Bill Text: CA AB103 | 2013-2014 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: School finance: local control funding formula.

Spectrum: Partisan Bill (Democrat 14-0)

Status: (Engrossed - Dead) 2013-09-12 - Ordered to inactive file at the request of Senator Leno. [AB103 Detail]

Download: California-2013-AB103-Amended.html

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BILL NUMBER: AB 103	AMENDED
	BILL TEXT

	AMENDED IN SENATE  AUGUST 28, 2013

INTRODUCED BY   Committee on Budget (  Blumenfield 
 Skinner  (Chair), Bloom,  Bonilla,  
Campos, Chávez,  Chesbro, Daly, Dickinson, Gordon,  Grove,
Harkey,  Jones-Sawyer,  Logue, Mansoor, Melendez, 
Mitchell,  Morrell,  Mullin, Muratsuchi, Nazarian, 
Rendon,       Nestande, Patterson,  Stone, 
and  Ting  , and Wagner  ))

                        JANUARY 10, 2013

    An act relating to the Budget Act of 2013.  
An act to amend Sections 1240, 1622, 2574, 2575, 2576, 8150.5, 8151,
8152, 8154, 8155, 35736.5, 41365, 41367, 42127, 42238.01, 42238.02,
42238.025, 42238.03, 42238.05, 42283, 42284, 42285, 42285.5, 42287,
46200, 46201, 46202, 46208, 47612, 47614.5, 47631, 48664, 49085,
52060, 52061, 52062, 52066, 52068, 52070, 52070.5, 52074, 56836.11,
70022, and 84321.6 of, to amend and repeal Sections 2558 and 47633
of, and to repeal Sections 1982, 42238.20, 46610, 46611, and 48667
of, the Education Code, to amend Section 17581.7 of the Government
Code, to amend Sections 26225, 26233, and 26235 of the Public
Resources Code, to amend Section 115 of Chapter 47 of the Statutes of
2013, to amend Section 83 of Chapter 48 of the Statutes of 2013,
  and to amend Item 6110-001-0001 of Section 2.00 of the
Budget Act of 2013, relating to education finance, and making an
appropriation therefor, to take effect immediately, bill related to
the budget. 



	LEGISLATIVE COUNSEL'S DIGEST


   AB 103, as amended, Committee on Budget.  Budget Act of
2013.   School finance: local control funding formula.
 
   (1) Existing law provides for the attendance of apprentices at
high schools, unified school districts, regional occupational centers
or programs, community colleges, and adult schools under vocational
education programs standards that are established with the
participation of the State Department of Education, the Chancellor of
the California Community Colleges, and the Division of
Apprenticeship Standards of the Department of Industrial Relations.
 
   Existing law establishes standards for the provision of state
funding and reimbursements for these programs at high schools,
unified school districts, regional occupational centers or programs,
and adult schools separate from these programs at community colleges.
Existing law requires, by March 15, 2014, the Chancellor of the
California Community Colleges and the Division of Apprenticeship
Standards of the Department of Industrial Relations, with equal
participation by specified entities, to develop common administrative
practices and treatment for costs and services, as well as other
policies related to apprenticeship programs.  
   This bill would amend these provisions so that they refer to local
educational agencies, as defined to mean a school district or county
office of education, rather than to high schools, unified school
districts, regional occupational centers or programs, and adult
schools. The bill would change the deadline for the development of
common administrative practices and treatment of costs and services
by the Chancellor of the California Community Colleges and the
Division of Apprenticeship Standards of the Department of Industrial
Relations by one day to March 14, 2014.  
   (2) Existing law establishes the Charter School Revolving Loan
Fund in the State Treasury, and authorizes loans to be made from the
fund to qualifying charter schools. Existing law establishes the
Charter School Security Fund, and authorizes deposits to be made from
that fund into the Charter School Revolving Loan Fund in case of a
default on a loan made from the latter fund. Existing law has
transferred the responsibility for the administration of these funds
from the State Department of Education to the California School
Finance Authority commencing with the 2013-14 fiscal year. Existing
law also establishes the Charter School Facility Grant Program under
the administration of the authority. Existing law requires the
authority to adopt emergency regulations to implement these
provisions.  
   This bill would authorize, rather than require, the California
School Finance Authority to adopt any necessary rules and regulations
for the implementation of these provisions.  
   (3) Existing law establishes the public school system in this
state and establishes a public school financing system that requires
state funding for county superintendents of schools, school
districts, and charter schools to be calculated pursuant to a local
control funding formula, as specified. Existing law requires, as part
of the local control funding formula calculation, the calculation of
an annual local control funding formula transition adjustment that
is calculated on the basis of moneys appropriated in the Budget Act
of 2012 for specified programs, including, among others, regional
occupational centers and programs. Existing law, for the 2013-14 and
2014-15 fiscal years only, requires a county superintendent of
schools and a school district that, in the 2012-13 fiscal year,
received funds on behalf of, or provided funds to, a regional
occupational center or program joint powers agency, to not redirect
that funding for another purpose, except as specified. Existing law
also requires, for the 2013-14 and 2014-15 fiscal years only, a
county superintendent of schools and a school district to spend no
less for regional occupational centers and programs than the amount
of funds the county superintendent and school district expended in
the 2012-13 fiscal year.  
   This bill would, for the 2013-14 and 2014-15 fiscal years, require
the Superintendent of Public Instruction to apportion to a regional
occupational center or program joint powers authority the same amount
that authority received in the 2012-13 fiscal year from specified
funding sources. The bill would authorize a county office of
education and school district to include expenditures made by the
county office of education and the school districts within the county
for purposes of regional occupational centers or programs so long as
the total amount of expenditures made by the county office of
education and school districts within the county equals or exceeds
the total amount required to be expended for regional occupational
centers or programs pursuant to specified provisions. The bill would,
for the 2013-14 and 2014-15 fiscal years, require the Superintendent
to reduce the amount of the Budget Act of 2012 entitlement for
regional occupational centers and programs used in the computation of
the local control funding formula transition adjustment for the
Torrance Unified School District by $3,473,574 and would require the
Torrance Unified School District to continue to allocate $3,473,574
for purposes of regional occupational center or program joint power
authority. The bill would also make numerous technical and
substantive changes to provisions related to the local control
funding formula.  
   (4) Existing law requires a county board of education and a
governing board of a school district to annually adopt a budget, as
specified, and requires the Superintendent of Public Instruction to
approve the budget adopted by the county board of education and the
county superintendent of schools to approve the budget adopted by the
governing board of a school district. Existing law requires the
budgets to not be adopted if they do not include the expenditures
identified in a local control and accountability plan or an annual
update to the local control and accountability plan that will be
effective in the subsequent fiscal year. Existing law also requires,
if a budget is disapproved, the formation of a budget review
committee, as specified.  
   This bill would, commencing with the 2014-15 fiscal year, require
that a budget review committee not be formed if the sole reason for a
budget not being approved is the lack of an approved local control
and accountability plan or an annual update.  
   (5) Existing law requires a county superintendent of schools and a
school district to expend no less for home-to-school transportation
programs than the amount of funds the county superintendent of
schools and school district expended for home-to-school
transportation in the 2012-13 fiscal year.  
   This bill would, for the 2013-14 and 2014-15 fiscal years, if a
home-to-school transportation joint powers authority received, in the
2012-13 fiscal year, an apportionment of funds directly from the
Superintendent for any of specified funding sources, require the
Superintendent to apportion the same amount to the home-to-school
transportation joint powers authority.  
   (6) Existing law, as part of the local control funding formula,
requires a county superintendent of schools, school district, and
charter school to annually report the enrollment of unduplicated
pupils, defined as pupils classified as English learners, pupils
eligible for free and reduced-price meals, and foster youth, to the
Superintendent.  
   This bill would require the Superintendent to establish procedures
and timeframes for the annual reporting of this information.

   (7) Existing law, commencing with the 2013-14 fiscal year,
requires the Superintendent to increase certain funding amounts
related to necessary small schools by an amount proportionate to the
increase in the statewide average local control funding formula
allocations for the then current fiscal year.  
   This bill, commencing with the 2013-14 fiscal year, would instead
require the Superintendent to increase the funding amount related to
necessary small schools by the percentage change in the annual
average value of a certain deflator, as specified.  
   (8) Existing law requires the Fallbrook Union High School District
to enter into an interdistrict attendance agreement with the
Capistrano Unified School District to allow up to 150 pupils to
attend schools of the Capistrano Unified School District, as
specified.  
   This bill would repeal the requirement that the Fallbrook Union
High School District enter into the interdistrict attendance
agreement with the Capistrano Unified School District.  
   (9) Existing law requires the State Department of Education and
the State Department of Social Services to enter into a memorandum of
understanding that requires the State Department of Social Services,
at least once per week, to share information related to foster youth
with the State Department of Education.  
   This bill would require the State Department of Education and the
State Department of Social Services to enter into the memorandum of
understanding on or before February 1, 2014.  
   (10) Existing law requires a school district and a county
superintendent of schools to adopt a local control accountability
plan using a template adopted by the State Board of Education.
Existing law requires the local control and accountability plan to
include a description of the annual goals to be achieved for each of
certain state priorities and the specific actions that will be taken
to achieve the annual goals. Existing law requires the governing
board of a school district and the county superintendent of schools
to consult with teachers, principals, administrators, other school
personnel, parents, and pupils in developing the local control and
accountability plan. Existing law requires the county superintendent
of schools to approve a local control and accountability plan or
annual update to a local control and accountability plan adopted by
the governing board of a school district and requires the
Superintendent of Public Instruction to approve a local control and
accountability plan or annual update to a local control and
accountability plan adopted by the county board of education if
specified determinations are made. Existing law establishes the
California Collaborative for Educational Excellence for purposes of
advising and assisting school districts, county superintendents of
schools, and charter schools in achieving the goals set forth in a
local control and accountability plan and requires the
Superintendent, with the approval of the state board, to contract
with individuals, local educational agencies, or organizations with
the expertise, experience, and record of success to carry out the
purposes of local control accountability plans.  
   This bill would require the local control and accountability plan
to also include a listing and description of the expenditures for the
fiscal year implementing the specific actions and the expenditures
for the fiscal year that will serve unduplicated pupils, as defined,
and pupils redesignated as fluent English proficient. The bill would
require the governing board of a school district and county
superintendent of schools to also consult with their local bargaining
units in developing the local control and accountability plan. The
bill would require the county superintendent of schools and the
Superintendent, in approving a local control and accountability plan
or annual update to a local control and accountability plan approved
by the governing board of a school district or county board of
education, respectively, to also determine if the local control and
accountability plan or annual update adheres to specified expenditure
requirements relating to unduplicated pupils. The bill would require
the Superintendent to contract with a local educational agency, or
consortium of local educational agencies, to serve as the fiscal
agent for the California Collaborative for Educational Excellence.
The bill would require the fiscal agent for the California
Collaborative for Educational Excellence to contract with
individuals, local educational agencies, or organizations with the
expertise, experience, and record of success to carry out the
purposes of local control and accountability plans.  
   (11) Existing law provides for the calculation of apportionments
to fund the provision of special education instruction and services
for pupils who qualify for these programs.  
   This bill would require that a specified appropriation in the
Budget Act of 2013 be included in the calculation of the statewide
target amount per unit of average daily attendance used to determine
adjustments to special education apportionments for the 2013-14
fiscal year.  
   (12) Existing law establishes the Student Aid Commission as the
primary state agency for the administration of state-authorized
student financial aid programs available to students attending all
segments of postsecondary education. Existing law establishes the
Middle Class Scholarship Program under the administration of the
Student Aid Commission. The program provides that, subject to an
available and sufficient appropriation, commencing with the 2014-15
academic year, undergraduate students enrolled at the University of
California or the California State University receive a scholarship
award that, combined with other publicly funded student financial
aid, is up to 40% of the amount charged to that student for mandatory
systemwide tuition in that fiscal year if the student meets the
following conditions: has an annual household income that does not
exceed $150,000; satisfies specified requirements for a Cal Grant
award; is a resident of this state or exempt from paying nonresident
tuition; files specified financial aid forms; makes timely
application or applications for publicly funded student financial
aid, as defined, for which he or she is eligible; and maintains at
least a 2.0 grade point average. 
   The program requires, in order for students enrolled in their
respective segments to remain eligible to receive financial aid under
the bill, that the University of California and the California State
University maintain their respective institutional need-based grant
program policies and maintain their funding amounts at a level that,
at a minimum, is equal to the level maintained during the 2013-14
academic year.  
   This bill would provide that the scholarship award under the
Middle Class Scholarship, combined with other publicly funded student
financial aid, would be for up to 40% of the mandatory systemwide
tuition and fees, rather than up to 40% of the mandatory systemwide
tuition, charged to an eligible student in a fiscal year.  
   The bill would require that an eligible student maintain
satisfactory academic progress, rather than a 2.0 grade point
average, to receive a scholarship award under the program.  

   The bill would also require that the University of California and
the California State University not supplant their respective
institutional need-based grants with funds provided for scholarships
under the program, rather than maintain their respective need-based
grant program policies, as specified.  
   (13) Existing law requires the Controller to draw warrants on the
State Treasury in each month of the year for the purpose of funding
school districts, county superintendents of schools, and community
college districts. Existing law defers the drawing of specified
warrants until later dates. With respect to community colleges,
existing law appropriates $591,233,000 from the General Fund to the
Board of Governors of the California Community Colleges, for
expenditure during the 2014-15 fiscal year, in satisfaction of
specified moneys whose payment to the California Community Colleges
has been deferred.  
   This bill would decrease the amount of apportionment to the
California Community Colleges to be deferred from the month of
February to the month of July from $55,233,000 to $52,456,000. The
bill would also increase the amount of the appropriation from the
General Fund to the Board of Governors of the California Community
Colleges, for expenditure during the 2014-15 fiscal year, in
satisfaction of specified deferred amounts from $591,233,000 to
$592,456,000.  
   (14) Existing law, commencing with the 2012-13 fiscal year,
requires certain funds appropriated in the annual Budget Act for
reimbursement of the cost of a new program or increased level of
service of an existing program mandated by statute or executive order
to be available as a block grant to school districts, charter
schools, county offices of education, and community college
districts, to support specified state-mandated local programs.
Existing law provides that a school district, charter school, county
office of education, or community college district that submits a
letter of intent to the Superintendent of Public Instruction or the
Chancellor of the California Community Colleges, as appropriate, and
receives this block grant funding is not eligible to submit a claim
for reimbursement for those specified mandated programs for the
fiscal year for which the block grant funding is received.  

   This bill, with respect to community colleges, would add the
collective bargaining agreement disclosure mandate to the list of
specified state-mandated local programs that are subject to these
provisions that authorize block grant funding in lieu of
program-specific reimbursement.  
   (15) The California Clean Energy Jobs Act, an initiative approved
by the voters as Proposition 39 at the November 6, 2012, statewide
general election, made changes to corporate income taxes and, except
as specified, provides for the transfer of $550,000,000 annually from
the General Fund to the Clean Energy Job Creation Fund, or the Job
Creation Fund, for 5 fiscal years beginning with the 2013-14 fiscal
year. Moneys in the Job Creation Fund are available, upon
appropriation by the Legislature, for purposes of funding eligible
projects that create jobs in California improving energy efficiency
and expanding clean energy generation. Existing law provides for the
allocation of available funds to public school facilities, university
and college facilities, and other public buildings and facilities,
as well as job training and workforce development and public-private
partnerships for eligible projects, as specified. Existing law
establishes prescribed criteria that apply to all expenditures from
the Job Creation Fund.  
   This bill would make various revisions in the provisions of the
act relating to the allocation of Job Creation Fund moneys to
schools, including specifying the calculation of average daily
attendance for state special schools for these purposes, and
clarifying the scope of an authorization for smaller educational
agencies to elect to receive 2 years of this funding at once. 

   (16) Existing law authorizes the Inglewood Unified School
District, through the State Department of Education, to request
cashflow loans from the General Fund for a total of $55,000,000.
 
   This bill would require that the terms and conditions of the
General Fund cashflow loan to include authorization for the payment
of costs incurred before June 15, 2013, by the California
Infrastructure and Economic Development Bank to implement a specified
provision. The bill would make legislative findings and declarations
as to the necessity of a special statute for Inglewood Unified
School District.  
   (17) Existing law, the Budget Act of 2013, appropriates
$35,488,000 from the General Fund to the State Department of
Education for support of various activities of the department. 

   This bill would appropriate an additional $3,164,000 for the
support of the Career Technical Education Pathways Trust one-time
grant program, the Local Control Accountability Plan state-level
activities, and the Local Control Funding Formula administration, as
specified.  
   (18) This bill would, on or before June 30, 2014, authorize the
Board of Governors of the California Community Colleges to increase
certain General Fund apportionment allocations, in an amount to be
determined by the Director of Finance, to the extent that revenues
distributed to local community colleges pursuant to provisions
related to redevelopment agencies are less than the amount estimated
in the Budget Act of 2012, as specified. The bill would require the
Director of Finance to notify the Chairperson of the Joint
Legislative Budget Committee, or his or her designee, of his or her
intent to increase the total allocations and the amount needed to
address the shortfall described above.  
   (19) This bill would make conforming changes, correct
cross-references, and make other nonsubstantive changes.  
   (20) 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.  
   (21) This bill would declare that it is to take effect immediately
as 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 2013. 
   Vote: majority. Appropriation:  no   yes
 . Fiscal committee:  no   yes  .
State-mandated local program: no.


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

   SECTION 1.    Section 1240 of the  
Education Code   is amended   to read: 
   1240.  The county superintendent of schools shall do all of the
following:
   (a) Superintend the schools of his or her county.
   (b) Maintain responsibility for the fiscal oversight of each
school district in his or her county pursuant to the authority
granted by this code.
   (c) (1) Visit and examine each school in his or her county at
reasonable intervals to observe its operation and to learn of its
problems. He or she annually may present a report of the state of the
schools in his or her county, and of his or her office, including,
but not limited to, his or her observations while visiting the
schools, to the board of education and the board of supervisors of
his or her county.
   (2) (A) For fiscal years 2004-05 to 2006-07, inclusive, to the
extent that funds are appropriated for purposes of this paragraph,
the county superintendent, or his or her designee, annually shall
submit a report, at a regularly scheduled November board meeting, to
the governing board of each school district under his or her
jurisdiction, the county board of education of his or her county, and
the board of supervisors of his or her county describing the state
of the schools in the county or of his or her office that are ranked
in deciles 1 to 3, inclusive, of the 2003 base Academic Performance
Index (API), as  defined   described  in
subdivision (b) of Section 17592.70, and shall include, among other
things, his or her observations while visiting the schools and his or
her determinations for each school regarding the status of all of
the circumstances listed in subparagraph (J) and teacher
misassignments and teacher vacancies. As a condition for receipt of
funds, the county superintendent, or his or her designee, shall use a
standardized template to report the circumstances listed in
subparagraph (J) and teacher misassignments and teacher vacancies,
unless the current annual report being used by the county
superintendent, or his or her designee, already includes those
details for each school.
   (B) Commencing with the 2007-08 fiscal year,  to the
extent that funds are appropriated for purposes of this paragraph,
 the county superintendent, or his or her designee, annually
shall submit a report, at a regularly scheduled November board
meeting, to the governing board of each school district under his or
her jurisdiction, the county board of education of his or her county,
and the board of supervisors of his or her county describing the
state of the schools in the county or of his or her office that are
ranked in deciles 1 to 3, inclusive, of the 2006 base API, pursuant
to Section 52056.  As a condition for the receipt of funds,
the   The  annual report shall include the
determinations for each school made by the county superintendent, or
his or her designee, regarding the status of all of the circumstances
listed in subparagraph (J) and teacher misassignments and teacher
vacancies, and the county superintendent, or his or her designee,
shall use a standardized template to report the circumstances listed
in subparagraph (J) and teacher misassignments and teacher vacancies,
unless the current annual report being used by the county
superintendent, or his or her designee, already includes those
details with the same level of specificity that is otherwise required
by this subdivision. For purposes of this section, schools ranked in
deciles 1 to 3, inclusive, on the 2006 base API shall include
schools determined by the department to meet either of the following:

   (i) The school meets all of the following criteria:
   (I) Does not have a valid base API score for 2006.
   (II) Is operating in fiscal year 2007-08 and was operating in
fiscal year 2006-07 during the Standardized Testing and Reporting
(STAR) Program testing period.
   (III) Has a valid base API score for 2005 that was ranked in
deciles 1 to 3, inclusive, in that year.
   (ii) The school has an estimated base API score for 2006 that
would be in deciles 1 to 3, inclusive.
   (C) The department shall estimate an API score for any school
meeting the criteria of subclauses (I) and (II) of clause (i) of
subparagraph (B) and not meeting the criteria of subclause (III) of
clause (i) of subparagraph (B), using available test scores and
weighting or corrective factors it deems appropriate. The department
shall post the API scores on its Internet Web site on or before May
1.
   (D) For purposes of this section, references to schools ranked in
deciles 1 to 3, inclusive, on the 2006 base API shall exclude schools
operated by county offices of education pursuant to Section 56140,
as determined by the department.
   (E) In addition to the requirements above, the county
superintendent, or his or her designee, annually shall verify both of
the following:
   (i) That pupils who have not passed the high school exit
examination by the end of grade 12 are informed that they are
entitled to receive intensive instruction and services for up to two
consecutive academic years after completion of grade 12 or until the
pupil has passed both parts of the high school exit examination,
whichever comes first, pursuant to paragraphs (4) and (5) of
subdivision (d) of Section 37254.
   (ii) That pupils who have elected to receive intensive instruction
and services, pursuant to paragraphs (4) and (5) of subdivision (d)
of Section 37254, are being served.
   (F) (i) Commencing with the 2010-11 fiscal year and every third
year thereafter, the Superintendent shall identify a list of schools
ranked in deciles 1 to 3, inclusive, of the API for which the county
superintendent, or his or her designee, annually shall submit a
report, at a regularly scheduled November board meeting, to the
governing board of each school district under his or her
jurisdiction, the county board of education of his or her county, and
the board of supervisors of his or her county that describes the
state of the schools in the county or of his or her office that are
ranked in deciles 1 to 3, inclusive, of the base API as defined in
clause (ii).
   (ii) For the 2010-11 fiscal year, the list of schools ranked in
deciles 1 to 3, inclusive, of the base API shall be updated using the
criteria set forth in clauses (i) and (ii) of subparagraph (B),
subparagraph (C), and subparagraph (D), as applied to the 2009 base
API and thereafter shall be updated every third year using the
criteria set forth in clauses (i) and (ii) of subparagraph (B),
subparagraph (C), and subparagraph (D), as applied to the base API of
the year preceding the third year consistent with clause (i).
   (iii)  As a condition for the receipt of funds, the
  The  annual report shall include the
determinations for each school made by the county superintendent, or
his or her designee, regarding the status of all of the circumstances
listed in subparagraph (J) and teacher misassignments and teacher
vacancies, and the county superintendent, or his or her designee,
shall use a standardized template to report the circumstances listed
in subparagraph (J) and teacher misassignments and teacher vacancies,
unless the current annual report being used by the county
superintendent, or his or her designee, already includes those
details with the same level of specificity that is otherwise required
by this subdivision.
   (G) The county superintendent of the Counties of Alpine, Amador,
Del Norte, Mariposa, Plumas, and Sierra, and the City and County of
San Francisco shall contract with another county office of education
or an independent auditor to conduct the required visits and make all
reports required by this paragraph.
   (H) On a quarterly basis, the county superintendent, or his or her
designee, shall report the results of the visits and reviews
conducted that quarter to the governing board of the school district
at a regularly scheduled meeting held in accordance with public
notification requirements. The results of the visits and reviews
shall include the determinations of the county superintendent, or his
or her designee, for each school regarding the status of all of the
circumstances listed in subparagraph (J) and teacher misassignments
and teacher vacancies. If the county superintendent, or his or her
designee, conducts no visits or reviews in a quarter, the quarterly
report shall report that fact.
   (I) The visits made pursuant to this paragraph shall be conducted
at least annually and shall meet the following criteria:
   (i) Minimize disruption to the operation of the school.
   (ii) Be performed by individuals who meet the requirements of
Section 45125.1.
   (iii) Consist of not less than 25 percent unannounced visits in
each county. During unannounced visits in each county, the county
superintendent shall not demand access to documents or specific
school personnel. Unannounced visits shall only be used to observe
the condition of school repair and maintenance, and the sufficiency
of instructional materials, as defined by Section 60119.
   (J) The priority objective of the visits made pursuant to this
paragraph shall be to determine the status of all of the following
circumstances:
   (i) Sufficient textbooks as defined in Section 60119 and as
specified in subdivision (i).
   (ii) The condition of a facility that poses an emergency or urgent
threat to the health or safety of pupils or staff as 
defined   described  in  school  district
policy or paragraph (1) of subdivision (c) of Section 17592.72.
   (iii) The accuracy of data reported on the school accountability
report card with respect to the availability of sufficient textbooks
and instructional materials, as defined by Section 60119, and the
safety, cleanliness, and adequacy of school facilities, including
good repair as required by Sections 17014, 17032.5, 17070.75, and
17089.
   (iv) The extent to which pupils who have not passed the high
school exit examination by the end of grade 12 are informed that they
are entitled to receive intensive instruction and services for up to
two consecutive academic years after completion of grade 12 or until
the pupil has passed both parts of the high school exit examination,
whichever comes first, pursuant to paragraphs (4) and (5) of
subdivision (d) of Section 37254.
   (v) The extent to which pupils who have elected to receive
intensive instruction and services, pursuant to paragraphs (4) and
(5) of subdivision (d) of Section 37254, are being served.
   (K) The county superintendent may make the status determinations
described in subparagraph (J) during a single visit or multiple
visits. In determining whether to make a single visit or multiple
visits for this purpose, the county superintendent shall take into
consideration factors such as cost-effectiveness, disruption to the
schoolsite, deadlines, and the availability of qualified reviewers.
   (L) If the county superintendent determines that the condition of
a facility poses an emergency or urgent threat to the health or
safety of pupils or staff as  defined  
described  in  school  district policy or paragraph (1)
of subdivision (c) of Section 17592.72, or is not in good repair, as
specified in subdivision (d) of Section 17002 and required by
Sections 17014, 17032.5, 17070.75, and 17089, the county
superintendent, among other things, may do any of the following:
   (i) Return to the school to verify repairs.
   (ii) Prepare a report that specifically identifies and documents
the areas or instances of noncompliance if the  school 
district has not provided evidence of successful repairs within 30
days of the visit of the county superintendent or, for major
projects, has not provided evidence that the repairs will be
conducted in a timely manner. The report may be provided to the
governing board of the school district. If the report is provided to
the school district, it shall be presented at a regularly scheduled
meeting held in accordance with public notification requirements. The
county superintendent shall post the report on his or her Internet
Web site. The report shall be removed from the Internet Web site when
the county superintendent verifies the repairs have been completed.
   (d) Distribute all laws, reports, circulars, instructions, and
blanks that he or she may receive for the use of the school officers.

   (e) Annually, on or before August 15, present a report to the
governing board of the school district and the Superintendent
regarding the fiscal solvency of a school district with a disapproved
budget, qualified interim certification, or a negative interim
certification, or that is determined to be in a position of fiscal
uncertainty pursuant to Section 42127.6.
   (f) Keep in his or her office the reports of the Superintendent.
   (g) Keep a record of his or her official acts, and of all the
proceedings of the county board of education, including a record of
the standing, in each study, of all applicants for certificates who
have been examined, which shall be open to the inspection of an
applicant or his or her authorized agent.
   (h) Enforce the course of study.
   (i) (1) Enforce the use of state textbooks and instructional
materials and of high school textbooks and instructional materials
regularly adopted by the proper authority in accordance with Section
51050.
   (2) For purposes of this subdivision, sufficient textbooks or
instructional materials has the same meaning as in subdivision (c) of
Section 60119.
   (3) (A) Commencing with the 2005-06 school year, if a school is
ranked in any of deciles 1 to 3, inclusive, of the base API, as
specified in paragraph (2) of subdivision (c), and not currently
under review pursuant to a state or federal intervention program, the
county superintendent specifically shall review that school at least
annually as a priority school. A review conducted for purposes of
this paragraph shall be completed by the fourth week of the school
year. For the 2004-05 fiscal year only, the county superintendent
shall make a diligent effort to conduct a visit to each school
pursuant to this paragraph within 120 days of receipt of funds for
this purpose.
   (B) In order to facilitate the review of instructional materials
before the fourth week of the school year, the county superintendent
in a county with 200 or more schools that are ranked in any of
deciles 1 to 3, inclusive, of the base API, as specified in paragraph
(2) of subdivision (c), may utilize a combination of visits and
written surveys of teachers for the purpose of determining
sufficiency of textbooks and instructional materials in accordance
with subparagraph (A) of paragraph (1) of subdivision (a) of Section
60119 and as defined in subdivision (c) of Section 60119. If a county
superintendent elects to conduct written surveys of teachers, the
county superintendent shall visit the schools surveyed within the
same academic year to verify the accuracy of the information reported
on the surveys. If a county superintendent surveys teachers at a
school in which the county superintendent has found sufficient
textbooks and instructional materials for the previous two
consecutive years and determines that the school does not have
sufficient textbooks or instructional materials, the county
superintendent shall within 10 business days provide a copy of the
insufficiency report to the school district as set forth in paragraph
(4).
   (C) For purposes of this paragraph, "written surveys" may include
paper and electronic or online surveys.
   (4) If the county superintendent  of schools  determines
that a school does not have sufficient textbooks or instructional
materials in accordance with subparagraph (A) of paragraph (1) of
subdivision (a) of Section 60119 and as defined by subdivision (c) of
Section 60119, the county superintendent shall do all of the
following:
   (A) Prepare a report that specifically identifies and documents
the areas or instances of noncompliance.
   (B) Provide within five business days of the review, a copy of the
report to the school district, as provided in subdivision (c), or,
if applicable, provide a copy of the report to the school district
within 10 business days pursuant to subparagraph (B) of paragraph
(3).
   (C) Provide the school district with the opportunity to remedy the
deficiency. The county superintendent shall ensure remediation of
the deficiency no later than the second month of the school term.
   (D) If the deficiency is not remedied as required pursuant to
subparagraph (C), the county superintendent shall request the
department to purchase the textbooks or instructional materials
necessary to comply with the sufficiency requirement of this
subdivision. If the department purchases textbooks or instructional
materials for the school district, the department shall issue a
public statement at the first regularly scheduled meeting of the
state board occurring immediately after the department receives the
request of the county superintendent and that meets the applicable
public notice requirements, indicating that the district
superintendent and the governing board of the school district failed
to provide pupils with sufficient textbooks or instructional
materials as required by this subdivision. Before purchasing the
textbooks or instructional materials, the department shall consult
with the  school  district to determine which textbooks or
instructional materials to purchase.  All purchases of
textbooks or instructional materials shall comply with Chapter 3.25
(commencing with Section 60420) of Part 33.  The amount of
funds necessary for the purchase of the textbooks and materials is a
loan to the school district receiving the textbooks or instructional
materials. Unless the school district repays the amount owed based
upon an agreed-upon repayment schedule with the Superintendent, the
Superintendent shall notify the Controller and the Controller shall
deduct an amount equal to the total amount used to purchase the
textbooks and materials from the next principal apportionment of the
 school  district or from another apportionment of state
funds.
   (j) Preserve carefully all reports of school officers and
teachers.
   (k) Deliver to his or her successor, at the close of his or her
official term, all records, books, documents, and papers belonging to
the office, taking a receipt for them, which shall be filed with the
department.
   (l) (1) Submit two reports during the fiscal year to the county
board of education in accordance with the following:
   (A) The first report shall cover the financial and budgetary
status of the county office of education for the period ending
October 31. The second report shall cover the period ending January
31. Both reports shall be reviewed by the county board of education
and approved by the county superintendent no later than 45 days after
the close of the period being reported.
   (B) As part of each report, the county superintendent shall
certify in writing whether or not the county office of education is
able to meet its financial obligations for the remainder of the
fiscal year and, based on current forecasts, for two subsequent
fiscal years. The certifications shall be classified as positive,
qualified, or negative, pursuant to standards prescribed by the
Superintendent, for the purposes of determining subsequent state
agency actions pursuant to Section 1240.1. For purposes of this
subdivision, a negative certification shall be assigned to a county
office of education that, based upon current projections, will not
meet its financial obligations for the remainder of the fiscal year
or for the subsequent fiscal year. A qualified certification shall be
assigned to a county office of education that may not meet its
financial obligations for the current fiscal year or two subsequent
fiscal years. A positive certification shall be assigned to a county
office of education that will meet its financial obligations for the
current fiscal year and subsequent two fiscal years. In accordance
with those standards, the Superintendent may reclassify a
certification. If a county office of education receives a negative
certification, the Superintendent, or his or her designee, may
exercise the authority set forth in subdivision (c) of Section 1630.
Copies of each certification, and of the report containing that
certification, shall be sent to the Superintendent at the time the
certification is submitted to the county board of education. Copies
of each qualified or negative certification and the report containing
that certification shall be sent to the Controller at the time the
certification is submitted to the county board of education.
   (i) For the 2011-12 fiscal year, notwithstanding any of the
standards and criteria adopted by the state board pursuant to Section
33127, each county office of education budget shall project the same
level of revenue per unit of average daily attendance as it received
in the 2010-11 fiscal year and shall maintain staffing and program
levels commensurate with that level.
   (ii) For the 2011-12 fiscal year, the county superintendent shall
not be required to certify in writing whether or not the county
office of education is able to meet its financial obligations for the
two subsequent fiscal years.
   (iii) For the 2011-12 fiscal year, notwithstanding any of the
standards and criteria adopted by the state board pursuant to Section
33127, the Superintendent, as a condition on approval of a county
office of education budget, shall not require a county office of
education to project a lower level of revenue per unit of average
daily attendance than it received in the 2010-11 fiscal year nor
require the county superintendent to certify in writing whether or
not the county office of education is able to meet its financial
obligations for the two subsequent fiscal years.
   (2) All reports and certifications required under this subdivision
shall be in a format or on forms prescribed by the Superintendent,
and shall be based on standards and criteria for fiscal stability
adopted by the state board pursuant to Section 33127. The reports and
supporting data shall be made available by the county superintendent
to an interested party upon request.
   (3) This subdivision does not preclude the submission of
additional budgetary or financial reports by the county
superintendent to the county board of education or to the
Superintendent.
   (4) The county superintendent is not responsible for the fiscal
oversight of the community colleges in the county, however, he or she
may perform financial services on behalf of those community
colleges.
   (m) If requested, act as agent for the purchase of supplies for
the city and high school districts of his or her county.
   (n) For purposes of Section 44421.5, report to the Commission on
Teacher Credentialing the identity of a certificated person who
knowingly and willingly reports false fiscal expenditure data
relative to the conduct of an educational program. This requirement
applies only if, in the course of his or her normal duties, the
county superintendent discovers information that gives him or her
reasonable cause to believe that false fiscal expenditure data
relative to the conduct of an educational program has been reported.

   (o) If any activities authorized pursuant to this section are
found to be a state reimbursable mandate pursuant to Section 6 of
Article XIII B of the California Constitution, funding provided for
school districts and county offices of education pursuant to Sections
2574, 2575, 42238.02, and 42238.03 shall be used to directly offset
any mandated costs. 
   SEC. 2.   Section 1622 of the   Education
Code   is amended to read: 
   1622.  (a) On or before July 1 of each fiscal year, the county
board of education shall adopt an annual budget for the budget year
and shall file the budget with the Superintendent, the county board
of supervisors, and the county auditor. The budget, and supporting
data, shall be maintained and made available for public review. The
budget shall indicate the date, time, and location at which the
county board of education held the public hearing required under
Section 1620. For the 2014-15 fiscal year and each fiscal year
thereafter, the county board of education shall not adopt a budget
before the county board of education adopts a local control and
accountability plan or approves an update to an existing local
control and accountability plan if an existing local control and
accountability plan or update to a local control and accountability
plan is not effective during the budget year. The county board of
education shall not adopt a budget that does not include the
expenditures identified in the local control and accountability plan
and any annual update to the local control and accountability plan
that will be effective in the subsequent fiscal year. 
Notwithstanding any other provision of this article, for the 2014-15
fiscal year and each fiscal year thereafter, the budget shall not be
adopted or approved by the Superintendent before a local control and
accountability plan or update to an existing local control and
accountability plan for the budget year is approved. 
   (b) (1) The Superintendent shall examine the budget to determine
if it (A) complies with the standards and criteria adopted by the
state board pursuant to Section 33127 for application to final local
educational agency budgets, (B) allows the county office of education
to meet its financial obligations during the fiscal year, and (C) is
consistent with a financial plan that will enable the county office
of education to satisfy its multiyear financial commitments. In
addition, the Superintendent shall identify any technical corrections
to the budget that must be made. On or before August 15, the
Superintendent shall approve or disapprove the budget and, in the
event of a disapproval, transmit to the county office of education in
writing his or her recommendations regarding revision of the budget
and the reasons for those recommendations.
   (2) For the 2011-12 fiscal year, notwithstanding any of the
standards and criteria adopted by the state board pursuant to Section
33127, the Superintendent, as a condition on approval of a county
office of education budget, shall not require a county office of
education to project a lower level of revenue per unit of average
daily attendance than it received in the 2010-11 fiscal year nor
require the county superintendent to certify in writing whether or
not the county office of education is able to meet its financial
obligations for the two subsequent fiscal years.

    (3) For the 2014-15 fiscal year and each fiscal year thereafter,
the Superintendent shall disapprove a budget if any of the following
occur:
   (A) The Superintendent has not approved a local control and
accountability plan or an annual update to the local control and
accountability plan filed by a county superintendent of schools
pursuant to Section 52067.
   (B) The Superintendent determines that the budget does not include
the expenditures necessary to implement the local control and
accountability plan or an annual update to the local control and
accountability plan that is effective for that budget year.
   (c) On or before September 8, the county board of education shall
revise the county office of education budget to reflect changes in
projected income or expenditures subsequent to July 1, and to include
any response to the recommendations of the Superintendent, shall
adopt the revised budget, and shall file the revised budget with the
Superintendent, the county board of supervisors, and the county
auditor. Before revising the budget, the county board of education
shall hold a public hearing regarding the proposed revisions, which
shall be made available for public inspection not less than three
working days before the hearing. The agenda for that hearing shall be
posted at least 72 hours before the public hearing and shall include
the location where the budget will be available for public
inspection. The revised budget, and supporting data, shall be
maintained and made available for public review.
   (d)  (1)    The Superintendent shall examine the
revised budget to determine if it complies with the standards and
criteria adopted by the state board pursuant to Section 33127 for
application to final local educational agency budgets and, no later
than October 8, shall approve or disapprove the revised budget. For
the 2014-15 fiscal year and each fiscal year thereafter, the
Superintendent shall disapprove a revised budget if the
Superintendent determines that the revised budget does not include
the expenditures necessary to implement the local control and
accountability or an annual update to the local control and
accountability plan approved by the Superintendent pursuant to
Section 52067. If the Superintendent disapproves the budget, he or
she shall call for the formation of a budget review committee
pursuant to Section 1623. For the 2011-12 fiscal year,
notwithstanding any of the standards and criteria adopted by the
state board pursuant to Section 33127, the Superintendent, as a
condition on approval of a county office of education budget, shall
not require a county office of education to project a lower level of
revenue per unit of average daily attendance than it received in the
2010-11 fiscal year nor require the county superintendent to certify
in writing whether or not the county office of education is able to
meet its financial obligations for the two subsequent fiscal years.

   (2) Notwithstanding any other law, for the 2014-15 fiscal year and
each fiscal year thereafter, if the Superintendent disapproves the
budget for the sole reason that the Superintendent has not approved a
local control and accountability plan or an annual update to the
local control and accountability plan filed by the county
superintendent of schools pursuant to Section 52067, the
Superintendent shall not call for the formation of a budget review
committee pursuant to Section 1623. 
   (e) Notwithstanding any other provision of this section, the
budget review for a county office of education shall be governed by
paragraphs (1), (2), and (3) of this subdivision, rather than by
subdivisions (c) and (d), if the county board of education so elects,
and notifies the Superintendent in writing of that decision, no
later than October 31 of the immediately preceding calendar year.
   (1) In the event of the disapproval of the budget of a county
office of education pursuant to subdivision (b), on or before
September 8, the county superintendent of schools and the county
board of education shall review the recommendations of the
Superintendent at a regularly scheduled meeting of the county board
of education and respond to those recommendations. That response
shall include the proposed actions to be taken, if any, as a result
of those recommendations.
   (2) No later than October 8, after receiving the response required
under paragraph (1), the Superintendent shall review that response
and either approve or disapprove the budget of the county office of
education. For the 2014-15 fiscal year and each fiscal year
thereafter, the Superintendent shall disapprove a budget if the
Superintendent determines that the budget adopted by the county board
of education does not include the expenditures necessary to
implement the local control and accountability plan or an annual
update to the local control and accountability plan approved by the
Superintendent pursuant to Section 52067.  If  
Except as provided in paragraph (2) of subdivision (d), if  the
Superintendent disapproves the budget, he or she shall call for the
formation of a budget review committee pursuant to Section 1623.
   (3) Not later than 45 days after the Governor signs the annual
Budget Act, the county office of education shall make available for
public review any revisions in revenues and expenditures that it has
made to its budget to reflect the funding made available by that
Budget Act.
   SEC. 3.    Sect   ion 1982 of the  
Education Code   is repealed.  
   1982.  (a) County community schools shall be administered by the
county superintendent of schools.
   For purposes of making apportionments from the State School Fund
and the levying of local taxes, any attendance generated by pupils in
county community schools in kindergarten or any of grades 1 to 12,
inclusive, who are enrolled pursuant to subdivisions (a), (b), and
(d) of Section 1981 as well as any attendance generated by pupils in
county community schools in kindergarten or any of grades 1 to 6,
inclusive, who are enrolled pursuant to paragraph (1) or (2) of
subdivision (c) of Section 1981 shall be credited to the district of
residence. School districts shall pay to the county for the purposes
of the community schools the entire revenue limit for each average
daily attendance credited pursuant to this section. No funds
generated by average daily attendance credited pursuant to this
section shall be retained by the district of residence. The county
superintendent of schools may use funds derived from existing tax
revenues to provide additional funding per pupil enrolled in county
community schools but not to exceed the difference between the amount
derived per pupil from the district and the amount available per
pupil enrolled in juvenile court schools.
   (b) For the purposes of making apportionments from the State
School Fund, pupils enrolled in county community schools pursuant to
subdivision (c) of Section 1981 shall be deemed to be enrolled in a
county juvenile hall or camp except pupils enrolled in kindergarten
or any of grades 1 to 6, inclusive, who are enrolled pursuant to
paragraph (1) or (2) of subdivision (c) of Section 1981.
   (c) For the purposes of this section, the county superintendent of
schools providing educational services to homeless children shall be
deemed to be the district of residence of those children. 
   SEC. 4.    Section 2558 of the   Education
Code   is amended to read: 
   2558.  Notwithstanding any other law, for the 1979-80 fiscal year
and each fiscal year thereafter, the Superintendent shall apportion
state aid to county superintendents of schools pursuant to this
section.
   (a) The Superintendent shall total the amounts computed for the
fiscal year pursuant to Sections 2550, 2551.3, 2554, 2555, and 2557
and Section 2551, as that section read on January 1, 1999. For the
1979-80 fiscal year and for purposes of calculating the 1979-80
fiscal year base amounts in succeeding fiscal years, the amounts in
Sections 2550, 2551, 2552, 2554, 2555, and 2557, as they read in the
1979-80 fiscal year, shall be multiplied by a factor of 0.994. For
the 1981-82 fiscal year and for purposes of calculating the 1981-82
fiscal year base amounts in succeeding fiscal years, the amount in
this subdivision shall be multiplied by a factor of 0.97.
   (b) For the 1995-96 fiscal year and each fiscal year thereafter,
the county superintendent of schools shall adjust the total revenue
limit computed pursuant to this section by the amount of increased or
decreased employer contributions to the Public Employees' Retirement
System resulting from the enactment of Chapter 330 of the Statutes
of 1982, adjusted for any changes in those contributions resulting
from subsequent changes in employer contribution rates, excluding
rate changes due to the direct transfer of the state-mandated portion
of the employer contributions to the Public Employees' Retirement
System through the current fiscal year. The adjustment shall be
calculated for each county superintendent of schools as follows:
   (1) Determine the amount of employer contributions that would have
been made in the current fiscal year if the applicable Public
Employees' Retirement System employee contribution rate in effect
immediately before the enactment of Chapter 330 of the Statutes of
1982 were in effect during the current fiscal year.
   (2) Determine the actual amount of employer contributions made to
the Public Employees' Retirement System in the current fiscal year.
   (3) If the amount determined in paragraph (1) is greater than the
amount determined in paragraph (2), the total revenue limit computed
pursuant to this part for that county superintendent of schools shall
be decreased by the amount of the difference between those
paragraphs; or if the amount determined in paragraph (1) is less than
the amount determined in paragraph (2), the total revenue limit for
that county superintendent of schools shall be increased by the
amount of the difference between those paragraphs.
   (4) For purposes of this subdivision, employer contributions to
the Public Employees' Retirement System for either of the following
positions shall be excluded from the calculation specified above:
   (A) Positions or portions of positions supported by federal funds
that are subject to supplanting restrictions.
   (B) Positions supported, to the extent of employers' contributions
not exceeding twenty-five thousand dollars ($25,000) by any single
educational agency, from a non-General Fund revenue source determined
to be properly excludable from this subdivision by the
Superintendent with the approval of the Director of Finance.
Commencing in the 2002-03 fiscal year, only positions supported from
a non-General Fund revenue source determined to be properly
excludable as identified for a particular local educational agency or
pursuant to a blanket waiver by the Superintendent and the Director
of Finance, before the 2002-03 fiscal year, may be excluded pursuant
to this paragraph.
   (5) For accounting purposes, any reduction to county office of
education revenue limits made by this subdivision may be reflected as
an expenditure from appropriate sources of revenue as directed by
the Superintendent.
   (6) The amount of the increase or decrease to the revenue limits
of county superintendents of schools made by this subdivision for the
1995-96 to 2001-02 fiscal years, inclusive, may not be adjusted by
the deficit factor applied to the revenue limit of each county
superintendent of schools pursuant to Section 2558.45.
   (7) For the 2003-04 fiscal year and any fiscal year thereafter,
the revenue limit reduction specified in Section 2558.46 may not be
applied to the amount of the increase or decrease to the revenue
limits of each county superintendent of schools computed pursuant to
paragraph (3).
   (c) The Superintendent shall also subtract from the amount
determined in subdivision (a) the sum of all of the following:
   (1) Local property tax revenues received pursuant to Section 2573
in the then current fiscal year, and tax revenues received pursuant
to Section 2556 in the then current fiscal year.
   (2) State and federal categorical aid for the fiscal year.
   (3) District contributions pursuant to Section 52321 for the
fiscal year, and other applicable local contributions and revenues.
   (4) Any amounts that the county superintendent of schools was
required to maintain as restricted and not available for expenditure
in the 1978-79 fiscal year as specified in the second paragraph of
subdivision (c) of Section 6 of Chapter 292 of the Statutes of 1978,
as amended by Chapter 51 of the Statutes of 1979.
   (5) The amount received pursuant to subparagraph (C) of paragraph
(3) of subdivision (a) of Section 33607.5 of the Health and Safety
Code that is considered property taxes pursuant to that section.
   (6) The amount, if any, received pursuant to Sections 34177,
34179.5, 34179.6, and 34188 of the Health and Safety Code.
   (7) The amount, if any, received pursuant to subparagraph (B) of
paragraph (3) of subdivision (e) of Section 36 of Article XIII of the
California Constitution.
   (d) The remainder computed in subdivision (c) shall be distributed
in the same manner as state aid to school districts from funds
appropriated to Section A of the State School Fund.
   (e) If the remainder determined pursuant to subdivision (c) is a
negative amount, no state aid shall be distributed to that county
superintendent of schools pursuant to subdivision (d), and an amount
of funds of that county superintendent of schools equal to that
negative amount shall be deemed restricted and not available for
expenditure during the current fiscal year. In the next fiscal year,
that amount shall be considered local property tax revenue for
purposes of the operation of paragraph (1) of subdivision (c).
   (f) The calculations set forth in paragraphs (1) to (3),
inclusive, of subdivision (b) exclude employer contributions for
employees of charter schools funded pursuant to Article 2 (commencing
with Section 47633) of Chapter 6 of Part 26.8 of Division 4 of Title
2. 
   (g) Commencing with the 2013-14 fiscal year, this section shall be
used only for purposes of allocating revenues received pursuant to
subparagraph (B) of paragraph (3) of subdivision (e) of Section 36 of
Article XIII of the California Constitution.  
   (h) This section shall become inoperative on July 1, 2021, and, as
of January 1, 2022, is repealed, unless a later enacted statute,
that becomes operative on or before January 1, 2022, deletes or
extends the dates on which it becomes inoperative and is repealed.

   SEC. 5.    Section 2574 of the   Education
Code   is amended to read: 
   2574.  For the 2013-14 fiscal year and for each fiscal year
thereafter, the Superintendent annually shall calculate a county
local control funding formula for each county superintendent of
schools as follows:
   (a) Compute a county office of education operations grant equal to
the sum of each of the following amounts:
   (1) Six hundred fifty-five thousand nine hundred twenty dollars
($655,920).
   (2) One hundred nine thousand three hundred twenty dollars
($109,320) multiplied by the number of school districts for which the
county superintendent of schools has jurisdiction pursuant to
Section 1253.
   (3) (A) Seventy dollars ($70) multiplied by the number of units of
countywide average daily attendance, up to a maximum of 30,000
units.  For purposes of this section, countywide average
daily attendance means the aggregate number of annual units of
average daily attendance within the county attributable to all school
districts for which the county superintendent of schools has
jurisdiction pursuant to Section 1253, charter schools physically
located within the county, and the schools operated by the county
superintendent of schools. 
   (B) Sixty dollars ($60) multiplied by the number of units of
countywide average daily attendance for the portion of countywide
average daily attendance, if any, above 30,000 units, up to a maximum
of 60,000 units.
   (C) Fifty dollars ($50) multiplied by the number of units of
countywide average daily attendance for the portion of countywide
average daily attendance, if any, above 60,000, up to a maximum of
140,000 units.
   (D) Forty dollars ($40) multiplied by the number of units of
countywide average daily attendance for the portion of countywide
average daily attendance, if any, above 140,000 units. 
   (E) For purposes of this section, countywide average daily
attendance means the aggregate number of annual units of average
daily attendance within the county attributable to all school
districts for which the county superintendent of schools has
jurisdiction pursuant to Section 1253, charter schools authorized by
school districts for which the county superintendent of schools has
jurisdiction, and charter schools authorized by the county
superintendent of schools. 
   (4) For the 2014-15 fiscal year and each fiscal year thereafter,
adjust each of the  amounts  rates 
provided in the prior year pursuant to paragraphs (1), (2), and (3)
by the percentage change in the annual average value of the Implicit
Price Deflator for State and Local Government Purchases of Goods and
Services for the United States, as published by the United States
Department of Commerce for the 12-month period ending in the third
quarter of the prior fiscal year. This percentage change shall be
determined using the latest data available as of May 10 of the
preceding fiscal year compared with the annual average value of the
same deflator for the 12-month period ending in the third quarter of
the second preceding fiscal year, using the latest data available as
of May 10 of the preceding fiscal year, as reported by the Department
of Finance.
   (b) Determine the enrollment percentage of unduplicated pupils
pursuant to the following:
   (1) (A) For the 2013-14 fiscal year, divide the enrollment of
unduplicated pupils in all schools operated by a county
superintendent of schools in the 2013-14 fiscal year by the total
enrollment in those schools in the 2013-14 fiscal year.
   (B) For the 2014-15 fiscal year, divide the sum of the enrollment
of unduplicated pupils in all schools operated by a county
superintendent of schools in the 2013-14 and 2014-15 fiscal years by
the sum of the total enrollment in those schools in the 2013-14 and
2014-15 fiscal years.
   (C) For the 2015-16 fiscal year and each fiscal year thereafter,
divide the sum of the enrollment of unduplicated pupils in all
schools operated by a county superintendent of schools in the current
fiscal year and the two prior fiscal years by the sum of the total
enrollment in those schools in the current fiscal year and the two
prior fiscal years.
   (D) For purposes of determining the enrollment percentage of
unduplicated pupils pursuant to this subdivision, enrollment in
schools or classes established pursuant to Article 2.5 (commencing
with Section 48645) of Chapter 4 of Part 27 of Division 4 of Title 2
and the enrollment of pupils other than the pupils identified in
clauses (i) to (iii), inclusive, of subparagraph (A) of paragraph (4)
of subdivision (c), shall be excluded from the calculation of the
enrollment percentage of unduplicated pupils.
   (2) For purposes of this section, an "unduplicated pupil" is a
pupil who is classified as an English learner, eligible  to
receive   for  a free or reduced-price meal, or a
foster youth. For purposes of this section, the definitions in
Section 42238.01 of an English learner, a pupil eligible to
receive   for  a free or reduced-price meal, and
foster youth shall apply. A pupil shall be counted only once for
purposes of this section if any of the following apply:
   (A) The pupil is classified as an English learner and is eligible
for a free or reduced-price meal.
   (B) The pupil is classified as an English learner and is a foster
youth.
   (C) The pupil is eligible for a free or reduced-price meal and is
classified as a foster youth.
   (D) The pupil is classified as an English learner, is eligible for
a free or reduced-price meal, and is a foster youth.
   (3) (A)  Commencing   Under procedures and
timeframes established by the Superintendent, commencing  
 with the 2013-14 fiscal year, a county superintendent of
schools annually shall report the enrollment of unduplicated pupils,
pupils classified as English learners, pupils eligible for free and
reduced-price meals, and foster youth in schools operated by the
county superintendent of schools to the Superintendent using the
California Longitudinal Pupil Achievement Data System.
   (B) The Superintendent shall make the calculations pursuant to
this section using the data submitted through the California
Longitudinal Pupil Achievement Data System.
   (C) The Controller shall include instructions, as appropriate, in
the audit guide required by subdivision (a) of Section 
14502.1   14502.1,  for determining if the data
reported by a county superintendent of schools using the California
Longitudinal Pupil Achievement Data System is consistent with pupil
data records maintained by the county office of education.
   (c) Compute an alternative education grant equal to the sum of the
following:
   (1) (A) For the 2013-14 fiscal year, a base grant equal to the
2012-13 per pupil undeficited statewide average juvenile court school
base revenue limit calculated pursuant to Article 3 (commencing with
Section 2550)  of Chapter 12  , as that article read on
January 1, 2013.
   (B) Commencing with the 2013-14 fiscal year, the per pupil base
grant shall be adjusted by the percentage change in the annual
average value of the Implicit Price Deflator for State and Local
Government Purchases of Goods and Services for the United States, as
published by the United States Department of Commerce for the
12-month period ending in the third quarter of the prior fiscal year.
This percentage change shall be determined using the latest data
available as of May 10 of the preceding fiscal year compared with the
annual average value of the same deflator for the 12-month period
ending in the third quarter of the second preceding fiscal year,
using the latest data available as of May 10 of the preceding fiscal
year, as reported by the Department of Finance.
   (2) A supplemental grant equal to 35 percent of the base grant
described in paragraph (1) multiplied by the enrollment percentage
calculated in subdivision (b). The supplemental grant shall be
expended in accordance with the regulations adopted pursuant to
Section 42238.07.
   (3) (A) A concentration grant equal to 35 percent of the base
grant described in paragraph (1) multiplied by the greater of either
of the following:
   (i) The enrollment percentage calculated in subdivision (b) less
50 percent.
   (ii) Zero.
   (B) The concentration grant shall be expended in accordance with
the regulations adopted pursuant to Section 42238.07.
   (4) (A) Multiply the sum of paragraphs (1), (2), and (3) by the
total number of units of average daily attendance for pupils
attending schools operated by a county office of education, excluding
units of average daily attendance for pupils attending schools or
classes established pursuant to Article 2.5 (commencing with Section
48645) of Chapter 4 of Part 27 of Division 4 of Title 2, who are 
enrolled pursuant to  any of the following:
   (i) Probation-referred pursuant to Sections 300, 601, 602, and 654
of the Welfare and Institutions Code.
   (ii) On probation or parole and not in attendance in a school.
   (iii) Expelled for any of the reasons specified in subdivision (a)
or (c) of Section 48915.
   (B) Multiply the number of units of average daily attendance for
pupils attending schools or classes established pursuant to Article
2.5 (commencing with Section 48645) of Chapter 4 of Part 27 of
Division 4 of Title 2 by the sum of the base grant calculated
 in  pursuant to  paragraph (1), a
supplemental grant equal to 35 percent of the base grant 
calculated  pursuant to paragraph (1), and a concentration grant
equal to 17.5 percent of the base grant  calculated 
pursuant to paragraph (1). Funds provided for the supplemental and
concentration grants pursuant to this calculation shall be expended
in accordance with the regulations adopted pursuant to Section
42238.07.
   (C) Add the amounts calculated in subparagraphs (A) and (B).
   (d) Add the amount calculated in subdivision (a) to the amount
calculated in subparagraph (C) of paragraph (4) of subdivision (c).
   (e) Add all of the following to the amount calculated in
subdivision (d):
   (1) The amount of funding a county superintendent of schools
received for the 2012-13 fiscal year from funds allocated pursuant to
the Targeted Instructional Improvement Block Grant program, as set
forth in Article 6 (commencing with Section 41540) of Chapter 3.2 of
Part 24 of Division 3 of Title 2, as that article read on January 1,
2013.
   (2) (A) The amount of funding a county superintendent of schools
received for the 2012-13 fiscal year from funds allocated pursuant to
the Home to School Transportation program, as set forth in Article 2
(commencing with Section 39820) of Chapter 1 of Part 23.5 of
Division 3 of Title  2, and   2,  Article
10 (commencing with Section 41850) of Chapter 5 of Part 24 of
Division 3 of Title 2,  and the Small School District
Transportation program, as set forth in Article 4.5 (commencing with
Section 42290) of Chapter 7 of Part 24 of Division 3 of Title 2,
 as those articles read on January 1, 2013.
   (B) On or before March 1, 2014, the Legislative Analyst's Office
shall submit recommendations to the fiscal committees of both houses
of the Legislature regarding revisions to the methods of funding
pupil transportation that address historical funding inequities
across county offices of education and school districts and improve
incentives for local educational agencies to provide efficient and
effective pupil transportation services. 
   (f) The funds apportioned pursuant to this section and Section
2575 shall be available to implement the activities required
                                        pursuant to Article 4.5
(commencing with Section 52060) of Chapter 6.1 of Part 28 of Division
4 of Title 2. 
   SEC. 6.    Section 2575 of the   Education
Code   is amended to read: 
   2575.  (a) Commencing with the 2013-14  budget 
 fiscal  year and for each fiscal year thereafter, the
Superintendent shall calculate a base entitlement for the transition
to the county local control funding formula for each county office of
education based on the sum of the amounts computed pursuant to
paragraphs (1) to (3), inclusive:
   (1) Revenue limits in the 2012-13 fiscal year pursuant to Article
3 (commencing with Section 2550) of Chapter 12, as that article read
on January 1, 2013, adjusted only for changes in average daily
attendance claimed by the county superintendent of schools for pupils
identified in clauses (i), (ii), and (iii) of subparagraph (A) of
paragraph (4) of subdivision (c) of Section 2574 and for pupils
attending juvenile court schools. All other average daily attendance
claimed by the county superintendent of schools and any other average
daily attendance used for purposes of calculating revenue limits
pursuant to Article 3 (commencing with Section 2550) of Chapter 12,
as that article read on January 1, 2013, shall be considered final
for purposes of this section as of the annual apportionment for the
2012-13 fiscal year, as calculated for purposes of the certification
required on or before February 20, 2014, pursuant to Section 41332.
   (2) The sum of both of the following:
   (A) The amount of funding received from appropriations contained
in Section 2.00 of the Budget Act of 2012, as adjusted by Section
12.42, in the following items: 6110-104-0001, 6110-105-0001,
6110-107-0001, 6110-108-0001, 6110-111-0001, 6110-124-0001,
6110-128-0001, 6110-137-0001, 6110-144-0001, 6110-156-0001,
6110-181-0001, 6110-188-0001, 6110-189-0001, 6110-190-0001,
6110-193-0001, 6110-195-0001, 6110-198-0001, 6110-204-0001,
6110-208-0001, 6110-209-0001, 6110-211-0001, 6110-212-0001,
6110-227-0001, 6110-228-0001, 6110-232-0001, 6110-234-0001,
6110-240-0001, 6110-242-0001, 6110-243-0001, 6110-244-0001,
6110-245-0001, 6110-246-0001, 6110-247-0001, 6110-248-0001,
6110-260-0001, 6110-265-0001, 6110-266-0001, 6110-267-0001,
6110-268-0001, and 6360-101-0001, 2012-13 fiscal year funding for the
Class Size Reduction Program pursuant to Chapter 6.10 (commencing
with Section 52120) of Part 28 of Division 4 of Title 2, as 
it   that chapter  read on January 1, 2013, and
2012-13 fiscal year funding for pupils enrolled in community day
schools who are mandatorily expelled pursuant to subdivision 
(c)   (d)  of Section 48915.
   (B) The amount of local revenues used to support a regional
occupational center or program established and maintained by a county
superintendent of schools pursuant to Section 52301.
   (3) For the 2014-15 fiscal year and for each fiscal year
thereafter, the sum of the amounts apportioned to the county office
of education pursuant to subdivision (f) in all prior years.
   (b) The Superintendent shall annually compute a county local
control funding formula transition adjustment for each county
superintendent of schools as follows:
   (1) Subtract the amount computed pursuant to subdivision (a) from
the amount computed pursuant to subdivision (e) of Section 2574. A
difference of less than zero shall be deemed to be zero.
   (2) Divide the difference for each county superintendent of
schools calculated pursuant to paragraph (1) by the total sum of the
differences for all county superintendents of schools calculated
pursuant to paragraph (1).
   (3) Multiply the proportion calculated for each county office of
education pursuant to paragraph (2) by the amount of funding
specifically appropriated for purposes of subdivision (f). The amount
calculated shall not exceed the difference for the county
superintendent of schools calculated pursuant to paragraph (1).
   (c) The Superintendent shall subtract from the amount calculated
pursuant to subdivision (a) the sum of each of the following:
   (1) Local property tax revenues received pursuant to Section 2573
in the then current fiscal year.
   (2) Any amounts that the county superintendent of schools was
required to maintain as restricted and not available for expenditure
in the 1978-79 fiscal year as specified in the second paragraph of
subdivision (c) of Section 6 of Chapter 292 of the Statutes of 1978,
as amended by Chapter 51 of the Statutes of 1979.
   (3) The amount received pursuant to subparagraph (C) of paragraph
(3) of subdivision (a) of Section 33607.5 of the Health and Safety
Code that is considered property taxes pursuant to that section.
   (4) The amount, if any, received pursuant to Sections 34177,
34179.5, 34179.6,  34183,  and 34188 of the Health and
Safety Code.
   (5) The amount, if any, received pursuant to subparagraph (B) of
paragraph (3) of subdivision (e) of Section 36 of Article XIII of the
California Constitution.
   (d) The Superintendent shall subtract from the amount computed
pursuant to subdivision (e) of Section 2574 the sum of the amounts
computed pursuant to paragraphs (1) to (5), inclusive, of subdivision
(c).
   (e) The Superintendent shall annually apportion to each county
superintendent of schools the amount calculated pursuant to
subdivision (c) unless the amount computed pursuant to subdivision
(c) is negative. If the amount computed is negative, except as
provided in subdivision (f), an amount of property tax of the county
superintendent of schools equal to the negative amount shall be
deemed restricted and not available for expenditure during the fiscal
year. In the following fiscal year, that amount, excluding any
amount of funds used for purposes of subdivision (f), shall be
considered restricted local property tax revenue for purposes of
subdivision (a) of Section 2578. State aid shall not be apportioned
to the county superintendent of schools pursuant to this subdivision
if the amount computed pursuant to subdivision (c) is negative.
   (f) (1) The Superintendent shall apportion, from an appropriation
specifically made for this purpose, the amount computed pursuant to
subdivision (b), or, if the amount computed pursuant to subdivision
(c) is negative, the sum of the amounts computed pursuant to
subdivisions (b) and (c) if the sum if greater than zero.
   (2) The Superintendent shall apportion any portion of the
appropriation made for purposes of paragraph (1) that is not
apportioned pursuant to paragraph (1) pursuant to the following
calculation:
   (A) Add the amount calculated pursuant to subdivision (b) to the
amount computed pursuant to subdivision (a) for a county
superintendent of schools.
   (B) Subtract the amount computed pursuant to subparagraph (A) from
the amount computed pursuant to subdivision (e) of Section 2574 for
the county superintendent of schools.
   (C) Divide the difference for the county superintendent of schools
computed pursuant to subparagraph (B) by the sum of the differences
for all county superintendents of schools computed pursuant to
subparagraph (B).
   (D) Multiply the proportion computed pursuant to subparagraph
 (B)   (C)  by the unapportioned balance in
the appropriation.
   (E) Apportion to each county superintendent of schools the amount
calculated pursuant to subparagraph (D), or if subdivision (c) is
negative, apportion the sums of subdivisions (b) and (c) and
subparagraph (D)  of this subdivision  if the sum is greater
than zero.
   (F) The Superintendent shall repeat the computation made pursuant
to this paragraph, accounting for any additional amounts apportioned
after each computation, until the appropriation made for purposes of
paragraph (1) is fully apportioned.
   (G) The total amount apportioned pursuant to this subdivision to a
county superintendent of schools shall not exceed the difference for
the county superintendent of schools calculated pursuant to
paragraph (1) of subdivision (b).
   (g) (1) For a county superintendent of schools for whom, in the
2013-14 fiscal year, the amount computed pursuant to subdivision (c)
is less than the amount computed pursuant to subdivision (d), in the
first fiscal year following the fiscal year in which the sum of the
apportionments  computed  pursuant to subdivisions (e) and
(f) is equal to  , or greater than   ,  the amount
 calculated   computed  pursuant to
subdivision (d) of this section, the Superintendent shall apportion
to the county superintendent of schools the amount computed in
subdivision (d) in that fiscal year and each fiscal year thereafter
instead of the amounts computed pursuant to subdivisions (e) and (f).

   (2) For a county superintendent of schools for whom, in the
2013-14 fiscal year, the amount computed pursuant to subdivision (c)
is greater than the amount computed pursuant to subdivision (d), in
the first fiscal year in which the amount computed pursuant to
subdivision (c) would be less than the amount computed pursuant to
subdivision (d), the Superintendent shall apportion to the county
superintendent of schools the amount computed in subdivision (d) in
that fiscal year and each fiscal year thereafter instead of the
amounts computed pursuant to subdivisions (e) and (f).
   (3) In each fiscal year, the Superintendent shall determine the
percentage of county superintendents of schools that are apportioned
funding that is less than the amount computed pursuant to subdivision
(d), as of the second principal apportionment of the fiscal year. If
the percentage is less than 10 percent, the Superintendent shall
apportion to those county superintendents of schools funding equal to
the amount computed in subdivision (d) in that fiscal year and for
each fiscal year thereafter instead of the amounts calculated
pursuant to subdivisions (e) and (f).
   (4) Commencing with the first fiscal year after the apportionments
in paragraph (3) are made, the adjustments in paragraph (4) of
subdivision (a) of Section 2574 and subparagraph (B) of paragraph (1)
of subdivision (c) of Section 2574 shall be made only if an
appropriation for those purposes is included in the annual Budget
Act.
   (5) If the calculation pursuant to subdivision (d) is negative and
the Superintendent apportions to a county superintendent of schools
the amount computed pursuant to subdivision (d) pursuant to paragraph
(1), (2), or (3)  of this subdivision  , an amount of
property tax of the county superintendent of schools equal to the
negative amount shall be deemed restricted and not available for
expenditure during that fiscal year. In the following fiscal year the
restricted amount shall be considered restricted local property tax
revenue for purposes of subdivision (a) of Section 2578.
   (h) Commencing with the 2013-14 fiscal year, the Superintendent
shall apportion to a county superintendent of schools an amount of
state aid, including any amount apportioned pursuant to subdivisions
(f) and (g), that is no less than the amount calculated in
subparagraph (A) of paragraph (2) of subdivision (a).
   (i)  (1)    For the 2013-14 and 2014-15 fiscal
years only, a county superintendent of schools who, in the 2012-13
fiscal year, from any of the funding sources identified in paragraph
(1) or (2) of subdivision (a), received funds on behalf of, or
provided funds to, a regional occupational center or program joint
powers agency established in accordance with Article 1 (commencing
with Section 6500) of Chapter 5 of Division 7 of Title 1 of the
Government Code for purposes of providing instruction to pupils
enrolled in grades 9 to 12, inclusive, shall not redirect that
funding for another purpose unless otherwise authorized in law or
pursuant to an agreement between the regional occupational center or
program joint powers agency and the contracting county superintendent
of schools. 
   (2) For the 2013-14 and 2014-15 fiscal years only, if a regional
occupational center or program joint powers agency established in
accordance with Article 1 (commencing with Section 6500) of Chapter 5
of Division 7 of Title 1 of the Government Code for purposes of
providing instruction to pupils enrolled in grades 9 to 12,
inclusive, received, in the 2012-13 fiscal year, an apportionment of
funds directly from any of the funding sources identified in
subparagraph (A) of paragraph (2) of subdivision (a), the
Superintendent shall apportion that same amount to the regional
occupational center or program joint powers agency. 
   (j) For the 2013-14 and 2014-15 fiscal years only, a county
superintendent of schools who, in the 2012-13 fiscal year, from any
of the funding sources identified in paragraph (1) or (2) of
subdivision (a), received funds on behalf of, or provided funds to, a
home-to-school transportation joint powers agency established in
accordance with Article 1 (commencing with Section 6500) of Chapter 5
of Division 7 of Title 1 of the Government Code for purposes of
providing pupil transportation shall not redirect that funding for
another purpose unless otherwise authorized in law or pursuant to an
agreement between the home-to-school transportation joint powers
agency and the contracting county superintendent of schools.
   (k) (1) In addition to subdivision (j), of the funds a county
superintendent of schools receives for home-to-school transportation
 programs   programs,  the county
superintendent of schools shall expend, pursuant to Article 2
(commencing with Section 39820) of Chapter 1 of Part 23.5 of Division
3 of Title  2, and   2,  Article 10
(commencing with Section 41850) of Chapter 5 of Part 24 of Division 3
of Title 2,  and the Small School District Transportation
program, as set forth in Article 4.5 (commencing with Section 42290)
of Chapter 7 of Part 24 of Division 3 of Title 2,  no less for
those programs than the amount of funds the county superintendent of
schools expended for home-to-school transportation in the 2012-13
fiscal year. 
   (2) For the 2013-14 and 2014-15 fiscal years only, if a
home-to-school transportation joint powers agency established in
accordance with Article 1 (commencing with Section 6500) of Chapter 5
of Division 7 of Title 1 of the Government Code for purposes of
providing pupil transportation received, in the 2012-13 fiscal year,
an apportionment of funds directly from the Superintendent from any
of the funding sources identified in subparagraph (A) of paragraph
(2) of subdivision (a), the Superintendent shall apportion that same
amount to the home-to-school transportation joint powers agency.
 
   (2) 
    (3)  For the 2013-14 and 2014-15 fiscal years only, of
the funds a county superintendent of schools receives for purposes of
regional occupational centers or programs, or adult education, the
county superintendent of schools shall expend no less for each of
those programs than the amount of funds the county superintendent of
schools expended for purposes of regional occupational centers or
programs, or adult education, respectively, in the 2012-13 fiscal
year.  For purposes of this paragraph, a county office of
education may include expenditures made by a school district within
the county for purposes of regional occupational centers or programs
so long as the total amount of expenditures made by the school
districts and the county office of education equal or exceed the
total amount required to be expended for purposes of regional
occupational centers or programs pursuant to this paragraph and
paragraph (7) of subdivision (a) of Section 42238.03.  
   (l) The funds apportioned pursuant to this section and Section
2574 shall be available to implement the activities required pursuant
to Article 4.5 (commencing with Section 52060) of Chapter 6.1 of
Part 28 of Division 4 of Title 2. 
   SEC. 7.    Section 2576 of the   Education
Code   is amended to read: 
   2576.  (a) If a county superintendent of schools enrolls in a
school operated by the county superintendent of schools a pupil not
funded pursuant to clause (i), (ii), or (iii) of subparagraph (A) of
paragraph (4) of subdivision (c) of Section 2574,  or Article 2.5
(commencing with Section 48645) of Chapter 4 of Part 27 of Division
4 of Title 2,  any attendance generated by that pupil shall be
credited to the school district of residence. Enrollment of these
pupils shall be transferred to the school district of residence for
purposes of calculating the percentage of unduplicated pupils
pursuant to Section 42238.02.
   (b) For purposes of this section, the school district of residence
for a homeless child, as defined in Section 1981.2, enrolled in a
school operated by a county superintendent of schools shall be deemed
to be the school district that last provided educational services to
that child or, if it is not possible to determine that school
district, the largest school district in the county.
   SEC. 8.    Section 8150.5 of the   Education
Code   is amended to read: 
   8150.5.  Attendance of apprentices enrolled in any class
maintained by a  high school, unified school district,
regional occupation center or program, or adult school, 
 local educational agency,  pursuant to Section 3074 of the
Labor Code, shall be reimbursed pursuant to Section 8152 only if
reported separately to the Chancellor of the California Community
Colleges. Attendance reported pursuant to this section shall be used
only for purposes of calculating allowances pursuant to Section 8152.

   SEC. 9.    Section 8151 of the   Education
Code   is amended to read: 
   8151.  An apprentice attending a  high school, unified
school district, regional occupational center or program, or adult
school   local educational agency  in classes of
related and supplemental instruction as provided under Section 3074
of the Labor Code and in accordance with the requirements of
subdivision (d) of Section 3078 of the Labor Code shall be exempt
from the requirements of any interdistrict attendance agreement for
those classes.
   SEC. 10.    Section 8152 of the   Education
Code   is amended to read: 
   8152.  (a) The reimbursement rate shall be established in the
annual Budget Act and the rate shall be commonly applied to all
providers of instruction specified in subdivision (d).
   (b) For purposes of this section, each hour of teaching time may
include up to 10 minutes of passing time and breaks.
   (c) This section also applies to isolated apprentices, as defined
in Section 3074 of the Labor Code, for which alternative methods of
instruction are provided.
   (d) The Chancellor of the California Community Colleges shall make
the reimbursements specified in this section for teaching time
provided by  high schools, unified school districts, regional
occupational centers or programs, or adult schools.  
local educational agencies   . 
   (e) The hours for related and supplemental instruction derived
from funds appropriated pursuant to subdivision (b) of Section 8150
shall be allocated by the Chancellor of California Community Colleges
directly to participating local educational agencies that contract
with apprenticeship programs pursuant to subdivision (f).
   (f) Reimbursements may be made under this section for related and
supplemental instruction provided to indentured apprentices only if
the instruction is provided by a program approved by the Division of
Apprenticeship Standards in the Department of Industrial Relations in
accordance with Chapter 4 (commencing with Section 3070) of Division
3 of the Labor Code.
   (g) The initial allocation of hours made pursuant to subdivision
(e) for related and supplemental instruction at the beginning of any
fiscal year when multiplied by the hourly reimbursement rate shall
equal 100 percent of the total appropriation for apprenticeships.
   (h) If funds remain from the appropriation pursuant to subdivision
(b) of Section 8150, the Chancellor of the California Community
Colleges shall reimburse local educational agencies for unfunded
related and supplemental instruction hours from any of the three
previous fiscal years, in the following order:
   (1) Reported related and supplemental instruction hours as
described in subdivision (b) of Section 8154 that were paid at a rate
less than the hourly rate specified in the Budget Act.
   (2) Reported related and supplemental instruction hours that were
not reimbursed.
   SEC. 11.    Section 8154 of the   Education
Code   is amended to read: 
   8154.  (a) The Chancellor of the California Community Colleges, in
consultation with the Division of Apprenticeship Standards of the
Department of Industrial Relations and the Superintendent, shall
annually review the amount of state funding necessary to provide the
reimbursements specified in Section 8152, and shall include an
estimate of required funds in its budget for each fiscal year.
   (b) If the amounts appropriated in any fiscal year are
insufficient to provide full reimbursement, the hourly rate specified
 in   pursuant to  Section 8152 shall be
reduced on a pro rata basis only for reported hours that are in
excess of the number of hours allocated at the beginning of the
fiscal year so that the entire appropriation is allocated.
   (c) If the amount appropriated is in excess of the amounts needed
for full reimbursement pursuant to subdivision (h) of Section 8152,
any excess shall be allocated to  school and community
college districts   local educational agencies  to
be used for the purpose of the state general apportionment.
   SEC. 12.    Section 8155 of the   Education
Code   is amended to read: 
   8155.  (a) The Chancellor of the California Community Colleges and
the Division of Apprenticeship Standards of the Department of
Industrial Relations, in consultation with the Superintendent, shall
jointly develop a model format for agreements between apprenticeship
programs and local educational agencies for instruction pursuant to
Section 3074 of the Labor Code.
   (b) By March  15,   14,  2014, the
Chancellor of the California Community Colleges and the Division of
Apprenticeship Standards of the Department of Industrial Relations,
with equal participation by local educational agencies and community
college apprenticeship administrators, shall develop common
administrative practices and treatment of costs and services, as well
as other policies related to apprenticeship programs. Any policies
developed pursuant to the this subdivision shall become operative
upon approval by the California Apprenticeship Council.
   (c) Apprenticeship programs offered through local educational
agencies may maintain their existing curriculum and instructors
separate from the requirements of the California Community Colleges.
The person providing instruction may be a qualified journeyperson
with experience and knowledge of the trade.
   SEC. 13.    Section 35736.5 of the  
Education Code   is amended to read: 
   35736.5.  Sections 35735 to 35736, inclusive, shall only apply to
actions to reorganize school districts  initiated on or after
July 1, 2013,  for which the order to reorganize, pursuant
to Section 35765, is appropriately filed after December 1, 2013,
pursuant to Section 54902 of the Government Code. Actions to
reorganize school districts  initiated before July 1, 2013,
 for which the order to reorganize is appropriately filed on
or before December 1, 2013, shall be implemented pursuant to
Sections 35735 to 35736, inclusive, as those sections read on January
1, 2013.
   SEC. 14.    Section 41365 of the   Education
Code   is amended to read: 
   41365.  (a) The Charter School Revolving Loan Fund is hereby
created in the State Treasury. The Charter School Revolving Loan Fund
shall be composed of federal funds obtained by the state for charter
schools and any other funds appropriated or transferred to the fund
through the annual budget process. Funds appropriated to the Charter
School Revolving Loan Fund shall remain available for purposes of the
fund until reappropriated or reverted by the Legislature through the
annual Budget Act or any other act.
   (b) Commencing with the 2013-14 fiscal year, the 
administration of the  Charter School Revolving Loan Fund shall
be  administered by   transferred to  the
California School Finance Authority.
   (c) Loans may be made from moneys in the Charter School Revolving
Loan Fund to a chartering authority for charter schools that are not
a conversion of an existing school, or directly to a charter school
that qualifies to receive funding pursuant to Chapter 6 (commencing
with Section 47630)  of Part 26.8 of Division 4  that is not
a conversion of an existing school, upon application of a chartering
authority or charter school and approval by the California School
Finance Authority. Money loaned to a chartering authority for a
charter school, or to a charter school, pursuant to this section
shall be used only to meet the purposes of the charter granted
pursuant to Section 47605. The loan to a chartering authority for a
charter school, or to a charter school, pursuant to this subdivision
shall not exceed two hundred fifty thousand dollars ($250,000) over
the lifetime of the charter school. A charter school may receive
money obtained from multiple loans made directly to the charter
school or to the school's chartering authority from the Charter
School Revolving Loan Fund, as long as the total amount received from
the fund over the lifetime of the charter school does not exceed two
hundred fifty thousand dollars ($250,000). This subdivision does not
apply to a charter school that obtains renewal of a charter pursuant
to Section 47607.
   (d) The California School Finance Authority may consider all of
the following when making a determination as to the approval of a
charter school's loan application:
   (1) Soundness of the financial business plans of the applicant
charter school.
   (2) Availability of the charter school of other sources of
funding.
   (3) Geographic distribution of loans made from the Charter School
Revolving Loan Fund.
   (4) The impact that receipt of funds received pursuant to this
section will have on the charter school's receipt of other private
and public financing.
   (5) Plans for creative uses of the funds received pursuant to this
section, such as loan guarantees or other types of credit
enhancements.
                          (6) The financial needs of the charter
school.
   (e) Priority for loans from the Charter School Revolving Loan Fund
shall be given to new charter schools for startup costs.
   (f) Commencing with the first fiscal year following the fiscal
year the charter school receives the loan, the Controller shall
deduct from apportionments made to the chartering authority or
charter school, as appropriate, an amount equal to the annual
repayment of the amount loaned to the chartering authority or charter
school for the charter school under this section and pay the same
amount into the Charter School Revolving Loan Fund in the State
Treasury. Repayment of the full amount loaned to the chartering
authority  or charter school  shall be deducted by the
Controller in equal annual amounts over a number of years agreed upon
between the loan recipient and the  California School
Finance Authority,   state agency authorized to
administer the Charter School Revolving Loan Fund and the Charter
School Security Fund,  not to exceed five years for any loan.
   (g) (1) Notwithstanding any other law, a loan may be made directly
to a charter school pursuant to this section only in the case of a
charter school that is incorporated.
   (2) Notwithstanding any other law, in the case of default of a
loan made directly to a charter school pursuant to this section, the
charter school shall be solely liable for repayment of the loan.

   (h) The California School Finance Authority shall adopt emergency
regulations to implement this section and Sections 41366.6 and 41367.
 
   (h) The California School Finance Authority may adopt any
necessary rules and regulations for the implementation of this
section and Sections 41366.6 and 41367. Any regulations adopted
pursuant to this section may be adopted as emergency regulations in
accordance with the Administrative Procedure Act (Chapter 3.5
(commencing with Section 11340) of Part 1 of Division 3 of Title 2 of
the Government Code). The adoption of these regulations shall be
deemed to be an emergency and necessary for the immediate
preservation of public peace, health and safety, or general welfare.

   SEC. 15.    Section 41367 of the   Education
Code   is amended to read: 
   41367.  (a) The Charter School Security Fund is hereby created in
the State Treasury.
   (b) Moneys in the fund shall be available for deposit into the
Charter School Revolving Loan Fund in case of default on any loan
made from the Charter School Revolving Loan Fund.
   (c) Commencing with the 2013-14 fiscal year, the 
administration of the  Charter School Security Fund shall be
 administered by   transferred to  the
California School Finance Authority.
   SEC. 16.    Section 42127 of the   Education
Code   is amended to read: 
   42127.  (a) On or before July 1 of each year, the governing board
of each school district shall accomplish the following:
   (1) Hold a public hearing on the budget to be adopted for the
subsequent fiscal year. The budget to be adopted shall be prepared in
accordance with Section 42126. The agenda for that hearing shall be
posted at least 72 hours before the public hearing and shall include
the location where the budget will be available for public
inspection.
   (A) For the 2011-12 fiscal year, notwithstanding any of the
standards and criteria adopted by the state board pursuant to Section
33127, each school district budget shall project the same level of
revenue per unit of average daily attendance as it received in the
2010-11 fiscal year and shall maintain staffing and program levels
commensurate with that level.
   (B) For the 2011-12 fiscal year, the school district shall not be
required to demonstrate that it is able to meet its financial
obligations for the two subsequent fiscal years.
   (2) Adopt a budget. Not later than five days after that adoption
or by July 1, whichever occurs first, the governing board of the
school district shall file that budget with the county superintendent
of schools. The budget and supporting data shall be maintained and
made available for public review. If the governing board of the
school district does not want all or a portion of the property tax
requirement levied for the purpose of making payments for the
interest and redemption charges on indebtedness as described in
paragraph (1) or (2) of subdivision (b) of Section 1 of Article XIII
A of the California Constitution, the budget shall include a
statement of the amount or portion for which a levy shall not be
made. For the 2014-15 fiscal year and each fiscal year thereafter,
the governing board of the school district shall not adopt a budget
before the governing board of the school district adopts a local
control and accountability plan, if an existing local control and
accountability plan or annual update to a local control and
accountability plan is not effective for the budget year. The
governing board of a school district shall not adopt a budget that
does not include the expenditures necessary to implement the local
control and accountability plan or the annual update to a local
control and accountability plan that is effective during the
subsequent fiscal year.
   (b) The county superintendent of schools may accept changes in any
statement included in the budget, pursuant to subdivision (a), of
the amount or portion for which a property tax levy shall not be
made. The county superintendent of schools or the county auditor
shall compute the actual amounts to be levied on the property tax
rolls of the school district for purposes that exceed apportionments
to the school district pursuant to Chapter 6 (commencing with Section
95) of Part 0.5 of Division 1 of the Revenue and Taxation Code. Each
school district shall provide all data needed by the county
superintendent of schools or the county auditor to compute the
amounts. On or before August 15, the county superintendent of schools
shall transmit the amounts computed to the county auditor who shall
compute the tax rates necessary to produce the amounts. On or before
September 1, the county auditor shall submit the rate computed to the
board of supervisors for adoption.
   (c) The county superintendent of schools shall do all of the
following:
   (1) Examine the adopted budget to determine whether it complies
with the standards and criteria adopted by the state board pursuant
to Section 33127 for application to final local educational agency
budgets. The county superintendent of schools shall identify, if
necessary, technical corrections that are required to be made to
bring the budget into compliance with those standards and criteria.
   (2) Determine whether the adopted budget will allow the school
district to meet its financial obligations during the fiscal year and
is consistent with a financial plan that will enable the school
district to satisfy its multiyear financial commitments. In addition
to his or her own analysis of the budget of each school district, the
county superintendent of schools shall review and consider studies,
reports, evaluations, or audits of the school district that were
commissioned by the school district, the county superintendent of
schools, the Superintendent, and state control agencies and that
contain evidence that the school district is showing fiscal distress
under the standards and criteria adopted in Section 33127 or that
contain a finding by an external reviewer that more than three of the
15 most common predictors of a school district needing intervention,
as determined by the County Office Fiscal Crisis and Management
Assistance Team, are present. The county superintendent of schools
shall either conditionally approve or disapprove a budget that does
not provide adequate assurance that the school district will meet its
current and future obligations and resolve any problems identified
in studies, reports, evaluations, or audits described in this
paragraph.
   (3) Determine whether the adopted budget includes the expenditures
necessary to implement the local control and accountability plan or
annual update to the local control and accountability plan approved
by the county superintendent of schools.
   (d)  (1)    On or before August 15, the county
superintendent of schools shall approve, conditionally approve, or
disapprove the adopted budget for each school district. For the
2014-15 fiscal year and each fiscal year thereafter, the county
superintendent of schools shall disapprove a budget if the county
superintendent of schools determines that the budget does not include
the expenditures necessary to implement a local control and
accountability plan or an annual update to the local control and
accountability plan approved by the county superintendent of schools.
If a school district does not submit a budget to the county
superintendent of schools, the county superintendent of schools shall
develop, at school district expense, a budget for that school
district by September 15 and transmit that budget to the governing
board of the school district. The budget prepared by the county
superintendent of schools shall be deemed adopted, unless the county
superintendent of schools approves any modifications made by the
governing board of the school district. The approved budget shall be
used as a guide for the school district's priorities. The
Superintendent shall review and certify the budget approved by the
county. If, pursuant to the review conducted pursuant to subdivision
(c), the county superintendent of schools determines that the adopted
budget for a school district does not satisfy paragraph  (1)
or (2)   (1), (2), or (3)  of that subdivision, he
or she shall conditionally approve or disapprove the budget and, not
later than August 15, transmit to the governing board of the school
district, in writing, his or her recommendations regarding revision
of the budget and the reasons for those recommendations, including,
but not limited to, the amounts of any budget adjustments needed
before he or she can approve that budget. The county superintendent
of schools may assign a fiscal adviser to assist the school district
to develop a budget in compliance with those revisions. In addition,
the county superintendent of schools may appoint a committee to
examine and comment on the superintendent's review and
recommendations, subject to the requirement that the committee report
its findings to the county superintendent of schools no later than
August 20. For the 2011-12 fiscal year, notwithstanding any of the
standards and criteria adopted by the state board pursuant to Section
33127, the county superintendent of schools, as a condition on
approval of a school district budget, shall not require a school
district to project a lower level of revenue per unit of average
daily attendance than it received in the 2010-11 fiscal year nor
require the school district to demonstrate that it is able to meet
its financial obligations for the two subsequent fiscal years. 
   (2)  Notwithstanding any other provision of this article, for the
2014-15 fiscal year and each fiscal year thereafter, the budget shall
not be adopted or approved by the county superintendent of schools
before a local control and accountability plan or update to an
existing local control and accountability plan for the budget year is
approved. 
   (e) On or before September 8, the governing board of the school
district shall revise the adopted budget to reflect changes in
projected income or expenditures subsequent to July 1, and to include
any response to the recommendations of the county superintendent of
schools, shall adopt the revised budget, and shall file the revised
budget with the county superintendent of schools. Before revising the
budget, the governing board of the school district shall hold a
public hearing regarding the proposed revisions, to be conducted in
accordance with Section 42103. In addition, if the adopted budget is
disapproved pursuant to subdivision (d), the governing board of the
school district and the county superintendent of schools shall review
the disapproval and the recommendations of the county superintendent
of schools regarding revision of the budget at the public hearing.
The revised budget and supporting data shall be maintained and made
available for public review.
   (1) For the 2011-12 fiscal year, notwithstanding any of the
standards and criteria adopted by the state board pursuant to Section
33127, each school district budget shall project the same level of
revenue per unit of average daily attendance as it received in the
2010-11 fiscal year and shall maintain staffing and program levels
commensurate with that level.
   (2) For the 2011-12 fiscal year, the school district shall not be
required to demonstrate that it is able to meet its financial
obligations for the two subsequent fiscal years.
   (f) On or before September 22, the county superintendent of
schools shall provide a list to the Superintendent identifying all
school districts for which budgets may be disapproved.
   (g)  (1)    The county superintendent of schools
shall examine the revised budget to determine whether it (1)
complies with the standards and criteria adopted by the state board
pursuant to Section 33127 for application to final local educational
agency budgets, (2) allows the school district to meet its financial
obligations during the fiscal year, (3) satisfies all conditions
established by the county superintendent of schools in the case of a
conditionally approved budget, and (4) is consistent with a financial
plan that will enable the school district to satisfy its multiyear
financial commitments, and, not later than October 8, shall approve
or disapprove the revised budget. If the county superintendent of
schools disapproves the budget, he or she shall call for the
formation of a budget review committee pursuant to Section 42127.1,
unless the governing board of the school district and the county
superintendent of schools agree to waive the requirement that a
budget review committee be formed and the department approves the
waiver after determining that a budget review committee is not
necessary. Upon the grant of a waiver, the county superintendent of
schools immediately has the authority and responsibility provided in
Section 42127.3. Upon approving a waiver of the budget review
committee, the department shall ensure that a balanced budget is
adopted for the school district by November 30. If no budget is
adopted by November 30, the Superintendent may adopt a budget for the
school district. The Superintendent shall report to the Legislature
and the Director of Finance by December 10 if any school district,
including a school district that has received a waiver of the budget
review committee process, does not have an adopted budget by November
30. This report shall include the reasons why a budget has not been
adopted by the deadline, the steps being taken to finalize budget
adoption, the date the adopted budget is anticipated, and whether the
Superintendent has or will exercise his or her authority to adopt a
budget for the school district. For the 2011-12 fiscal year,
notwithstanding any of the standards and criteria adopted by the
state board pursuant to Section 33127, the county superintendent of
schools, as a condition on approval of a school district budget,
shall not require a school district to project a lower level of
revenue per unit of average daily attendance than it received in the
2010-11 fiscal year nor require the school district to demonstrate
that it is able to meet its financial obligations for the two
subsequent fiscal years. 
   (2) Notwithstanding any other law, for the 2014-15 fiscal year and
each fiscal year thereafter, if the county superintendent of schools
disapproves the budget for the sole reason that the county
superintendent of schools has not approved a local control and
accountability plan or an annual update to the local control and
accountability plan filed by the school district pursuant to Section
52061, the county superintendent of schools shall not call for the
formation of a budget review committee pursuant to Section 42127.1.

   (h) Not later than October 8, the county superintendent of schools
shall submit a report to the Superintendent identifying all school
districts for which budgets have been disapproved or budget review
committees waived. The report shall include a copy of the written
response transmitted to each of those school districts pursuant to
 paragraph (1) of  subdivision (d).
   (i) Notwithstanding any other provision of this section, the
budget review for a school district shall be governed by paragraphs
(1), (2), and (3), rather than by subdivisions (e) and (g), if the
governing board of the school district so elects and notifies the
county superintendent of schools in writing of that decision, not
later than October 31 of the immediately preceding calendar year. On
or before July 1, the governing board of a school district for which
the budget review is governed by this subdivision, rather than by
subdivisions (e) and (g), shall conduct a public hearing regarding
its proposed budget in accordance with Section 42103.
   (1) If the adopted budget of a school district is disapproved
pursuant to subdivision (d), on or before September 8, the governing
board of the school district, in conjunction with the county
superintendent of schools, shall review the superintendent's
recommendations at a regular meeting of the governing board of the
school district and respond to those recommendations. The response
shall include any revisions to the adopted budget and other proposed
actions to be taken, if any, as a result of those recommendations.
   (2) On or before September 22, the county superintendent of
schools shall provide a list to the Superintendent identifying all
school districts for which a budget may be tentatively disapproved.
   (3) Not later than October 8, after receiving the response
required under paragraph (1), the county superintendent of schools
shall review that response and either approve or disapprove the
budget.  If   Except as provided in paragraph
(2) of subdivision (g), if  the county superintendent of schools
disapproves the budget, he or she shall call for the formation of a
budget review committee pursuant to Section 42127.1, unless the
governing board of the school district and the county superintendent
of schools agree to waive the requirement that a budget review
committee be formed and the department approves the waiver after
determining that a budget review committee is not necessary. Upon the
grant of a waiver, the county superintendent has the authority and
responsibility provided to a budget review committee in Section
42127.3. Upon approving a waiver of the budget review committee, the
department shall ensure that a balanced budget is adopted for the
school district by November 30. The Superintendent shall report to
the Legislature and the Director of Finance by December 10 if any
school district, including a school district that has received a
waiver of the budget review committee process, does not have an
adopted budget by November 30. This report shall include the reasons
why a budget has not been adopted by the deadline, the steps being
taken to finalize budget adoption, and the date the adopted budget is
anticipated. For the 2011-12 fiscal year, notwithstanding any of the
standards and criteria adopted by the state board pursuant to
Section 33127, the county superintendent of schools, as a condition
on approval of a school district budget, shall not require a school
district to project a lower level of revenue per unit of average
daily attendance than it received in the 2010-11 fiscal year nor
require the school district to demonstrate that it is able to meet
its financial obligations for the two subsequent fiscal years.
   (4) Not later than 45 days after the Governor signs the annual
Budget Act, the school district shall make available for public
review any revisions in revenues and expenditures that it has made to
its budget to reflect the funding made available by that Budget Act.

   (j) Any school district for which the county board of education
serves as the governing board of the school district is not subject
to subdivisions (c) to (h), inclusive, but is governed instead by the
budget procedures set forth in Section 1622.
   SEC. 17.    Section 42238.01 of the  
Education Code  is amended to read: 
   42238.01.  For purposes of Section 42238.02, the following
definitions shall apply:
   (a) "Eligible for free or reduced-price  meal" 
 meals   "  means determined to meet federal 
income  eligibility criteria  or deemed to be categorically
eligible  for free or reduced-price meals  as specified
in Section 49531, as that section read on January 1, 2013, except in
regard to meals in family day care homes.   under the
National School Lunch Program, as described in Part 245 of Title 7 of
the Code of Federal Regulations   . 
   (b) "Foster youth" means a foster child, as described in
subdivision (a) of Section 48853.5, or a nonminor under the
transition jurisdiction of the juvenile court, as described in
Section 450 of the Welfare and Institutions Code, who satisfies all
of the following criteria:
   (1) He or she has attained 18 years of age while under an order of
foster care placement by the juvenile court, and is not more than 19
years of age on or after January 1, 2012, not more than 20 years of
age on or after January 1, 2013, and not more than 21 years of age,
on or after January 1, 2014, and as described in Section 10103.5 of
the Welfare and Institutions Code.
   (2) He or she is in foster care under the placement and care
responsibility of the county welfare department, county probation
department, Indian tribe, consortium of tribes, or tribal
organization that entered into an agreement pursuant to Section
10553.1 of the Welfare and Institutions Code.
   (3) He or she is participating in a transitional independent
living case plan pursuant to Section 475(8) of the federal Social
Security Act (42 U.S.C. Sec. 675(8)), as contained in the federal
Fostering Connections to Success and Increasing Adoptions Act of 2008
(Public Law 110-351), as described in Section 11403 of the Welfare
and Institutions Code.
   (c) "Pupils of limited English proficiency" means pupils who do
not have the clearly developed English language skills of
comprehension, speaking, reading, and writing necessary to receive
instruction only in English at a level substantially equivalent to
pupils of the same age or grade whose primary language is English.
"English learner" shall have the same meaning as is provided for in
subdivision (a) of Section 306 and as "pupils of limited English
proficiency."
   SEC. 18.    Section 42238.02 of the  
Education Code   is amended to read: 
   42238.02.  (a) The amount computed pursuant to this section shall
be known as the school district and charter school local control
funding formula.
   (b) (1) For purposes of this section "unduplicated pupil" means a
pupil enrolled in a school district or a charter school who is either
classified as an English learner, eligible  to receive
  for  a free or reduced-price meal, or is a foster
youth. A pupil shall be counted only once for purposes of this
section if any of the following apply:
   (A) The pupil is classified as an English learner and is eligible
for a free or reduced-price meal.
   (B) The pupil is classified as an English learner and is a foster
youth.
   (C) The pupil is eligible for a free or reduced-price meal and is
classified as a foster youth.
   (D) The pupil is classified as an English learner, is eligible for
a free or reduced-price meal, and is a foster youth.
   (2)  Commencing   Under procedures and
timeframes established by the Superintendent, commencing  with
the 2013-14 fiscal year, a school district or charter school shall
annually  report   submit  its enrolled
free and reduced-price meal eligibility, foster youth, and English
learner pupil-level records  for enrolled pupils  to the
Superintendent using the California Longitudinal Pupil Achievement
Data System.
   (3) (A) Commencing with the 2013-14 fiscal year, a county office
of education shall review and validate  reported 
 certified aggregate  English learner, foster youth, and
free or reduced-price meal eligible pupil data for school districts
and charter schools under its jurisdiction to ensure the data is
reported accurately. The Superintendent shall provide each county
office of education with appropriate access to school district and
charter school data reports in the California Longitudinal Pupil
Achievement Data System for purposes of ensuring data reporting
accuracy.
   (B) The Controller shall include the instructions necessary to
enforce paragraph (2) in the audit guide required by Section 14502.1.
The instructions shall include, but are not necessarily limited to,
procedures for determining if the English learner, foster youth, and
free or reduced-price meal eligible pupil counts are consistent with
the school district's or charter school's English learner, foster
youth, and free or reduced-price meal eligible pupil records.
   (4) The Superintendent shall make the calculations pursuant to
this section using the data submitted by local educational agencies,
including charter schools, through the California Longitudinal Pupil
Achievement Data System.  The Superintendent shall authorize
  Under timeframes and procedures established by the
Superintendent,  school districts and charter schools 
to   may review and  revise, as necessary,
  revise  their submitted data on English learner,
foster youth, and free or reduced-price meal eligible pupil counts to
ensure the accuracy of data reflected in the California Longitudinal
Pupil Achievement Data System.
   (5) The Superintendent shall annually compute the percentage of
unduplicated pupils for each school district and charter school by
dividing the enrollment of unduplicated pupils in a school district
or charter school by the total enrollment in that school district or
charter school pursuant to all of the following:
   (A) For the 2013-14 fiscal year, divide the sum of unduplicated
pupils for the 2013-14 fiscal year by the sum of the total pupil
enrollment for the 2013-14 fiscal year.
   (B) For the 2014-15 fiscal year, divide the sum of unduplicated
pupils for the 2013-14 and 2014-15 fiscal years by the sum of the
total pupil enrollment for
  the 2013-14 and 2014-15 fiscal years.
   (C) For the 2015-16 fiscal year and each fiscal year thereafter,
divide the sum of unduplicated pupils for the current fiscal year and
the two prior fiscal years by the sum of the total pupil enrollment
for the current fiscal year and the two prior fiscal years.
   (c) Commencing with the 2013-14 fiscal year and each fiscal year
thereafter, the Superintendent shall annually calculate a local
control funding formula grant for each school district and charter
school in the state pursuant to this section.
   (d) The Superintendent shall compute a grade span adjusted base
grant equal to the total of the following amounts:
   (1) For the 2013-14 fiscal year, a base grant of:
   (A) Six thousand eight hundred forty-five dollars ($6,845) for
average daily attendance in kindergarten and grades 1 to 3,
inclusive.
   (B) Six thousand nine hundred forty-seven dollars ($6,947) for
average daily attendance in grades 4 to 6, inclusive.
   (C) Seven thousand one hundred fifty-four dollars ($7,154) for
average daily attendance in grades 7 and 8.
   (D) Eight thousand two hundred eighty-nine dollars ($8,289) for
average daily attendance in grades 9 to 12, inclusive.
   (2) In each year the grade span adjusted base grants in paragraph
(1) shall be adjusted by the percentage change in the annual average
value of the Implicit Price Deflator for State and Local Government
Purchases of Goods and Services for the United States, as published
by the United States Department of Commerce for the 12-month period
ending in the third quarter of the prior fiscal year. This percentage
change shall be determined using the latest data available as of May
10 of the preceding fiscal year compared with the annual average
value of the same deflator for the 12-month period ending in the
third quarter of the second preceding fiscal year, using the latest
data available as of May 10 of the preceding fiscal year, as reported
by the Department of Finance.
   (3) (A) The Superintendent shall compute an additional adjustment
to the kindergarten and grades 1 to 3, inclusive, base grant as
adjusted for inflation pursuant to paragraph (2) equal to 10.4
percent. The additional grant shall be calculated by multiplying the
kindergarten and grades 1 to 3, inclusive, base  grant
 grant,  as adjusted by paragraph  (2)
  (2),  by 10.4 percent.
   (B) Until paragraph (4) of subdivision (b) of Section 42238.03 is
effective, as a condition of the receipt of funds in this paragraph,
a school district shall make progress toward maintaining an average
class enrollment of not more than 24 pupils for each schoolsite in
kindergarten and grades 1 to 3, inclusive, unless a collectively
bargained alternative annual average class enrollment for each
schoolsite in those grades is agreed to by the school district,
pursuant to the following calculation:
   (i) Determine a school district's average class enrollment for
each schoolsite for kindergarten and grades 1 to 3, inclusive, in the
prior year. For the 2013-14 fiscal year, this amount shall be the
average class enrollment for each schoolsite for kindergarten and
grades 1 to 3, inclusive, in the 2012-13 fiscal year.
   (ii) Determine a school district's  percentage 
 proportion  of total need pursuant to paragraph (2) of
subdivision (b) of Section 42238.03.
   (iii) Determine the percentage of the need calculated in clause
(ii) that is met by funding provided to the school district pursuant
to paragraph (3) of subdivision (b) of Section 42238.03.
   (iv) Determine the difference between the amount computed pursuant
to clause (i) and an average class enrollment of not more than 24
pupils.
   (v) Calculate a current year average class enrollment adjustment
for each schoolsite for kindergarten and grades 1 to 3, inclusive,
equal to the adjustment calculated in clause (iv) multiplied by the
percentage determined pursuant to clause (iii).
   (C) School districts that have an average class enrollment for
each schoolsite for kindergarten and grades 1 to 3, inclusive, of 24
pupils or less for each schoolsite in the 2012-13 fiscal year, shall
be exempt from the requirements of subparagraph (B) so long as the
school district continues to maintain an average class enrollment for
each schoolsite for kindergarten and grades 1 to 3, inclusive, of
not more than 24 pupils, unless a collectively bargained alternative
ratio is agreed to by the school district.
   (D) Upon full implementation of the local control funding formula,
as a condition of the receipt of funds in this paragraph, all school
districts shall maintain an average class enrollment for each
schoolsite for kindergarten and grades 1 to 3, inclusive, of not more
than 24 pupils for each schoolsite in kindergarten and grades 1 to
3, inclusive, unless a collectively bargained alternative ratio is
agreed to by the school district.
   (E) The average class enrollment requirement for each schoolsite
for kindergarten and grades 1 to 3, inclusive, established pursuant
to this paragraph shall not be subject to waiver by the state board
pursuant to Section 33050 or by the Superintendent.
   (F) The Controller shall include the instructions necessary to
enforce this paragraph in the audit guide required by Section
14502.1. The instructions shall include, but are not necessarily
limited to, procedures for determining if the average class
enrollment for each schoolsite for kindergarten and grades 1 to 3,
inclusive, exceeds 24  pupils  , or an alternative average
class enrollment for each schoolsite pursuant to a collectively
bargained alternative ratio. The procedures for determining average
class enrollment for each schoolsite shall include criteria for
employing sampling.
   (4) The Superintendent shall compute an additional adjustment to
the base grant for grades 9 to 12, inclusive, as adjusted for
inflation pursuant to paragraph (2), equal to 2.6 percent. The
additional grant shall be calculated by multiplying the base grant
for grades 9 to 12, inclusive, as adjusted by paragraph (2), by 2.6
percent.
   (e) The Superintendent shall compute a supplemental grant add-on
equal to 20 percent of the base grants as specified in subparagraphs
(A) to (D), inclusive, of paragraph (1) of subdivision (d), as
adjusted by paragraphs (2) to (4), inclusive, of subdivision (d), for
each school district's or charter school's percentage of
unduplicated pupils calculated pursuant to paragraph (5) of
subdivision (b). The supplemental grant shall be calculated by
multiplying the base grants as specified in subparagraphs (A) to (D),
inclusive, of paragraph (1), as adjusted by paragraphs (2) to (4),
inclusive, of subdivision (d), by 20 percent and by the percentage of
unduplicated pupils calculated pursuant to paragraph (5) of
subdivision (b) in that school district or charter school. The
supplemental grant shall be expended in accordance with the
regulations adopted pursuant to Section 42238.07.
   (f)  (1)    The Superintendent shall compute a
concentration grant add-on equal to 50 percent of the base grants as
specified in subparagraphs (A) to (D), inclusive, of paragraph (1) of
subdivision (d), as adjusted by paragraphs (2) to (4), inclusive, of
subdivision (d), for each school district's or charter school's
percentage of unduplicated pupils calculated pursuant to paragraph
(5) of subdivision (b) in excess of 55 percent of the school district'
s or charter school's total enrollment. The concentration grant shall
be calculated by multiplying the base  grant  
grants  as specified in subparagraphs (A) to (D), inclusive, of
paragraph (1) of subdivision (d), as adjusted by paragraphs (2) to
(4), inclusive, of subdivision (d), by 50 percent and by the
percentage of unduplicated pupils calculated pursuant to paragraph
(5) of subdivision (b) in excess of 55 percent of the total
enrollment in that school district or charter school.  For

    (2)     For  a charter school
physically located in only one school district, the percentage of
unduplicated pupils calculated pursuant to paragraph (5) of
subdivision (b) in excess of 55 percent used to calculate
concentration grants shall not exceed the percentage of unduplicated
pupils calculated pursuant to paragraph (5) of subdivision (b) in
excess of 55 percent of the school district in which the charter
school is physically located. For a charter school physically located
in more than one school district  because of overlappi 
 ng school district boundaries  , the charter school's
percentage of unduplicated pupils calculated pursuant to paragraph
(5) of subdivision (b) in excess of 55 percent used to calculate
concentration grants shall not exceed that of the school district
with the highest percentage of unduplicated pupils calculated
pursuant to paragraph (5) of subdivision (b) in excess of 55 percent
of the school districts in which the charter school has a school
facility.  The concentration grant shall be expended in
accordance with the regulations adopted pursuant to Section 42238.07.
  For a charter school physically located in more than
one school district because it provides classroom-based instruction
in more than one physical location, the percentage of unduplicated
pupils of that charter school shall not exceed the percentage of
unduplicated pupils of the school district in which the highest
proportion of the charter school's average daily attendance is
generated through classroom-based instruction, as defined in
paragraph (1) of subdivision (e) of Section 47612.5. If a charter
school provides nonclassroom-based instruction, as defined in
paragraph (2) of subdivision (e) of Section 47612.5, the percentage
of unduplicated   pupils of that charter school shall not
exceed the percentage of unduplicated pupils of the charter school's
chartering authority, or, for a charter school approved pursuant to
paragraph (1) or (2) of subdivision (i) of Section 47632, the charter
school's sponsoring school district.  
   (3) (A) Notwithstanding paragraph (2), for a charter school
authorized by a county board of education pursuant to Section 47605.5
or 47605.6, for purposes of calculating the concentration grant for
the charter school, the percentage of unduplicated pupils shall not
exceed the average percentage of unduplicated pupils within the
boundaries of the county.  
   (B) Notwithstanding paragraph (2), for a charter school authorized
by the state board pursuant to Section 47605.8, for purposes of
calculating the concentration grant for the charter school, the
percentage of unduplicated pupils shall not exceed the statewide
average percentage of unduplicated pupils.  
   (4) The concentration grant computed pursuant to paragraphs (1) to
(3), inclusive, shall be expended in accordance with the regulations
adopted pursuant to Section 42238.07. 
   (g) The Superintendent shall compute an add-on to the total sum of
a school district's or charter school's base, supplemental, and
concentration grants equal to the amount of funding a school district
or charter school received from funds allocated pursuant to the
Targeted Instructional Improvement Block Grant program, as set forth
in Article 6 (commencing with Section 41540) of Chapter 3.2, for the
2012-13 fiscal year, as that article read on January 1, 2013. A
school district or charter school shall not receive a total funding
amount from this add-on greater than the total amount of funding
received by the school district or charter school from that program
in the 2012-13 fiscal year. The amount computed pursuant to this
subdivision shall reflect the reduction specified in paragraph (2) of
subdivision (a) of Section 42238.03.
   (h) The Superintendent shall compute an add-on to the total sum of
a school district's or charter school's base, supplemental, and
concentration grants equal to the amount of funding a school district
or charter school received from funds allocated pursuant to the
Home-to-School Transportation program, as set forth in former Article
2 (commencing with Section 39820) of Chapter 1 of Part 23.5, former
Article 10 (commencing with Section 41850) of Chapter 5, and the
Small School District Transportation program, as set forth in former
Article 4.5 (commencing with Section 42290), for the 2012-13 fiscal
year. A school district or charter school shall not receive a total
funding amount from this add-on greater than the total amount
received by the school district or charter school for  that
program   those programs  in the 2012-13 fiscal
year. The amount computed pursuant to this subdivision shall reflect
the reduction specified in paragraph (2) of subdivision (a) of
Section 42238.03.
   (i) (1) The sum of the local control funding formula rates
computed pursuant to subdivisions (c) to (f), inclusive, shall be
multiplied by:
   (A) For school districts, the average daily attendance of the
school district in the corresponding grade level ranges computed
pursuant to Section 42238.05  ,   excluding the average
daily attendance computed pursuant to paragraph (2) of subdivision
(a) of Section 42238.05 for purposes of the computation specified in
subdivision (d)  .
   (B) For charter schools, the total current year average daily
attendance in the corresponding grade level ranges.
   (2)  (A)    The amount computed
pursuant to Article 4 (commencing with Section 42280) shall be added
to the amount computed pursuant to paragraphs (1) to (4), inclusive,
of subdivision (d), as multiplied by subparagraph (A) or (B) of
paragraph (1), as appropriate. 
   (B) The amount added pursuant to this paragraph shall not change
the calculation of a school district's or charter school's
supplemental grant or concentration grant. 
   (j) The Superintendent shall adjust the sum of each school
district's or charter school's amount determined in subdivisions (g)
to (i), inclusive, pursuant to the calculation specified in Section
42238.03, less the sum of the following:
   (1) (A) For school districts, the property tax revenue received
pursuant to Chapter 3.5 (commencing with Section 75) and Chapter 6
(commencing with Section 95) of Part 0.5 of Division 1 of the Revenue
and Taxation Code.
   (B) For charter schools, the in-lieu property tax amount provided
to a charter school pursuant to Section 47635.
   (2) The amount, if any, received pursuant to Part 18.5 (commencing
with Section 38101) of Division 2 of the Revenue and Taxation Code.
   (3) The amount, if any, received pursuant to Chapter 3 (commencing
with Section 16140) of Part 1 of Division 4 of Title 2 of the
Government Code.
   (4) Prior years' taxes and taxes on the unsecured roll.
   (5) Fifty percent of the amount received pursuant to Section
41603.
   (6) The amount, if any, received pursuant to the Community
Redevelopment Law (Part 1 (commencing with Section 33000) of Division
24 of the Health and Safety Code), less any amount received pursuant
to Section 33401 or 33676 of the Health and Safety Code that is used
for land acquisition, facility construction, reconstruction, or
remodeling, or deferred maintenance and that is not an amount
received pursuant to Section 33492.15, or paragraph (4) of
subdivision (a) of Section 33607.5, or Section 33607.7 of the Health
and Safety Code that is allocated exclusively for educational
facilities.
   (7) The amount, if any, received pursuant to Sections 
34183   34177, 34179.5, 34179.6, 34183,  and 34188
of the Health and Safety Code.
   (8) Revenue received pursuant to subparagraph (B) of paragraph (3)
of subdivision (e) of Section 36 of Article XIII of the California
Constitution.
   (k) A school district shall annually transfer to each of its
charter schools funding in lieu of property taxes pursuant to Section
47635.
   (l) (1) Nothing in this section shall be interpreted to authorize
a school district that receives funding on behalf of a charter school
pursuant to Section 47651 to redirect this funding for another
purpose unless otherwise authorized in law pursuant to paragraph (2)
or pursuant to an agreement between  a   the
 charter school and its chartering authority.
   (2) A school district that  receives  
received  funding on behalf of a locally funded charter school
 in the 2012-13 fiscal year  pursuant to paragraph (2) of
subdivision (b) of Section 42605, Section 42606, and subdivision (b)
of Section  47634 in the 2012-13 fiscal year  
47634.1, as those sections read on January 1, 2013, or a school
district that was required to pass through funding to a conversion
charter school in the 2012-13 fiscal year pursuant to paragraph (2)
of subdivision (b) of Section 42606, as that section read on January
1, 2013,  may annually redirect for another purpose a percentage
of the amount of the funding received on behalf of that charter
school. The percentage of funding that may be redirected shall be
determined pursuant to the following computation:
   (A) (i) Determine the sum of the need fulfilled for that charter
school pursuant to paragraph (3) of subdivision (b) of Section
42238.03 in the then current fiscal year for the charter school.
   (ii) Determine the sum of the need fulfilled in every fiscal year
before the then current fiscal year pursuant to paragraph (3) of
subdivision (b) of Section 42238.03 adjusted for changes in average
daily attendance pursuant to paragraph (3) of subdivision (a) of
Section 42238.03 for the charter school.
   (iii) Subtract the amount computed pursuant to paragraphs (1) to
(3), inclusive, of subdivision (a) of Section 42238.03 from the
amount computed for that charter school under the local control
funding formula entitlement computed pursuant to subdivision (i) of
Section 42238.02.
   (iv) Compute a percentage by dividing the sum of the amounts
computed to clauses (i) and (ii) by the amount computed pursuant to
clause (iii).
   (B) Multiply the percentage computed pursuant to subparagraph (A)
by the amount of funding the school district received on behalf of
the charter school  in the 2012-13 fiscal year  pursuant to
paragraph (2) of subdivision (b) of Section 42605, Section 42606, and
subdivision (b) of Section  47634 for the 2012-13 fiscal
year.   47634.1, as those sections read on January 1,
2013   . 
   (C) The maximum amount that may be redirected shall be the lesser
of the amount of funding the school district received on behalf of
the charter school  in the 2012-13 fiscal year  pursuant to
paragraph (2) of subdivision (b) of Section 42605, Section 42606, and
subdivision (b) of Section  47634 for the 2012-13 fiscal
year   47634.1, as those sections read on January 1,
2013,  or the amount computed pursuant to subparagraph (B).
   (3) Commencing with the 2013-14 fiscal year, a school district
operating one or more affiliated charter schools shall provide each
affiliated charter school schoolsite with no less than the amount of
funding the schoolsite received pursuant to the charter school block
grant in the 2012-13 fiscal year.
   (m) Any calculations in law that are used for purposes of
determining if a local educational agency is an excess tax school
entity or basic aid school district, including, but not limited to,
this section and Sections 42238.03, 41544,  47660, 
47632,  47660,  47663, 48310, and 48359.5, and Section 95 of
the Revenue and Taxation Code, shall be made exclusive of the
revenue received pursuant to subparagraph (B) of paragraph (3) of
subdivision (e) of Section 36 of Article XIII of the California
Constitution. 
   (n) The funds apportioned pursuant to this section and Section
42238.03 shall be available to implement the activities required
pursuant to Article 4.5 (commencing with Section 52060) of Chapter
6.1 of Part 28 of Division 4 of Title 2.  
   (n) 
    (o)  A school district that does not receive an
apportionment of state funds pursuant to this section  ,  as
implemented pursuant to Section 42238.03, excluding funds
apportioned pursuant to the requirements of subdivision  (d)
  (e)  of Section 42238.03 shall be considered a
"basic aid school district" or an "excess tax entity." 
   (o) The funds apportioned pursuant to this section and Section
42238.03 shall be available to implement the activities required
pursuant to Article 4.5 (commencing with Section 52060) of Chapter
6.1 of Part 28 of Division 4 of Title 2.
   SEC. 19.    Section 42238.025 of the   
 Education Code   is amended to read: 
   42238.025.  (a) In the 2013-14 fiscal year, the Superintendent
shall compute an economic recovery target rate for each school
district and charter school equal to the sum of the following:
   (1) (A) For each school district, the school district's revenue
limit in the 2012-13 fiscal year as computed pursuant to this
article, as this article read on January 1, 2013, divided by the
2012-13 fiscal year average daily attendance of the school district
computed pursuant to Section 42238.05.  For purposes of this
section, average daily attendance shall include any applicable
revenue limit average daily attendance and shall be considered final
for purposes of this section as of the   annual
apportionment for the 2012-13 fiscal year, as calculated for purposes
of the certification required on or before February 20, 2014,
pursuant to Sections 41332 and 41339. 
   (B) For each charter school, the charter school's general purpose
funding as computed pursuant to Article 2 (commencing with Section
47633) of Chapter 6 of Part 26.8 of Division 4, as that article read
on January 1, 2013, and the in-lieu property tax amount provided to
the charter school pursuant to Section 47635, as that section read on
January 1, 2013, divided by the 2012-13 fiscal year average daily
attendance of the  school district   charter
school  computed pursuant to Section 42238.05.  For purposes
of this section, average daily attendance shall include any
applicable charter school general purpose funding average daily
attendance and shall be considered final for purposes of this section
as of the annual apportionment for the 2012-13 fiscal year, as
calculated for purposes of the certification required on or before
February 20, 2014, pursuant to Sections 41332 and 41339. 
   (C) The amounts determined pursuant to subparagraphs (A) and (B)
 of this paragraph  shall not reflect the deficit
factor adjustments set forth in Section 42238.146 as that section
read on January 1, 2013.
   (D) The amounts determined pursuant to  this subdivision
  subparagraphs (A) and (B)  shall be adjusted for
the  cost of living   cost-of-living adjustment
 for the 2013-14 fiscal year pursuant to paragraph (2) of
subdivision (d) of Section 42238.02 and an annual average
cost-of-living adjustment of 1.94 percent for the 2014-15 fiscal year
to the 2020-21 fiscal year, inclusive.
   (2) (A) For each school district and charter school  , 
the sum of the entitlements from items contained in Section 2.00 of
the Budget Act of 2012 for Items 6110-104-0001, 6110-105-0001,
6110-108-0001, 6110-111-0001, 6110-124-0001, 6110-128-0001,
6110-137-0001, 6110-144-0001, 6110-156-0001, 6110-181-0001,
6110-188-0001, 6110-189-0001, 6110-190-0001, 6110-193-0001,
6110-195-0001, 6110-198-0001, 6110-204-0001, 6110-208-0001,
6110-209-0001, 6110-211-0001, 6110-212-0001, 6110-227-0001,
6110-228-0001, 6110-232-0001, 6110-240-0001, 6110-242-0001,
6110-243-0001, 6110-244-0001, 6110-245-0001, 6110-246-0001,
6110-247-0001, 6110-248-0001, 6110-260-0001, 6110-265-0001,
6110-267-0001, 6110-268-0001, 6360-101-0001, 2012-13 fiscal year
funding for the Class Size Reduction Program pursuant to Chapter 6.10
(commencing with Section 52120) of Part 28 of Division 4, as it read
on January 1, 2013, and 2012-13 fiscal year funding for the
community day school mandatorily expelled pupils program 
 pupils enrolled in community day schools who are mandatorily
expelled  pursuant to subdivision  (c)  
(d)  of Section 48915, divided by the 2012-13 fiscal year
average daily attendance of the school district computed pursuant to
Section 42238.05.
   (B) The amounts determined pursuant to this subdivision shall not
be adjusted for the reduction set forth in Section 12.42 of the
Budget Act of 2012.
   (b) Of the amounts computed for school districts pursuant to
subdivision (a), the Superintendent shall determine the funding rate
per unit of average daily attendance above which fall not more than
10 percent of the total number of school districts statewide.
   (c) The Superintendent shall compute a 2020-21 fiscal year local
control funding formula rate for each school district and charter
school equal to the amount computed pursuant to Section 42238.02 for
the 2013-14 fiscal year, adjusted for an annual average
cost-of-living adjustment of 1.94 percent for the 2014-15 fiscal year
to the 2020-21 fiscal year, inclusive, divided by the 2012-13 fiscal
year average daily attendance of the school district or charter
school computed pursuant to Section 42238.05.
   (d) (1) For each school district and charter school that has a
funding rate per unit of average daily attendance computed pursuant
to subdivision (a) that is equal to, or below, the funding rate per
unit of average daily attendance determined pursuant to subdivision
(b), the Superintendent shall subtract the amount computed pursuant
to subdivision (c) from the amount computed pursuant to subdivision
(a). Each school district or charter school for which this
calculation yields an amount greater than zero shall be eligible for
an economic recovery target payment equal to the amount of the
difference. A school district or charter school that has a funding
rate per unit of average daily attendance calculated pursuant to
subdivision (a) that exceeds the rate calculated pursuant to
subdivision (b) shall not be eligible for an economic recovery target
payment.
   (2) Each school district or charter school eligible for an
economic recovery target payment pursuant to paragraph (1) shall
receive the following apportionments:
   (A) For the 2013-14 fiscal year, one-eighth of the amount
calculated pursuant to paragraph (1) multiplied by the 2012-13 fiscal
year average daily attendance computed pursuant to Section 42238.05.

                                                                 (B)
For the 2014-15 fiscal year, two-eighths of the amount calculated
pursuant to paragraph (1) multiplied by the 2012-13 fiscal year
average daily attendance computed pursuant to Section 42238.05.
   (C) For the 2015-16 fiscal year, three-eighths of the amount
calculated pursuant to paragraph (1) multiplied by the 2012-13 fiscal
year average daily attendance computed pursuant to Section 42238.05.

   (D) For the 2016-17 fiscal year, four-eighths of the amount
calculated pursuant to paragraph (1) multiplied by the 2012-13 fiscal
year average daily attendance computed pursuant to Section 42238.05.

   (E) For the 2017-18 fiscal year, five-eighths of the amount
calculated pursuant to paragraph (1) multiplied by the 2012-13 fiscal
year average daily attendance computed pursuant to Section 42238.05.

   (F) For the 2018-19 fiscal year, six-eighths of the amount
calculated pursuant to paragraph (1) multiplied by the 2012-13 fiscal
year average daily attendance computed pursuant to Section 42238.05.

   (G) For the 2019-20 fiscal year, seven-eighths of the amount
calculated pursuant to paragraph (1) multiplied by the 2012-13 fiscal
year average daily attendance computed pursuant to Section 42238.05.

   (H) For the 2020-21 fiscal year and each fiscal year thereafter,
the amount calculated pursuant to paragraph (1) multiplied by the
2012-13 fiscal year average daily attendance computed pursuant to
Section 42238.05.
   (3) In each fiscal year until a determination has been made that
all school districts and charter schools equal or exceed the local
control funding formula target computed pursuant to Section 42238.02,
as determined by the calculation of a zero difference pursuant to
paragraph (1) of subdivision (b) of Section 42238.03, the economic
recovery target payment apportioned to each eligible school district
or charter school pursuant to paragraph (2) shall be added to the
school district's or charter school's funding amounts that are
continuously appropriated pursuant to subdivision (a) of Section
42238.03 and included in the amount of funding that may be offset
pursuant to subdivision (c) of Section 42238.03. The amount
apportioned pursuant to paragraph (2) shall not receive a
cost-of-living adjustment.
   (4) Commencing with the first fiscal year in which all school
districts and charter schools are apportioned funding pursuant to
Section 42238.02, the economic recovery target  payment
amount  calculated pursuant to paragraph (2)  for
the applicable fiscal year  shall be included as an add-on
to the amounts computed pursuant to subdivisions (c) to (i),
inclusive, of Section 42238.02 and included in the amount of funding
that may be offset pursuant to subdivision (j) of Section 42238.02.
The amount included as an add-on pursuant to this paragraph shall not
receive a cost-of-living adjustment.
   SEC. 20.    Section 42238.03 of the  
Education Code   is amended to read: 
   42238.03.  (a) Commencing with the 2013-14 fiscal year and each
fiscal year thereafter, the Superintendent shall calculate a base
entitlement for the transition to the local control funding formula
for each school district and charter school equal to the sum of the
amounts computed pursuant to paragraphs (1) to (4), inclusive. The
amounts computed pursuant to paragraphs (1) to  (6),
  (4),  inclusive, shall be continuously
appropriated pursuant to Section 14002.
   (1) The current fiscal year base entitlement funding level shall
be the sum of all of the following:
   (A) For school districts, revenue limits in the 2012-13 fiscal
year as computed pursuant to Article 2 (commencing with Section
42238), as that article read on January 1, 2013, divided by the
2012-13 average daily attendance of the school district computed
pursuant to Section 42238.05. That quotient shall be multiplied by
the current fiscal year average daily attendance of the school
district computed pursuant Section 42238.05.  A school district's
2012-13 fiscal year revenue limit funding shall exclude amounts
computed pursuant to Article 4 (commencing with Section 42280). 

   (B) (i) For charter schools, general purpose funding as computed
pursuant to Article 2 (commencing with Section 47633) of Chapter 6,
as that article read on January 1, 2013, and the amount of in-lieu
property tax provided to the charter school pursuant to Section
47635, as that section read on June 30, 2013, divided by the 2012-13
average daily attendance of the charter school computed pursuant to
Section 42238.05. That quotient shall be multiplied by the current
fiscal year average daily attendance of the charter school computed
pursuant to Section 42238.05.
   (ii) The amount computed pursuant to clause (i) shall exclude
funds received by a charter school pursuant to Section 47634.1, as
that section read on January 1, 2013.
   (C) The amount computed pursuant to  subparagraphs (A) and
(B)   subparagraph (A)  shall exclude funds
received pursuant to Section 47633, as that section read on January
1, 2013.
   (D)  The amount computed pursuant to subparagraph (A)
shall exclude amounts computed pursuant to Article 4 (commencing with
Section 42280). Funding   For school districts, funding
   for qualifying necessary small high school and
necessary small elementary schools shall be adjusted  to reflect
the funding levels that correspond to the 2012-13 necessary small
high school and necessary small elementary school allowances 
pursuant Article 4 (commencing with Section 42280) and Section
42238.146, as those provisions read on January 1, 2013.
   (2) Entitlements from items contained in Section 2.00, as adjusted
pursuant to Section 12.42, of the Budget Act of 2012 for Items
6110-104-0001, 6110-105-0001, 6110-108-0001, 6110-111-0001,
6110-124-0001, 6110-128-0001, 6110-137-0001, 6110-144-0001,
6110-156-0001, 6110-181-0001, 6110-188-0001, 6110-189-0001,
6110-190-0001, 6110-193-0001, 6110-195-0001, 6110-198-0001,
6110-204-0001, 6110-208-0001, 6110-209-0001, 6110-211-0001,
6110-212-0001, 6110-227-0001, 6110-228-0001, 6110-232-0001,
6110-240-0001, 6110-242-0001, 6110-243-0001, 6110-244-0001,
6110-245-0001, 6110-246-0001, 6110-247-0001, 6110-248-0001,
6110-260-0001, 6110-265-0001, 6110-267-0001, 6110-268-0001,
6360-101-0001, 2012-13 fiscal year funding for the Class Size
Reduction Program pursuant to Chapter 6.10 (commencing with Section
52120) of Part 28 of Division 4, as it read on January 1, 2013, and
2012-13 fiscal year funding for pupils enrolled in community day
schools who are mandatorily expelled pursuant to subdivision 
(c)   (d)  of Section 48915. The entitlement for
basic aid school districts shall include the reduction of 8.92
percent as applied pursuant to subparagraph (A) of paragraph (1) of
subdivision (a) of Section 3 of Chapter 2 of the Statutes of 2012.
   (3) The allocations pursuant to Sections 42606 and 47634.1, as
those sections read on January 1, 2013, divided by the 2012-13
average daily attendance of the charter school computed pursuant to
Section 42238.05. That quotient shall be multiplied by the current
fiscal year average daily attendance of the charter school computed
pursuant to Section 42238.05.
   (4) The amount allocated to a school district or charter school
pursuant to paragraph (3) of subdivision (b) for the fiscal years
before the current fiscal year divided by the average daily
attendance of the school district or charter school for the fiscal
years before the current fiscal year computed pursuant to Section
42238.05. That quotient shall be multiplied by the current fiscal
year average daily attendance of the school district or charter
school computed pursuant to Section 42238.05.
   (5)  (A)    For the 2013-14 and 2014-15 fiscal
years only, a school district that, in the 2012-13 fiscal year, from
any of the funding sources identified in paragraph (1) or (2),
received funds on behalf of, or provided funds to, a regional
occupational center or program joint powers agency established in
accordance with Article 1 (commencing with Section 6500) of Chapter 5
of Division 7 of Title 1 of the Government Code for purposes of
providing instruction to secondary pupils shall not redirect that
funding for another purpose unless otherwise authorized in law or
pursuant to an agreement between the regional occupational center or
program joint powers agency and the contracting school district. 

   (B) For the 2013-14 and 2014-15 fiscal years only, if a regional
occupational center or program joint powers agency established in
accordance with Article 1 (commencing with Section 6500) of Chapter 5
of Division 7 of Title 1 of the Government Code for purposes of
providing instruction to pupils enrolled in grades 9 to 12,
inclusive, received, in the 2012-13 fiscal year, an apportionment of
funds directly from any of the funding sources identified in
subparagraph (A) of paragraph (2) of subdivision (a), the
Superintendent shall apportion that same amount to the regional
occupational center or program joint powers agency. 
   (6) (A)  (i)    For the 2013-14 and 2014-15
fiscal years only, a school district that, in the 2012-13 fiscal
year, from any of the funding sources identified in paragraph (1) or
(2), received funds on behalf of, or provided funds to, a
home-to-school transportation joint powers agency established in
accordance with Article 1 (commencing with Section 6500) of Chapter 5
of Division 7 of Title 1 of the Government Code for purposes of
providing pupil transportation shall not redirect that funding for
another purpose unless otherwise authorized in law or pursuant to an
agreement between the home-to-school transportation joint powers
agency and the contracting school district. 
   (ii) For the 2013-14 and 2014-15 fiscal years only, if a
home-to-school transportation joint powers agency established in
accordance with Article 1 (commencing with Section 6500) of Chapter 5
of Division 7 of Title 1 of the Government Code for purposes of
providing pupil transportation received, in the 2012-13 fiscal year,
an apportionment of funds directly from the Superintendent from any
of the funding sources identified in subparagraph (A) of paragraph
(2) of subdivision (a), the Superintendent shall apportion that same
amount to the home-to-school transportation joint powers agency.

   (B) In addition to subparagraph (A), of the funds a school
district receives for home-to-school transportation programs the
school district shall expend, pursuant to Article 2 (commencing with
Section 39820) of Chapter 1 of Part 23.5,  and 
Article 10 (commencing with Section 41850) of Chapter 5,  and the
Small School District Transportation program, as set forth in
Article 4.5 (commencing with Section 42290) of Chapter 7 of Part 24
of Division 3 of Title 2,  no less for those programs than the
amount of funds the school district expended for home-to-school
transportation in the 2012-13 fiscal year.
   (7) For the 2013-14 and 2014-15 fiscal years only, of the funds a
school district receives for purposes of regional occupational
centers or programs, or adult education, the school district shall
expend no less than the amount of funds the school district expended
for purposes of regional occupational centers or programs, or adult
education, respectively, in the 2012-13 fiscal year.  For
purposes of this paragraph, a school district may include
expenditures made by its county office of education within the school
district for purposes of regional occupational centers or programs
so long as the total amount of expenditures by the school district
and the county office of education equal or exceed the total amount
required to be expended for purposes of regional occupational centers
or programs pursuant to this paragraph and paragraph (3) of
subdivision (k) of Section 2575. 
   (b) Compute an annual local control funding formula transition
adjustment for each school district and charter school as follows:
   (1) Subtract the amount computed pursuant to paragraphs (1) to
(4), inclusive, of subdivision (a) from the amount computed for each
school district or charter school under the local control funding
formula entitlements computed pursuant to  subdivision (i) of
 Section 42238.02. School districts and charter schools
with a negative difference shall be deemed to have a zero difference.

   (2) Each school district's and charter school's total 
need   need,  as calculated pursuant to paragraph
 (1)   (1),  shall be divided by the sum of
all school districts' and charter schools' total need to determine
the school district's or charter school's respective proportions of
total need.
   (3) Each school district's and charter school's proportion of
total need shall be multiplied by any available appropriations
specifically made for purposes of this subdivision, and added to the
school district's or charter school's funding amounts as calculated
pursuant to subdivision (a).
   (4) If the total amount of funds appropriated for purposes of
paragraph (3) pursuant to this subdivision are sufficient to fully
fund any positive amounts computed pursuant to paragraph (1), the
local control funding formula grant computed pursuant to subdivision
(c) of Section 42238.02 shall be adjusted to ensure that any
available appropriation authority is expended for purposes of the
local control funding formula.
   (5) Commencing with the first fiscal year after either paragraph
(4)  of this subdivision  or paragraph (2) of subdivision
 (h)   (g)  applies, the adjustments in
paragraph (2) of subdivision (d) of Section 42238.02 shall be made
only if an appropriation for those adjustments is included in the
annual Budget Act.
   (c) The Superintendent shall subtract from the amounts computed
pursuant to subdivisions (a) and (b) the sum of the following:
   (1) (A) For school districts, the property tax revenue received
pursuant to Chapter 3.5 (commencing with Section 75) and Chapter 6
(commencing with Section 95) of Part 0.5 of Division 1 of the Revenue
and Taxation Code.
   (B) For charter schools, the in-lieu property tax amount provided
to a charter school pursuant to Section 47635.
   (2) The amount, if any, received pursuant to Part 18.5 (commencing
with Section 38101) of Division 2 of the Revenue and Taxation Code.
   (3) The amount, if any, received pursuant to Chapter 3 (commencing
with Section 16140) of Part 1 of Division 4 of Title 2 of the
Government Code.
   (4) Prior years' taxes and taxes on the unsecured roll.
   (5) Fifty percent of the amount received pursuant to Section
41603.
   (6) The amount, if any, received pursuant to the Community
Redevelopment Law (Part 1 (commencing with Section 33000) of Division
24 of the Health and Safety Code), less any amount received pursuant
to Section 33401 or 33676 of the Health and Safety Code that is used
for land acquisition, facility construction, reconstruction, or
remodeling, or deferred maintenance and that is not an amount
received pursuant to Section 33492.15, or paragraph (4) of
subdivision (a) of Section 33607.5, or Section 33607.7 of the Health
and Safety Code that is allocated exclusively for educational
facilities.
   (7) The amount, if any, received pursuant to Sections 
34183   34177, 34179.5, 34179.6, 34183,  and 34188
of the Health and Safety Code.
   (8) Revenue received pursuant to subparagraph (B) of paragraph (3)
of subdivision (e) of Section 36 of Article XIII of the California
Constitution.
   (d) A school district or charter school that has a zero difference
pursuant to paragraph (1) of subdivision (b) in the prior fiscal
year shall receive an entitlement equal to the amount calculated
pursuant to Section 42238.02 in the current fiscal year and future
fiscal years.
   (e) Notwithstanding the computations pursuant to subdivisions (b)
to (d), inclusive, and Section 42238.02, commencing with the 2013-14
fiscal year, a school district or charter school shall receive
state-aid funding of no less than the sum of the amounts computed
pursuant to paragraphs (1) to (3), inclusive.
   (1) (A) For school districts, revenue limits in the 2012-13 fiscal
year as computed pursuant to Article 2 (commencing with Section
42238), as that article read on January 1, 2013, divided by the
2012-13 average daily attendance of the school district computed
pursuant to Section 42238.05. That quotient shall be multiplied by
the current fiscal year average daily attendance of the school
district computed pursuant Section  42238.05 and then offset
for local revenues pursuant to subdivision (c) for the current fiscal
year.   42238.05. A school district's 2012-13 revenue
limit funding shall exclude amounts computed pursuant to Article 4
(commencing with Section 42280)   . 
   (B) (i) For charter schools, general purpose funding in the
2012-13 fiscal year as computed pursuant to Article 2 (commencing
with Section 47633) of Chapter 6, as that article read on January 1,
2013, and the amount of in-lieu property tax provided to the charter
school in the 2012-13 fiscal year pursuant to Section 47635, as that
section read on January 1, 2013, divided by the 2012-13 average daily
attendance of the charter school computed pursuant to Section
42238.05. That quotient shall be multiplied by the current fiscal
year average daily attendance of the charter school computed pursuant
to Section  42238.05 and then offset for local revenues
pursuant to subdivision (c) for the current fiscal year. 
 42238.05. 
   (ii) The amount computed pursuant to clause (i) shall exclude
funds received by a charter school pursuant to Section 47634.1, as
that section read on January 1, 2013.
   (C) The amount computed pursuant to  subparagraphs (A) and
(B)   subparagraph (A)  shall exclude funds
received pursuant to Section 47633, as that section read on January
1, 2013.
   (D)  The amount computed pursuant to subparagraph (A)
shall exclude amounts computed pursuant to Article 4 (commencing with
Section 42280). Funding   For school districts, the
2012-13 funding allowance provided    for qualifying
necessary small high  school   schools  and
necessary small elementary schools  shall be adjusted
 pursuant  to  Article 4 (commencing with Section
42280) and Section 42238.146, as those provisions read on January 1,
2013.
   (E) The amount computed pursuant to subparagraphs (A) to 
(C),   (D),  inclusive, shall be reduced by the sum
of the amount computed pursuant to paragraphs (1) to (8), inclusive,
of subdivision (c).
   (2)  (A)    Entitlements from items contained in
Section 2.00, as adjusted pursuant to Section 12.42, of the Budget
Act of 2012 for Items 6110-104-0001, 6110-105-0001, 6110-108-0001,
6110-111-0001, 6110-124-0001, 6110-128-0001, 6110-137-0001,
6110-144-0001, 6110-156-0001, 6110-181-0001, 6110-188-0001,
6110-189-0001, 6110-190-0001, 6110-193-0001, 6110-195-0001,
6110-198-0001, 6110-204-0001, 6110-208-0001, 6110-209-0001,
6110-211-0001, 6110-212-0001, 6110-227-0001, 6110-228-0001,
6110-232-0001, 6110-240-0001, 6110-242-0001, 6110-243-0001,
6110-244-0001, 6110-245-0001, 6110-246-0001, 6110-247-0001,
6110-248-0001, 6110-260-0001, 6110-265-0001, 6110-267-0001,
6110-268-0001, 6360-101-0001, 2012-13 fiscal year funding for the
Class Size Reduction Program pursuant to Chapter 6.10 (commencing
with Section 52120) of Part 28 of Division 4, as it read on January
1, 2013, and 2012-13 fiscal year funding for pupils enrolled in
community day schools who are mandatorily expelled pursuant to
subdivision  (c)   (d)  of Section 48915.
Notwithstanding Section 39 of Chapter 38 of the Statutes of 2012, the
entitlement for basic aid school districts shall include the
reduction of 8.92 percent as applied pursuant to subparagraph (A) of
paragraph (1) of subdivision (a) of Section 3 of Chapter 2 of the
Statutes of 2012. 
   (B) The Superintendent shall annually apportion any entitlement
provided to the state special schools from the items specified in
subparagraph (A) to the state special schools in the same amount as
the state special schools received from those items in the 2012-13
fiscal year. 
   (3) The allocations pursuant to Sections 42606 and 47634.1, as
those sections read on January 1, 2013, divided by the 2012-13
average daily attendance of the charter school. That quotient shall
be multiplied by the current fiscal year average daily attendance of
the charter school.
   (f) (1) For purposes of this section, commencing with the 2013-14
fiscal year and until all school districts and charter schools equal
or exceed their local control funding formula target computed
pursuant to Section 42238.02  ,  as determined by the
calculation of a zero difference pursuant to paragraph (1) of
subdivision (b), a newly operational charter school shall be
determined to have a prior year per average daily attendance funding
amount equal to the lesser of:
   (A)  (i)    The prior year funding amount per
unit of average daily attendance for the school district in which the
charter school is physically located. The Superintendent shall
calculate the funding amount per unit of average daily attendance for
this purpose by dividing the total local control funding formula
entitlement  , calculated pursuant to subdivisions (a) and (b),
 received by that school district in the prior year by prior
year  funded  average daily attendance of that school
district. For purposes of this  paragraph  
subparagraph  , a charter school that is physically located in
more than one school district  because of overlapping school
district boundaries  shall use the calculated local control
funding entitlement per unit of average daily attendance of the
school district with the highest prior year funding amount per unit
of average daily attendance. 
   (ii) For purposes of this subparagraph, if a charter school is
physically located in more than one school district and provides
classroom-based instruction, as defined in paragraph (1) of
subdivision (e) of Section 47612.5, in more than one physical
location, the prior year funding amount per unit of average daily
attendance of that charter school shall be deemed to be that of the
school district in which the highest proportion of the charter school'
s average daily attendance is generated through classroom-based
instruction. For purposes of this subparagraph, the prior year
funding amount per unit of average daily attendance for a charter
school that provides nonclassroom-based instruction, as defined in
paragraph (2) of subdivision (e) of Section 47612.5, shall be that of
the charter school's chartering authority, or, for a charter school
approved pursuant to paragraph (1) or (2) of subdivision (i) of
Section 47632, the charter school's sponsoring school district. 

   (B) The charter school's local control funding formula rate
computed pursuant to subdivisions (c) to (i), inclusive, of Section
42238.02. 
   (C) For purposes of subparagraph (A), a charter school commencing
operations in a school district that includes funding pursuant to
Article 4 (commencing with Section 42280) as part of the local
control funding formula computation pursuant to Section 42238.02 in
the previous fiscal year, or that received funding pursuant to
Article 4 (commencing with Section 42280) in the 2012-13 fiscal year,
shall use the statewide average calculated local control funding
entitlement per unit of average daily attendance in lieu of the
highest prior year funding amount per unit of average daily
attendance for the school district in which the charter school is
located.  
   (D) (i) For purposes of subparagraph (A), a charter school
authorized pursuant to Section 47605.6 or pursuant to subdivision (c)
of Section 47631, shall use the countywide average calculated local
control funding entitlement per unit of average daily attendance in
lieu of the highest prior year funding amount per unit of average
daily attendance for the school district in which the charter school
is located.  
   (ii) For purposes of subparagraph (A), a charter school authorized
pursuant to Section 47605.8 shall use the statewide average
calculated local control funding entitlement per unit of average
daily attendance in lieu of the highest prior year funding amount per
unit of average daily attendance for the school district in which
the charter school is located. 
   (2) For charter schools funded pursuant to paragraph (1), the
charter school shall be eligible to receive growth funding pursuant
to subdivision (b) toward meeting the newly operational charter
school's local control funding formula target.
   (3) Upon a determination that all school districts and charter
schools equal or exceed the local control funding formula target
computed pursuant to Section  42238.02  
42238.02,  as determined by the calculation of a zero difference
pursuant to paragraph (1) of subdivision (b) for all school
districts and charter schools, this subdivision shall not apply and
the charter school shall receive an allocation equal to the amount
calculated under Section 42238.02 in that fiscal year and future
fiscal years.
   (g) (1) In each fiscal year the Superintendent shall determine the
percentage of school districts that are apportioned funding pursuant
to this section that is less than the amount computed pursuant to
Section 42238.02 as of the second principal apportionments of the
fiscal year. If the percentage is less than 10 percent, the
Superintendent shall apportion funding to  the 
school districts and charter schools equal to the amount computed
pursuant to Section 42238.02 in that fiscal year.
   (2) For each fiscal year thereafter, the Superintendent shall
apportion funding to a school district and charter school equal to
the amount computed pursuant to Section 42238.02.
   SEC. 21.    Section 42238.05 of the  
Education Code   is amended to read: 
   42238.05.  (a) For purposes of Sections 42238.02  , 42238.025,
 and 42238.03, the fiscal year average daily attendance 
for a school district  shall be computed pursuant to 
paragraph (1) or (2).   paragraphs
                      (1) to (3), inclusive, as applicable. 
   (1) The second principal apportionment regular average daily
attendance for either the current or prior fiscal year, whichever is
 greater. However, prior fiscal year average daily attendance
shall be adjusted for any loss or gain of average daily attendance
due to a reorganization or transfer of territory.  
greater, excluding units of average daily attendance resulting from
pupils attending schools funded pursuant to Article 4 (commencing
with Section 42280)   .  
   (2) A school district that elects to receive funding pursuant to
Article 4 (commencing with Section 42280) shall compute its units of
average daily attendance for purposes of paragraphs (1), (3), and
(4), of subdivision (d) of Section 42238.02 by subtracting the amount
determined in subparagraph (B) from the amount determined in
subparagraph (A).  
   (A) The units of average daily attendance computed pursuant to
paragraph (1).  
   (B) 
    (2)  The units of average daily attendance resulting
from pupils attending schools funded pursuant to Article 4
(commencing with Section 42280). 
   (3) Prior fiscal year average daily attendance shall be adjusted
for any loss or gain of average daily attendance due to a
reorganization or transfer of territory. 
   (b) For purposes of this article, regular average daily attendance
shall be the base grant average daily attendance.
   (c) For purposes of this section, the Superintendent shall
distribute total ungraded enrollment and average daily attendance
among kindergarten and each of grades 1 to 12, inclusive, in
proportion to the amounts of graded enrollment and average daily
attendance, respectively, in each of these grades.
   (d) For purposes of this section, the Superintendent shall
distribute average daily attendance generated by the difference
between prior year average daily attendance and current year average
daily attendance, if positive, among kindergarten and each of grades
1 to 12, inclusive, in proportion to the amounts of graded average
daily attendance, respectively, in each of these grades.
   (e) This section shall only apply to average daily attendance
generated by school districts and shall not apply to average daily
attendance generated by charter schools.
   (f) A pupil shall not be counted more than once for purposes of
calculating average daily attendance pursuant to this section. 
   (g) Notwithstanding subdivisions (a) to (f), inclusive, for
purposes of Sections 42238.02, 42238.025, and 42238.03, average daily
attendance for a charter school shall be the total current year
average daily attendance in the corresponding grade level ranges for
the charter school as computed pursuant to Section 47634.3.
Subdivision (d) shall not apply to the calculation of current year
average daily attendance for a charter school. 
   SEC. 22.    Section 42238.20 of the  
Education Code   is repealed.  
   42238.20.  (a) Notwithstanding any other law, commencing in the
2008-09 fiscal year, the minimum schoolday for a pupil concurrently
enrolled in regular secondary school classes and classes operating
pursuant to a joint powers agreement that became effective before
January 1, 2008, is 180 minutes. These regular secondary school
classes constitute regular school classes for the purposes of Section
46010.3.
   (b) Notwithstanding any other law, for purposes of computing the
average daily attendance of a pupil described in subdivision (a), the
180-minute minimum schoolday permitted by this section shall be
computed and reported as attendance for three-quarters of the full
240-minute minimum schoolday prescribed by Section 46141.
   (c) For a pupil described in subdivision (a), the average daily
attendance shall be included as school district average daily
attendance computed pursuant to Section 42238.5.
   (d) (1) Commencing with the 2008-09 fiscal year, the
Superintendent shall compute funding for each pupil enrolled in
classes as described in subdivision (a), for the period of time each
day during which the pupil attends classes pursuant to a joint powers
agreement, by multiplying the annual clock hours of attendance, up
to a maximum of three clock hours per schoolday, by the rate
described in subdivision (e) or (f), as applicable.
   (2) The Superintendent shall add the amount computed pursuant to
paragraph (1) to the revenue limit calculated pursuant to Section
42238 for the school district of attendance of the pupil.
   (3) A pupil shall not generate apportionment credit pursuant to
this subdivision for more than 540 hours in any school year.
   (e) The hourly rate for the 2008-09 fiscal year shall be
determined as follows:
   (1) Subtract 73.3 percent of the school district revenue limit
funding per unit of average daily attendance computed pursuant to
Section 42238 for the 2007-08 fiscal year for the school districts
that entered into the joint powers agreement from the statewide
average revenue limit funding per unit of average daily attendance
received by high school districts computed pursuant to paragraph (1)
of subdivision (a) of Section 47633 for the 2007-08 fiscal year.
   (2) Divide the amount computed in paragraph (1) by 540.
   (3) Multiply the amount in paragraph (2) by the cost of living,
deficit factor, and equalization adjustments applied to revenue
limits for the 2008-09 fiscal year.
   (f) Commencing with the 2009-10 fiscal year, the hourly rate for
the current fiscal year shall be determined by multiplying the prior
year hourly rate by the cost of living, deficit factor, and
equalization adjustments applied to the current year revenue limit
computed pursuant to Section 42238.
   (g) For purposes of computing attendance pursuant to Section 46300
or any other law, immediate supervision and control of pupils while
attending classes pursuant to a joint powers agreement described in
subdivision (a) is deemed satisfied regardless of the school district
employing the certificated employee providing the supervision and
control, provided the school district is a party to the joint powers
agreement.
   (h) The auditor who conducts the annual audit pursuant to Section
41020 shall verify compliance with this section by each school
district that is a party to the joint powers agreement as described
in subdivision (a). An instance of noncompliance shall be reported as
an audit exception. If the noncompliance is a condition of
eligibility for the receipt of funds, the audit report shall include
a statement of the number of units of average daily attendance or
hours, if any, that were inappropriately reported for apportionment.
   (i) Notwithstanding any other law, the number of hours of
instruction at regional occupational centers or programs that are
claimed for funding pursuant to subdivision (d) shall be used, in
addition to the hourly rate determined pursuant to subdivision (e) or
(f), whichever subdivision is applicable, in the computation of the
average daily attendance of the regional occupational center or
program.
    (j) This section shall become inoperative on July 1, 2017, and,
as of January 1, 2018, is repealed, unless a later enacted statute,
that becomes operative on or before January 1, 2018, deletes or
extends the dates on which it becomes inoperative and is repealed.

   SEC. 23.    Section 42283 of the   Education
Code   is amended to read: 
   42283.  (a) For purposes of Sections 42281 and 42282, a "necessary
small school" is an elementary school with an average daily
attendance of less than 97, exclusive of pupils attending the seventh
and eighth grades of a junior high school, maintained by a school
district to which  school  any of the following
conditions apply:
   (1) If as many as five pupils residing in the school district and
attending kindergarten and grades 1 to 8, inclusive, exclusive of
pupils attending the seventh and eighth grades of a junior high
school in the elementary school with an average daily attendance of
less than 97 would be required to travel more than 10 miles one way
from a point on a well-traveled road nearest their home to the
nearest other public elementary school.
   (2) If as many as 15 pupils residing in the school district and
attending kindergarten and grades 1 to 8, inclusive, exclusive of
pupils attending the seventh and eighth grades of a junior high
school in the elementary school with an average daily attendance of
less than 97 would be required to travel more than five miles one way
from a point on a well-traveled road nearest their home to the
nearest other public elementary school.
   (3) If topographical or other conditions exist in a school
district which would impose unusual hardships if the number of miles
specified in paragraph (1) or (2) were required to be traveled, or if
during the fiscal year the roads which would be traveled have been
impassable for more than an average of two weeks per year for the
preceding five years, the governing board of the school district may,
on or before April 1, request the Superintendent, in writing, for an
exemption from these requirements or for a reduction in the miles
required. The request shall be accompanied by a statement of the
conditions upon which the request is based, giving the information in
a form required by the Superintendent. The Superintendent shall
cause an investigation to be made, and shall either grant the request
to the extent he or she deems necessary, or deny the request.
   (b) For purposes of this section, "other public elementary school"
is a public school, including a charter school, that serves
kindergarten or any of grades 1 to 8, inclusive, exclusive of grades
7 and 8 of a junior high school.
   SEC. 24.    Section 42284 of the   Education
Code   is amended to read: 
   42284.  (a) For each district with fewer than 2,501 units of
average daily attendance, on account of each necessary small high
school, the county superintendent of schools shall make one of the
following computations selected with regard only to the number of
certificated employees employed or average daily attendance,
whichever provides the lesser amount:
                        Minimum
                         number
Average                   of           Amount to
daily                certificated          be
attendance            employees         computed
    1- 19 .......     less than 3        $42,980
                                       per teacher
    1- 19 .......           3            191,340
   20- 38 .......           4            234,320
   39- 57 .......           5            277,300
   58- 71 .......           6            320,280
   72- 86 .......           7            363,260
   87- 100 ......           8            406,240
   1  01-114 ......  ..            9
     449,220
  115-129 .......          10            492,200
  130-143 .......          11            535,180
   1  44-171 ......  ..           12
     578,160
  172-210 .......          13            621,140
  211-248 .......          14            664,120
  249-286 .......          15            707,100


   (b) For purposes of this section, a "certificated employee" means
an equivalent full-time position of an individual holding a
credential authorizing service and providing service in grades 9 to
12, inclusive, in any secondary school. Any fraction of an equivalent
full-time position remaining after all equivalent full-time
positions for certificated employees within the  school 
district have been calculated shall be deemed to be a full-time
position.
   (c) A school district that qualifies under this section may use
the funding calculation as provided in this section until the local
control funding formula allocation pursuant to Section 42238.02, as
implemented by Section 42238.03, per unit of average daily attendance
multiplied by the average daily attendance produces state aid equal
to the funding provided under this section.
   SEC. 25.    Section 42285 of the   Education
Code   is amended to read: 
   42285.  (a) For  the  purposes of Section 42284,
a necessary small high school is a high school with an average daily
attendance of less than 287 that comes within any of the following
conditions:
   (1) The projection of its future enrollment on the basis of the
enrollment of the elementary schools in the  school 
district shows that within eight years the enrollment in high school
in grades 9 to 12, inclusive, will exceed 286 pupils.
   (2) Any one of the following combinations of distance and units of
average daily attendance applies:
   (A) The high school had an average daily attendance of less than
96 in grades 9 to 12, inclusive, during the preceding fiscal year and
is more than 15 miles by well-traveled road from the nearest other
public high school and either 90 percent of the pupils would be
required to travel 20 miles or 25 percent of the pupils would be
required to travel 30 miles one way from a point on a well-traveled
road nearest their homes to the nearest other public high school.
   (B) The high school had an average daily attendance of 96 or more
and less than 144 in grades 9 to 12, inclusive, during the preceding
fiscal year and is more than 10 miles by well-traveled road from the
nearest other public high school and either 90 percent of the pupils
would be required to travel 18 miles or 25 percent of the pupils
would be required to travel 25 miles one way from a point on a
well-traveled road nearest their homes to the nearest other public
high school.
   (C) The high school had an average daily attendance of 144 or more
and less than 192 in grades 9 to 12, inclusive, during the preceding
fiscal year and is more than 71/2 miles by well-traveled road from
the nearest other public high school and either 90 percent of the
pupils would be required to travel 15 miles or 25 percent of the
pupils would be required to travel 20 miles one way from a point on a
well-traveled road nearest their homes to the nearest other public
high school.
   (D) The high school had an average daily attendance of 192 or more
and less than 287 in grades 9 to 12, inclusive, during the preceding
fiscal year and is more than five miles by well-traveled road from
the nearest other public high school and either 90 percent of the
pupils would be required to travel 10 miles or 25 percent of the
pupils would be required to travel 15 miles to the nearest other
public high school.
   (3) Topographical or other conditions exist in the school district
which would impose unusual hardships on the pupils if the number of
miles specified above were required to be traveled. In these cases,
the Superintendent may, when requested, and after investigation,
grant exceptions from the distance requirements.
   (4) The Superintendent has approved the recommendation of a county
committee on school district organization designating one of two or
more schools as necessary isolated schools in a situation where the
schools are operated by two or more school districts and the average
daily attendance of each of the schools is less than 287 in grades 9
to 12, inclusive.
   (b) For purposes of Section 42284, a necessary small high school
also includes a high school maintained by a school district for the
exclusive purpose of educating juvenile hall pupils or pupils with
exceptional needs.
   (c) For purposes of Section 42284, a necessary small high school
does not include a continuation school.
   (d) For purposes of this section, "other public high school" is a
public school, including a charter school, that serves any of grades
9 to 12,  inclusive, or grades 7 and 8 in a junior high
school.   inclusive   . 
   SEC. 26.    Section 42285.5 of the  
Education Code   is amended to read: 
   42285.5.   (a)    For purposes
of subdivision (a) of Section 42284 and Section 42285,  for a
qualifying necessary small high school,  a school district may
include average daily attendance in grades 7 and 8 and the
instructors of grade 7 and 8 pupils in the calculation of average
daily attendance and number of certificated employees employed.

   (b) Notwithstanding Sections 42284 and 42285, for purposes of this
section, with respect to a school district eligible to utilize
subdivision (a), any references to grades 9 to 12, inclusive, in
Sections 42284 and 42285 shall be deemed instead to be references to
grades 7 to 12, inclusive. 
   SEC. 27.    Section 42287 of the   Education
Code   is amended to read: 
   42287.  (a) For the 1984-85 fiscal year to the 2012-13 fiscal
year, inclusive, the Superintendent  of Public Instruction
 shall increase the funding amounts specified in Sections
42281, 42282, and 42284 by an amount proportionate to the increase
applied to the statewide average revenue limit for unified school
districts for the then current fiscal year.
   (b) Commencing with the 2013-14 fiscal year, the Superintendent
shall increase the funding amounts specified in Sections 42281,
42282, and 42284, as previously increased pursuant to subdivision (a)
and Sections 42289 to 42289.5, inclusive, by  an amount
proportionate to the increase in the statewide average local control
funding formula allocations pursuant to Section 42238.02, as
implemented by Section 42238.03,   the percentage
calculated pursuant to paragraph (2) of subdivision (d) of Section
42238.02, subject to the criteria specified in paragraph (5) of
subdivision (b) of Section 42238.03,  for the then current
fiscal year.
   SEC. 28.    Section 46200 of the   Education
Code   is amended to read: 
   46200.  For a school district that received an apportionment
pursuant to subdivision (a) of this section, as it read on January 1,
2013, and that offers less than 180 days of instruction or, in
multitrack year-round schools, fewer than the number of days required
in subdivision (a) of this section, as it read on January 1, 2013,
 for multitrack year-round schools,  in the 2013-14
fiscal year, or any fiscal year thereafter, the Superintendent shall
withhold from the school district's local control funding formula
grant apportionment pursuant to Section 42238.02, as implemented by
Section 42238.03, for the average daily attendance of each affected
grade level the sum of 0.0056 multiplied by  the
apportionment received pursuant to subdivision (a) of this section,
as it read on January 1, 2013, for each day less than 180, or, in
multitrack year-round schools, for each day less than the number of
days required in subdivision (a) for year-round schools that the
school district offered.   that apportionment for each
day less than what was required in subdivision (a) of this section,
as it read on January 1, 2013, up to a maximum of five days 
 . 
   SEC. 29.    Section 46201 of the   Education
Code   is amended to read: 
   46201.  (a) For each school district that received an
apportionment pursuant to subdivision (a) of this section, as it read
on January 1, 2013, and that reduces the amount of instructional
time offered below the minimum amounts specified in subdivision (b),
the Superintendent shall withhold from the school district's local
control funding formula grant apportionment pursuant to Section
42238.02, as implemented by Section 42238.03, for the average daily
attendance of each affected grade level, the sum of  the
apportionment received pursuant to subdivision (a) of this section,
as it read on January 1, 2013,   that apportionment
 multiplied by the percentage of the minimum offered minutes at
that grade level that the school district failed to offer.
   (b) Commencing with the 2013-14 fiscal year:
   (1) Thirty-six thousand minutes in kindergarten.
   (2) Fifty thousand four hundred minutes in grades 1 to 3,
inclusive.
   (3) Fifty-four thousand minutes in grades 4 to 8, inclusive.
   (4) Sixty-four thousand eight hundred minutes in grades 9 to 12,
inclusive.
   SEC. 30.    Section 46202 of the   Education
Code   is amended to read: 
   46202.  If a school district that does not participate in the
program set forth in Sections 46200 to 46206, inclusive, as those
sections read on January 1, 2013, offers less instructional time in a
fiscal year than the amount of instructional time fixed for the
1982-83 fiscal year, the Superintendent shall withhold for that
fiscal year, from the school district's local control funding formula
grant apportionment pursuant to Section  42238.03, 
 42238.02,  as implemented by Section 42238.03, for the
average daily attendance of each affected grade level, the amount of
that apportionment multiplied by the percentage of instructional
minutes fixed in the 1982-83 school year, at that grade level, that
the school district failed to offer.
   SEC. 31.    Section 46208 of the   Education
Code   is amended to read: 
   46208.  (a) Notwithstanding Sections 46200 to 46205, inclusive,
upon a determination that a school district equals or exceeds its
local control funding formula target computed pursuant to Section
42238.02 as determined by the calculation of a zero difference
pursuant to paragraph (1) of subdivision (b) of Section 42238.03,
each school district, as a condition of apportionment pursuant to
Section 42238.02, as implemented pursuant to Section 42238.03, shall
offer 180 days or more of instruction per school year. A school
operating  as  a multitrack year-round school shall be
deemed to be in compliance with the 180-day requirement if it
certifies to the Superintendent that it is a multitrack year-round
school and maintains its school for a minimum of 163 schooldays.
   (b) Notwithstanding subdivision (a), for the 2013-14 and 2014-15
school years, a school district that equals or exceeds its computed
local control funding formula target may reduce the equivalent of up
to five days of instruction or the equivalent number of instructional
minutes without incurring the penalties set forth in this section.

   (c) For a school district that has met its local control funding
formula target and that offers fewer than the number of instructional
days required pursuant to this section, the Superintendent shall
withhold from the school district's local control funding formula
grant apportionment pursuant to Section 42238.02, as implemented by
Section 42238.03, for the average daily attendance of each affected
grade level, the sum of 0.0056 multiplied by that apportionment for
each day less than what was required pursuant to this section, for up
to five days. 
   SEC. 32.    Section 46610 of the   Education
Code   is repealed.  
   46610.  Notwithstanding any other provision of law, the Fallbrook
Union High School District shall enter into an interdistrict
attendance agreement with the Capistrano Unified School District to
allow any pupil, at the request of his or her parent or guardian, to
attend schools of the Capistrano Unified School District when the
pupil resides in the San Onofre housing area of the Marine Corps
Base, Camp Joseph H. Pendleton. No more than 150 pupils from the
Fallbrook Union High School District may attend school in the
Capistrano Unified School District pursuant to this interdistrict
attendance agreement.
   The Fallbrook Union High School District shall be credited with
the average daily attendance of these pupils for the purpose of
determining state apportionments and revenue limits and for the
purpose of receiving federal grants pursuant to Public Law 81-874.
   The Fallbrook Union High School District shall pay tuition to the
Capistrano Unified School District for the attendance of these pupils
only in the amount of the state apportionments paid to the Fallbrook
Union High School District for the attendance of these pupils, plus
an amount computed as follows:
   (a) Divide the amount of funds paid pursuant to Section 3 of
Public Law 81-874 (20 U.S.C. 238) to the Fallbrook Union High School
District in the current fiscal year by the average daily attendance
of the district in the current fiscal year.
   (b) Multiply the amount in subdivision (a) by the average daily
attendance, for the year of attendance for secondary school pupils
attending the schools of the Capistrano Unified School District
pursuant to Section 46610. 
   SEC. 33.    Section 46611 of the   Education
Code   is repealed.  
   46611.  (a) When an interdistrict attendance agreement is entered
into pursuant to Section 46610, the Superintendent of Public
Instruction shall apportion from Section A of the State School Fund
to the Capistrano Unified School District the allowance computed in
subdivision (b) for educating secondary school pupils attending
pursuant to the agreement during the year the pupils are in
attendance in that district reduced by the amounts payable to
Capistrano Unified School District by the Fallbrook Union High School
District pursuant to Section 46610.
   (b) The Superintendent of Public Instruction shall compute an
allowance for educating secondary school pupils, as follows:
   (1) Compute, for the year of attendance, the statewide average
revenue limit per unit of average daily attendance for high school
districts with more than 300 units of average daily attendance.
   (2) From the amount in paragraph (1), subtract one hundred dollars
($100).
            (3) Multiply the amount in paragraph (2) by the average
daily attendance, for the year of attendance, for secondary school
pupils attending the schools of the Capistrano Unified School
District pursuant to Section 46610. 
   SEC. 34.    Section 47612 of the   Education
Code   is amended to read: 
   47612.  (a) A charter school shall be deemed to be under the
exclusive control of the officers of the public schools for purposes
of Section 8 of Article IX of the California Constitution, with
regard to the appropriation of public moneys to be apportioned to any
charter school, including, but not necessarily limited to,
appropriations made for purposes of this chapter.
   (b) The average daily attendance in a charter school may not, in
any event, be generated by a pupil who is not a California resident.
To remain eligible for generating charter school apportionments, a
pupil over 19 years of age shall be continuously enrolled in public
school and make satisfactory progress towards award of a high school
diploma. The state board shall, on or before January 1, 2000, adopt
regulations defining "satisfactory progress."
   (c) A charter school shall be deemed to be a "school district" for
purposes of Article 1 (commencing with Section 14000) of Chapter 1
of Part 9  of Division 1 of Title 1  , Section 41301,
Section 41302.5, Article 10 (commencing with Section 41850) of
Chapter 5 of Part 24  of Division 3  , Section 47638, and
Sections 8 and 8.5 of Article XVI of the California Constitution.
   (d) For purposes of calculating average daily attendance, no pupil
shall generate more than one day of attendance in a calendar day.
Notwithstanding any other law, a charter school that operates a
 multitask   multitrack  calendar shall
comply with all of the following:
   (1) Calculate attendance separately for each track. The divisor in
the calculation shall be the calendar days in which school was
taught for pupils in each track.
   (2) Operate no more than five tracks.
   (3) Operate each track for a minimum of 175 days. If the charter
school is a conversion school, the charter school may continue its
previous schedule as long as it provides no fewer than 163 days of
instruction in each track.
   (4) For each track, provide the total number of instructional
minutes, as specified in Section 47612.5.
   (5) No track shall have less than 55 percent of its schooldays
before April 15.
   (6) Unless otherwise authorized by statute, no pupil shall
generate more than one unit of average daily attendance in a fiscal
year.
   (e) Compliance with the conditions set forth in this section shall
be included in the audits conducted pursuant to Section 41020.
   SEC. 35.    Section 47614.5 of the  
Education Code   is amended to read: 
   47614.5.  (a) The Charter School Facility Grant Program is hereby
established, and, commencing with the 2013-14 fiscal year, shall be
administered by the California School Finance Authority. The grant
program is intended to provide assistance with facilities rent and
lease costs for pupils in charter schools.
   (b) Subject to the annual Budget Act, eligible schools shall
receive an amount of up to, but not more than, seven hundred fifty
dollars ($750) per unit of average daily attendance, as certified at
the second principal apportionment, to provide an amount of up to,
but not more than, 75 percent of the annual facilities rent and lease
costs for the charter school. In any fiscal year, if the funds
appropriated for the purposes of this section by the annual Budget
Act are insufficient to fund the approved amounts fully, the
California School Finance Authority shall apportion the available
funds on a pro rata basis.
   (c) For purposes of this section, the California School Finance
Authority shall do all of the following:
   (1) Inform charter schools of the grant program.
   (2) Upon application by a charter school, determine eligibility,
based on the geographic location of the charter schoolsite, pupil
eligibility for free or reduced-price meals, and a preference in
admissions, as appropriate. Eligibility for funding shall not be
limited to the grade level or levels served by the school whose
attendance area is used to determine eligibility. Charter schoolsite
are eligible for funding pursuant to this section if the charter
schoolsite meets either of the following conditions:
   (A) The charter schoolsite is physically located in the attendance
area of a public elementary school in which 70 percent or more of
the pupil enrollment is eligible for free or reduced-price meals and
the schoolsite gives a preference in admissions to pupils who are
currently enrolled in that public elementary school and to pupils who
reside in the elementary school attendance area where the charter
schoolsite is located.
   (B) Seventy percent or more of the pupil enrollment at the charter
schoolsite is eligible for free or reduced-price meals.
   (3) Inform charter schools of their grant eligibility.
   (4) Commencing with the 2013-14 fiscal year, make apportionments
to a charter school for eligible expenditures according to the
following schedule:
   (A) An initial apportionment by August 31 of each fiscal year or
30 days after enactment of the annual Budget Act, whichever is later,
provided the charter school has submitted a timely application for
funding, as determined by the California School Finance Authority.
The initial apportionment shall be 50 percent of the school's
estimated annual entitlement as determined by this section.
   (B) A second apportionment by March 1 of each fiscal year. This
apportionment shall be 75 percent of the charter school's estimated
annual entitlement, as adjusted for any revisions in cost,
enrollment, and other data relevant to computing the charter school's
annual entitlement, less any funding already apportioned to the
charter school.
   (C) A third apportionment within 30 days of the end of each fiscal
year or 30 days after receiving the data and documentation needed to
compute the charter school's total annual entitlement, whichever is
later. This apportionment shall be the charter school's total annual
entitlement less any funding already apportioned to the charter
school.
   (D) Notwithstanding subparagraph (A), the initial apportionment in
the 2013-14 fiscal year shall be made by October 15, 2013, or 105
days after enactment of the Budget Act of 2013, whichever is later.
   (d) For the purposes of this section:
   (1) The California School Finance Authority shall use prior year
data on pupil eligibility for free or reduced-price meals for the
charter schoolsite and prior year rent or lease costs provided by
charter schools to determine eligibility for the grant program until
current year data and actual rent or lease costs become known or
until June 30 of each fiscal year.
   (2) If prior year rent or lease costs are unavailable, and the
current year lease and rent costs are not immediately available, the
California School Finance Authority shall use rent or lease cost
estimates provided by the charter school.
   (3) The California School Finance Authority shall verify that the
grant amount awarded to each charter school is consistent with
eligibility requirements as specified in this section and in
regulations adopted by the authority. If it is determined by the
California School Finance Authority that a charter school did not
receive the proper grant award amount, either the charter school
shall transfer funds back to the authority as necessary within 60
days of being notified by the authority, or the authority shall
provide an additional apportionment as necessary to the charter
school within 60 days of notifying the charter school, subject to the
availability of funds.
   (e) Funds appropriated for purposes of this section shall not be
apportioned for any of the following:
   (1) Units of average daily attendance generated through
nonclassroom-based instruction as defined by paragraph (2) of
subdivision (d) of Section 47612.5 or that does not comply with
conditions or limitations set forth in regulations adopted by the
state board pursuant to this section.
   (2) Charter schools occupying existing school district or county
office of education facilities, except that charter schools shall be
eligible for the portions of their facilities that are not existing
school district or county office of education facilities.
   (3) Charter schools receiving reasonably equivalent facilities
from their chartering authorities pursuant to Section 47614, except
that charter schools shall be eligible for the portions of their
facilities that are not reasonably equivalent facilities received
from their chartering authorities.
   (f) Funds appropriated for purposes of this section shall be used
for costs associated with facilities rents and leases, consistent
with the definitions used in the California School Accounting Manual
or regulations adopted by the California School Finance Authority.
These funds also may be used for costs, including, but not limited
to, costs associated with remodeling buildings, deferred maintenance,
initially installing or extending service systems and other built-in
equipment, and improving sites.
   (g) If an existing charter school located in an elementary
attendance area in which less than 50 percent of pupil enrollment is
eligible for free or reduced-price meals relocates to an attendance
area identified in paragraph (2) of subdivision (c), admissions
preference shall be given to pupils who reside in the elementary
school attendance area into which the charter school is relocating.
   (h) The California School Finance Authority annually shall report
to the department and the Director of Finance, and post information
on its Internet Web site, regarding the use of funds that have been
made available during the fiscal year to each charter school pursuant
to the grant program.
   (i) The California School Finance Authority, commencing with the
2013-14 fiscal year, shall annually allocate the facilities grants to
eligible charter schools according to the schedule in paragraph (4)
of subdivision (c) for the current school year rent and lease costs.
However, the California School Finance Authority shall first use the
funding appropriated for this program to reimburse eligible charter
schools for unreimbursed rent or lease costs for the prior school
year.
   (j) It is the intent of the Legislature that the funding level for
the Charter School Facility Grant Program for the 2012-13 fiscal
year be considered the base level of funding for subsequent fiscal
years.
   (k) The Controller shall include instructions appropriate to the
enforcement of this section in the audit guide required by
subdivision (a) of Section 14502.1.
   (l) The California School Finance Authority, effective with the
2013-14 fiscal year, shall be considered the senior creditor for
purposes of satisfying audit findings pursuant to the audit
instructions to be developed pursuant to subdivision (k).
   (m) The California School Finance Authority  shall
  may  adopt  emergency 
regulations to implement this section.  Any regulations adopted
pursuant to this section may be adopted as emergency regulations in
accordance with the Admini   strative Procedure Act (Chapter
3.5 (commencing with Section 11340) of Part 1 of Division 3 of the
Title 2 of the Government Code). The adoption of these regulations
shall be deemed to be an emergency and necessary for the immediate
preservation of the public peace, health and safety, or general
welfare. 
   SEC. 36.    Section 47631 of the   Education
Code   is amended to read: 
   47631.  (a) Article 3 (commencing with Section 47636) shall not
apply to a charter granted pursuant to Section 47605.5.
   (b) A  county-sponsored  charter school 
authorized pursuant to Section 47605.5  shall receive the
average daily attendance rate calculated pursuant to paragraph (1) of
subdivision (c) of Section 2574 for enrolled pupils who are
identified as any of the following:
   (1) Probation-referred pursuant to Section 300, 601, 602, or 654
of the Welfare and Institutions Code.
   (2) On probation or parole and not attending a school.
   (3) Expelled for any of the reasons specified in subdivision (a)
or (c) of Section 48915.
   (c) A  county-sponsored  charter school 
authorized pursuant to Section 47605.5  shall be funded pursuant
to the local control funding formula pursuant to Section 42238.02,
as implemented by Section 42238.03, for all pupils except for pupils
funded pursuant to subdivision (b).
   SEC. 37.    Section 47633 of the   Education
Code   is amended to read: 
   47633.  The Superintendent shall annually compute a
general-purpose entitlement, funded from a combination of state aid
and local funds, for each charter school as follows:
   (a) The Superintendent shall annually compute the statewide
average amount of general-purpose funding per unit of average daily
attendance received by school districts for each of four grade level
ranges: kindergarten and grades 1, 2, and 3; grades 4, 5, and 6;
grades 7 and 8; and, grades 9 to 12, inclusive. For purposes of
making these computations, both of the following conditions shall
apply:
   (1) Revenue limit funding attributable to pupils in kindergarten
and grades 1 to 5, inclusive, shall equal the statewide average
revenue limit funding per unit of average daily attendance received
by elementary school districts; revenue limit funding attributable to
pupils in grades 6, 7, and 8, shall equal the statewide average
revenue limit funding per unit of average daily attendance received
by unified school districts; and revenue limit funding attributable
to pupils in grades 9 to 12, inclusive, shall equal the statewide
average revenue limit funding per unit of average daily attendance
received by high school districts.
   (2) Revenue limit funding received by school districts shall
exclude the value of any benefit attributable to the presence of
necessary small schools or necessary small high schools within the
school district.
   (b) The Superintendent shall multiply each of the four amounts
computed in subdivision (a) by the charter school's average daily
attendance in the corresponding grade level ranges. The resulting
figure shall be the amount of the charter school's general-purpose
entitlement, which shall be funded through a combination of state aid
and local funds. From funds appropriated for this purpose pursuant
to Section 14002, the superintendent shall apportion to each charter
school this amount, less local funds allocated to the charter school
pursuant to Section 47635 and any amount received pursuant to
subparagraph (B) of paragraph (3) of subdivision (e) of Section 36 of
Article XIII of the California Constitution.
   (c) General-purpose entitlement funding may be used for any public
school purpose determined by the governing body of the charter
school. 
   (d) Commencing with the 2013-14 fiscal year, this section shall be
used only for purposes of allocating revenues received pursuant to
subparagraph (B) of paragraph (3) of subdivision (e) of Section 36 of
Article XIII of the California Constitution.  
   (e) This section shall become inoperative on July 1, 2021, and, as
of January 1, 2022, is repealed, unless a later enacted statute,
that becomes operative on or before January 1, 2022, deletes or
extends the dates on which it becomes inoperative and is repealed.

   SEC. 38.    Section 48664 of the   Education
Code   is amended to read: 
   48664.  (a) (1) In addition to funds from all other sources, the
Superintendent  of Public Instruction  shall
apportion to each school district that operates a community day
school four thousand dollars ($4,000) per year, and for each county
office of education that operates a community day school three
thousand dollars ($3,000) per year, for each unit of average daily
attendance reported at the annual apportionment for pupil attendance
at community day schools, adjusted annually commencing with the
1999-2000 fiscal year for the inflation adjustment calculated
pursuant to subdivision (b) of Section 42238.1. Average daily
attendance reported for this program shall not exceed 0.375 percent
of a  school  district's prior year P2 average daily
attendance in an elementary school district, 0.5 percent of a 
school  district's prior year P2 average daily attendance in a
unified school district, or 0.625 percent of a  school 
district's prior year P2 average daily attendance in a high school
district. The units of average daily attendance of a community day
school operated by a county office of education shall not exceed the
unused units of average daily attendance of the community day schools
operated by the school districts within the jurisdiction of that
county office of education.
   (2) The Superintendent  of Public Instruction 
may reallocate to any school district any unexpended balance of the
appropriations made for  the  purposes of this
subdivision for actual pupil attendance in excess of the percentage
specified in this subdivision for the school district in an amount
not to exceed one-half of that percentage. However, the average daily
attendance generated by pupils expelled pursuant to subdivision (d)
of Section 48915, shall not be subject to these percentage caps on
average daily attendance.
   (b) The average daily attendance of a community day school shall
be determined by dividing the total number of days of attendance in
all full school months, by a divisor of 70 in the first period of
each fiscal year, by a divisor of 135 in the second period of each
fiscal year, and by a divisor of 180 at the annual time of each
fiscal year.
   (c) The Superintendent  of Public Instruction 
shall apportion to each school district that operates a community day
school an amount equal to four dollars ($4), adjusted annually
commencing with the 1999-2000 fiscal year for inflation pursuant to
subdivision (b) of Section 42238.1, multiplied by the total of the
number of hours each schoolday, up to a maximum of two hours daily,
that each community day school pupil remains at the community day
school under the supervision of an employee of the school district,
or a consortium of school districts pursuant to Section 48916.1,
reporting the attendance of the pupils for apportionment funding
following completion of the full six-hour instructional day.
   (d) It is the intent of the Legislature that  school 
districts enter into consortia, as feasible, for  the purpose
 purposes  of providing community day school
programs.  Any   A  school district with
fewer than 2,501 units of average daily attendance may request a
waiver for any fiscal year of the funding limitations set forth in
this section. The Superintendent  of Public Instruction
 shall approve a waiver if he or she deems it necessary in
order to permit the operation of a community day school of reasonably
comparable quality to those offered in a school district with 2,501
or more units of average daily attendance. In no event shall the
amount allocated pursuant to a waiver exceed the amount provided for
one teacher pursuant to Section 42284, for pupils enrolled in
kindergarten and grades 1 to 6, inclusive, or the amount provided for
one teacher pursuant to Section 42284, for pupils enrolled in grades
7 to 12, inclusive. The provisions of this act shall not apply to
 any   a  school district that applied for
a waiver within the funding limits established by this subdivision
but was denied funding or not fully funded.
   (e) The  State Department of Education  
department  shall evaluate and report to the appropriate
legislative policy committees and budget committees on or before
October 1, 1998, and for two years thereafter the following
programmatic and fiscal issues:
   (1) The number of expulsions statewide.
   (2) The number of school districts operating community day
schools.
   (3) Status of the countywide plans as defined in Section 48926.
   (4) An evaluation of the community day school average daily
attendance funding percentage cap.
   (5) Number of small school districts requesting and the number
receiving a waiver under this section.
   (6) The effect of hourly accounting under Section 48663 for
purposes of receiving the additional funding under Section 48664.
   (7) The number of pupils and average daily attendance served in
community day programs, further identified as the number expelled
pursuant to subdivision (b) of Section 48915, subdivision (d) of
Section 48915, other expulsion criteria, or referred through a formal
 school  district process.
   (8) Pupil outcome data and other data as required under Section
48916.1.
   (9) Other programmatic or fiscal matters as determined by the
 State Department of Education.   department
  . 
   (f) The additional funds provided in subdivisions (a), (c), and
(d) shall only be allocated to the extent that funds are appropriated
for this purpose in the annual Budget Act or other legislation, or
 both, except for pupils expelled pursuant to subdivision (d)
of Section 48915. For pupils expelled pursuant to subdivision (d) of
Section 48915, the funds apportioned under subdivision (a) are
continuously appropriated from the General Fund to Section A of the
State School Fund.   both   . 
   (g) A one-time adjustment shall be made to the amount specified in
subdivision (a), for the 1998-99 fiscal year and subsequent fiscal
years, by increasing that amount by the statewide average quotient
resulting from dividing the average daily attendance specified in
subparagraph (B) of paragraph (3) of subdivision (a) of Section
42238.8 by the amount specified in subparagraph (C) of paragraph (3)
of subdivision (a) of Section 42238.8.
   SEC. 39.    Section 48667 of the   Education
Code   is repealed.  
   48667.  (a) For the purposes of this article, each county office
of education shall be deemed to be a school district.
   (b) The Superintendent of Public Instruction shall use the revenue
limit per unit of average daily attendance of the statewide average
juvenile court school revenue limit per unit of average daily
attendance for a community day school operated by a county office of
education. 
   SEC. 40.    Section 49085 of the   Education
Code   is amended to read: 
   49085.  (a)  The   On or before February 1,
2014, the    department and the State Department of
Social Services shall develop and enter into a memorandum of
understanding that shall, at a minimum, require the State Department
of Social Services, at least once per week, to share with the
department both of the following:
   (1) Disaggregated information on children and youth in foster care
sufficient for the department to identify pupils in foster care.
   (2) Disaggregated data on children and youth in foster care that
is helpful to county offices of education and other local educational
agencies responsible for ensuring that pupils in foster care
received appropriate educational supports and services.
   (b) To the extent allowable under federal law, the department
shall regularly identify pupils in foster care and designate those
pupils in the California Longitudinal Pupil Achievement Data System
or any future data system used by the department to collect
disaggregated pupil outcome data.
   (c) To the extent allowable under federal law, the Superintendent,
on or before  February 15   July 1  of
each even-numbered year, shall report to the Legislature and the
Governor on the educational outcomes for pupils in foster care at
both the individual schoolsite level and school district level. The
report shall include, but is not limited to, all of the following:
   (1) Individual schoolsite level and school district level
educational outcome data for each local educational agency that
enrolls at least 15 pupils in foster care, each county in which at
least 15 pupils in foster care attend school, and for the entire
state.
   (2) The number of pupils in foster care statewide and by each
local educational agency.
   (3) The academic achievement of pupils in foster care.
   (4) The incidence of suspension and expulsion for pupils in foster
care.
   (5) Truancy rates, attendance rates, and dropout rates for pupils
in foster care.
   (d) To the extent allowable under federal law, the department, at
least once per week, shall do all of the following:
   (1) Inform school districts and charter schools of any pupils
enrolled in those school districts or charter schools who are in
foster care.
   (2) Inform county offices of education of any pupils enrolled in
schools in the county who are in foster care.
   (3) Provide schools districts, county office of education, and
charter schools disaggregated data helpful to ensuring pupils in
foster care receive appropriate educational supports and services.
   (e) For purposes of this section "pupil in foster care" 
means a pupil who is under the jurisdiction of the juvenile court
pursuant to Section 300, 601, or 602 of the Welfare and Institutions
Code.   has the same meaning as "foster youth, 
 " as defined in Section 42238.01   . 
   SEC. 41.    Section 52060 of the   Education
Code   is amended to read: 
   52060.  (a) On or before July 1, 2014, the governing board of each
school district shall adopt a local control and accountability plan
using a template adopted by the state board.
   (b) A local control and accountability plan adopted by a governing
board of a school district shall be effective for a period of three
years, and shall be updated on or before July 1 of each year.
   (c) A local control and accountability plan adopted by a governing
board of a school district shall include, for the school district
and each school within the school district,  a description of
both   all  of the following:
   (1)  The   A description of the  annual
goals, for all pupils and each subgroup of pupils identified pursuant
to Section 52052, to be achieved for each of the state priorities
identified in subdivision (d) and for any additional local priorities
identified by the governing board of the school district. For
purposes of this article, a subgroup of pupils identified pursuant to
Section 52052 shall be a numerically significant pupil subgroup as
specified in paragraphs (2) and (3) of subdivision (a) of Section
52052.
                                          (2)  The 
 A description of the  specific actions the school district
will take during each year of the local control and accountability
plan to achieve the goals identified in paragraph (1), including the
enumeration of any specific actions necessary for that year to
correct any deficiencies in regard to the state priorities listed in
paragraph (1) of subdivision (d).  The specific actions shall be
consistent with local collective bargaining agreements within the
jurisdiction of the school districts.  
   (3) A listing and description of the expenditures for the 2014-15
fiscal year implementing the specific actions included in the local
control and accountability plan.  
   (4) A listing and description of the expenditures for the 2014-15
fiscal year that will serve the pupils to whom one or more of the
definitions in Section 42238.01 apply, and pupils redesignated as
fluent English proficient. 
   (d) All of the following are state priorities:
   (1) The degree to which the teachers of the school district are
appropriately assigned in accordance with Section 44258.9, and fully
credentialed in the subject areas, and, for the pupils they are
teaching, every pupil in the school district has sufficient access to
the standards-aligned instructional materials as determined pursuant
to Section 60119, and school facilities are maintained in good
repair as specified in subdivision (d) of Section 17002.
   (2) Implementation of the academic content and performance
standards adopted by the state board, including how the programs and
services will enable English learners to access the common core
academic content standards adopted pursuant to Section 60605.8 and
the English language development standards adopted pursuant to
Section 60811.3 for purposes of gaining academic content knowledge
and English language proficiency.
   (3) Parental involvement, including efforts the school district
makes to seek parent input in making decisions for the school
district and each individual schoolsite, and including how the school
district will promote parental participation in programs for
unduplicated pupils and individuals with exceptional needs.
   (4) Pupil achievement, as measured by all of the following, as
applicable:
   (A) Statewide assessments administered pursuant to Article 4
(commencing with Section 60640) of Chapter 5 of Part 33 or any
subsequent assessment, as certified by the state board.
   (B) The Academic Performance Index, as described in Section 52052.

   (C) The percentage of pupils who have successfully completed
courses that satisfy the requirements for entrance to the University
of California and the California State University, or career
technical education sequences or  clusters of courses that
satisfy the requirements of  programs of study that
align with state board-approved career technical educational
standards and frameworks, including, but not limited to, those
described in  subdivision (a) of Section 52302, subdivision (a)
of Section 52372.5, or paragraph (2) of subdivision (e) of Section
 54692, and align with state board-approved career technical
education standards and frameworks.   54692. 
   (D) The percentage of English learner pupils who make progress
toward English proficiency as measured by the California English
Language Development Test or any subsequent assessment of English
proficiency, as certified by the state board.
   (E) The English learner reclassification rate.
   (F) The percentage of pupils who have passed an advanced placement
examination with a score of 3 or higher.
   (G) The percentage of pupils who participate in, and demonstrate
college preparedness pursuant to, the Early Assessment Program, as
described in Chapter 6 (commencing with Section 99300) of Part 65 of
Division 14 of Title 3, or any subsequent assessment of college
preparedness.
   (5) Pupil engagement, as measured by all of the following, as
applicable:
   (A) School attendance rates.
   (B) Chronic absenteeism rates.
   (C) Middle school dropout rates, as described in paragraph (3) of
subdivision (a) of Section 52052.1.
   (D) High school dropout rates.
   (E) High school graduation rates.
   (6) School climate, as measured by all of the following, as
applicable:
   (A) Pupil suspension rates.
   (B) Pupil expulsion rates.
   (C) Other local measures, including surveys of pupils, parents,
and teachers on the sense of safety and school connectedness.
   (7) The extent to which pupils have access to, and are enrolled
in, a broad course of study that includes all of the subject areas
described in Section 51210 and subdivisions (a) to (i), inclusive, of
Section 51220, as applicable, including the programs and services
developed and provided to unduplicated pupils and individuals with
exceptional needs, and the program and services that are provided to
benefit these pupils as a result of the funding received pursuant to
Section 42238.02, as implemented by Section 42238.03.
   (8) Pupil outcomes, if available, in the subject areas described
in Section 51210 and subdivisions (a) to (i), inclusive, of Section
51220, as applicable.
   (e) For purposes of the descriptions required by subdivision (c),
a governing board of a school district may consider qualitative
information, including, but not limited to, findings that result from
school quality reviews conducted pursuant to subparagraph (J) or
paragraph (4) of subdivision (a) of Section 52052 or any other
reviews.
   (f) To the extent practicable, data reported in a local control
and accountability plan shall be reported in a manner consistent with
how information is reported on a school accountability report card.
   (g) A governing board of a school district shall consult with
teachers, principals, administrators, other school personnel, 
local bargaining units of the school district,  parents, and
pupils in developing a local control and accountability plan.
   (h) A school district may identify local priorities, goals in
regard to the local priorities, and the method for measuring the
school district's progress toward achieving those goals.
   SEC. 42.    Section 52061 of the   Education
Code   is amended to read: 
   52061.  (a) On or before July 1, 2015, and each year thereafter, a
school district shall update the local control and accountability
plan. The annual update shall be developed using a template developed
pursuant to Section 52064 and shall include all of the following:
   (1) A review of any changes in the applicability of the goals
described in paragraph (1) of subdivision (c) of Section 52060.
   (2) A review of the progress toward the goals included in the
existing local control and accountability plan, an assessment of the
effectiveness of the specific actions described in the existing local
control and accountability plan toward achieving the goals, and a
description of changes to the specific actions the school district
will make as a result of the review and assessment.
   (3) A listing and description of the expenditures for the fiscal
year implementing the specific actions included in the local control
and accountability plan  and the changes to the specific actions
made  as a result of the reviews and assessment required by
paragraphs (1) and (2).
   (4) A listing and description of expenditures for the fiscal year
that will serve the pupils to whom one or more of the definitions in
Section 42238.01 apply and pupils redesignated as fluent English
proficient.
   (b) The expenditures identified in subdivision (a) shall be
classified using the California School Accounting Manual pursuant to
Section 41010.
   SEC. 43.    Section 52062 of the   Education
Code   is amended to read: 
   52062.  (a) Before the governing board of a school district
considers the adoption of a local control and accountability plan or
an annual update to the local control and accountability plan, all of
the following shall occur:
   (1) The superintendent of the school district shall present the
local control and accountability plan or annual update to the local
control and accountability plan to the parent advisory committee
established pursuant to Section 52063 for review and comment. The
superintendent of the school district shall respond, in writing, to
comments received from the parent advisory committee.
   (2) The superintendent of the school district shall present the
local control and accountability plan or annual update to the local
control and accountability plan to the English learner parent
advisory committee established pursuant to Section 52063, if
applicable, for review and comment. The superintendent of the school
district shall respond, in writing, to comments received from the
English learner parent advisory committee.
   (3) The superintendent of the school district shall notify members
of the public of the opportunity to submit written comments
regarding the specific actions and expenditures proposed to be
included in the local control and accountability plan or annual
update to the local control and accountability plan, using the most
efficient method of notification possible. This paragraph shall not
require a school district to produce printed notices or to send
notices by mail.  The superintendent of the school district shall
ensure that all written   notifications related to the
local control and accountability plan or annual update to t 
 he local control and accountability plan are provided consistent
with Section 48985. 
   (4) The superintendent of the school district shall review school
plans submitted pursuant to Section 64001 for schools within the
school district and ensure that the specific actions included in the
local control and accountability plan or annual update to the local
control and accountability plan are consistent with strategies
included in the school plans submitted pursuant to Section 64001.
   (b) (1) A governing board of a school district shall hold at least
one public hearing to solicit the recommendations and comments of
members of the public regarding the specific actions and expenditures
proposed to be included in the local control and accountability plan
or annual update to the local control and accountability plan. The
agenda for the public hearing shall be posted at least 72 hours
before the public hearing and shall include the location where the
local control and accountability plan or annual update to the local
control and accountability plan will be available for public
inspection. The public hearing shall be held at the same meeting as
the public hearing required by paragraph (1) of subdivision (a) of
Section 42127.
   (2) A governing board of a school district shall adopt a local
control and accountability plan or annual update to the local control
and accountability plan in a public meeting. This meeting shall be
held after, but not on the same day as, the public hearing held
pursuant to paragraph (1). This meeting shall be the same meeting as
that during which the governing board of the school district adopts a
budget pursuant to paragraph (2) of subdivision (a) of Section
42127.
   (c) A governing board of a school district may adopt revisions to
a local control and accountability plan during the period the local
control and accountability plan is in effect. A governing board of a
school district may only adopt a revision to a local control and
accountability plan if it follows the process to adopt a local
control and accountability plan pursuant to this section and the
revisions are adopted in a public meeting.
   SEC. 44.    Section 52066 of the   Education
Code   is amended to read: 
   52066.  (a) On or before July 1, 2014, each county superintendent
of schools shall develop, and present to the county board of
education for adoption, a local control and accountability plan using
a template adopted by the state board.
   (b) A local control and accountability plan adopted by a county
board of education shall be effective for a period of three years,
and shall be updated on or before July 1 of each year.
   (c) A local control and accountability plan adopted by a county
board of education shall include, for each school or program operated
by the county superintendent of schools,  a description of
both   all  of the following:
   (1)  The   A description of the  annual
goals, for all pupils and each subgroup of pupils identified pursuant
to Section 52052, to be achieved for each of the state priorities
identified in subdivision (d), as applicable to the pupils served,
and for any additional local priorities identified by the county
board of education.
   (2)  The   A description of the 
specific actions the county superintendent of schools will take
during each year of the local control and accountability plan to
achieve the goals identified in paragraph (1), including the
enumeration of any specific actions necessary for that year to
correct any deficiencies in regard to the state priorities listed in
paragraph (1) of subdivision (d).  The specific acti  
ons shall be consistent with local collective bargaining agreements
within the jurisdiction of the county superintendent of schools.
 
   (3) A listing and description of the expenditures for the fiscal
year implementing the specific actions included in the local control
and accountability plan pursuant to paragraph (2).  
   (4) A listing and description of the expenditures for the fiscal
year that will serve the pupils to whom one or more of the
definitions in Section 42238.01 apply, and pupils redesignated as
fluent English proficient.
   (d) All of the following are state priorities:
   (1) The degree to which the teachers in the schools or programs
operated by the county superintendent of schools are appropriately
assigned in accordance with Section 44258.9 and fully credentialed in
the subject areas, and, for the pupils they are teaching, every
pupil in the schools or programs operated by the county
superintendent of schools has sufficient access to the
standards-aligned instructional materials as determined pursuant to
Section 60119, and school facilities are maintained in good repair as
specified in subdivision (d) of Section 17002.
   (2) Implementation of the academic content and performance
standards adopted by the state board, including how the programs and
services will enable English learners to access the common core
academic content standards adopted pursuant to Section 60605.8 and
the English language development standards adopted pursuant to
Section 60811.3 for purposes of gaining academic content knowledge
and English language proficiency.
   (3) Parental involvement, including efforts the county
superintendent of schools makes to seek parent input in making
decisions for each individual schoolsite and program operated by a
county superintendent of schools, and including how the county
superintendent of schools will promote parental participation in
programs for unduplicated pupils and individuals with exceptional
needs.
   (4) Pupil achievement, as measured by all of the following, as
applicable:
   (A) Statewide assessments administered pursuant to Article 4
(commencing with Section 60640) of Chapter 5 of Part 33 or any
subsequent assessment, as certified by the state board.
   (B) The Academic Performance Index, as described in Section 52052.

   (C) The percentage of pupils who have successfully completed
courses that satisfy the requirements for entrance to the University
of California and the California State University, or career
technical education sequences or  clusters of courses that
satisfy the requirements of   programs of study that
align with state   board-approved career technical education
standards and frameworks, including, but not limited to, those
described in  subdivision (a) of Section 52302, subdivision (a)
of Section 52372.5, or paragraph (2) of subdivision (e) of Section
 54692, and align with state board-approved career technical
education standards and frameworks.   54692.
   (D) The percentage of English learner pupils who make progress
toward English proficiency as measured by the California English
Language Development Test or any subsequent assessment of English
proficiency, as certified by the state board.
   (E) The English learner reclassification rate.
   (F) The percentage of pupils who have passed an advanced placement
examination with a score of 3 or higher.
   (G) The percentage of pupils who participate in, and demonstrate
college preparedness pursuant to, the Early Assessment Program, as
described in Chapter 6 (commencing with Section 99300) of Part 65 of
Division 14 of Title 3, or any subsequent assessment of college
preparedness.
   (5) Pupil engagement, as measured by all of the following, as
applicable:
   (A) School attendance rates.
   (B) Chronic absenteeism rates.
   (C) Middle school dropout rates, as described in paragraph (3) of
subdivision (a) of Section 52052.1.
   (D) High school dropout rates.
   (E) High school graduation rates.
   (6) School climate, as measured by all of the following, as
applicable:
   (A) Pupil suspension rates.
   (B) Pupil expulsion rates.
   (C) Other local measures, including surveys of pupils, parents,
and teachers on the sense of safety and school connectedness.
   (7) The extent to which pupils have access to, and are enrolled
in, a broad course of study that includes all of the subject areas
described in Section 51210 and subdivisions (a) to (i), inclusive, of
Section 51220, as applicable, including the programs and services
developed and provided to unduplicated pupils and individuals with
exceptional needs, and the program and services that are provided to
benefit these pupils as a result of the funding received pursuant to
Section 42238.02, as implemented by Section 42238.03.
   (8) Pupil outcomes, if available, in the subject areas described
in Section 51210 and subdivisions (a) to (i), inclusive, of Section
51220, as applicable.
   (9) How the county superintendent of schools will coordinate
instruction of expelled pupils pursuant to Section 48926.
   (10) How the county superintendent of schools will coordinate
services for foster children, including, but not limited to, all of
the following:
   (A) Working with the county child welfare agency to minimize
changes in school placement.
   (B) Providing education-related information to the county child
welfare agency to assist the county child welfare agency in the
delivery of services to foster children, including, but not limited
to, educational status and progress information that is required to
be included in court reports.
   (C) Responding to requests from the juvenile court for information
and working with the juvenile court to ensure the delivery and
coordination of necessary educational services.
   (D) Establishing a mechanism for the efficient expeditious
transfer of health and education records and the health and education
passport.
   (e) For purposes of the descriptions required by subdivision (c),
a county board of education may consider qualitative information,
including, but not limited to, findings that result from school
quality reviews conducted pursuant to subparagraph (J) or paragraph
(4) of subdivision (a) of Section 52052 or any other reviews.
   (f) To the extent practicable, data reported in a local control
and accountability plan shall be reported in a manner consistent with
how information is reported on a school accountability report card.
   (g) The county superintendent of schools shall consult with
teachers, principals, administrators, other school personnel, 
local bargaining units of the county office of education, 
parents, and pupils in developing a local control and accountability
plan.
   (h) A county board of education may identify local priorities,
goals in regard to the local priorities, and the method for measuring
the county office of education's progress toward achieving those
goals.
   SEC. 45.    Section 52068 of the   Education
Code   is amended to read: 
   52068.  (a) Before the county board of education considers the
adoption of a local control and accountability plan or an annual
update to the local control and accountability plan, all of the
following shall occur:
   (1) The county superintendent of schools shall present the local
control and accountability plan or annual update to the local control
and accountability plan to a parent advisory committee established
pursuant to Section 52069 for review and comment. The county
superintendent of schools shall respond, in writing, to comments
received from the parent advisory committee.
   (2) The county superintendent of schools shall present the local
control and accountability plan or annual update to the local control
and accountability plan to the English learner parent advisory
committee established pursuant to Section 52069, if applicable, for
review and comment. The county superintendent of schools shall
respond, in writing, to comments received from the English learner
parent advisory committee.
   (3) The county superintendent of schools shall notify members of
the public of the opportunity to submit written comments regarding
the specific actions and expenditures proposed to be included in the
local control and accountability plan or annual update to the local
control and accountability plan, using the most efficient method of
notification possible. This paragraph shall not require a county
superintendent of schools to produce printed notices or to send
notices by mail.  The county superintendent of schools shall
ensure that all written notifications related to the   local
control and accountability plan or annual update to the local
control and accountability plan are provided consistent with Section
48985. 
   (4) The county superintendent of schools shall review school plans
submitted pursuant to Section 64001 for schools operated by the
county superintendent of schools and ensure that the specific actions
included in the local control and accountability plan or annual
update to the local control and accountability plan are consistent
with strategies included in the school plans submitted pursuant to
Section 64001.
   (b) (1) The county board of education shall hold at least one
public hearing to solicit the recommendations and comments of members
of the public regarding the specific actions and expenditures
proposed to be included in the local control and accountability plan
or annual update to the local control and accountability plan. The
agenda for the public hearing shall be posted at least 72 hours
before the public hearing and shall include the location where the
local control and accountability plan or annual update to the local
control and accountability plan, and any comments received pursuant
to paragraphs (1) to (3), inclusive, of subdivision (a), will be
available for public inspection. The public hearing shall be held at
the same meeting as the public hearing required by Section 1620.
   (2) The county board of education shall adopt a local control and
accountability plan or annual update to the local control and
accountability plan in a public meeting. This meeting shall be held
after, but not on the same day as, the public hearing held pursuant
to paragraph (1). This meeting shall be the same meeting as that
during which the county board of education adopts a budget pursuant
to Section 1622.
   (c) A county superintendent of schools may develop and present to
a county board of education for adoption revisions to a local control
and accountability plan during the period the local control and
accountability plan is in effect. The county board of education may
only adopt a revision to a local control and accountability plan if
it follows the process to adopt a local control and accountability
plan pursuant to this section and the revisions are adopted in a
public meeting.
   SEC. 46.    Section 52070 of the   Education
Code   is amended to read: 
   52070.  (a) Not later than five days after adoption of a local
control and accountability plan or annual update to a local control
and accountability plan, the governing board of a school district
shall file the local control and accountability plan or annual update
to the local control and accountability plan with the county
superintendent of schools.
   (b) On or before August 15 of each year, the county superintendent
of schools may seek clarification, in writing, from the governing
board of a school district about the contents of the local control
and accountability plan or annual update to the local control and
accountability plan. Within 15 days the governing board of a school
district shall respond, in writing, to requests for clarification.
   (c) Within 15 days of receiving the response from the governing
board of the school district, the county superintendent of schools
may submit recommendations, in writing, for amendments to the local
control and accountability plan or annual update to the local control
and accountability plan. The governing board of a school district
shall consider the recommendations submitted by the county
superintendent of schools in a public meeting within 15 days of
receiving the recommendations.
   (d) The county superintendent of schools shall approve a local
control and accountability plan or annual update to a local control
and accountability plan on or before October 8, if he or she
determines  both   all  of the following:
   (1) The local control and accountability plan or annual update to
the local control and accountability plan adheres to the template
adopted by the state board pursuant to Section 52064.
   (2) The budget for the applicable fiscal year adopted by the
governing board of the school district includes expenditures
sufficient to implement the specific actions and strategies included
in the local control and accountability plan adopted by the governing
board of the school district, based on the projections of the costs
included in the plan. 
   (3) The local control and accountability plan or annual update to
the local control and accountability plan adheres to the expenditure
requirements adopted pursuant to Section 42238.07 for funds
apportioned on the basis of the number and concentration of
unduplicated pupils pursuant to Sections 42238.02 and 42238.03. 


            (e) If a county superintendent of schools has
jurisdiction over a single school district, the Superintendent shall
designate a county superintendent of schools of an adjoining county
to perform the duties specified in this section.
   SEC. 47.    Section 52070.5 of the   
 Education Code   is amended to read: 
   52070.5.  (a) Not later than five days after adoption of a local
control and accountability plan or annual update to a local control
and accountability plan, the county board of education shall file the
local control and accountability plan or annual update to the local
control and accountability plan with the Superintendent.
   (b) On or before August 15 of each year, the Superintendent may
seek clarification, in writing, from the county board of education
about the contents of the local control and accountability plan or
annual update to the local control and accountability plan. Within 15
days the county board of education shall respond, in writing, to
requests for clarification.
   (c) Within 15 days of receiving the response from the county board
of education, the Superintendent may submit recommendations, in
writing, for amendments to the local control and accountability plan
or annual update to the local control and accountability plan. The
county board of education shall consider the recommendations
submitted by the Superintendent in a public meeting within 15 days of
receiving the recommendations.
   (d) The Superintendent shall approve a local control and
accountability plan or annual update to a local control and
accountability plan on or before October 8, if he or she determines
 both   all  of the following:
   (1) The local control and accountability plan or annual update to
the local control and accountability plan adheres to the template
adopted by the state board pursuant to Section 52064.
   (2) The budget for the applicable fiscal year adopted by the
county board of education includes expenditures sufficient to
implement the specific actions and strategies included in the local
control and accountability plan adopted by the county board of
education, based on the projections of the costs included in the
plan. 
   (3) The local control and accountability plan or annual update to
the local control and accountability plan adheres to the expenditure
requirements adopted pursuant to Section 42238.07 for funds
apportioned on the basis of the number and concentration of
unduplicated pupils pursuant to Sections 2574 and 2575. 
   SEC. 48.    Section 52074 of the   Education
Code   is amended to   read: 
   52074.  (a) The California Collaborative for Educational
Excellence is hereby established.
   (b) The purpose of the California Collaborative for Educational
Excellence is to advise and assist school districts, county
superintendents of schools, and charter schools in achieving the
goals set forth in a local control and accountability plan adopted
pursuant to this article.
   (c) The Superintendent shall, with the approval of the state
board, contract with  individuals,   a local
educational agency, or consortium of local educational agencies, to
serve   as the fiscal agent for the California Collaborative
for Educational Excellence. The Superintendent shall apportion funds
appropriated for the California Collaborative for Educational
Excellence to the fiscal agent. 
    (d)     At the direction of the
Superintendent and with the approval of the state board, the fiscal
agent shall contract with individuals,  local educational
agencies, or organizations with the expertise, experience, and a
record of success to carry out the purposes of this article. The
areas of expertise, experience, and record of success shall include,
but are not limited to, all of the following:
   (1) State priorities as described in subdivision (d) of Section
52060.
   (2) Improving the quality of teaching.
   (3) Improving the quality of school district and schoolsite
leadership.
   (4) Successfully addressing the needs of special pupil
populations, including, but not limited to, English learners, pupils
eligible to receive a free or reduced-price meal, pupils in foster
care, and individuals with exceptional needs. 
   (d) 
    (e)  The Superintendent may direct the California
Collaborative for Educational Excellence to advise and assist a
school district, county superintendent of schools, or charter school
in any of the following circumstances:
   (1) If the governing board of a school district, county board of
education, or governing body or a charter school requests the advice
and assistance of the California Collaborative for Educational
Excellence.
   (2) If the county superintendent of schools of the county in which
the school district or charter school is located determines,
following the provision of technical assistance pursuant to Section
52071 or 47607.3 as applicable, that the advice and assistance of the
California Collaborative for Educational Excellence is necessary to
help the school district or charter school accomplish the goals
described in the local control and accountability plan adopted
pursuant to this article.
   (3) If the Superintendent determines that the advice and
assistance of the California Collaborative for Educational Excellence
is necessary to help the school district, county superintendent of
schools, or charter school accomplish the goals set forth in the
local control and accountability plan adopted pursuant to this
article.
   SEC. 49.    Section 56836.11 of the   
 Education Code   is amended to read: 
   56836.11.  (a) For the purpose of computing the equalization
adjustment for special education local plan areas for the 1998-99
fiscal year, the Superintendent shall make the following computations
to determine the statewide target amount per unit of average daily
attendance for special education local plan areas:
   (1) Total the amount of funding computed for each special
education local plan area exclusive of the amount of funding computed
for the special education local plan area identified as the Los
Angeles County Juvenile Court and Community School/Division of
Alternative Education Special Education Local Plan Area, pursuant to
Section 56836.09 for the 1997-98 fiscal year.
   (2) Total the number of units of average daily attendance reported
for each special education local plan area for the 1997-98 fiscal
year, exclusive of average daily attendance for absences excused
pursuant to subdivision (b) of Section 46010 as that section read on
July 1, 1996, and exclusive of the units of average daily attendance
computed for the special education local plan area identified as the
Los Angeles County Juvenile Court and Community School/Division of
Alternative Education Special Education Local Plan Area.
   (3) Divide the sum computed in paragraph (1) by the sum computed
in paragraph (2) to determine the statewide target amount for the
1997-98 fiscal year.
   (4) Add the amount computed in paragraph (3) to the inflation
adjustment computed pursuant to subdivision (d) of Section 56836.08
for the 1998-99 fiscal year to determine the statewide target amount
for the 1998-99 fiscal year.
   (b) Commencing with the 1999-2000 fiscal year to the 2004-05
fiscal year, inclusive, to determine the statewide target amount per
unit of average daily attendance for special education local plan
areas, the Superintendent shall multiply the statewide target amount
per unit of average daily attendance computed for the prior fiscal
year pursuant to this section by one plus the inflation factor
computed pursuant to subdivision (b) of Section 42238.1 for the
fiscal year in which the computation is made.
   (c) Commencing with the 2005-06 fiscal year and  each
fiscal year thereafter,   ending with the 2010 
 -   11   fiscal year   ,  to
determine the statewide target amount per unit of average daily
attendance for special education local plan areas for the purpose of
computing the incidence multiplier pursuant to  former
Section 56836.155, the Superintendent shall add the statewide target
amount per unit of average daily attendance computed for the prior
fiscal year for this purpose to the amount computed in paragraph (2)
of subdivision (d) or paragraph (2) of subdivision (e), as
appropriate.
   (d) For the 2005-06 fiscal year, the Superintendent shall make the
following computation to determine the statewide target amount per
unit of average daily attendance to determine the inflation
adjustment pursuant to paragraph (2) of subdivision (d) of Section
56836.08 and growth pursuant to subdivision (c) of Section 56836.15,
as follows:
   (1) The 2004-05 fiscal year statewide target amount per unit of
average daily attendance less the sum of the 2004-05 fiscal year
total amount of federal funds apportioned pursuant to Schedule (1) in
Item 6110-161-0890 of Section 2.00 of the Budget Act of 2004 for
purposes of special education for individuals with exceptional needs
enrolled in kindergarten and grades 1 to 12, inclusive, divided by
the total average daily attendance computed for the 2004-05 fiscal
year.
   (2) Multiply the amount computed in paragraph (1) by the inflation
factor computed pursuant to subdivision (b) of Section 42238.1 for
the fiscal year in which the computation is made.
   (3) Add the amounts computed in paragraphs (1) and (2).
   (e) Commencing with the 2006-07 fiscal year and continuing through
the 2012-13 fiscal year, inclusive, the Superintendent shall make
the following computation to determine the statewide target amount
per unit of average daily attendance for special education local plan
areas for the purpose of computing the inflation adjustment pursuant
to paragraph (2) of subdivision (d) of Section 56836.08 and growth
pursuant to subdivision (c) of Section 56836.15:
   (1) The statewide target amount per unit of average daily
attendance computed for the prior fiscal year pursuant to this
section.
   (2) Multiply the amount computed in paragraph (1) by the inflation
factor computed pursuant to subdivision (b) of Section 42238.1 for
the fiscal year in which the computation is made.
   (3) Add the amounts computed in paragraphs (1) and (2).
   (f) For the 2013-14 fiscal year, the Superintendent shall make the
following computations to determine the statewide target amount per
unit of average daily attendance to determine the inflation
adjustment pursuant to subdivision (g) of Section 56836.08 and growth
pursuant to subdivision (c) of Section 56836.15, as follows:
   (1) Total the amount of funding computed for each special
education local plan area pursuant to the amount computed in
subdivision (b) of Section 56836.08  exclusive of 
 , including the amount of funds appropriated pursuant to
Provision 22 of Item 6110-161-0001 of Section 2.00 of the Budget Act
of 2013, and excluding  the amount of funding computed for the
special education local plan area identified as the Los Angeles
County Juvenile Court and Community School/Division of Alternative
Education Special Education Local Plan Area, for the 2013-14 fiscal
year.
   (2) Total the number of units of average daily attendance reported
for each special education local plan area for the 2012-13 fiscal
year, exclusive of the units of average daily attendance computed for
the special education local plan area identified as the Los Angeles
County Juvenile Court and Community School/Division of Alternative
Education Special Education Local Plan Area.
   (3) Divide the sum computed in paragraph (1) by the sum computed
in paragraph (2).
   (g) Commencing with the 2014-15 fiscal year and continuing each
fiscal year thereafter, the Superintendent shall make the following
computations to determine the statewide target amount per unit of
average daily attendance for special education local plan areas for
the purpose of computing the inflation adjustment pursuant to
subdivision (g) of Section 56836.08 and growth pursuant to
subdivision (c) of Section 56836.15:
   (1) The statewide target amount per unit of average daily
attendance computed for the prior fiscal year pursuant to this
section.
   (2) Multiply the amount computed in paragraph (1) by the inflation
factor computed pursuant to Section 42238.1, as that section read on
January 1, 2013, or any successor section of law enacted by the
Legislature that specifies the inflation factor contained in Section
42238.1, as that section read on January 1, 2013, for application to
the 2014-15 fiscal year and each fiscal year thereafter.
   (3) Add the amounts computed in paragraphs (1) and (2).
   SEC. 50.    Section 70022 of the   Education
Code   is amended to read: 
   70022.  (a) (1) Subject to an available and sufficient
appropriation, commencing with the 2014-15 academic year, an
undergraduate student enrolled in the California State University or
the University of California who meets the requirements of paragraph
(2) is eligible for a scholarship award as described in that
paragraph.
   (2) Each academic year, except as provided in paragraphs (3) and
(4), a student shall receive a scholarship award in an amount that,
combined with other publicly funded student financial aid received by
an eligible student, is up to 40 percent of the amount charged to
that student in that academic year for mandatory systemwide tuition
 and fees  , if all of the following requirements are met:
   (A) The student's annual household income does not exceed one
hundred fifty thousand dollars ($150,000). For purposes of this
article, annual household income shall be calculated in a manner that
is consistent with the requirements applicable to the
Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program (Chapter 1.7
(commencing with Section 69430)) and Section 69506.
   (B) The student satisfies the eligibility requirements for a Cal
Grant award pursuant to Section 69433.9, except that a student who is
exempt from nonresident tuition under Section 68130.5 shall not be
required to satisfy the requirements of subdivision (a) of Section
69433.9.
   (C) The student is exempt from paying nonresident tuition.
   (D) The student completes and submits a Free Application for
Federal Student Aid (FAFSA) application. If the student is not able
to complete a FAFSA application, the student submits an application
determined by the commission to be equivalent to the FAFSA
application for purposes of this article.
   (E) The student makes a timely application or applications for
publicly funded student financial aid from programs for which he or
she is eligible, other than the program established by this article.
For purposes of this article, "publicly funded student financial aid"
shall be defined as the federal Pell Grant Program, the Cal Grant
Program, and institutional need-based grants.
   (F) The student maintains  at least a 2.0 grade point
average     satisfactory academic progress
 in a manner that is consistent with the requirements applicable
to the Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program
 (Chapter 1.7 (commencing with Section 69430)). 
 pursuant to subdivision (m   ) of Section 69432.7 
 . 
   (3) The scholarship award under this article to a student whose
annual household income is greater than one hundred thousand dollars
($100,000), and who otherwise meets the requirements of paragraph
(2), shall be reduced by 0.6-percent increments, from a maximum 40
percent of mandatory systemwide tuition  and fees  for an
academic year to a minimum 10 percent of mandatory systemwide tuition
 and fees  for an academic year, per one thousand dollars
($1,000) of annual household income in excess of one hundred thousand
dollars ($100,000), provided that no scholarship award shall be
provided to a student with an annual household income of
  exceeding  one hundred fifty thousand dollars
 ($150,000) or more.   ($150,000).  This
reduction shall be in addition to any reduction required by
subdivision (e) of Section 70023.
   (4) For the 2014-15, 2015-16, and 2016-17 academic years, the
maximum amount of a student's scholarship award shall be 35 percent,
50 percent, and 75 percent, respectively, of the total scholarship
award amount that the student would otherwise be eligible to receive.

   (b) In order for students enrolled in their respective segments to
remain eligible to receive a scholarship under this article, the
University of California and the California State University shall
 maintain   not supplant  their respective
institutional need-based  grant program policies, 
 grants with the funds provided for scholarships under this
article   ,  and shall maintain their funding amounts
at a level that, at a minimum, is equal to the level maintained 
for undergraduate students  during the 2013-14 academic year.
   (c) The University of California and the California State
University shall report on the implementation of this article as part
of the report made pursuant to Section 66021.1.
   SEC. 51.    Section   84321.6 of the 
 Education Code   , as added by Section 74 of Chapter 48
of the Statutes of 2013, is amended to read: 
   84321.6.  (a) Notwithstanding any other law that governs the
regulations adopted by the Chancellor of the California Community
Colleges to disburse funds, the payment of apportionments to
community college districts pursuant to Sections 84320 and 84321
shall be adjusted by the following:
   (1) For the month of February,  fifty-five million two
hundred thirty-three   fifty-two million four hundred
fifty-six  thousand dollars  ($55,233,000) 
 ($52,456,000)  shall be deferred to July.
   (2) For the month of March, one hundred thirty-five million
dollars ($135,000,000) shall be deferred to July.
   (3) For the month of April, one hundred thirty-five million
dollars ($135,000,000) shall be deferred to July.
   (4) For the month of May, one hundred thirty-five million dollars
($135,000,000) shall be deferred to July.
   (5) For the month of June, one hundred thirty-five million dollars
($135,000,000) shall be deferred to July.
   (b) In satisfaction of the moneys deferred pursuant to subdivision
(a), the sum of five hundred  ninety-one million two hundred
thirty-three   ninety-two million four hundred
fifty-six  thousand dollars  ($591,233,000) 
 ($592,456,000)  is hereby appropriated in July of the
2014-15 fiscal year from the General Fund to the Board of Governors
of the California Community Colleges for apportionments to community
college districts, for expenditure during the 2014-15 fiscal year, to
be expended in accordance with Schedule (1) of Item 6870-101-0001 of
Section 2.00 of the Budget Act of 2013.
   (c) For purposes of making the computations required by Section 8
of Article XVI of the California Constitution, the appropriations
made by subdivision (b) shall be deemed to be "General Fund revenues
appropriated for community college districts," as defined in
subdivision (d) of Section 41202, for the 2014-15 fiscal year, and
included within the "total allocations to school districts and
community college districts from General Fund proceeds of taxes
appropriated pursuant to Article XIII B," as defined in subdivision
(e) of Section 41202, for the 2014-15 fiscal year.
   (d) This section shall become operative on December 15, 2013.
   (e) This section shall remain in effect only until January 1,
2015, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2015, deletes or extends
that date.
   SEC. 52.    Section 17581.7 of the  
Government Code   is amended to read: 
   17581.7.  (a) Funding apportioned pursuant to this section shall
constitute reimbursement pursuant to Section 6 of Article XIII B of
the California Constitution for the performance of any state mandates
included in the statutes and executive orders identified in
subdivision (e).
   (b) Any community college district may elect to receive block
grant funding pursuant to this section.
   (c) (1) A community college district that elects to receive block
grant funding pursuant to this section in a given fiscal year shall
submit a letter requesting funding to the Chancellor of the
California Community Colleges on or before August 30 of that fiscal
year.
   (2) The Chancellor of the California Community Colleges shall
apportion, in the month of November of each year, block grant funding
appropriated in Item 6870-296-0001 of Section 2.00 of the annual
Budget Act to all community college districts that submitted letters
requesting funding in that fiscal year according to the provisions of
that item.
   (3) A community college district that receives block grant funding
pursuant to this section shall not be eligible to submit claims to
the Controller for reimbursement pursuant to Section 17560 for any
costs of any state mandates included in the statutes and executive
orders identified in subdivision (e) incurred in the same fiscal year
during which the community college district received funding
pursuant to this section.
   (d) All funding apportioned pursuant to this section is subject to
annual financial and compliance audits required by Section 84040 of
the Education Code.
   (e) Block grant funding apportioned pursuant to this section is
specifically intended to fund the costs of the following programs:
   (1) Agency Fee Arrangements (00-TC-17 and 01-TC-14; Chapter 893 of
the Statutes of 2000; and Chapter 805 of the Statutes of 2001).
   (2) Cal Grants (02-TC-28; Chapter 403 of the Statutes of 2000).
   (3) California State Teachers   Teachers'
 Retirement System  (CalSTRS)  Service Credit
(02-TC-19; Chapter 603 of the Statutes of 1994; Chapters 383, 634,
and 680 of the Statutes of 1996; Chapter 838 of the Statutes of 1997;
Chapter 965 of the Statutes of 1998; Chapter 939 of the Statutes of
1999; and Chapter 1021 of the Statutes of 2000).
   (4) Collective Bargaining  and Collective Bargaining Agreement
Disclosure  (CSM 4425 and 97-TC-08; Chapter 961 of the Statutes
of  1975).   1975; Chapter 1213 of the Statutes
of 1991)   . 
   (5) Community College Construction (02-TC-47; Chapter 910 of the
Statutes of 1980; Chapters 470 and 891 of the Statutes of 1981;
Chapter 973 of the Statutes of 1988; Chapter 1372 of the Statutes of
1990; Chapter 1038 of the Statutes of 1991; and Chapter 758 of the
Statutes of 1995).
   (6) Discrimination Complaint Procedures (02-TC-42 and portions of
02-TC-25 and 02-TC-31; Chapter 1010 of the Statutes of 1976; Chapter
470 of the Statutes of 1981; Chapter 1117 of the Statutes of 1982;
Chapter 143 of the Statutes of 1983; Chapter 1371 of the Statutes of
1984; Chapter 973 of the Statutes of 1988; Chapter 1372 of the
Statutes of 1990; Chapter 1198 of the Statutes of 1991; Chapter 914
of the Statutes of 1998; Chapter 587 of the Statutes of 1999; and
Chapter 1169 of the Statutes of 2002).
   (7) Enrollment Fee Collection and Waivers (99-TC-13 and 00-TC-15).

   (8) Health Fee Elimination (CSM 4206; Chapter 1 of the Statutes of
1984, Second Extraordinary Session).
   (9) Minimum Conditions for State Aid (02-TC-25 and 02-TC-31;
Chapter 802 of the Statutes of 1975; Chapters 275, 783, 1010, and
1176 of the Statutes of 1976; Chapters 36 and 967 of the Statutes of
1977; Chapters 797 and 977 of the Statutes of 1979; Chapter 910 of
the Statutes of 1980; Chapters 470 and 891 of the Statutes of 1981;
Chapters 1117 and 1329 of the Statutes of 1982; Chapters 143 and 537
of the Statutes of 1983; Chapter 1371 of the Statutes of 1984;
Chapter 1467 of the Statutes of 1986; Chapters 973 and 1514 of the
Statutes of 1988; Chapters 1372 and 1667 of the Statutes of 1990;
Chapters 1038, 1188, and 1198 of the Statutes of 1991; Chapters 493
and 758 of the Statutes of 1995; Chapters 365, 914, and 1023 of the
Statutes of 1998; Chapter 587 of the Statutes of 1999; Chapter 187 of
the Statutes of 2000; and Chapter 1169 of the Statutes of 2002).
   (10) Prevailing Wage Rate (01-TC-28; Chapter 1249 of the Statutes
of 1978).
   (11) Reporting Improper Governmental Activities (02-TC-24; Chapter
416 of the Statutes of 2001; and Chapter 81 of the Statutes of
2002).
   (12) Threats Against Peace Officers (CSM 96-365-02; Chapter 1249
of the Statutes of 1992; and Chapter 666 of the Statutes of 1995).
   (13) Tuition Fee Waivers (02-TC-21; Chapter 36 of the Statutes of
1977; Chapter 580 of the Statutes of 1980; Chapter 102 of the
Statutes of 1981; Chapter 1070 of the Statutes of 1982; Chapter 753
of the Statutes of 1988; Chapters 424, 900, and 985 of the Statutes
1989; Chapter 1372 of the Statutes of 1990; Chapter 455 of the
Statutes of 1991; Chapter 8 of the Statutes of 1993; Chapter 389 of
the Statutes of 1995; Chapter 438 of the Statutes of 1997; Chapter
952 of the Statutes of 1998; Chapters 571 and 949 of the Statutes of
2000; Chapter 814 of the Statutes of 2001; and Chapter 450 of the
Statutes of 2002).
   (f) Notwithstanding Section 10231.5, on or before November 1 of
each fiscal year, the Chancellor of the California Community Colleges
shall produce a report that indicates the total amount of block
grant funding each community college district received in the current
fiscal year pursuant to this section. The chancellor shall provide
this report to the appropriate fiscal and policy committees of the
Legislature, the Controller, the Department of Finance, and the
Legislative Analyst's Office.
   SEC. 53.    Section 26225 of the   Public
Resources Code   is amended to read: 
   26225.  For the purposes of this chapter, the following terms have
the following meanings:
   (a) "Chancellor" means the Chancellor of the California Community
Colleges.
   (b) "Energy Commission" means the State Energy Resources
Conservation and Development Commission.
   (c) "Local education  agency"   agency,"
"local educational agency,"  or "LEA" means a school district,
county office of education, charter school, or state special school.
   (d) "Job Creation Fund" means the Clean Energy Job Creation Fund
established in Section 26205.
   SEC. 54.    Section 26233 of the   Public
Resources Code   is amended to read: 
   26233.  (a)  Commencing with the 2013-14 fiscal year and through
the 2017-18 fiscal year, inclusive, the funds deposited annually in
the Job Creation Fund and remaining after the transfer pursuant to
Section 26227 and the appropriation pursuant to Section 26230 shall
be allocated, to the extent consistent with this division, as
follows:
   (1) Eighty-nine percent of the funds shall be available to local
educational agencies and allocated by the Superintendent of Public
Instruction pursuant to subdivision (b).

        (2) Eleven percent of the funds shall be available to
community college districts and allocated by the Chancellor of the
California Community Colleges at his or her discretion.
   (b) The Superintendent of Public Instruction shall allocate the
funds provided in paragraph (1) of subdivision (a) as follows:
   (1) Eighty-five percent on the basis of average daily attendance
reported as of the second principal apportionment for the prior
fiscal year.  For purposes of this section, average daily
attendance for the state special schools shall be deemed to be 97
percent of the prior year enrollment as reported in the California
Longitudinal Pupil Achievement Data System. 
   (A) For every local  education   educational
 agency with average daily attendance as reported pursuant to
this subdivision of 100 or less, the amount awarded shall be fifteen
thousand dollars ($15,000).
   (B) For every local  education  educational
 agency with average daily attendance as reported pursuant to
this subdivision in excess of 100, but 1,000 or less, the amount
awarded shall be either that local educational agency's proportional
award on the basis of average daily attendance or fifty thousand
dollars ($50,000), whichever amount is larger.
   (C) For every local  education   educational
 agency with average daily attendance as reported pursuant to
this subdivision in excess of 1,000, but less than 2,000, the amount
awarded shall be either that local  education  
educational  agency's proportional award on the basis of average
daily attendance or one hundred thousand dollars ($100,000),
whichever amount is larger.
   (D) For every local  education   educational
 agency with average daily attendance as reported pursuant to
this subdivision of 2,000 or more, the amount awarded shall be the
local  education   educational  agency's
proportional award on the basis of average daily attendance.
   (2) Fifteen percent on the basis of students eligible for free and
reduced-price meals in the prior year.
   (3) For every local  education   educational
 agency that receives over one million dollars ($1,000,000)
pursuant to this subdivision, not less than 50 percent of the funds
shall be used for projects larger than two hundred fifty thousand
dollars ($250,000) that achieve substantial energy efficiency, clean
energy, and jobs benefits.
   (c) A local  education   educational 
agency subject to subparagraph (A) or (B) of paragraph (1) of
subdivision (b) may submit a written request to the Superintendent of
Public Instruction, by  August   September
 1 of each year, to receive in the current year its funding
allocation for both the current year and the following year, both of
which would be based on the average daily attendance used in the
current year for determining funding pursuant to the applicable
subparagraph. A local  education   educational
 agency requesting funding pursuant to this subdivision shall
not receive a funding allocation in the year following the request.
 This election applies to the funding available pursuant to
paragraphs (1) and (2) of subdivision (b). 
   (d) A local  education   educational 
agency shall encumber funds received pursuant to this section by June
30, 2018.
   SEC. 55.    Section 26235 of the   Public
Resources Code   is amended to read: 
   26235.  (a) The Energy Commission, in consultation with the
Superintendent of Public Instruction, the Chancellor of the
California Community Colleges, and the Public Utilities Commission,
shall establish guidelines for the following:
   (1) Standard methods for estimating energy benefits, including
reasonable assumptions for current and future costs of energy, and
guidelines to compute the cost of energy saved as a result of
implementing eligible projects funded by this chapter.
   (2) Contractor qualifications, licensing, and certifications
appropriate for the work to be performed, provided that the Energy
Commission shall not create any new qualification, license, or
certification pursuant to this subparagraph.
   (3) Project evaluation, including the following:
   (A) Benchmarks or energy rating systems to select best candidate
facilities.
   (B) Use of energy surveys or audits to inform project
opportunities, costs, and savings.
   (C) Sequencing of facility improvements.
   (D) Methodologies for cost-effectiveness determination.
   (4) To ensure that adequate energy audit, measurement, and
verification procedures are employed to ensure that energy savings
and greenhouse gas emissions reductions occur as a result of any
funding provided pursuant to this section. The Energy Commission
shall develop a simple preinstallation verification form that
includes project description, estimated energy savings, expected
number of jobs created, current energy usage, and costs. The Energy
Commission may develop benchmarking and other innovative facility
evaluation systems in coordination with the University of California.

   (5) Achievement of the maximum feasible energy efficiency or clean
energy benefits, as well as job creation benefits for Californians,
resulting from projects implemented pursuant to this chapter.
   (6) Where applicable, ensuring LEAs assist classified school
employees with training and information to better understand how they
can support and maximize the achievement of energy savings
envisioned by the funded project.
   (b) The Energy Commission shall allow the use of data analytics of
energy usage data, where possible, in the energy auditing,
evaluation, inventorying, measuring, and verification of projects. To
ensure quality of results, data analytics providers shall have
received prior technical validation by the Energy Commission, a local
utility, or the Public Utilities Commission.
   (c) A community college district or LEA shall not use a sole
source process to award funds pursuant to this chapter. A community
college district or LEA may use the best value criteria as defined in
paragraph (1) of subdivision (c) of Section 20133 of the Public
Contract Code to award funds pursuant to this chapter.
   (d) The Energy Commission shall adopt the guidelines in accordance
with this section at a publicly noticed meeting and provide an
opportunity for public comment. The Energy Commission shall provide
written public notice of a meeting at least 30 days prior to the
meeting.
   (1) For substantive revision of the guidelines, the Energy
Commission shall provide written notice of a meeting at least 15 days
prior to the meeting at which the revision is to be considered or
adopted.
   (2) The adoption or revision of guidelines pursuant to this
subdivision is exempt from Chapter 3.5 (commencing with Section
11340) of Part 1 of Division 3 of Title 2 of the Government Code.
   (e) Each participating LEA shall prioritize the eligible projects
within its jurisdiction taking into consideration, as applicable, at
least the following factors:
   (1) The age of the school facilities, as well as any plans to
close or demolish the facilities.
   (2) The proportion of pupils eligible for funds under Title I of
the federal No Child Left Behind Act of 2001 (20 U.S.C. Sec. 6301 et
seq.) at particular schoolsites.
   (3) Whether the facilities have been recently modernized.
   (4) The facilities' hours of operation, including whether the
facilities are operated on a year-round basis.
   (5) The school's energy intensity as determined from an energy
rating or benchmark system such as the United States Environmental
Protection Agency's Energy Star system or other acceptable
benchmarking approach that may be available from local utilities, the
American Society for Heating, Refrigerating, and Air-Conditioning
Engineers, Inc., or reputable building analysis software as is
appropriate to the size, budget, and expertise available to the
school.
   (6) The estimated financial return of each project's investment
over the expected lifecycle of the project, in terms of net present
value and return on investment.
   (7) Each project's potential for energy demand reduction.
   (8) The anticipated health and safety improvements or other
nonenergy benefits for each project.
   (9) The individual or collective project's ability to facilitate
matriculation of local residents into state-certified apprenticeship
programs.
   (10) The expected number of trainees and direct full-time
employees likely to be engaged for each LEA's annual funding
commitments based upon a formula to be made available by the Energy
Commission or California Workforce Investment Board. The formula
shall be stated as labor-intensities per total project dollar
expended, and may differentiate by type of improvement, equipment, or
building trade involved.
   (11) The ability of the project to enhance workforce development
and employment opportunities, utilize members of the California
Conservation Corps, certified local conservation corps, Youth Build,
veterans, Green Partnership Academies, nonprofit organizations, high
school career technical academies, high school regional occupational
programs, or state-certified apprenticeship programs, or to
accommodate learning opportunities for school pupils or at-risk youth
in the community.
   (f) The Superintendent of Public Instruction shall not distribute
funds to an LEA unless the LEA has submitted to the Energy
Commission, and the Energy Commission has approved, an expenditure
plan that outlines the energy projects to be funded. An LEA shall
utilize a simple form expenditure plan developed by the Energy
Commission. The Energy Commission shall promptly review the plan to
ensure that it meets the criteria specified in this section and in
the guidelines developed by the Energy Commission. A portion of the
funds may be distributed to an LEA upon request for energy audits and
other plan development activities prior to submission of the plan.
   (g) This section shall not affect the eligibility of any eligible
entity awarded a grant pursuant to this section to receive other
incentives available from federal, state, and local government, or
from public utilities or other sources, or to leverage the grant from
this section with any other incentive.
   (h) Any limitation of funds awarded to individual projects
pursuant to this chapter shall not preclude or otherwise limit the
total amount of funds that a recipient LEA or community college may
otherwise be eligible to receive as a result of identifying multiple
projects that meet the overall objectives and criteria described in
this chapter.
   (i) For a school facility that is not publicly owned,  a
school district   an LEA  receiving moneys pursuant
to this chapter for a project for that facility shall require that
the school repay to the state all moneys received from the Job
Creation Fund for the project if the school voluntarily vacates the
facility within five years of project completion. The facility owner
shall repay to the state all moneys received from the Job Creation
Fund for the project if the school was forced to vacate the facility
within the life of the project completion. All benefits of these
public funds should be received by the school utilizing the facility.

   (j) It is the intent of the Legislature that monetary savings at
eligible institutions from retrofit and installation projects
pursuant to this section be used to benefit students and learning at
those institutions.
   SEC. 56.    Section 115 of Chapter 47 of the Statutes
of 2013 is amended to read: 
  SEC. 115.  (a) The sum of two billion  ninety-nine
  one hundred one  million one hundred sixty-one
thousand dollars  ($2,099,161,000)  
($2,101,161,000)  is hereby appropriated from the General Fund
for the purposes of this act as follows:
   (1) Two million dollars ($2,000,000) shall be appropriated to the
Governor's Office of Planning and Research for purposes of
implementing Sections 42238.07, 52064, and 52064.5 of the Education
Code.
   (2) Two billion sixty-seven million one hundred forty thousand
dollars ($2,067,140,000) shall be appropriated to the Superintendent
of Public Instruction and shall be allocated pursuant to the
calculation in subdivision (b) of Section 42238.03 of the Education
Code.
   (3) Thirty-two million twenty-one thousand dollars ($32,021,000)
shall be appropriated to the Superintendent of Public Instruction and
shall be allocated pursuant to the calculation in subdivision (f) of
Section 2575 of the Education Code.
   (b) For purposes of making the computations required by Section 8
of Article XVI of the California Constitution, the 
appropriation made by   amount appropriated in 
subdivision (a) shall be deemed to be "General Fund revenues
appropriated for school districts," as defined in subdivision (c) of
Section 41202 of the Education Code, for the 2013-14 fiscal year, and
included within the "total allocations to school districts and
community college districts from General Fund proceeds of taxes
appropriated pursuant to Article XIII B," as defined in subdivision
(e) of Section 41202 of the Education Code, for the 2013-14 fiscal
year.
   SEC. 57.    Section 83 of Chapter 48 of the Statutes
of 2013 is amended to read: 
  Sec. 83.  (a) Notwithstanding any other law, the Inglewood Unified
School District, through the State Department of Education, may
request cashflow loans from the General Fund for a total of up to
fifty-five million dollars ($55,000,000) for emergency operational
purposes.
   (b) Unless otherwise specified in this section, the terms and
conditions of any General Fund cashflow loan provided pursuant to
this section shall be subject to approval by the Director of Finance
and shall be consistent with the terms and conditions of the General
Fund emergency apportionment issued pursuant to Chapter 325 of the
Statutes of 2012.  The terms and conditions of the General Fund
cashflow loan shall include   authorization for the payment
of costs incurred before June 15, 2013, by the California
Infrastructure and Economic Development Bank to implement Section 10
of Chapter 325 of the Statutes of 2012.  Notwithstanding the
interest rates specified in the terms and conditions of the General
Fund loan issued pursuant to Chapter 325 of the Statutes of 2012, the
interest on these loans shall be charged at the annual rate of
return of the Pooled Money Investment Account, plus an additional 2
percent.
   (c) Once a General Fund cashflow loan is approved pursuant to this
section, and upon the order of the Director of Finance, the
Controller shall draw warrants against General Fund cash to the
Inglewood Unified School District to provide a cashflow loan.
   (d) Upon approval of a General Fund cashflow loan pursuant to this
section, a repayment schedule shall be determined by the Department
of Finance. If a required payment is not made within 60 days after a
scheduled date, upon order of the Department of Finance, the
Controller shall pay the defaulted General Fund cashflow loan
repayment by withholding that amount from the next available payment
that would otherwise be made to the county treasurer on behalf of the
school district pursuant to Section 14041 of the Education Code.
   (e) The Department of Finance shall notify the Legislature within
15 days of authorizing a General Fund cashflow loan pursuant to this
section.
   (f) A cashflow loan from the General Fund authorized by this
section does not constitute budgetary expenditures. A cashflow loan,
and the repayment of a cashflow loan, made under this section shall
not affect the General Fund reserve.
   (g) Issuance of a General Fund cashflow loan authorized pursuant
to this section shall require the Inglewood Unified School District
to abide by all provisions associated with the issuance of the
emergency loan specified in Chapter 325 of the Statutes of 2012,
including those cited in Article 2 (commencing with Section 41320)
and Article 2.5 (commencing with Section 41325) of Chapter 3 of Part
24 of Division 3 of Title 2 of the Education Code.
   (h) As a condition of requesting a General Fund cashflow loan
pursuant to this section, the Inglewood Unified School District shall
repay the twenty-nine million dollar ($29,000,000) General Fund loan
issued pursuant to Chapter 325 of the Statutes of 2012 from the
proceeds of the school district's initial request for a General Fund
cashflow loan.
   SEC. 58.    Item 6110-001-0001 of Section 2.00 of the
  Budget Act of 2013   is amended to read: 
6110-001-0001--For support of Department of
Education...................................  35,488,000

                                               38,652,000 
    Schedule:
    (2)   20-Instructional
          Support...............  148,109,000
    (3)   30-Special Programs...   69,267,000
    (6)   42.01-Department
          Management and
          Special Services......   34,901,000
    (7)   42.02-Distributed
          Department Management
          and Special Services..  -34,901,000
    (8)   Reimbursements........  -16,104,000
    (9)   Amount payable from
          the Federal Trust
          Fund (Item 6110-001-
          0890)................. -165,605,000
    (10)  Amount payable from
          the Mental Health
          Services Fund (Item
          6110-001-3085)........     -179,000
    Provisions:
    1.    Notwithstanding Section 33190 of
          the Education Code or any other
          provision of law, the State
          Department of Education shall
          expend no funds to prepare (a) a
          statewide summary of pupil
          performance on school district
          proficiency assessments or (b) a
          compilation of information on
          private schools with five or fewer
          pupils.
    2.    Funds appropriated in this item
          may be expended or encumbered to
          make one or more payments under a
          personal services contract of a
          visiting educator pursuant to
          Section 19050.8 of the Government
          Code, a long-term special
          consultant services contract, or
          an employment contract between an
          entity that is not a state agency
          and a person who is under the
          direct or daily supervision of a
          state agency, only if all of the
          following conditions are met:
          (a)     The person providing
                  service under the contract
                  provides full financial
                  disclosure to the Fair
                  Political Practices
                  Commission in accordance
                  with the rules and
                  regulations of the
                  Commission.
          (b)     The service provided under
                  the contract does not
                  result in the displacement
                  of any represented civil
                  service employee.
          (c)     The rate of compensation
                  for salary and health
                  benefits for the person
                  providing service under
                  the contract does not
                  exceed by more than 10
                  percent the current rate
                  of compensation for salary
                  and health benefits
                  determined by the
                  Department of Human
                  Resources for civil
                  service personnel in a
                  comparable position. The
                  payment of any other
                  compensation or any
                  reimbursement for travel
                  or per diem expenses shall
                  be in accordance with the
                  State Administrative
                  Manual and the rules and
                  regulations of the
                  California Victim
                  Compensation and
                  Government Claims Board.
    3.    The funds appropriated in this
          item may not be expended for any
          REACH program.
    4.    The funds appropriated in this
          item may not be expended for the
          development or dissemination of
          program advisories, including, but
          not limited to, program advisories
          on the subject areas of reading,
          writing, and mathematics, unless
          explicitly authorized by the State
          Board of Education.
    5.    Of the funds appropriated in this
          item, $206,000 shall be available
          as matching funds for the State
          Department of Rehabilitation to
          provide coordinated services to
          disabled pupils. Expenditure of
          the funds shall be identified in
          the memorandum of understanding or
          other written agreement with the
          State Department of Rehabilitation
          to ensure an appropriate match to
          federal vocational rehabilitation
          funds.
    6.    Of the funds appropriated in this
          item, no less than $1,973,000 is
          available for support of child
          care services, including state
          preschool.
    7.    By October 31 of each year, the
          State Department of Education
          (SDE) shall provide to the
          Department of Finance a file of
          all charter school average daily
          attendance (ADA) and state and
          local revenue associated with
          charter school general purpose
          entitlements as part of the P2
          Revenue Limit File. By March 1 of
          each year, the SDE shall provide
          to the Department of Finance a
          file of all charter school ADA and
          state and local revenue associated
          with charter school general
          purpose entitlements as part of
          the P1 Revenue Limit File. It is
          the expectation that such reports
          will be provided annually.
    8.    On or before April 15 of each
          year, the State Department of
          Education (SDE) shall provide to
          the Department of Finance an
          electronic file that includes
          complete district- and county-
          level state appropriations limit
          information reported to the SDE.
          The SDE shall make every effort to
          ensure that all districts have
          submitted the necessary
          information requested on the
          relevant reporting forms.
    9.    The State Department of Education
          shall make information available
          to the Department of Finance, the
          Legislative Analyst's Office, and
          the budget committees of each
          house of the Legislature by
          October 31, March 31, and May 31
          of each year regarding the amount
          of Proposition 98 savings
          estimated to     be available for
          reversion by June 30 of that year.
    10.   Of the reimbursement funds
          appropriated in this item,
          $1,300,000 shall be available to
          the State Department of Education
          for nutrition education and
          physical activity promotion
          pursuant to an interagency
          agreement with the State
          Department of State Hospitals.
    11.   Reimbursement expenditures
          pursuant to this item resulting
          from the imposition by the State
          Department of Education (SDE) of a
          commercial copyright fee may not
          be expended sooner than 30 days
          after the SDE submits to the
          Department of Finance a legal
          opinion affirming the authority to
          impose such fees and the arguments
          supporting that position
          against any objections or legal
          challenges to the fee filed with
          the SDE. Any funds received
          pursuant to imposition of a
          commercial copyright fee may only
          be expended as necessary for
          outside counsel contingent on a
          certification of the
          Superintendent of Public
          Instruction that sufficient
          expertise is not available within
          departmental legal staff. The SDE
          shall not expend greater than
          $300,000 for such purposes without
          first notifying the Department of
          Finance of the necessity therefor,
          and upon receiving approval in
          writing.
    12.   Of the amount appropriated in this
          item, $139,000 from reimbursement
          funds may be expended for
          administering the Education
          Technology K-12 Voucher Program
          pursuant to the Microsoft
          settlement.
    13.   Of the funds appropriated in this
          item, up to $1,011,000 is for
          dispute resolution services,
          including mediation and fair
          hearing services, provided through
          contract for special education
          programs.
    14.   Of the reimbursement funds
          appropriated in this item,
          $422,000 shall be available to the
          State Department of Education
          (SDE) to contract for assistance
          in developing an approved listing
          of food and beverage items that
          comply with the nutrition
          standards of Chapters 235 and 237
          of the Statutes of 2005. In order
          to fund the development and
          maintenance of the approved
          product listing, the SDE shall
          collect a fee, as it deems
          appropriate, from vendors seeking
          to have their products reviewed
          for potential placement on the
          approved product listing.
    15.   Of the reimbursement funds
          appropriated in this item,
          $612,000 is provided to the State
          Department of Education for the
          oversight of State Board of
          Education-authorized charter
          schools. The Department of Finance
          may administratively establish up
          to 2.0 positions for this purpose
          as workload materializes.
    16.   Of the funds appropriated in this
          item, $158,000 and 1.5 positions
          are provided to support new
          requirements contained in Chapter
          723 of the Statutes of 2011, which
          strengthens antidiscrimination and
          antibullying policies in schools.
    17.   Of the funds appropriated in this
          item, $109,000 and 1.0 position is
          provided to support new
          requirements contained in Chapter
          776 of the Statutes of 2012, which
          clarifies the prohibition against
          public schools charging pupil fees

                for participation in educational
          activities.
    18.   Of the funds appropriated in this
          item, $217,000 and 2.0 positions
          are available for workload to
          implement Chapter 577 of the
          Statutes of 2012, including
          activities necessary to revise the
          Academic Performance Index.
    19.   Of the funds appropriated in this
          item, $109,000 shall be for 1.0
          position within the State
          Department of Education to support
          activities associated with the
          Clean Energy Job Creation Fund.
    20.   Of the funds appropriated in this
          item, $233,000 is available in one-
          time funds for the Instructional
          Quality Commission to support
          activities necessary to meet the
          deadlines required pursuant to
          Section 60207 of the Education
          Code for development of common
          core curriculum frameworks for
          mathematics and English language
          arts.
     22.   Of the amount appropriated in this 
           item, $459,000 is provided to 
           support the Career Technical 
           Education Pathways Trust one-time 
           grant program pursuant to Chapter 
           48 of the Statutes of 2013 in the 
           2013-14 fiscal year. The funds 
           appropriated in this item shall 
           support the activities authorized 
           by Section 86 of Chapter 48 of the 
           Statutes of 2013, as follows: 
           (a)     3.0 limited-term 3-year 
                   positions to administer 
                   and oversee the one-time 
                   California Career 
                   Technical Education 
                   Pathways Trust competitive 
                   grant program. 
           (b)     Grant application 
                   development and 
                   distribution, and grantee 
                   selection. 
           (c)     Desk monitoring of grant 
                   recipients and technical 
                   assistance. 
           (d)     An external data 
                   repository, data 
                   collection, and outcome 
                   measures reporting. 
     23.   Of the amount appropriated in this 
           item, $570,000 and 5.0 positions 
           are provided to support the Local 
           Control Accountability Plan state- 
           level activities pursuant to 
           Chapter 48 of the Statutes of 
          2013. These funds and positions 
           shall be used by the State 
           Department of Education to support 
           activities including, but not 
           limited to, department-wide 
           coordination of consistent Local 
           Control Funding Formula 
           information and its dissemination, 
           and assisting the development of 
           regulations and Local Control and 
           Accountability Plan templates. Of 
           the amount appropriated in this 
           item, up to an additional seven 
           hundred twenty-three thousand 
           dollars ($723,000) and 6.0 
           positions may be expended for 
           these state-level activities by 
           the State Department of Education 
           upon approval of an expenditure 
           plan, or plans, for those funds by 
           the Department of Finance. The 
           Department of Finance shall 
           notify, in writing, the 
           chairpersons of the committees in 
          each house of the Legislature that 
           consider appropriations, the 
           chairpersons of the committees and 
           appropriate subcommittees that 
           consider the State Budget, and the 
           Chairperson of the Joint 
           Legislative Budget Committee, of 
           any expenditure plan approvals and 
           positions established pursuant to 
           the authority authorized in this 
          provision. 
     24.   Of the amount appropriated in this 
           item, $933,000 and 6.0 positions 
           are provided to support the Local 
           Control Funding Formula 
           administration pursuant to Chapter 
           48 of the Statutes of 2013. These 
           funds and positions shall be used 
           by the State Department of 
           Education to support the 
           apportionment of, and fiscal 
           oversight of, funding pursuant to 
           the Local Control Funding Formula. 
           Of the amount appropriated in this 
           item, up to an additional four 
           hundred seventy nine thousand 
           dollars ($479,000) and 5.0 
           positions may be expended to 
           support Local Control Funding 
           Formula administration by the 
           State Department of Education upon 
           approval of an expenditure plan, 
           or plans, for those funds by the 
           Department of Finance. The 
           Department of Finance shall 
           notify, in writing, the 
           chairpersons of the committees in 
           each house of the Legislature that 
           consider appropriations, the 
           chairpersons of the committees and 
           appropriate subcommittees that 
           consider the State Budget, and the 
           Chairperson of the Joint 
           Legislative Budget Committee, of 
           any expenditure plan approvals and 
           positions established pursuant to 
           the authority authorized in this 
           provision. 


   SEC. 59.    For purposes of calculating the local
control funding formula transition adjustment pursuant to subdivision
(b) of Section 42238.03 of the Education Code for the Torrance
Unified School District for the 2013-14 and 2014-15 fiscal years, the
Superintendent of Public Instruction shall reduce the amount of
entitlement for Item 6110-105-0001, as set forth in paragraph (2) of
subdivision (a) of Section 42238.03 of the Education Code, by three
million four hundred seventy-three thousand five hundred seventy-four
dollars ($3,473,574). For the 2013-14 and 2014-15 fiscal years, the
Torrance Unified School District shall continue to allocate three
million four hundred seventy-three thousand five hundred seventy-four
dollars ($3,473,574) in accordance with paragraph (5) of subdivision
(a) of Section 42238.03 of the Education Code. 
   SEC. 60.    (a) On or before June 30, 2014, the Board
of Governors of the California Community Colleges is authorized to
increase the total General Fund apportionment allocations to be made
between July 1, 2013, and February 1, 2014, specified in subdivisions
(d) and (e) of Section 58770 of Title 5 of the California Code of
Regulations and authorized in subdivision (b) of Section 70901 of the
Education Code, by an amount to be determined by the Director of
Finance.  
   (b) The funds in subdivision (a) shall be increased only to the
extent that revenues distributed to community college districts
pursuant to Sections 34177, 34179.5, 34179.6, and 34188 of the Health
and Safety Code are less than the estimated amount reflected in the
Budget Act of 2012, as determined by the Director of Finance. 

   (c) In making the determinations pursuant to subdivision (b), the
Director of Finance shall consider any other local property tax
revenue, student fee revenue, or other sources of revenue collected
in excess of, or in deficit of, the estimated amount reflected in the
Budget Act of 2012.  
   (d) The Director of Finance shall notify the Chairperson of the
Joint Legislative Budget Committee, or his or her designee, of his or
her intent to increase the total allocations to be made between July
1, 2013, and February 1, 2014, and the amount needed to address the
shortfall determined pursuant to subdivision (b). The Controller
shall make the funds available not sooner than five days after this
notification and the Office of the Chancellor of the California
Community Colleges shall work with the Controller to allocate these
funds to community college districts as soon as practicable. 
   SEC. 61.    The Legislature finds and declares that a
special law, as set forth in Section 57 of this act, is necessary
and that a general law cannot be made applicable within the meaning
of Section 16 of Article IV of the California Constitution because of
the unique circumstances relating to the fiscal emergency in the
Inglewood Unified School District. 
   SEC. 62.    This act is a bill providing for
appropriations related to the Budget Bill within the meaning of
subdivision (e) of Section 12 of Article IV of the California
Constitution, has been identified as related to the budget in the
Budget Bill, and shall take effect immediately.  
  SECTION 1.    It is the intent of the Legislature
to enact statutory changes relating to the Budget Act of 2013.