, or to
38 enforce the terms or conditions of the financial aid.
39 (6) Accrediting organizations in order to carry out their
40 accrediting functions.
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1 (7) Organizations conducting studies for, or on behalf of,

2 educational agencies or institutions for the purpose of developing,
3 validating, or administering predictive tests, administering student
4 aid programs, and improving instruction, if those studies are
5 conducted in such a manner as will not permit the personal
6 identification of students or their parents by persons other than
7 representatives of those organizations and the information will be
8 destroyed when no longer needed for the purpose for which it is
9 conducted.
10 (8) (A) Appropriate persons in connection with an emergency
11 if the knowledge of that information is necessary to protect the
12 health or safety of a student or other persons, or subject to any
13 regulations issued by the Secretary of Health, Education, and
14 Welfare.
15 No
16 (B) A person, persons, agency, or organization permitted access
17 to student records pursuant to this section shall not permit access
18 to any information obtained from those records by any other
19 person, persons, agency, or organization, except to the extent
20 permitted under the federal Family Educational Rights and Privacy
21 Act (20 U.S.C. Sec. 1232g) and state law, without the written
22 consent of the student, provided that this paragraph subparagraph
23 shall not require prior student consent when information obtained
24 pursuant to this section is shared with other persons within the
25 educational institution, agency or organization obtaining access,
26 so long as those persons have a legitimate educational interest in
27 the information.
28 (b) The alleged victim of any sexual assault or physical abuse,
29 including rape, forced sodomy, forced oral copulation, rape by a
30 foreign object, sexual battery, or threat or assault, or any conduct
31 that threatens the health and safety of the alleged victim, which is
32 the basis of any disciplinary action taken by a community college,
33 shall be permitted access to that information. For the purposes of
34 this subdivision, access to student record information shall be in
35 the form of notice of the results of any disciplinary action by the
36 community college and the results of any appeal, which shall be
37 provided to the alleged victim within three days following that
38 disciplinary action or appeal. The alleged victim shall keep the
39 results of that disciplinary action and appeal confidential.
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AB 94 — 72 —

2 read:
3 76300. (a) The governing board of each community college
4 district shall charge each student a fee pursuant to this section.
5 (b) (1) The fee prescribed by this section shall be twenty-six
6 thirty-six dollars ($26) ($36) per unit per semester, effective with
7 the fall term of the 2009–10 2011–12 academic year.
8 (2) The board of governors shall proportionately adjust the
9 amount of the fee for term lengths based upon a quarter system,
10 and also shall proportionately adjust the amount of the fee for
11 summer sessions, intersessions, and other short-term courses. In
12 making these adjustments, the board of governors may round the
13 per unit fee and the per term or per session fee to the nearest dollar.
14 (c) For the purposes of computing apportionments to community
15 college districts pursuant to Section 84750 84750.5, the board of
16 governors shall subtract, from the total revenue owed to each
17 district, 98 percent of the revenues received by districts from
18 charging a fee pursuant to this section.
19 (d) The board of governors shall reduce apportionments by up
20 to 10 percent to any district that does not collect the fees prescribed
21 by this section.
22 (e) The fee requirement does not apply to any of the following:
23 (1) Students enrolled in the noncredit courses designated by
24 Section 84757.
25 (2) California State University or University of California
26 students enrolled in remedial classes provided by a community
27 college district on a campus of the University of California or a
28 campus of the California State University, for whom the district
29 claims an attendance apportionment pursuant to an agreement
30 between the district and the California State University or the
31 University of California.
32 (3) Students enrolled in credit contract education courses
33 pursuant to Section 78021, if the entire cost of the course, including
34 administrative costs, is paid by the public or private agency,
35 corporation, or association with which the district is contracting
36 and if these students are not included in the calculation of the
37 full-time equivalent students (FTES) of that district.
38 (f) The governing board of a community college district may
39 exempt special part-time students admitted pursuant to Section
40 76001 from the fee requirement.
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1 (g) (1) The fee requirements of this section shall be waived for

2 any student who, at the time of enrollment, is a recipient of benefits
3 under the Temporary Assistance to Needy Families program, the
4 Supplemental Security Income/State Supplementary Program, or
5 a general assistance program or has demonstrated financial need
6 in accordance with the methodology set forth in federal law or
7 regulation for determining the expected family contribution of
8 students seeking financial aid.
9 (2) The governing board of a community college district also
10 shall waive the fee requirements of this section for any student
11 who demonstrates eligibility according to income standards
12 established by regulations of the board of governors.
13 (3) Paragraphs (1) and (2) may be applied to a student enrolled
14 in the 2005–06 academic year if the student is exempted from
15 nonresident tuition under paragraph (3) of subdivision (a) of
16 Section 76140.
17 (h) The fee requirements of this section shall be waived for any
18 student who, at the time of enrollment, is a dependent, or surviving
19 spouse who has not remarried, of any member of the California
20 National Guard who, in the line of duty and while in the active
21 service of the state, was killed, died of a disability resulting from
22 an event that occurred while in the active service of the state, or
23 is permanently disabled as a result of an event that occurred while
24 in the active service of the state. “Active service of the state,” for
25 the purposes of this subdivision, refers to a member of the
26 California National Guard activated pursuant to Section 146 of
27 the Military and Veterans Code.
28 (i) The fee requirements of this section shall be waived for any
29 student who is the surviving spouse or the child, natural or adopted,
30 of a deceased person who met all of the requirements of Section
31 68120.
32 (j) The fee requirements of this section shall be waived for any
33 student in an undergraduate program, including a student who has
34 previously graduated from another undergraduate or graduate
35 program, who is the dependent of any individual killed in the
36 September 11, 2001, terrorist attacks on the World Trade Center
37 and the Pentagon or the crash of United Airlines Flight 93 in
38 southwestern Pennsylvania, if that dependent meets the financial
39 need requirements set forth in Section 69432.7 for the Cal Grant
40 A Program and either of the following applies:
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AB 94 — 74 —
1 (1) The dependent was a resident of California on September

2 11, 2001.
3 (2) The individual killed in the attacks was a resident of
4 California on September 11, 2001.
5 (k) A determination of whether a person is a resident of
6 California on September 11, 2001, for purposes of subdivision (j)
7 shall be based on the criteria set forth in Chapter 1 (commencing
8 with Section 68000) of Part 41 of Division 5 for determining
9 nonresident and resident tuition.
10 (l) (1) “Dependent,” for purposes of subdivision (j), is a person
11 who, because of his or her relationship to an individual killed as
12 a result of injuries sustained during the terrorist attacks of
13 September 11, 2001, qualifies for compensation under the federal
14 September 11th Victim Compensation Fund of 2001 (Title IV
15 (commencing with Section 401) of Public Law 107-42).
16 (2) A dependent who is the surviving spouse of an individual
17 killed in the terrorist attacks of September 11, 2001, is entitled to
18 the waivers provided in this section until January 1, 2013.
19 (3) A dependent who is the surviving child, natural or adopted,
20 of an individual killed in the terrorist attacks of September 11,
21 2001, is entitled to the waivers under subdivision (j) until that
22 person attains the age of 30 years.
23 (4) A dependent of an individual killed in the terrorist attacks
24 of September 11, 2001, who is determined to be eligible by the
25 California Victim Compensation and Government Claims Board,
26 is also entitled to the waivers provided in this section until January
27 1, 2013.
28 (m) (1) It is the intent of the Legislature that sufficient funds
29 be provided to support the provision of a fee waiver for every
30 student who demonstrates eligibility pursuant to subdivisions (g)
31 to (j), inclusive.
32 (2) From funds provided in the annual Budget Act, the board
33 of governors shall allocate to community college districts, pursuant
34 to this subdivision, an amount equal to 2 percent of the fees waived
35 pursuant to subdivisions (g) to (j), inclusive. From funds provided
36 in the annual Budget Act, the board of governors shall allocate to
37 community college districts, pursuant to this subdivision, an
38 amount equal to ninety-one cents ($0.91) per credit unit waived
39 pursuant to subdivisions (g) to (j), inclusive. It is the intent of the
40 Legislature that funds provided pursuant to this subdivision be
98
— 75 — AB 94
1 used to support the determination of financial need and delivery

2 of student financial aid services, on the basis of the number of
3 students for whom fees are waived. It also is the intent of the
4 Legislature that the funds provided pursuant to this subdivision
5 directly offset mandated costs claimed by community college
6 districts pursuant to Commission on State Mandates consolidated
7 Test Claims 99-TC-13 (Enrollment Fee Collection) and 00-TC-15
8 (Enrollment Fee Waivers). Funds allocated to a community college
9 district for determination of financial need and delivery of student
10 financial aid services shall supplement, and shall not supplant, the
11 level of funds allocated for the administration of student financial
12 aid programs during the 1992–93 fiscal year.
13 (n) The board of governors shall adopt regulations implementing
14 this section.
16 read:
17 84043. (a) (1) Notwithstanding any other provision of law,
18 and unless otherwise prohibited under federal law, for the 2009–10
19 to 2012–13 2014–15 fiscal years, inclusive, community college
20 districts may use funding received, pursuant to subdivision (b),
21 from any of the programs listed in paragraph (2) that are contained
22 in Item 6870-101-0001 of Section 2.00 of the annual Budget Act,
23 for the purposes of any of the programs contained in Schedule (2)
24 and Schedules (4) to (23), inclusive, of Item 6870-101-0001 of
25 Section 2.00 of the Budget Act of 2009.
26 (2) (A) Apprenticeship.
27 (B) Matriculation.
28 (C) Academic Senate for the Community Colleges.
29 (D) Equal Employment Opportunity.
30 (E) Part-time Faculty Health Insurance.
31 (F) Part-time Faculty Compensation.
32 (G) Part-time Faculty Office Hours.
33 (H) Economic Development.
34 (I) Transfer Education and Articulation.
35 (J) Physical Plant and Instructional Support.
36 (K) Campus Childcare Tax Bailout.
37 (b) For the 2009–10 to 2012–13 2014–15 fiscal years, inclusive,
38 the chancellor shall apportion from the amounts provided in the
39 annual Budget Act for the programs enumerated in paragraph (2)
40 of subdivision (a), an amount to a community college district,
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AB 94 — 76 —
1 based on the same relative proportion that the district received in

2 the 2008–09 fiscal year for the programs enumerated in paragraph
3 (2) of subdivision (a). The amounts allocated shall be adjusted for
4 any greater or lesser amount appropriated for the items enumerated
5 in paragraph (2) of subdivision (a).
6 (c) (1) This section does not obligate the state to refund or repay
7 reductions made pursuant to this section. A decision by a district
8 to reduce funding pursuant to this section for a state-mandated
9 local program shall constitute a waiver of the subvention of funds
10 that the district is otherwise entitled to pursuant to Section 6 of
11 Article XIII B of the California Constitution on the amount so
12 reduced.
13 (2) If a community college district elects to use funding received
14 pursuant to subdivision (b) in the manner authorized pursuant to
15 subdivision (a), the governing board of the district shall, at a
16 regularly scheduled open public hearing, take testimony from the
17 public, discuss, and shall approve or disapprove the proposed use
18 of funding.
19 (3) (A) If a community college district elects to use funding
20 received pursuant to subdivision (b) in the manner authorized
21 pursuant to subdivision (a), the district shall continue to report the
22 expenditures pursuant to this section by using the appropriate codes
23 to indicate the activities for which these funds were expended
24 using the existing standard reporting process as determined by the
25 chancellor.
26 (B) The chancellor shall collect the information in subparagraph
27 (A) and shall provide that information to the Department of Finance
28 and to the appropriate policy and budget committees of the
29 Legislature on or before April 15, 2010, and annually thereafter
30 by April 15 of each year, through 2014 2016.
31 (d) For the 2009–10 to 2012–13 2014–15 fiscal years, inclusive,
32 community college districts that elect to use funding in the manner
33 authorized pursuant to subdivision (a) shall be deemed to be in
34 compliance with the program and funding requirements contained
35 in statutory, regulatory, and provisional language, associated with
36 the programs enumerated in subdivision (a).
38 to read:
39 84321.6. (a) Notwithstanding any other law that governs the
40 regulations adopted by the Chancellor of the California Community
98
— 77 — AB 94
1 Colleges to disburse funds, the payment of apportionments to

2 districts pursuant to Sections 84320, and 84321, and 84321.5 shall
3 be adjusted by the following:
4 (1) For the month of June, two hundred twenty-one million five
5 hundred thousand dollars ($200,000,000) ($221,500,000) shall be
6 deferred to July. This paragraph is operative commencing with the
7 2004–05 fiscal year. Commencing with the 2010–11 fiscal year
8 and each fiscal year thereafter, the amount deferred pursuant to
9 this paragraph shall be increased by twenty-one million five
10 hundred thousand dollars ($21,500,000).
11 (2) For the months of January and February, one hundred fifteen
12 million dollars ($115,000,000) in each month, and the months of
13 March and April, in the amounts of fifty-five million dollars
14 ($55,000,000) in each month, shall be deferred to July. The total
15 amount of these payments deferred to the month of July shall be
16 three hundred forty million dollars ($340,000,000). This paragraph
17 is operative commencing with the 2008–09 fiscal year.
18 Commencing with the 2010–11 fiscal year and each fiscal year
19 thereafter, the amount deferred pursuant to this paragraph shall be
20 increased by eighty-six million dollars ($86,000,000), to be split
21 equally among the four months month of May, one hundred
22 twenty-four million five hundred thousand dollars ($124,500,000)
23 shall be deferred, of which one hundred three million dollars
24 ($103,000,000) shall be deferred to July and twenty-one million
25 five hundred thousand dollars ($21,500,000) shall be deferred to
26 October.
27 (3) For the months month of April and May, eighty-one million
28 five hundred thousand dollars ($81,500,000) in each month, shall
29 be deferred to July. The total amount of these payments deferred
30 to the month of July shall be one hundred sixty-three million dollars
31 ($163,000,000). This paragraph is operative commencing with the
32 2009–10 fiscal year. Commencing with the 2010–11 fiscal year
33 and each fiscal year thereafter, the amount deferred from the month
34 of May to July, inclusive, pursuant to this paragraph shall be
35 increased by twenty-one million five hundred thousand dollars
36 ($21,500,000), one hundred seventy-nine million five hundred
37 thousand dollars ($179,500,000) shall be deferred, of which one
38 hundred fifty-eight million dollars ($158,000,000) shall be deferred
39 to July and twenty-one million five hundred thousand dollars
40 ($21,500,000) shall be deferred to October.
98
AB 94 — 78 —
1 (4) For the month of March, one hundred nineteen million five

2 hundred thousand dollars ($119,500,000) shall be deferred, of
3 which seventy-six million five hundred thousand dollars
4 ($76,500,000) shall be deferred to July and forty-three million
5 dollars ($43,000,000) shall be deferred to October.
6 (5) For the month of February, one hundred fifty-eight million
7 dollars ($158,000,000) shall be deferred, of which one hundred
8 thirty-six million five hundred thousand dollars ($136,500,000)
9 shall be deferred to July and twenty-one million five hundred
10 thousand dollars ($21,500,000) shall be deferred to October.
11 (6) For the month of January, one hundred fifty-eight million
12 dollars ($158,000,000) shall be deferred, of which one hundred
13 thirty-six million five hundred thousand dollars ($136,500,000)
14 shall be deferred to July and twenty-one million five hundred
15 thousand dollars ($21,500,000) shall be deferred to October.
16 (b) The sum of eight nine hundred thirty-two sixty-one million
17 dollars ($832,000,000) ($961,000,000) is hereby appropriated from
18 the General Fund to the Board of Governors of the California
19 Community Colleges for apportionments to community college
20 districts, for expenditure during the 2011–12 2012–13 fiscal year,
21 to be expended in accordance with Schedule (1) of Item
22 6870-101-0001 of Section 2.00 of the Budget Act of 2010.
23 (c) The disbursal of Of the funds appropriated in subdivision
24 (b), eight hundred thirty-two million dollars ($832,000,000) shall
25 be made allocated in July of the 2011–12 2012–13 fiscal year and
26 is and one hundred twenty-nine million dollars ($129,000,000)
27 shall be allocated in October in satisfaction of the moneys deferred
28 pursuant to subdivision (a).
29 (d) The sum of twenty-five million dollars ($25,000,000) is
30 hereby appropriated from the General Fund to the Chancellor of
31 the California Community Colleges for the economic development
32 program to be expended consistent with the requirements for that
33 program specified in Schedule (16) of Item 6870-101-0001 of
34 Section 2.00 of the Budget Act of 2010. Of the amount
35 appropriated in this subdivision, twenty-five million dollars
36 ($25,000,000) shall be deferred commencing with the 2010–11
37 fiscal year to July of the following fiscal year. These funds are
38 available for the purpose of maintaining existing, and creating
39 new, workforce training programs. The chancellor’s office shall
40 allocate funds on a competitive basis to districts demonstrating an
98
— 79 — AB 94
1 ability to offer workforce training in green technology, nursing,

2 allied health, and other industry sectors in demand of high-skilled
3 workers.
4 (e) The sum of thirty-five million dollars ($35,000,000) is hereby
5 appropriated from the General Fund to the Chancellor of the
6 California Community Colleges to be allocated for Schedules (2),
7 (4), (6), (7), (9), (11), (12), (13), (14), (15), (16), (17), (19), (20),
8 (22), and (23) of Item 6870-101-0001 of Section 2.00 of the Budget
9 Act of 2010. The funds shall be allocated in proportion to
10 reductions made to the same programs in the Budget Act of 2009
11 and shall be expended consistent with the requirements specified
12 for each program, unless otherwise authorized. The amount
13 appropriated in this subdivision shall be deferred commencing
14 with the 2010–11 fiscal year to July of the following fiscal year.
15 (f)
16 (d) For the purposes of making the computations required by
18 appropriations made by subdivisions subdivision (b), (d), and (e)
19 shall be deemed to be “General Fund revenues appropriated for
20 community college districts,” as defined in subdivision (d) of
21 Section 41202, for the 2011–12 2012–13 fiscal year, and included
22 within the “total allocations to school districts and community
23 college districts from General Fund proceeds of taxes appropriated
24 pursuant to Article XIII B,” as defined in subdivision (e) of Section
25 41202, for the 2011–12 2012–13 fiscal year.
26 (g) This section shall become operative on January 1, 2011.
28 read:
29 84321.7. (a) Commencing with the 2011–12 fiscal year, up to
30 thirteen million dollars ($13,000,000) of the amount of the
31 warrants for the principal apportionments for the month of June,
32 that are instead to be drawn in July pursuant to Section 84321.6,
33 may be drawn in June, subject to the approval of the Director of
34 Finance, for a community college district as follows:
35 (1) In order for a community college district to receive a
36 payment in June pursuant to this section, the community college
37 district shall certify to the Office of the Chancellor of the California
38 Community Colleges and to the Director of Finance on or before
39 April 1 that the deferral of warrants pursuant to Section 84321.6
40 will result in the community college district being unable to meet
98
AB 94 — 80 —
1 its financial obligations for June and shall provide the Office of
2 the Chancellor of the California Community Colleges an estimate
3 of the amount of additional funds necessary for the community
4 college district to meet its financial obligations for the month of
5 June.
6 (2) The criteria, as applicable, set forth in statute and
7 regulations to qualify a community college district for an
8 emergency apportionment shall be used to make the certification
9 specified in paragraph (1).
10 (3) A community college district may receive, pursuant to this
11 section, no more than the lesser of the following:
12 (A) The total amount of additional funds necessary for the
13 community college district to meet its financial obligations for the
14 month of June, as reported to the Office of the Chancellor of the
15 California Community Colleges pursuant to paragraph (1).
16 (B) The total payments the community college district is entitled
17 to receive in July for the prior fiscal year.
18 (b) If the total amount requested by community college districts
19 pursuant to paragraph (3) of subdivision (a) exceeds thirteen
20 million dollars ($13,000,000), the Controller, the Treasurer, and
21 the Director of Finance may authorize additional payments to
22 meet these requests, but total payments to community college
23 districts pursuant to this section shall not exceed thirty-nine million
24 dollars ($39,000,000). No later than May 1, the Controller, the
25 Treasurer, and the Director of Finance shall determine whether
26 sufficient cash is available to make payments in excess of thirteen
27 million dollars ($13,000,000) to a community college district. In
28 making the determination that cash is sufficient to make additional
29 payments, in whole or in part, the Controller, Treasurer, and
30 Director of Finance shall consider costs for state government, the
31 scope of any identified cash shortage, timing, achievability,
32 legislative direction, and the impact and hardship imposed on
33 potentially affected programs, entities, and related public services.
34 The Department of Finance shall notify the Joint Legislative Budget
35 Committee within 10 days of this determination and identify the
36 total amount of requests that will be paid.
37 (c) If the total amount of cash made available pursuant to
38 subdivision (b) is less than the amount requested pursuant to
39 paragraph (2) of subdivision (a), payments to community college
40 districts shall be prioritized according to the date on which
98
— 81 — AB 94
1 notification was provided to the Office of the Chancellor of the

2 California Community Colleges and the Department of Finance.
3 (d) Payments pursuant to this section shall be made no later
4 than June 20.
5 (e) Except as provided in subdivisions (c) and (e) of Section
6 41202, for purposes of making the computations required by
7 Section 8 of Article XVI of the California Constitution, the warrants
8 drawn pursuant to subdivision (a) shall be deemed to be “General
9 Fund revenues appropriated for school districts,” as defined in
10 subdivision (c) of Section 41202, for the fiscal year in which the
11 warrants are drawn and included within the “total allocations to
12 school districts and community college districts from General
13 Fund proceeds of taxes appropriated pursuant to Article XIII B,”
14 as defined in subdivision (e) of Section 41202, for the fiscal year
15 in which the warrants are drawn.
16 SEC. 43. Section 11323.2 of the Welfare and Institutions Code
17 is amended to read:
18 11323.2. (a) Necessary supportive services shall be available
19 to every participant in order to participate in the program activity
20 to which he or she is assigned or to accept employment or the
21 participant shall have good cause for not participating under
22 subdivision (f) of Section 11320.3. As provided in the
23 welfare-to-work plan entered into between the county and
24 participant pursuant to this article, supportive services shall include
25 all of the following:
26 (1) Child care.
27 (A) Paid child care shall be available to every participant with
28 a dependent child in the assistance unit who needs paid child care
29 if the child is 10 years of age or under, or requires child care or
30 supervision due to a physical, mental, or developmental disability
31 or other similar condition as verified by the county welfare
32 department, or who is under court supervision.
33 (B) To the extent funds are available paid child care shall be
34 available to a participant with a dependent child in the assistance
35 unit who needs paid child care if the child is 11 or 12 years of age,
36 as specified in subdivision (a) of Section 8201 of, and subdivision
37 (i) of Section 8208 of, the Education Code.
38 (C) Necessary child care services shall be available to every
39 former recipient for up to two years, pursuant to Article 15.5
98
AB 94 — 82 —
1 (commencing with Section 8350) of Chapter 2 of Part 6 of Division

2 1 of Title 1 of the Education Code.
3 (D) A child in foster care receiving benefits under Title IV-E
4 of the federal Social Security Act (42 U.S.C.A. U.S.C. Sec. 670
5 et seq.) or a child who would become a dependent child except for
6 the receipt of federal Supplemental Security Income benefits
7 pursuant to Title XVI of the federal Social Security Act (42
8 U.S.C.A. U.S.C. Sec. 1381 et seq.) shall be deemed to be a
9 dependent child for the purposes of this paragraph.
10 (E) The provision of care and payment rates under this paragraph
11 shall be governed by Article 15.5 (commencing with Section 8350)
12 of Chapter 2 of Part 6 of Division 1 of Title 1 of the Education
13 Code. Parent fees shall be governed by subdivision (f) subdivisions
14 (g) and (h) of Section 8263 of the Education Code.
15 (2) Transportation costs, which shall be governed by regional
16 market rates as determined in accordance with regulations
17 established by the department.
18 (3) Ancillary expenses, which shall include the cost of books,
19 tools, clothing specifically required for the job, fees, and other
20 necessary costs.
21 (4) Personal counseling. A participant who has personal or
22 family problems that would affect the outcome of the
23 welfare-to-work plan entered into pursuant to this article shall, to
24 the extent available, receive necessary counseling or therapy to
25 help him or her and his or her family adjust to his or her job or
26 training assignment.
27 (b) If provided in a county plan, the county may continue to
28 provide case management and supportive services under this
29 section to former participants who become employed. The county
30 may provide these services for up to the first 12 months of
31 employment to the extent they are not available from other sources
32 and are needed for the individual to retain the employment.
33 SEC. 44. Item 6110-161-0001 of Section 2.00 of the Budget
34 Act of 2010 is amended to read:
35
36 6110-161-0001—For local assistance, Department of Educa-
37 tion (Proposition 98), Program 10.60-Special Education
38 Programs for Exceptional Children............................... 3,106,681,000
39 3,093,564,000
98
— 83 — AB 94
1 Schedule:
2 (1) 10.60.050.003-Special education in-
3 struction........................................... 3,035,964,000
4 3,022,847,000
5 (2) 10.60.050.080-Early Education Program
6 for Individuals with Exceptional
7 Needs.................................................... 85,112,000
8 (3) Reimbursements for Early Education
9 Program, Part C.................................. −14,395,000
10 Provisions:
11 1. Funds appropriated by this item are for transfer by the
12 Controller to Section A of the State School Fund, in
13 lieu of the amount that otherwise would be appropriat-
14 ed for transfer from the General Fund in the State
15 Treasury to Section A of the State School Fund for
16 the 2010–11 fiscal year pursuant to Sections 14002
17 and 41301 of the Education Code, for apportionment
18 pursuant to Part 30 (commencing with Section 56000)
19 of Division 4 of Title 2 of the Education Code, super-
20 seding all prior law.
21 2. Of the funds appropriated in Schedule (1), up to
22 $13,178,000, plus any cost-of-living adjustment, shall
23 be available for the purchase, repair, and inventory
24 maintenance of specialized books, materials, and
25 equipment for pupils with low-incidence disabilities,
26 as defined in Section 56026.5 of the Education Code.
28 $10,058,000, plus any cost-of-living adjustment, shall
29 be available for the purposes of vocational training
30 and job placement for special education pupils through
31 Project Workability I pursuant to Article 3 (commenc-
32 ing with Section 56470) of Chapter 4.5 of Part 30 of
33 Division 4 of Title 2 of the Education Code. As a
34 condition of receiving these funds, each local educa-
35 tional agency shall certify that the amount of nonfed-
36 eral resources, exclusive of funds received pursuant
37 to this provision, devoted to the provision of vocational
38 education for special education pupils shall be main-
39 tained at or above the level provided in the 1984–85
40 fiscal year. The Superintendent of Public Instruction
98
AB 94 — 84 —
1 may waive this requirement for local educational

2 agencies that demonstrate that the requirement would
3 impose a severe hardship.
5 $5,246,000, plus any cost-of-living adjustment (CO-
6 LA), shall be available for regional occupational cen-
7 ters and programs that serve pupils having disabilities;
8 up to $88,410,000, plus any COLA, shall be available
9 for regionalized program specialist services; and up
10 to $2,637,000, plus any COLA, shall be available for
11 small special education local plan areas (SELPAs)
12 pursuant to Section 56836.24 of the Education Code.
14 $3,000,000 is provided for extraordinary costs associ-
15 ated with single placements in nonpublic, nonsectarian
16 schools, pursuant to Section 56836.21 of the Education
17 Code. Pursuant to legislation, these funds shall also
18 provide reimbursement for costs associated with pupils
19 residing in licensed children’s institutes.
21 $198,344,000, plus any cost-of-living adjustment
22 (COLA), is available to fund the costs of children
23 placed in licensed children’s institutions who attend
24 nonpublic schools based on the funding formula autho-
25 rized in Chapter 914 of the Statutes of 2004.
26 7. Funds available for infant units shall be allocated with
27 the following average number of pupils per unit:
28 (a) For special classes and centers—16.
29 (b) For resource specialist programs—24.
30 (c) For designated instructional services—16.
31 8. Notwithstanding any other provision of law, early ed-
32 ucation programs for infants and toddlers shall be of-
33 fered for 200 days. Funds appropriated in Schedule
34 (2) shall be allocated by the State Department of Edu-
35 cation for the 2010–11 fiscal year to those programs
36 receiving allocations for instructional units pursuant
37 to Section 56432 of the Education Code for the Early
38 Education Program for Individuals with Exceptional
39 Needs operated pursuant to Chapter 4.4 (commencing
40 with Section 56425) of Part 30 of Division 4 of Title
98
— 85 — AB 94
1 2 of the Education Code, based on computing 200-day

2 entitlements. Notwithstanding any other provision of
3 law, funds in Schedule (2) shall be used only for the
4 purposes specified in Provisions 10 and 11.
5 9. Notwithstanding any other provision of law, state
6 funds appropriated in Schedule (2) in excess of the
7 amount necessary to fund the deficited entitlements
8 pursuant to Section 56432 of the Education Code and
9 Provision 10 shall be available for allocation by the
10 State Department of Education to local educational
11 agencies for the operation of programs serving solely
12 low-incidence infants and toddlers pursuant to Title
13 14 (commencing with Section 95000) of the Govern-
14 ment Code. These funds shall be allocated to each local
15 educational agency for each solely low-incidence child
16 through age two in excess of the number of solely low-
17 incidence children through age two served by the local
18 educational agency during the 1992–93 fiscal year and
19 reported on the April 1993 pupil count. These funds
20 shall only be allocated if the amount of reimbursement
21 received from the State Department of Developmental
22 Services is insufficient to fully fund the costs of oper-
23 ating the Early Intervention Program, as authorized
24 by Title 14 (commencing with Section 95000) of the
25 Government Code.
26 10. The State Department of Education, through coordina-
27 tion with the special education local plan areas, shall
28 ensure local interagency coordination and collaboration
29 in the provision of early intervention services, includ-
30 ing local training activities, child-find activities, public
31 awareness, and the family resource center activities.
32 11. Funds appropriated in this item, unless otherwise
33 specified, are available for the sole purpose of funding
34 2010–11 fiscal year special education program costs
35 and shall not be used to fund any prior year adjust-
36 ments, claims, or costs.
37 12. Of the amount provided in Schedule (1), up to
38 $188,000, plus any cost-of-living adjustment, shall be
39 available to fully fund the declining enrollment of
98
AB 94 — 86 —
1 necessary small special education local plan areas

2 pursuant to Chapter 551 of the Statutes of 2001.
3 13. Pursuant to Section 56427 of the Education Code, of
4 the funds appropriated in Schedule (1), up to
5 $2,324,000 may be used to provide funding for infant
6 programs, and may be used for those programs that
7 do not qualify for funding pursuant to Section 56432
8 of the Education Code.
10 $29,478,000 shall be allocated to local educational
11 agencies for the purposes of Project Workability I.
13 $1,700,000 shall be used to provide specialized ser-
14 vices to pupils with low-incidence disabilities, as de-
15 fined in Section 56026.5 of the Education Code.
17 $1,117,000 shall be used for a personnel development
18 program. This program shall include state-sponsored
19 staff development for special education personnel to
20 have the necessary content knowledge and skills to
21 serve children with disabilities. This funding may in-
22 clude training and services targeting special education
23 teachers and related service personnel that teach core
24 academic or multiple subjects to meet the applicable
25 special education requirements of the Individuals with
26 Disabilities Education Improvement Act of 2004 (20
27 U.S.C. Sec. 1400 et seq.).
29 $200,000 shall be used for research and training in
30 cross-cultural assessments.
31 18. Of the amount specified in Schedule (1), up to
32 $31,000,000 shall be used to provide mental health
33 services required by an individual education plan
34 pursuant to the federal Individuals with Disabilities
35 Education Improvement Act of 2004 (20 U.S.C. Sec.
36 1400 et seq.) and pursuant to Chapter 493 of the
37 Statutes of 2004.
38 19. Of the amount provided in Schedule (1), $0 is to reflect
39 a cost-of-living adjustment.
98
— 87 — AB 94
1 20. Of the amount provided in Schedule (2), $0 is to reflect

2 a cost-of-living adjustment.
3 21. Of the amount appropriated in this item, up to
4 $1,480,000 is available for the state’s share of costs
5 in the settlement of Emma C. v. Delaine Eastin, et al.
6 (N.D. Cal. No. C96-4179TEH). The State Department
7 of Education shall report by January 1, 2011, to the
8 fiscal committees of both houses of the Legislature,
9 the Department of Finance, and the Legislative Ana-
10 lyst’s Office on the planned use of the additional spe-
11 cial education funds provided to the Ravenswood Ele-
12 mentary School District pursuant to this settlement.
13 The report shall also provide the State Department of
14 Education’s best estimate of when this supplemental
15 funding will no longer be required by the court. The
16 State Department of Education shall comply with the
17 requirements of Section 948 of the Government Code
18 in any further request for funds to satisfy this settle-
19 ment.
20 22. Of the funds appropriated in this item, up to
21 $2,500,000 shall be allocated directly to special educa-
22 tion local plan areas for a personnel development
23 program that meets the highly qualified teacher require-
24 ments and ensures that all personnel necessary to carry
25 out this part are appropriately and adequately prepared,
26 subject to the requirements of paragraph (14) of subdi-
27 vision (a) of Section 612 of the federal Individuals
28 with Disabilities Education Improvement Act of 2004
29 (20 U.S.C. Sec. 1400 et seq.) and Section 2122 of the
30 federal Elementary and Secondary Education Act of
31 1965 (20 U.S.C. Sec. 6301 et seq.). The local in-ser-
32 vice programs shall include a parent training compo-
33 nent and may include a staff training component, and
34 may include a special education teacher component
35 for special education service personnel and paraprofes-
36 sionals, consistent with state certification and licensing
37 requirements. Use of these funds shall be described in
38 the local plans. These funds may be used to provide
39 training in alternative dispute resolution and the local
98
AB 94 — 88 —
1 mediation of disputes. All programs are to include

2 evaluation components.
3 23. Notwithstanding any other provision of law, state
4 funds appropriated in Schedule (1) in excess of the
5 amount necessary to fund the defined entitlement shall
6 be to fulfill other shortages in entitlements budgeted
7 in this schedule by the State Department of Education,
8 upon Department of Finance approval, to any program
9 funded under Schedule (1).
10 24. The funds appropriated in this item reflect an adjust-
11 ment to the base funding of 0.11 percent for the annual
12 adjustment in statewide average daily attendance.
13 25. Of the funds appropriated in Schedule (1), the amount
14 resulting from increases in federal funds reflected in
15 the calculation performed in paragraph (1) of subdivi-
16 sion (c) of Section 56836.08 of the Education Code
17 shall be allocated based on an equal amount per aver-
18 age daily attendance and added to each special educa-
19 tion local plan area’s base funding, consistent with
20 paragraphs (1) to (4), inclusive, of subdivision (b) of
21 Section 56836.158 of the Education Code. When the
22 final amount is determined, the State Department of
23 Education shall provide this information to the Depart-
24 ment of Finance and the budget committees of each
25 house of the Legislature.
26
27 SEC. 45. Item 6110-485 of Section 2.00 of the Budget Act of
28 2010 is amended to read:
29
30 6110-485—Reappropriation (Proposition 98), Department of
31 Education. The sum of $20,000,000 $37,300,000 is hereby
32 reappropriated from the Proposition 98 Reversion Account
33 for the following purposes:
34 0001—General Fund
35 (3) The sum of $20,000,000 shall be allocated transferred
36 to the Chancellor of the California Community Col-
37 leges for the purpose of providing funding to the
38 community colleges to improve and expand career
39 technical education in public secondary education and
98
— 89 — AB 94
1 lower division public higher education pursuant to

2 Section 88532 of the Education Code.
3 (4) The sum of $13,117,000 shall be allocated to Section
4 A of the State School Fund for apportionment for
5 special education programs pursuant to Part 30
6 (commencing with Section 56000) of Division 4 of Title
7 2 of the Education Code.
8 (5) The sum of $4,183,000 shall be allocated to Section
9 A of the State School Fund for apportionment for the
10 purposes set forth in Provision 4 of Item 6110-488 of
11 Section 2.00 of the Budget Act of 2010 (Ch. 712, Stats.
12 2010).
13
14 SEC. 46. Item 6110-488 of Section 2.00 of the Budget Act of
15 2010 is amended to read:
16
17 6110-488—Reappropriation (Proposition 98), Department of
18 Education. Notwithstanding any other provision of law,
19 the balances from the following items are available for re-
20 appropriation for the purposes specified in Provision 1
21 Provisions 1, 2, 3, and 4:
22 0001—General Fund
23 (12) $25,000 or whatever greater or lesser amount reflects
24 the unexpended balance of the amount appropriated
25 for the Adult Education (ROC/P) programs in para-
26 graph (3) of subdivision (a) of Section 43 of Chapter
27 79 of the Statutes of 2006
28 (13) $20,000 $59,000 or whatever greater or lesser amount
29 reflects the unexpended balance of the amount appro-
30 priated for ELL Best Practices for Improving
31 Achievement in paragraph (13) of subdivision (a) of
32 Section 43 of Chapter 79 of the Statutes of 2006
33 (13.1) $103,000 or whatever greater or lesser amount re-
34 flects the unexpended balance of the amount appro-
35 priated for preschool education in Schedule (1) of
36 Item 6110- 196-0001 of Section 2.00 of the Budget
37 Act of 2006 (Chs. 47 and 48, Stats. 2006)
40 priated for CalWORKs Stage 2 child care in
98
AB 94 — 90 —
1 Schedule (1.5)(e) of Item 6110-196-0001 of Section

2 2.00 of the Budget Act of 2006 (Chs. 47 and 48,
3 Stats. 2006)
7 Item 6110-196-0001 of Section 2.00 of the Budget
9 (14) $14,114,000 or whatever greater or lesser amount re-
10 flects the unexpended balance of the amount appropri-
11 ated for the Grade 9 Class Size Reduction program
12 of Item 6110-232-0001 of Section 2.00 of the Budget
14 (15) $61,000 $82,000 or whatever greater or lesser amount
16 priated for Special Education in Schedule (1) of Item
17 6110-161-0001 of Section 2.00 of the Budget Act of
18 2008 (Chs. 268 and 269, Stats. 2008)
19 (15.2) $8,772,000 or whatever greater or lesser amount
20 reflects the unexpended balance of the amount ap-
21 propriated for preschool education and child care
22 programs in Schedules (1) and (1.5) of Item 6110-
23 196-0001 of Section 2.00 of the Budget Act of 2006
24 (Chs. 47 and 48, Stats. 2006), as carried forward
25 per Provision 1 of Item 6110-196-0001 of the Bud-
26 get Act of 2008 (Chs. 268 and 269, Stats. 2008)
30 Item 6110-196-0001 of Section 2.00 of the Budget
34 propriated for general child development programs
35 in Schedule (1.5)(a) of Item 6110-196-0001 of
36 Section 2.00 of the Budget Act of 2008 (Chs. 268
37 and 269, Stats. 2008)
40 priated for migrant day care programs in Schedule
98
— 91 — AB 94
1 (1.5)(c) of Item 6110-196-0001 of Section 2.00 of

2 the Budget Act of 2008 (Ch. 268 and 269, Stats.
3 2008)
6 priated for alternative payment programs in
7 Schedule (1.5)(d) of Item 6110-196-0001 of Section
8 2.00 of the Budget Act of 2008 (Ch. 268 and 269,
9 Stats. 2008)
12 priated for CalWORKs Stage 2 child care programs
13 in Schedule (1.5)(e) of Item 6110-196-0001 of Sec-
14 tion 2.00 of the Budget Act of 2008 (Chs. 268 and
15 269, Stats. 2008)
18 priated for CalWORKs Stage 3 child care programs
19 in Schedule (1.5)(f) of Item 6110-196-0001 of Sec-
20 tion 2.00 of the Budget Act of 2008 (Chs. 268 and
21 269, Stats. 2008)
24 priated for CalWORKs Resource and Referral
25 programs in Schedule (1.5)(g) of Item 6110-196-
26 0001 of Section the Budget Act of 2008 (Chs. 268
27 and 269, Stats. 2008)
28 (15.10) $101,000 or whatever greater or lesser amount
29 reflects the unexpended balance of the amount
30 appropriated for CalWORKs Extended Day Care
31 programs in Schedule (1.5)(i) of Item 6110-196-
32 0001 of Section 2.00 of the Budget Act of 2008
33 (Chs. 268 and 269, Stats. 2008)
35 reflects the unexpended balance of the amount
36 reappropriated for CalWORKs Stage 2 child care
37 per Provision 3 of Item 6110-488 of Section 2.00
38 of the Budget Act of 2008 (Chs. 268 and 269,
39 Stats. 2008)
98
AB 94 — 92 —

3 for Child Oral Health Assessments in Item 6110-268-
4 0001 of Section 2.00 of the Budget Act of 2008 (Chs.
5 268 and 269, Stats. 2008)
8 propriated for the Home to School Transportation
9 program in Schedule (1) of Item 6110-111-0001 of
10 Section 2.00 of the Budget Act of 2009 (Ch. 1,
11 2009–10 3rd Ex. Sess., as revised by Ch. 1, 2009–10
12 4th Ex. Sess.)
15 for the Foster Youth program in Item 6110-119-0001
16 of Section 2.00 of the Budget Act of 2009 (Ch. 1,
18 4th Ex. Sess.)
21 for the English Language Acquisition program in Item
23 2009 (Ch. 1, 2009–10 3rd Ex. Sess., as revised by Ch.
24 1, 2009–10 4th Ex. Sess.)
27 for the Partnership Academies program in Schedule
28 (1) of Item 6110-166-0001 of Section 2.00 of the
29 Budget Act of 2009 (Ch. 1, 2009–10 3rd Ex. Sess., as
30 revised by Ch. 1, 2009–10 4th Ex. Sess.)
31 (20) $37,887,000 or whatever greater or lesser amount
33 priated for preschool education and child care pro-
34 grams in Schedules (1) and (1.5) of Item 6110-196-
35 0001 of Section 2.00 of the Budget Act of 2009 (Ch.
36 1, 2009–10 3rd Ex. Sess., as revised by Ch. 1,
37 2009–10 4th Ex. Sess.)
38 (21) $12,103,000 or whatever greater or lesser amount
40 priated for CalWORKs Stage 2 child care in Schedule
98
— 93 — AB 94
1 (1.5)(e) of Item 6110-196-0001 of Section 2.00 of the

6 ated for CalWORKs Stage 3 child care in Schedule
7 (1.5)(f) of Item 6110-196-0001 of Section 2.00 of the
10 (23) $130,000 or whatever greater or lesser amount re-
12 ated for the California High School Exit Exam Sup-
13 plemental Instruction program in Item 6110-204-0001
14 of Section 2.00 of the Budget Act of 2009 (Ch. 1,
16 4th Ex. Sess.)
19 ated for the Economic Impact Aid program for charter
20 schools in Schedule (2) of Item 6110-211-0001 of
21 Section 2.00 of the Budget Act of 2009 (Ch. 1,
23 4th Ex. Sess.)
26 for the English Language Tutoring program in Item
29 1, 2009–10 4th Ex. Sess.)
32 ated for the Arts and Music Block Grant program in
33 Item 6110-265-0001 of Section 2.00 of the Budget Act
34 of 2009 (Ch. 1, 2009–10 3rd Ex. Sess., as revised by
35 Ch. 1, 2009–10 4th Ex. Sess.)
38 for the Certificated Staff Mentoring program in Item
98
AB 94 — 94 —

2 1, 2009–10 4th Ex. Sess.)
5 ated for the California Partnership Academies pro-
6 gram in Item 6110-650-0001, pursuant to Section 5
7 of Chapter 3 of the Statutes of 2009, Fourth Extraor-
8 dinary Session, as amended by Chapter 31 of the
9 Statutes of 2009, Third Extraordinary Session
12 ated for the After School Education and Safety Pro-
13 gram in Item 6110-649-0001 from the 2008–09 fiscal
14 year appropriation pursuant to Section 8483.5 of the
15 Education Code, as enacted by Proposition 49 in
16 2002, and pursuant to Section 8483.51 of the Educa-
17 tion Code as enacted by Chapter 2 of the Statutes of
18 2008, Third Extraordinary Session
21 ated for the After School Education and Safety Pro-
22 gram in Item 6110-649-0001 from the 2009–10 fiscal
23 year appropriation pursuant to Section 8483.5 of the
24 Education Code, as enacted by Proposition 49 in
25 2002, and pursuant to Section 8483.51 of the Educa-
26 tion Code as enacted by Chapter 2 of the Statutes of
27 2008, Third Extraordinary Session
30 for the After School Education and Safety Program
31 in Item 6110-651-0001, pursuant to Section 5 of
32 Chapter 3 of the Statutes of 2009, Fourth Extraordi-
33 nary Session, as amended by Chapter 31 of the
34 Statutes of 2009, Third Extraordinary Session
35
36 Provisions:
37 1. The sum of $5,224,000 is hereby reappropriated to the
38 State Department of Education for transfer by the
39 Controller to Section A of the State School Fund for
40 allocation by the Superintendent of Public Instruction
98
— 95 — AB 94
1 to support California School Information Services

2 administration activities authorized pursuant to
3 Schedule (2) of Item 6110-140-0001.
4 2. The sum of $9,000,000 shall be allocated pursuant to
5 subdivision (d) of Section 42606 of the Education
6 Code to school districts in the 2010–11 fiscal year for
7 the purpose of providing categorical funding for new
8 schools commencing operations in the 2008–09,
9 2009–10, and 2010–11 fiscal years.
10 3. The sum of $76,640,000 is hereby reappropriated to
11 the State Department of Education for transfer by the
12 Controller to Section A of the State School Fund for
13 allocation by the Superintendent of Public Instruction
14 on a one-time basis to provide services in the 2010–11
15 fiscal year for pupils with mental health related ser-
16 vices required by their individualized education pro-
17 grams, as described in Section 56363 of the Education
18 Code.
19 (a) The Superintendent shall allocate these funds to
20 each special education local plan area in the fol-
21 lowing manner, using data available from the
22 CASEMIS system as of December 1, 2010. Each
23 special education local plan area shall receive
24 funding in an amount equal to:
25 (1) The sum of $4,224 for each pupil whose individu-
26 alized education program requires one or more
27 of the following mental health related services:
28 individual counseling, counseling and guidance,
29 parent counseling, social work services, or behav-
30 ior intervention services.
31 (2) Twice the per pupil amount provided pursuant to
32 paragraph (1) for each pupil whose individualized
33 education program requires psychological ser-
34 vices.
35 (3) Four times the per pupil amount provided pur-
36 suant to paragraph (1) for each pupil whose indi-
37 vidualized education program requires day
38 treatment services.
39 (4) Nine times the per pupil amount provided pur-
40 suant to paragraph (1) for each pupil whose indi-
98
AB 94 — 96 —
1 vidualized education program requires mental

2 health related residential treatment services.
3 (b) The Superintendent shall count individual pupils
4 in only one of the four categories set forth in
5 paragraphs (1) to (4), inclusive, of subdivision
6 (a), based on the most intensive level of services
7 required by the pupil’s individualized education
8 program.
9 (c) If the overall funding allocation is insufficient to
10 fully fund the amount set forth in subdivision (a),
11 or if there is excess funding available, the Super-
12 intendent shall adjust the per pupil amount set
13 forth in paragraph (1) of subdivision (a) and the
14 corresponding per pupil amounts set forth in
15 paragraphs (2), (3), and 4 of subdivision (a), in
16 order to match the full allocation.
17
18 SEC. 47. Notwithstanding the rulemaking provisions of the
19 Administrative Procedure Act (Chapter 3.5 (commencing with
20 Section 11340) of Part 1 of Division 3 of Title 2 of the Government
21 Code), the State Department of Social Services or the State
22 Department of Education may implement Sections 4 to 12,
23 inclusive, and Section 43, of this act, through all-county letters,
24 management bulletins, or similar instructions.
25 SEC. 48. Notwithstanding any other provision of law, the
26 implementation of Sections 4 to 12, inclusive, and Section 43, of
27 this act is not subject to the appeal and resolution procedures for
28 agencies that contract with the State Department of Education for
29 the provision of child care services or the due process requirements
30 afforded to families that are denied services specified in Chapter
31 19 (commencing with Section 18000) of Division 1 of Title 5 of
32 the California Code of Regulations.
33 SEC. 49. (a) Notwithstanding any other provision of law, the
34 unobligated balances from the following budget items are
35 reappropriated to the State Department of Education for
36 CalWORKs Stage 3 child care services, in augmentation of, and
37 for the purposes specified in, Schedule (1.5)(f) of Item
38 6110-196-0001 of Section 2.00 of the Budget Act of 2010 (Ch. 712,
39 Stats. 2010), for the period of April 1, 2011, to June 30, 2011,
40 inclusive.
98
— 97 — AB 94
1 (1) Up to twenty million dollars ($20,000,000) from Schedule

2 (1) of Item 6110-196-0001 of Section 2.00 of the Budget Act of
3 2009 (Ch. 1, 2009–10 3rd Ex. Sess., as revised by Ch. 1, 2009–10
4 4th Ex. Sess.).
5 (2) Up to forty million dollars ($40,000,000) from Schedule
6 (1.5) of Item 6110-196-0001 of Section 2.00 of the Budget Act of
7 2009 (Ch. 1, 2009–10 3rd Ex. Sess., as revised by Ch. 1, 2009–10
8 4th Ex. Sess.).
9 (b) Pursuant to this section, the State Department of Education
10 shall use the funds appropriated in subdivision (a) for eligible
11 families pursuant to Section 8354 of the Education Code as it read
12 on January 1, 2011.
13 SEC. 50. (a) The sum of nine hundred five million seven
14 hundred thousand dollars ($905,700,000) is hereby appropriated
15 from the General Fund to the State Department of Education. This
16 appropriation reflects the portion of the payment for class size
17 reduction in kindergarten and grades 1 to 3, inclusive, that is to
18 be deferred until and attributed to the 2012–13 fiscal year and the
19 June 2012 principal apportionment that is to be deferred until July
20 2012 and attributed to the 2012–13 fiscal year. Notwithstanding
21 any other law, the department shall encumber the funds
22 appropriated in this section by July 31, 2012. It is the intent of the
23 Legislature that, by extending the encumbrance authority for the
24 funds appropriated in this section to July 31, 2012, the funds will
25 be treated in a manner consistent with Section 1.80 of the Budget
26 Act of 2011. The appropriation is made in accordance with the
27 following schedule:
28 (1) Six million two hundred twenty-seven thousand dollars
29 ($6,227,000) for apprenticeship programs to be expended
30 consistent with the requirements specified in Item 6110-103-0001
31 of Section 2.00 of the Budget Act of 2011.
32 (2) Ninety million one hundred seventeen thousand dollars
33 ($90,117,000) for supplemental instruction to be expended
35 of Section 2.00 of the Budget Act of 2011. Of the amount
36 appropriated by this paragraph, fifty-one million sixty-one
37 thousand dollars ($51,061,000) shall be expended consistent with
38 Schedule (1) of Item 6110-104-0001 of Section 2.00 of the Budget
39 Act of 2011, twelve million three hundred thirty thousand dollars
40 ($12,330,000) shall be expended consistent with Schedule (2) of
98
AB 94 — 98 —
1 that item, four million six hundred ninety thousand dollars

3 that item, and twenty-two million thirty-six thousand dollars
5 that item.
6 (3) Thirty-nine million six hundred thirty thousand dollars
7 ($39,630,000) for regional occupational centers and programs to
8 be expended consistent with the requirements specified in Schedule
9 (1) of Item 6110-105-0001 of Section 2.00 of the Budget Act of
10 2011.
11 (4) Four million two hundred ninety-four thousand dollars
12 ($4,294,000) for the Gifted and Talented Pupil Program to be
13 expended consistent with the requirements specified in Item
15 (5) Forty-five million eight hundred ninety-six thousand dollars
16 ($45,896,000) for adult education to be expended consistent with
17 the requirements specified in Schedule (1) of Item 6110-156-0001
19 (6) Four million seven hundred fifty-one thousand dollars
20 ($4,751,000) for community day schools to be expended consistent
21 with the requirements specified in Item 6110-190-0001 of Section
22 2.00 of the Budget Act of 2011.
23 (7) Five million nine hundred forty-seven thousand dollars
24 ($5,947,000) for categorical block grants for charter schools to
25 be expended consistent with the requirements specified in Item
27 (8) Thirty-eight million seven hundred twenty thousand dollars
28 ($38,720,000) for the School Safety Block Grant to be expended
31 (9) One hundred million one hundred eighteen thousand dollars
32 ($100,118,000) for the Targeted Instructional Improvement Block
33 Grant Program to be expended consistent with the requirements
34 specified in Item 6110-246-0001 of Section 2.00 of the Budget Act
35 of 2011.
36 (b) The amount appropriated in subdivision (a) shall be reduced
37 by the lesser of five hundred seventy million dollars ($570,000,000)
38 or the sum of the amounts transferred pursuant to paragraphs (3)
39 and (4) of subdivision (b) of Section 58 of this act.
98
— 99 — AB 94
1 (c) For the purposes of making the computations required by

3 appropriations made by subdivision (a) shall be deemed to be
5 defined in subdivision (c) of Section 41202 of the Education Code,
6 for the 2012–13 fiscal year, and included within the “[t]otal
7 allocations to school districts and community college districts
8 from General Fund proceeds of taxes appropriated pursuant to
9 Article XIII B,” as defined in subdivision (e) of Section 41202 of
10 the Education Code, for the 2012–13 fiscal year.
11 SEC. 51. The sum of five million dollars ($5,000,000) is hereby
12 appropriated from the General Fund to augment the Charter
13 School Revolving Loan Fund for use pursuant to Section 41365
14 of the Education Code.
15 SEC. 52. (a) Notwithstanding Sections 42238.1 and 42238.15
16 of the Education Code or any other law, the cost-of-living
17 adjustment for Items 6110-104-0001, 6110-105-0001,
18 6110-119-0001, 6110-122-0001, 6110-124-0001, 6110-128-0001,
19 6110-150-0001, 6110-156-0001, 6110-158-0001, 6110-161-0001,
20 6110-167-0001, 6110-181-0001, 6110-189-0001, 6110-190-0001,
21 6110-193-0001, 6110-196-0001, 6110-203-0001, 6110-209-0001,
22 6110-211-0001, 6110-224-0001, 6110-232-0001, 6110-234-0001,
23 6110-244-0001, and 6110-246-0001 of Section 2.00 of the Budget
24 Act of 2011 is zero percent for the 2011–12 fiscal year. All funds
25 appropriated in the Budget Act of 2011 in the items identified in
26 this section are in lieu of the amounts that would otherwise be
27 appropriated pursuant to any other provision of law.
28 (b) Notwithstanding Section 42238.1 of the Education Code or
29 any other law, for purposes of Section 48664 of the Education
30 Code, the cost-of-living adjustment is zero percent for the 2011–12
31 fiscal year.
32 SEC. 53. Notwithstanding any other provision of law, the funds
33 appropriated pursuant to Items 6110-103-0001, 6110-104-0001,
34 6110-105-0001, 6110-124-0001, 6110-156-0001, 6110-158-0001,
35 6110-161-0001, 6110-190-0001, 6110-211-0001, 6110-234-0001,
36 and 6110-243-0001 of Section 2.00 of the Budget Act of 2011 shall
37 be encumbered by July 31, 2012. This one-month extension of
38 encumbrance authority is provided due to the effect of the deferral
39 of the June 2012 principal apportionment on the budget items
40 specified in this section. It is the intent of the Legislature that, by
98
AB 94 — 100 —
1 extending the encumbrance authority for the funds identified in

2 this section to July 31, 2012, the funds will be treated in a manner
3 consistent with Section 1.80 of the Budget Act of 2011.
4 SEC. 54. The sum of two million two hundred fifty-seven
5 thousand dollars ($2,257,000) is hereby appropriated for the
6 2010–11 fiscal year, payable from the Federal Trust Fund to the
7 State Department of Education, State Operations, for allocation
8 pursuant to the following schedule:
9 (a) One million nine hundred seventy-three thousand dollars
10 ($1,973,000) for the development of a comprehensive strategy to
11 address data reporting requirements and the development of the
12 California Longitudinal Pupil Achievement Data System
13 (CALPADS), to meet requirements of the federal No Child Left
14 Behind Act of 2001 (20 U.S.C. Sec. 6301 et seq.) and Chapter 1002
15 of the Statutes of 2002, as follows:
16 (1) Six hundred ninety-eight thousand dollars ($698,000) for
17 vendor costs associated with systems integration activities.
18 (2) Two hundred seventy-seven thousand dollars ($277,000)
19 for vendor project management costs.
20 (3) Three hundred thousand dollars ($300,000) for an
21 independent project oversight consultant and independent
22 validation and verification costs.
23 (4) Four thousand dollars ($4,000) for system hardware costs.
24 (5) Six thousand dollars ($6,000) for system software costs.
25 (6) Fifteen thousand dollars ($15,000) for Department of
26 General Services contract revision charges.
27 (7) Five hundred twenty-two thousand dollars ($522,000) for
28 various costs, including indirect charges, charges from the Office
29 of Technology Services, and operating expenses and equipment.
30 (8) One hundred fifty-one thousand dollars ($151,000) for State
31 Department of Education staff support for the project.
32 (b) Two hundred eighty-four thousand dollars ($284,000) for
33 State Department of Education data management staff responsible
34 for fulfilling certain federal requirements not directly associated
35 with CALPADS.
36 (c) First priority for funds provided in this section shall be to
37 support the transfer of knowledge from the CALPADS vendor to
38 staff of the State Department of Education and any other relevant
39 state agency. This knowledge transfer shall ensure the ability of
98
— 101 — AB 94
1 the State Department of Education to operate and maintain

2 CALPADS over time.
3 SEC. 55. As a condition of receiving funds to administer the
4 California Longitudinal Pupil Achievement Data System
5 established pursuant to Section 60900 of the Education Code, the
6 State Department of Education shall ensure that local educational
7 agencies are provided with the standarized templates consistent
8 with Section 33126.1 of the Education Code that include all
9 available prepopulated data necessary for local educational
10 agencies to meet the requirements established in the School
11 Accountability Report Card pursuant to Section 33126 of the
12 Education Code.
13 SEC. 56. (a) It is the intent of the Legislature that basic aid
14 school districts assume categorical funding reductions
15 proportionate to the revenue limit reductions implemented for
16 nonbasic aid districts in the 2008–09 and 2009–10 fiscal years.
17 It is the intent of the Legislature that the reductions to categorical
18 funding for basic aid school districts set forth in this section be
19 restored at the same time as, and in direct proportion to, reductions
20 in the deficit factor for school district revenue limits set forth in
21 Section 42238.146 of the Education Code. The Superintendent of
22 Public Instruction shall reduce the amount of categorical funding
23 allocated to basic aid school districts in the 2010–11 fiscal year,
24 as follows:
25 (1) For the 2010–11 fiscal year, the State Department of
26 Education shall notify each basic aid school district, by September
27 1, 2011, or two months after the Budget Act of 2011 is enacted,
28 whichever is later, of the amount of funds to be reduced from its
29 categorical funding allocations, as follows:
30 (A) Multiply each district’s 2010–11 fiscal year total revenue
31 limit subject to the deficit factor specified in paragraph (5) of
32 subdivision (a) of Section 42238.146 of the Education Code,
33 calculated as of the 2010–11 fiscal year certified second principal
34 apportionment, by 8.92 percent.
35 (B) The department shall recover from categorical funds
36 identified in paragraph (2) and apportioned in the 2011–12 fiscal
37 year to school districts that were basic aid school districts in the
38 2010–11 fiscal year, the lesser of the amount calculated in
39 subparagraph (A) or the amount by which the sum of the amounts
40 described in subdivision (h) of Section 42238 of the Education
98
AB 94 — 102 —
1 Code exceeds the school district’s revenue limit. This result will
2 be further limited by the following:
3 (i) The amount of categorical funds to be reduced shall be
4 limited to the extent that the provisions of Section 41975 of the
5 Education Code cannot be met through other state aid.
6 (ii) If the amount determined in subparagraph (A) exceeds the
7 amount of categorical funding owed or paid in the 2011–12 fiscal
8 year to the basic aid school district for programs identified in
9 paragraph (2), the department shall recover the lesser amount.
10 (2) The State Department of Education shall recover the amount
11 of funds calculated in paragraph (1) and may offset funds for any
12 categorical program to be received in the 2011–12 fiscal year,
13 with the exception of funds received under the After School
14 Education and Safety Program, the Quality Education Investment
15 Act of 2006, and child care and development.
16 (b) By June 30, 2012, the State Department of Education shall
17 report to the Controller and the Director of Finance the amounts
18 that were recovered from each categorical education program
19 and the corresponding item of appropriation in the Budget Act of
20 2010 that is to be reduced. The amounts so reduced shall revert
21 to the General Fund. The reductions pursuant to this subdivision
22 shall be reductions in the amount appropriated for purposes of
23 Section 8 of Article XVI of the California Constitution for the
25 (c) For purposes of this section, “basic aid school district”
26 means a school district that does not receive from the state, for
27 the 2010–11 fiscal year, an apportionment of state funds pursuant
28 to subdivision (h) of Section 42238 of the Education Code.
29 SEC. 57. (a) It is the intent of the Legislature that basic aid
30 school districts assume categorical funding reductions
31 proportionate to the revenue limit reductions implemented for
32 nonbasic aid districts in the 2008–09 and 2009–10 fiscal years.
33 It is the intent of the Legislature that the reductions to categorical
34 funding for basic aid school districts set forth in this section be
35 restored at the same time as, and in direct proportion to, reductions
36 in the deficit factor for school district revenue limits set forth in
37 Section 42238.146 of the Education Code. The Superintendent of
38 Public Instruction shall reduce the amount of categorical funding
39 allocated to basic aid school districts in the 2011–12 fiscal year,
40 as follows:
98
— 103 — AB 94
1 (1) For the 2011–12 fiscal year, the State Department of

2 Education shall notify each basic aid school district, by September
3 1, 2012, or two months after the Budget Act of 2012 is enacted,
4 whichever is later, of the amount of funds to be reduced from its
5 categorical funding allocations, as follows:
6 (A) Multiply each district’s 2011–12 fiscal year total revenue
7 limit subject to the deficit factor specified in paragraph (5) of
8 subdivision (a) of Section 42238.146 of the Education Code,
9 calculated as of the 2011–12 fiscal year certified second principal
10 apportionment, by 8.92 percent.
11 (B) The department shall recover from categorical funds
12 identified in paragraph (2) and apportioned in the 2012–13 fiscal
13 year to school districts that were basic aid school districts in the
14 2011–12 fiscal year, the lesser of the amount calculated in
15 subparagraph (A) or the amount by which the sum of the amounts
16 described in subdivision (h) of Section 42238 of the Education
17 Code exceeds the school district’s revenue limit. This result will
18 be further limited by the following:
19 (i) The amount of categorical funds to be reduced shall be
20 limited to the extent that the provisions of Section 41975 of the
21 Education Code cannot be met through other state aid.
22 (ii) If the amount determined in subparagraph (A) exceeds the
23 amount of categorical funding owed or paid in the 2012–13 fiscal
24 year to the basic aid school district for programs identified in
25 paragraph (2), the department shall recover the lesser amount.
26 (2) The State Department of Education shall recover the amount
27 of funds calculated in paragraph (1) and may offset funds for any
28 categorical program to be received in the 2012–13 fiscal year,
29 with the exception of funds received under the After School
30 Education and Safety Program, the Quality Education Investment
31 Act of 2006, and child care and development.
32 (b) By June 30, 2013, the State Department of Education shall
33 report to the Controller and the Director of Finance the amounts
34 that were recovered from each categorical education program
35 and the corresponding item of appropriation in the Budget Act of
36 2011 that is to be reduced. The amounts so reduced shall revert
37 to the General Fund. The reductions pursuant to this subdivision
38 shall be reductions in the amount appropriated for purposes of
39 Section 8 of Article XVI of the California Constitution for the
98
AB 94 — 104 —
1 (c) For purposes of this section, “basic aid school district”

2 means a school district that does not receive from the state, for
3 the 2011–12 fiscal year, an apportionment of state funds pursuant
4 to subdivision (h) of Section 42238 of the Education Code.
5 SEC. 58. (a) Notwithstanding any other law, the
6 Superintendent of Public Instruction shall certify to the Controller
7 the amounts needed for the 2011–12 fiscal year to fund the class
8 size reduction program operated pursuant to Chapter 6.10
9 (commencing with Section 52120) of Part 28 of Division 4 of Title
10 2 of the Education Code, pursuant to the following schedule:
11 (1) Within 90 days of the enactment of the Budget Act of 2011,
12 the Superintendent of Public Instruction shall certify to the
13 Controller the amount needed to fund the advance apportionments
14 for the 2011–12 fiscal year, consistent with paragraph (2) of
15 subdivision (c), and paragraph (1) of subdivision (g), of Section
16 52126 and Section 52124.3 of the Education Code.
17 (2) By February 25, 2012, the Superintendent of Public
18 Instruction shall certify to the Controller the amount needed to
19 fund the apportionment payments for the 2011–12 fiscal year on
20 the basis of applications received, consistent with paragraph (2)
21 of subdivision (c), and paragraph (2) of subdivision (g), of Section
23 (3) By July 25, 2012, the Superintendent of Public Instruction
24 shall certify to the Controller the amount needed to fund the
25 apportionments for the 2011–12 fiscal year on the basis of actual
26 enrollment, consistent with paragraph (2) of subdivision (c), and
27 paragraph (3) of subdivision (g), of Section 52126 and Section
28 52124.3 of the Education Code.
29 (4) By April 30, 2013, the Superintendent of Public Instruction
30 shall certify to the Controller the amount needed to fund the full
31 apportionments for the 2011–12 fiscal year on the basis of revised
32 reports of actual enrollment, consistent with paragraph (2) of
33 subdivision (c), and paragraph (3) of subdivision (g), of Section
35 (b) Not later than five days following each certification made
36 pursuant to subdivision (a), the Controller shall transfer from the
37 General Fund to Section A of the State School Fund for allocation
38 by the Superintendent of Public Instruction for purposes of Chapter
39 6.10 (commencing with Section 52120) of Part 28 of Division 4 of
40 Title 2 of the Education Code the following amounts:
98
— 105 — AB 94
1 (1) For the certification made pursuant to paragraph (1) of

2 subdivision (a), the amount certified.
4 subdivision (a), 55 percent of the amount certified minus the
5 amount transferred pursuant to paragraph (1).
7 subdivision (a), the amount certified minus the sum of the amounts
8 transferred pursuant to paragraphs (1) and (2).
10 subdivision (a), the amount certified pursuant to paragraph (4) of
11 subdivision (a) minus the sum of the amounts transferred pursuant
12 to paragraphs (1), (2), and (3).
13 (c) Not less than 30 days before making each certification
14 pursuant to subdivision (a), the Superintendent of Public
15 Instruction shall notify the Department of Finance, the Legislative
16 Analyst, and the appropriate policy and fiscal committees of the
17 Legislature regarding the amounts the Superintendent intends to
18 certify to the Controller and shall include in that notification the
19 data used in determining the amounts to be certified.
20 (d) The per pupil amounts for Option One and Option Two for
21 the 2011–12 fiscal year shall be the same as those provided in the
23 (e) For the purposes of making the computations required by
24 Section 8 of Article XVI of the California Constitution, the transfers
25 made by paragraphs (3) and (4) of subdivision (b) shall be deemed
26 to be “General Fund revenues appropriated for school districts,”
27 as defined in subdivision (c) of Section 41202 of the Education
28 Code, for the 2012–13 fiscal year, and included within the “total
29 allocations to school districts and community college districts
30 from General Fund proceeds of taxes appropriated pursuant to
31 Article XIII B,” as defined in subdivision (e) of Section 41202 of
32 the Education Code, for the 2012–13 fiscal year.
33 SEC. 59. (a) For the 2011–12 fiscal year only, items
34 6440-001-0001, 6440-004-0001, and 6440-005-0001 of Section
35 2.00 of the Budget Act of 2011 collectively reflect a General Fund
36 budget reduction of five hundred million dollars ($500,000,000),
37 which is offset by revenues associated with the fee increases
38 adopted by the Regents of the University of California (regents)
39 in November 2010, including an 8 percent increase for
40 undergraduates, for a net programmatic reduction of,
98
AB 94 — 106 —
1 approximately three hundred eighty-four million dollars

2 ($384,000,000) excluding mandatory cost increases. In
3 implementing the General Fund reduction, the regents shall
4 minimize fee and enrollment impacts on students by targeting
5 actions that lower the costs of instruction and administration.
6 (b) The regents shall submit recommended budget options, based
7 on input from stakeholders, including, but not limited to, input
8 received as of February 18, 2011, with savings estimates for each
9 identified solution, for implementing the budget reductions to the
10 Legislature, the Governor, and stakeholders, including
11 representatives of students and employees, for review and comment
12 by June 1, 2011, prior to adoption of a final plan by the regents.
13 (c) The Legislature expects the university to enroll 209,977
14 state-supported full-time equivalent students (FTES) during the
15 2011–12 academic year. This enrollment target does not include
16 nonresident students and students enrolled in nonstate-supported
17 summer programs. The regents shall report to the Legislature by
18 May 1, 2012, on whether the university has met the 2011–12
19 enrollment goal. If the university does not meet its total
20 state-supported enrollment goal by at least 1,050 FTES, the
21 Director of Finance shall revert to the General Fund by May 15,
22 2012, the total amount of enrollment funding associated with the
23 total share of the enrollment goal that was not met, using the
24 marginal cost per student of $10,011.
25 (d) Not later than September 1, 2012, the regents shall submit
26 a final detailed report to the Governor, the Department of Finance,
27 and the Legislature identifying the value of all of the solutions
28 implemented to achieve the intent of this provision, including the
29 value of any solutions that were not anticipated in the initially
30 approved plan pursuant to subdivision (b), including the reasons
31 therefor.
32 SEC. 60. (a) For the 2011–12 fiscal year only, items
33 6610-001-0001 and 6610-002-0001 of Section 2.00 of the Budget
34 Act of 2011 collectively reflect a General Fund budget reduction
35 of five hundred million dollars ($500,000,000), which is offset by
36 revenues associated with the fee increases adopted by the Trustees
37 of the California State University (trustees) in November 2010,
38 including an 10 percent increase for undergraduates, for a net
39 programmatic reduction of approximately three hundred fifty-three
40 million dollars ($353,000,000) excluding mandatory cost increases.
98
— 107 — AB 94
1 In implementing this General Fund reduction, the trustees shall

2 minimize fee and enrollment impacts on students by targeting
3 actions that lower the costs of instruction and administration.
4 (b) The trustees shall submit recommended budget options,
5 based on input from stakeholders, including, but not limited to,
6 input received as of February 18, 2011, with savings estimates for
7 each identified solution, for implementing the budget reductions
8 to the Legislature, the Governor, and stakeholders, including
9 representatives of students and employees for review and comment
10 by June 1, 2011, prior to adoption of a final plan by the trustees.
11 (c) The Legislature expects the university to enroll 331,716
12 state-supported full-time equivalent students (FTES) during the
13 2011–12 academic year. This enrollment target does not include
14 nonresident students and students enrolled in nonstate-supported
15 summer programs. The trustees shall report to the Legislature by
16 May 1, 2012, on whether the university has met the 2011–12
17 enrollment goal. If the university does not meet its total
18 state-supported enrollment goal by at least 1,659 FTES, the
19 Director of Finance shall revert to the General Fund by May 15,
20 2012, the total amount of enrollment funding associated with the
21 total share of the enrollment goal that was not met, using the
22 marginal cost per student of $7,305.
23 (d) Not later than September 1, 2012, the trustees shall submit
24 a final detailed report to the Governor, the Department of Finance,
25 and the Legislature identifying the value of all of the solutions
26 implemented to achieve the intent of this provision, including the
27 value of any solutions that were not anticipated in the initially
28 approved plan pursuant to subdivision (b), including the reasons
29 therefor.
30 SEC. 61. This act addresses the fiscal emergency declared and
31 reaffirmed by the Governor by proclamation on January 20, 2011,
32 pursuant to subdivision (f) of Section 10 of Article IV of the
33 California Constitution.
34 SEC. 62. This act is a bill providing for appropriations related
35 to the Budget Bill within the meaning of subdivision (e) of Section
36 12 of Article IV of the California Constitution, has been identified
37 as related to the budget in the Budget Bill, and shall take effect
38 immediately.
39 SEC. 63. This act is an urgency statute necessary for the
40 immediate preservation of the public peace, health, or safety within
98
AB 94 — 108 —
1 the meaning of Article IV of the Constitution and shall go into

2 immediate effect. The facts constituting the necessity are:
3 In order to make the necessary statutory changes to implement
4 the Budget Act of 2011 at the earliest time possible, it is necessary
5 that this act take effect immediately.
98

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AMENDED IN SENATE MARCH 14, 2011

california legislature—2011–12 regular session

ASSEMBLY BILL No. 94

Introduced by Committee on Budget (Blumenfield (Chair), Alejo,

January 10, 2011

An act relating to the Budget Act of 2011. An act to amend Sections

legislative counsel’s digest

Education the amount of savings resulting from these provisions, as

maintenance of school buildings, an amount equal to or greater than

Emergency Repair Account. However, the amount to be transferred

(20) Existing law requires the county superintendent of schools to

of ADA attributable to regional occupational centers and programs for

permitted access to student records is prohibited from further disclosing

and graduation data, as well as job placement, salary, and wage

may authorize additional payments, not to exceed $39 million. The

(43) Under existing law, the amount of revenue that a district may

estimates for each identified solution, to the Legislature, the Governor,

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

1 SECTION 1. It is the intent of the Legislature to enact statutory

1 (1) Determine the allowances that county superintendents

1 (B) For purposes of this paragraph, in each of the 2008–09,

1 (c) In computing the revenue limit for each county

1 (c) To provide an environment that is healthy and nurturing for

1 dollar amount of the contract by the minimum child day of average

1 (3) Child care provided by the California School Age Families

1 to 56338, inclusive, Article 2.5 (commencing with Section 56333)

1 (p) “Family child care home education network” means an entity

1 (u) “Parent” means a biological parent, stepparent, adoptive

1 may waive the requirements of this subdivision if the

1 beneficial to the community, or are required because of health

1 reimbursable amounts of the contracts for the Preschool Education

1 otherwise eligible 11 or 12 year old with information about the

1 care under subdivision (b) and is disenrolled from the before or

1 as required by the federal Individuals with Disabilities Education

1 to choose the child care services of licensed child care providers

1 (h) Notwithstanding any other provision of law, reimbursements

1 working days after the effective date of authorized new allocations

1 has the potential effect of reducing the number of full-time

1 (h) “Public agency representative” means a person who

1 defined in subdivision (e) of Section 41202, for the 2003–04 fiscal

1 Fund proceeds of taxes appropriated pursuant to Article XIII B”

1 September of the same calendar year pursuant to the certification

1 (b) The State Allocation Board shall reduce an apportionment

1 SEC. 18. Section 17584.1 of the Education Code, as amended

1 eligible, to participate in the state deferred maintenance funding

1 (b) If a determination is made that a hardship exists pursuant to

1 Reversion Account to the School Facilities Emergency Repair

1 the State of California shall be regarded as separate segments of

1 districts, county offices of education, and community college

1 the same relative proportion that the recipient received in the

1 programs funded through the following items contained in Section

1 (e) Notwithstanding subdivision (d), the following requirements

1 SEC. 27. Section 42606 of the Education Code is amended to

1 paragraph (2) of subdivision (a) of Section 42605, with the

1 (D) The county superintendent of schools or county office of

1 of clauses (i) and (ii) to the county office of education revenue

1 prohibit a school district and its employees from negotiating salary

1 (1) Hold a valid California teaching credential, not including

1 compliance with this section shall receive following that