Bill Text: CA SB74 | 2009-2010 | Regular Session | Amended
Bill Title: State finances.
Spectrum: Unknown
Status: (Engrossed - Dead) 2010-01-19 - Stricken from Senate file. [SB74 Detail]
Download: California-2009-SB74-Amended.html
BILL NUMBER: SB 74 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY JUNE 25, 2009
INTRODUCED BY Committee on Budget and Fiscal Review
JANUARY 20, 2009
An act relating to the Budget Act of 2009.
An act to amend Sections 14041, 14041.6, and 52055.770 of, and to
add Section 14401.1 to, the Education Code, to amend
Sections 927.2, 927.4, 927.6, 927.7, 927.11, 8880.61, 13943.1, and
13943.2 of, and to add Sections 13311.1, 16583.1 and 16583.2 to, the
Government Code, to amend Section 7104.2 of the Revenue and Taxation
Code, to amend Section 35 of Chapter 757 of the Statutes of 2008, and
to amend Sections 39, 40, and 41 of, Chapter 12 of the Statutes of
2009, relating to state finances, making an appropriation therefor,
and declaring the urgency thereof, to take effect immediately.
LEGISLATIVE COUNSEL'S DIGEST
SB 74, as amended, Committee on Budget and Fiscal Review.
Budget Act of 2009. State finances.
(1) Existing law requires the Controller to draw warrants on the
State Treasury in favor of the county treasurer of each county in
each month of each year in prescribed amounts and in a prescribed
manner.
This bill would revise the schedule pursuant to which the
Controller draws these warrants and the amount of the warrants.
(2) The Quality Education Investment Act of 2006 authorizes school
districts and other local educational agencies to apply to the
Superintendent of Public Instruction to receive funding to allocate
to elementary and secondary schools and charter schools that are
ranked in either decile 1 or 2 on the 2005 API for use in performing
various specified measures to improve academic instruction and pupil
academic achievement. Three hundred million dollars is appropriated
from the General Fund for purposes of the act with $450,000,000, for
each of the 2008-09 to 2013-14 fiscal years, inclusive, to be
allocated to community colleges and to school districts, and
chartering authorities that have eligible schools.
This bill would require, commencing with the 2009-10 fiscal year,
that the payments of the annual amount not be made sooner than
October 8 of the fiscal year.
(3) Existing law, the California Prompt Payment Act, requires a
state agency that acquires property or services pursuant to a
contract with a business to make payment to the person or business on
the date required by the contract, or be subject to a late payment
penalty. The act provides that the maximum time from state agency
receipt of an undisputed invoice to issuance of a warrant for payment
is 45 calendar days. The act requires the payment of specified
penalties to the claimant if the state agency fails to submit a
correct claim schedule to the Controller by the required payment
approval date, or if the Controller fails to make a payment within 15
calendar days of receipt of the claim schedule from the state
agency, as specified.
This bill would require late payment penalties to be paid to the
claimant if payment is not issued within 45 calendar days from state
agency receipt of an undisputed invoice, but would require the state
agency and Controller to pay those penalties only when a payment is
not issued within 45 calendar days from state agency receipt of the
undisputed invoice, and the state agency fails to submit a correct
claim schedule by the required payment approval date, or the
Controller fails to make a payment within 15 calendar days of receipt
of the claim schedule from the state agency. The bill would define
"payment" for purposes of these provisions.
(4) The California Lottery Act establishes the State Lottery Fund.
The act, an initiative measure, provides that certain provisions may
be changed by a bill that furthers the purposes of the act and is
passed by a 2/3 vote of each house of the Legislature and signed by
the Governor. The act, until September 30, 2009, authorizes the
Controller to loan moneys in the State Lottery Fund to the General
Fund and requires the payment of interest at a specified rate on all
moneys loaned to the General Fund.
This bill would delete the September 30, 2009, repeal date for
those provisions authorizing the loan of moneys from the State
Lottery Fund, thereby extending their operation indefinitely.
This bill would declare that it furthers the purposes of the
California State Lottery Act.
(5) Existing law authorizes the Director of Finance, to defer
payment of General Fund moneys, in a cumulative amount not to exceed
$500,000 annually, appropriated to the University of California in
the annual Budget Act, as specified.
This bill would additionally authorize the Director of Finance to
defer payments of General Fund moneys in July through September 2009
in an amount not to exceed $750,000,000, appropriated to the
University of California in the Budget Act of 2009, as specified. The
bill would specify the schedule of payments for the amount deferred,
as specified. The bill would also authorize the Director of Finance
to defer payments of General Fund moneys in July 2009 in an amount
not to exceed $290,000,000, appropriated to the California State
University in the Budget Act of 2009, as specified. That deferred
payment would be made in October 2009.
(6) Existing law releases a person from a debt owed to the
Franchise Tax Board, under specified conditions, including that the
Franchise Tax Board is discharged from collecting the debt which is
less than $250.
This bill would increase the amount of the debt that the Franchise
Tax Board is discharged from collecting to less than $500.
(7) Existing law does not require a state agency to collect a tax,
license, fee, or money owed to the state, under specified
conditions, including that the amount to be collected is $250 or
less.
This bill would increase that amount to $500 or less.
(8) Existing law, the Accounts Receivable Management Act, requires
each state agency, department, and office to allocate collection
resources by giving highest priority to accounts with the highest
expected return.
This bill would authorize these state entities to impose a
reasonable fee for the actual costs of its collection of past due
accounts, and require them to submit an annual report to the
Controller of its accounts receivables and discharged accounts.
(9) Existing law, pursuant to Article XIX B of the California
Constitution, creates the Transportation Investment Fund, which
receives a portion of gasoline sales tax revenues that are deposited
in the General Fund. Moneys in the Transportation Investment Fund are
allocated to various transportation purposes, including the state
transportation improvement program, local streets and roads, and mass
transportation. Existing law requires the Controller to transfer and
apportion these funds on a quarterly basis.
This bill would suspend and defer, until May 31, 2010, the
quarterly apportionments from the Transportation Investment Fund for
local streets and roads that are scheduled to be made in October 2009
and January 2010. The bill would authorize a city or county to
temporarily make use of any cash balance in its city or county road
fund, including certain transportation bond act funds, for local
street and road maintenance, provided that the cash is replaced once
the payments from the Transportation Investment Fund are received.
(10) Existing law appropriates $540,000,000 from the General Fund
to the Board of Governors of the California Community Colleges for
apportionments to community college districts for expenditure during
the 2009-10 fiscal year and defers the disbursal of those funds until
July of the 2009-10 fiscal year. Existing law makes an identical
appropriation for expenditure during the 2010-11 fiscal year and
defers the disbursal of those funds until July of the 2010-11 fiscal
year.
This bill would increase those appropriations and deferments to
$655,000,000 with $57,500,000 of those appropriations and deferments
representing the April apportionment and $57,500,000 representing the
May apportionment.
(11) Existing law defers to July the payment of $115,000,000 of
the apportionments to community college districts for each of the
months of January and February and $55,000,000 of the apportionments
to community college districts for each of the months of March and
April.
This bill, in addition, would defer to July the payment of
$57,500,000 of the apportionments to community college districts for
each of the months of April and May.
(12) This bill would declare that it is to take effect immediately
as an urgency statute.
This bill would express the intent of the Legislature to enact
statutory changes relating to the Budget Act of 2009.
Vote: majority 2/3 . 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 14041 of the
Education Code is amended to read:
14041. (a) The Controller shall draw warrants on the State
Treasury in favor of the county treasurer of each county in each
month of each year in the amounts and manner as herein
prescribed in this section so as to provide in
each warrant a portion of the total amount certified by the
Superintendent of Public Instruction as
apportioned under the provisions of Sections 41330 to 41343,
inclusive, and Chapter 4 (commencing with Section 41600) and Chapter
5 (commencing with Section 41700) and Article 2 (commencing with
Section 42237) of Chapter 7 of Part 24 of Division 3 of Title 2,
inclusive, during the fiscal year from the State School Fund to the
school districts under the jurisdiction of the county superintendent
of schools of the county, to the county school service fund, and to
the county school tuition fund of the county.
(1) Warrants for amounts allowed to the county school service
funds under subdivisions (a) and (b) of Section 14054 shall be for
amounts equal to 6 5 percent in July,
12 5 percent in August, 10
percent in September, and 8 and 9 percent in
each remaining month of the fiscal year of the amounts certified by
the Superintendent of Public Instruction as a part
of the advance apportionment.
(2) Warrants for amounts apportioned to school districts and
county school service funds for classes maintained by county
superintendents of schools and to the county school tuition funds
shall be for amounts equal to 6 5
percent in July, 12 5 percent in
August, and 8 9 percent in September,
October, November, December, and January, of the amounts certified by
the Superintendent of Public Instruction as a
part of the advance apportionment.
(3) Warrants in the months of February to May, inclusive, shall be
for amounts equal to one-sixth one-fifth
of the difference between the amounts certified by the
Superintendent of Public Instruction for school
districts and county school service funds for classes maintained by
county superintendents of schools and county school tuition funds as
the first principal apportionment and the amounts required by
paragraph (2). An additional one-sixth of such difference
shall be included in the warrants for the month of February.
(4) Warrants for the month of June shall be for amounts equal to
the difference between the amounts certified by the Superintendent
of Public Instruction for school districts and
county school service funds for classes maintained by county
superintendents of schools and county school tuition funds as the
second principal apportionment and the amounts required by paragraphs
(2) and (3).
(5) Warrants in the months of July and August shall include 5
percent of the estimated total amounts of the special purpose
apportionment, as determined by the Superintendent. Warrants in
the months of September to November, inclusive, shall include
one-tenth 9 percent of the estimated
total amounts of the special purpose apportionment, as determined by
the Superintendent of Public Instruction .
Warrants in December shall include one-tenth
9 percent of the amounts certified by the Superintendent
of Public Instruction as the special purpose
apportionment, as adjusted, if necessary, to correct excesses or
deficiencies in the estimates made for purposes of the warrants in
the months of September to November, inclusive. An additional
one-tenth 9 percent of the amounts of
the special purpose apportionment shall be included in the warrants
for the months from January to June, inclusive.
(6) Warrants in June shall include the total amounts certified by
the Superintendent of Public Instruction as the
final apportionment.
(7) Notwithstanding paragraph (2) to the contrary, for school
districts which that reported less than
5,000 units of average daily attendance in the 1979-80 fiscal year
and which that received 39 percent or
more, but less than 75 percent, of their total revenue limits from
local property taxes in that fiscal year, warrants for amounts
apportioned to the districts shall be for amounts equal to 15 percent
in July, August, September, and October; zero percent in November
and December; and 6 percent in January of the amounts certified by
the Superintendent of Public Instruction as a part
of the advance apportionment. Warrants for amounts apportioned to
the districts for the months of February to May, inclusive, shall be
in accordance with paragraph (3), and for the month of June, shall be
in accordance with paragraph (4).
(8) Notwithstanding paragraph (2) or (7) to the contrary, for
school districts which reported less than 5,000 units of average
daily attendance in the 1979-80 fiscal year and which received 75
percent or more of their total revenue limits from local property
taxes in that fiscal year, warrants for amounts apportioned to the
districts shall be for amounts equal to 15 percent in July; 30
percent in August and September; 15 percent in October; zero percent
in November and December; 6 percent in January; and zero percent in
February, March, April, and May, of the amounts certified by the
Superintendent of Public Instruction as a part of
the advance apportionment. Warrants for the month of June shall be in
accordance with paragraph (4).
(b) The drawing of the warrants required to be drawn during any
one of the months mentioned may be postponed by the Controller for
not to exceed 30 days, but the total amounts due the several counties
during any fiscal year shall be paid within the fiscal year. The
warrants shall be paid by the State Treasurer from the State School
Fund and are not subject to the provisions of Government Code Section
925.6.
SEC. 2. Section 14041.6 of the
Education Code is amended to read:
14041.6. (a) Notwithstanding subdivision (a) of Section 14041, or
any other law, commencing with the 2008-09 fiscal year, warrants for
the principal apportionments for the month of February in the amount
of two billion dollars ($2,000,000,000) instead shall be drawn in
July of the same calendar year pursuant to the certification made
pursuant to Section 41339.
(b) Notwithstanding subdivision (a) of Section 14041 or any other
law, commencing with the 2009-10 fiscal year, warrants for the
principal apportionments for the month of April in the amount of six
hundred seventy-eight million six hundred eleven thousand dollars
($678,611,000) and for the month of May in the amount of one billion
dollars ($1,000,000,000) instead shall be drawn in August of the same
calendar year pursuant to the certification made pursuant to Section
41339.
(b)
(c) Except as provided in subdivisions (c) and (e) of
Section 41202, for purposes of making the computations required by
Section 8 of Article XVI of the California Constitution, the warrants
drawn pursuant to subdivision (a)
subdivisions (a) and (b) shall be deemed to be "General Fund
revenues appropriated to school districts," as defined in subdivision
(c) of Section 41202, for the fiscal year in which the warrants are
drawn 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 fiscal year in which the warrants are
drawn.
SEC. 3. Section 14401.1 is added to the
Education Code , to read:
14401.1. Of the amounts appropriated in the items listed in
paragraph (2) of subdivision (a) of Section 42605 that are contained
in the annual Budget Act, payments equal to 5 percent of the total
amount appropriated in those items shall be made for the months of
July and August. Payments for the months of September to June,
inclusive, shall be equal to 9 percent of the total amount
appropriated in those items.
SEC. 4. Section 52055.770 of the
Education Code is amended to read:
52055.770. (a) School districts and chartering authorities shall
receive funding at the following rate, on behalf of funded schools:
(1) For kindergarten and grades 1 to 3, inclusive, five hundred
dollars ($500) per enrolled pupil in funded schools.
(2) For grades 4 to 8, inclusive, nine hundred dollars ($900) per
enrolled pupil in funded schools.
(3) For grades 9 to 12, inclusive, one thousand dollars ($1,000)
per enrolled pupil in funded schools.
(b) For purposes of subdivision (a), enrollment of a pupil in a
funded school in the prior fiscal year shall be based on data from
the CBEDS. For the 2007-08 fiscal year, the funded rates shall be
reduced to reflect the percentage difference in the total amounts
appropriated for purposes of this section in that year compared to
the amounts appropriated for purposes of this section in the 2008-09
fiscal year.
(c) The following amounts are hereby appropriated from the General
Fund for the purposes set forth in subdivision (f):
(1) For the 2007-08 fiscal year, three hundred million dollars
($300,000,000), to be allocated as follows:
(A) Thirty-two million dollars ($32,000,000) for transfer by the
Controller to Section B of the State School Fund for allocation by
the Chancellor of the California Community Colleges to community
colleges for the purpose of providing funding to the community
colleges to improve and expand career technical education in public
secondary education and lower division public higher education
pursuant to Section 88532, including the hiring of additional faculty
to expand the number of career technical education programs and
course offerings.
(B) Two hundred sixty-eight million dollars ($268,000,000) for
transfer by the Controller to Section A of the State School Fund for
allocation by the Superintendent pursuant to this article.
(2) For each of the 2008-09 to 2013-14 fiscal years, inclusive,
four hundred fifty million dollars ($450,000,000) per fiscal year, to
be allocated as follows:
(A) Forty-eight million dollars ($48,000,000) for transfer by the
Controller to Section B of the State School Fund for allocation by
the Chancellor of the California Community Colleges to community
colleges as required under subdivision (e).
(B) Four hundred two million dollars ($402,000,000) for transfer
by the Controller to Section A of the State School Fund for
allocation by the Superintendent pursuant to this article.
(C) Commencing with the 2009-10 fiscal year, payments pursuant to
subparagraphs (A) and (B) shall not be made sooner than October 8 of
each fiscal year.
(d) For the 2013-14 fiscal year the amounts appropriated under
subdivision (c) shall be adjusted to reflect the total fiscal
settlement agreed to by the parties in California Teachers
Association, et al. v. Arnold Schwarzenegger (Case Number 05CS01165
of the Superior Court for the County of Sacramento) and the sum of
all fiscal years of funding provided to fund this article shall not
exceed the total funds agreed to by those parties. This annual
appropriation shall continue to be made until the Director of Finance
reports to the Legislature, along with all proposed adjustments to
the Governor's Budget pursuant to Section 13308 of the Government
Code, that the sum of appropriations made and allocated pursuant to
subdivision (c) equals the total outstanding balance of the minimum
state educational funding obligation to school districts and
community college districts required by Section 8 of Article XVI of
the California Constitution and Chapter 213 of the Statutes of 2004
for the 2004-05 and 2005-06 fiscal years, as determined in
subdivision (a) or (b) of Section 41207.1.
(e) The sum transferred under subparagraph (A) of paragraph (2) of
subdivision (c) shall be allocated by the Chancellor of the
California Community Colleges as follows:
(1) Thirty-eight million dollars ($38,000,000) to the community
colleges for the purpose of providing funding to the community
colleges to improve and expand career technical education in public
secondary education and lower division public higher education
pursuant to Section 88532, including the hiring of additional faculty
to expand the number of career technical education programs and
course offerings.
(2) Ten million dollars ($10,000,000) to the community colleges
for the purpose of providing one-time block grants to community
college districts to be used for one-time items of expenditure,
including, but not limited to, the following purposes:
(A) Physical plant, scheduled maintenance, deferred maintenance,
and special repairs.
(B) Instructional materials and support.
(C) Instructional equipment, including equipment related to
career-technical education, with priority for nursing program
equipment.
(D) Library materials.
(E) Technology infrastructure.
(F) Hazardous substances abatement, cleanup, and repair.
(G) Architectural barrier removal.
(H) State-mandated local programs.
(3) The Chancellor of the California Community Colleges shall
allocate the amount allocated pursuant to paragraph (2) to community
college districts on an equal amount per actual full-time-equivalent
student (FTES) reported for the prior fiscal year, except that each
community college district shall be allocated an amount not less than
fifty thousand dollars ($50,000), and the equal amount per unit of
FTES shall be computed accordingly.
(4) Funds allocated under paragraph (2) shall supplement and not
supplant existing expenditures and may not be counted as the district
contribution for physical plant projects and instructional material
purchases funded in Item 6870-101-0001 of Section 2.00 of the annual
Budget Act.
(f) The appropriations made under subdivision (c) are for the
purpose of discharging in full the minimum state educational funding
obligation to school districts and community college districts
pursuant to Section 8 of Article XVI of the California Constitution
and Chapter 213 of the Statutes of 2004 for the 2004-05 fiscal year,
and the outstanding maintenance factor for the 2005-06 fiscal year
resulting from this additional payment of the Chapter 213 amount for
the 2004-05 fiscal year.
(g) For the purposes of making the computations required by
Section 8 of Article XVI of the California Constitution, including
computation of the state's minimum funding obligation to school
districts and community college districts in subsequent fiscal years,
the first one billion six hundred twenty million nine hundred
twenty-eight thousand dollars ($1,620,928,000) in appropriations made
pursuant to subdivision (c) shall be deemed to be "General Fund
revenues appropriated for school districts," as defined in
subdivision (c) of Section 41202 and "General Fund Revenues
appropriated for community college districts," as defined in
subdivision (d) of Section 41202, for the 2004-05 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 that fiscal year. The remaining
appropriations made pursuant to subdivision (c) shall be deemed to be
"General Fund revenues appropriated for school districts," as
defined in subdivision (c) of Section 41202 and "General Fund
revenues appropriated for community college districts," as defined in
subdivision (d) of Section 41202, for the 2005-06 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 that fiscal year.
(h) From funds appropriated under subdivision (c), the
Superintendent shall provide both of the following:
(1) Not more than two million dollars ($2,000,000) annually to
county superintendents of schools to carry out the requirements of
this article, allocated in a manner similar to that created to carry
out the new duties of those superintendents under the settlement
agreement in the case of Williams v. California (Super. Ct. San
Francisco, No. CGC-00-312236).
(2) Five million dollars ($5,000,000) in the 2007-08 fiscal year
to support regional assistance under Section 52055.730. It is the
intent of the Legislature that the Superintendent and the secretary,
along with county offices of education, seek foundational and other
financial support to sustain and expand these services. Funds
provided under this paragraph that are not expended in the 2007-08
fiscal year shall be reappropriated for use in subsequent fiscal
years for the same purpose.
(i) Notwithstanding any other provision of law, funds appropriated
under subdivision (c) but not allocated to schools with kindergarten
or grades 1 to 12, inclusive, in a fiscal year, due to program
termination in any year or otherwise, shall be available for
reappropriation only in furtherance of the purposes of this article.
First priority for those amounts shall be to provide cost-of-living
increases and enrollment growth adjustments to funded schools.
(j) The sum of three hundred fifty thousand dollars ($350,000) is
hereby appropriated from the General Fund to the State Department of
Education to fund 3.0 positions to implement this article. Funding
provided under this subdivision is not part of funds provided
pursuant to subdivision (c).
SEC. 5. Section 927.2 of the Government
Code is amended to read:
927.2. The following definitions apply to this chapter:
(a) "Claim schedule" means a schedule of invoices prepared and
submitted by a state agency to the Controller for payment to the
named claimant.
(b) "Grant" means a signed final agreement between any state
agency and a local government agency or organization authorized to
accept grant funding for victim services or prevention programs
administered by any state agency. Any such grant is a contract and
subject to this chapter.
(c) "Invoice" means a bill or claim that requests payment on a
contract under which a state agency acquires property or services or
pursuant to a signed final grant agreement.
(d) "Medi-Cal program" means the program established pursuant to
Chapter 7 (commencing with Section 14000) of Part 3 of Division 9 of
the Welfare and Institutions Code.
(e) "Nonprofit public benefit corporation" means a corporation, as
defined by subdivision (b) of Section 5046 of the Corporations Code,
that has registered with the Department of General Services as a
small business.
(f) "Nonprofit service organization" means a nonprofit entity that
is organized to provide services to the public.
(g) "Payment" means the issuance of a warrant or a registered
warrant by the Controller, or the issuance of a revolving fund check
by a state agency, to a claimant in the amount of an undisputed
invoice.
(g)
(h) "Reasonable cause" means a determination by a state
agency that any of the following conditions are present:
(1) There is a discrepancy between the invoice or claimed amount
and the provisions of the contract or grant.
(2) There is a discrepancy between the invoice or claimed amount
and either the claimant's actual delivery of property or services to
the state or the state's acceptance of those deliveries.
(3) Additional evidence supporting the validity of the invoice or
claimed amount is required to be provided to the state agency by the
claimant.
(4) The invoice has been improperly executed or needs to be
corrected by the claimant.
(5) The state agency making the determination or the claimant
involved has been subject to a computing or accounting failure
related to the Year 2000 Problem.
(h)
(i) "Received by a state agency" means the date an
invoice is delivered to the state location or party specified in the
contract or grant or, if a state location or party is not specified
in the contract or grant, wherever otherwise specified by the state
agency.
(i)
(j) "Required payment approval date" means the date on
which payment is due as specified in a contract or grant or, if a
specific date is not established by the contract or grant, 30
calendar days following the date upon which an undisputed invoice is
received by a state agency.
(j)
(k) "Revolving fund" means a fund established pursuant
to Article 5 (commencing with Section 16400) of Division 4 of Title
2.
(k)
(l) "Small business" means a business certified as a
"small business" in accordance with subdivision (d) of Section 14837.
(l)
(m) "Small business" and "nonprofit organization" mean,
in reference to providers under the Medi-Cal program, a business or
organization that meets all of the following criteria:
(1) The principal office is located in California.
(2) The officers, if any, are domiciled in California.
(3) If a small business, it is independently owned and operated.
(4) The business or organization is not dominant in its field of
operation.
(5) Together with any affiliates, the business or organization has
gross receipts from business operations that do not exceed three
million dollars ($3,000,000) per year, except that the Director of
Health Services may increase this amount if the director deems that
this action would be in furtherance of the intent of this chapter.
(m)
(n) "Year 2000 Problem" has the same meaning as that
set forth in subdivision (a) of Section 3269 of the Civil Code.
SEC. 6. Section 927.4 of the Government
Code is amended to read:
927.4. Except as otherwise provided in this chapter, to avoid
late payment penalties, the maximum time from state agency receipt of
an undisputed invoice to issuance of a warrant for
the date of payment is 45 calendar days
, including not more than 30 calendar days from the state agency to
submit a correct claim schedule to the Controller, and not more than
15 calendar days for the Controller to issue the warrant
. If payment is not issued within 45 calendar days from the
state agency receipt of an undisputed invoice, late
payment penalties shall be paid to the claimant in accordance with
Sections 927.6 and 927.7 .
SEC. 7. Section 927.6 of the Government
Code is amended to read:
927.6. (a) State agencies shall pay applicable penalties, without
requiring that the claimant submit an additional invoice for these
amounts, whenever the state agency fails to submit a correct claim
schedule to the Controller by the required payment approval date
and payment is not issued within 45 calendar days from the state
agency receipt of an undisputed invoice . The penalty shall
cease to accrue on the date the state agency submits the claim
schedule to the Controller for payment, and shall be paid for out of
the state agency's funds. If the claimant is a certified small
business, a nonprofit organization, a nonprofit public benefit
corporation, or a small business or nonprofit organization that
provides services or equipment under the Medi-Cal program, the state
agency shall pay to the claimant a penalty of one-quarter of 1
percent of the amount due, per calendar day, from the required
payment date. However, a nonprofit organization shall only be
eligible to receive a penalty payment if it has been awarded a
contract or grant in an amount less than five hundred thousand
dollars ($500,000).
(b) For all other businesses, the state agency shall pay a penalty
at a rate of 1 percent above the rate accrued on June 30 of the
prior year by the Pooled Money Investment Account, not to exceed a
rate of 15 percent, except that, if the amount of the penalty is
seventy-five dollars ($75) or less, the penalty shall be waived and
not paid by the state agency. On an exception basis, state agencies
may avoid payment of penalties, for failure to submit a correct claim
schedule to the Controller by the required payment approval date, by
paying the claimant directly, from the state agency's revolving fund
within 45 calendar days following the date upon which an undisputed
invoice is received by the state agency.
SEC. 8. Section 927.7 of the Government
Code is amended to read:
927.7. The Controller shall pay claimants within 15 calendar days
of receipt of a correct claim schedule from the state agency. If the
Controller fails to make payment within 15 calendar days of receipt
of the claim schedule from a state agency , and payment is not
issued within 45 calendar days from state agency receipt of an
undisputed invoice , the Controller shall pay applicable
penalties to the claimant without requiring that the claimant submit
an invoice for these amounts. Penalties shall cease to accrue on the
date full payment is made, and shall be paid for out of the
Controller's funds. If the claimant is a certified small business, a
nonprofit organization, a nonprofit public benefit corporation, or a
small business or nonprofit organization that provides services or
equipment under the Medi-Cal program, the Controller shall pay to the
claimant a penalty of one-quarter of 1 percent of the amount due,
per calendar day, from the 16th calendar day following receipt of the
claim schedule from the state agency. However, a nonprofit
organization shall only be eligible to receive a penalty payment if
it has been awarded a contract or grant in an amount less than five
hundred thousand dollars ($500,000). For all other businesses, the
Controller shall pay penalties at a rate of 1 percent above the rate
accrued on June 30 of the prior year by the Pooled Money Investment
Account, not to exceed a rate of 15 percent, except that, if the
amount of the penalty is seventy-five dollars ($75) or less, the
penalty shall be waived and not paid by the Controller.
SEC. 9. Section 927.11 of the
Government Code is amended to read:
927.11. (a) Except in the case of a contract with a certified
small business, a nonprofit organization, or a nonprofit public
benefit corporation, if an invoice from a business under a contract
with the Department of Forestry and Fire Protection would become
subject to late payment penalties during the annually declared fire
season, as declared by the Director of Forestry and Fire Protection,
then the required payment
approval date shall be extended by 30 calendar days.
(b) No nonprofit public benefit corporation shall be eligible for
a late payment penalty if a state agency fails to make timely payment
because no Budget Act has been enacted.
(c) If the Director of Finance determines that a state agency or
the Controller is unable to promptly pay an invoice as provided for
by this chapter due to a major calamity, disaster, or criminal act,
then otherwise applicable late payment penalty provisions contained
in Section Sections 927.6 and 927.7
shall be suspended except as they apply to a claimant that is either
a certified small business, a nonprofit organization, a nonprofit
public benefit corporation, or a small business or nonprofit
organization that provides services or equipment under the Medi-Cal
program. The suspension shall remain in effect until the Director of
Finance determines that the suspended late payment penalty provisions
of this section should be reinstated.
(d) Except as provided in subdivision (b), in the event a state
agency fails to make timely payment because no Budget Act has been
enacted, penalties shall continue to accrue until the time that the
invoice is paid.
SEC. 10. Section 8880.61 of the
Government Code is amended to read:
8880.61. State Lottery Fund
(a) A special fund to be known as the "State Lottery Fund" is
created within the State Treasury which that
is continuously appropriated for carrying out the purposes of
this chapter. The fund shall receive all proceeds from the sales of
lottery tickets or shares, the temporary line of credit for initial
startup costs, and all other moneys credited to the Lottery from any
other source. The Treasurer shall designate a depository to receive
lottery proceeds for transmission to the State Treasury and for
deposit in the State Lottery Fund.
(b) Except as provided by this chapter, moneys in the General Fund
or any other state fund shall not be transferred to the State
Lottery Fund or otherwise used to support the California State
Lottery or the Lottery Commission , or to pay the debts,
obligations, or encumbrances of the State Lottery Fund or the
Commission.
(c) (1) Notwithstanding any
other provision of law, the Controller may use the
moneys in the State Lottery Fund for loans to the General Fund as
provided in Sections 16310 and 16381. Interest shall be paid on all
moneys loaned to the General Fund from the State Lottery Fund.
Interest payable shall be computed at a rate of 110 percent of the
Pooled Money Investment Account rate, with the interest accruing on
the date the loan is made from the State Lottery Fund to the General
Fund. This subdivision does not authorize any transfer that will
interfere with the carrying out of the object for which the State
Lottery Fund was created.
(2) This subdivision shall remain in effect only until September
30, 2009.
SEC. 11. Section 13311.1 is added to the
Government Code , to read:
13311.1. (a) Notwithstanding any other provision of law,
including, but not limited to, Section 13311, in order to achieve
effective management of state cash resources, the Director of
Finance, may defer payments of General Fund moneys in July through
September of 2009, in an amount not to exceed seven hundred fifty
million dollars ($750,000,000), appropriated to the University of
California in the 2009 Budget Act.
(b) Of the amount deferred pursuant to subdivision (a), the
payment of two hundred fifty million dollars ($250,000,000) shall be
made in October 2009. The payment of the remaining amount deferred
pursuant to subdivision (a) shall occur no earlier than April 2010
and at the earlier of (1) the day after all outstanding revenue
anticipation notes issued by the state in 2009-10 have been repaid,
as determined by the Director of Finance, or (2) June 30, 2010.
(c) Notwithstanding any other provision of law, in order to
achieve effective management of state cash resources, the Director of
Finance may defer payments of General Fund moneys in July 2009, in
an amount not to exceed two hundred ninety million dollars
($290,000,000) appropriated to the California State University in the
2009 Budget Act.
(d) The payment of the amount deferred pursuant to subdivision (c)
shall be made in October 2009.
SEC. 12. Section 13943.1 of the
Government Code is amended to read:
13943.1. (a) Except as provided in subdivision (b), a discharge
granted pursuant to this chapter to a state agency or employee does
not release any person from the payment of any tax, license, fee, or
other money that is due and owing to the state.
(b) A discharge granted pursuant to this chapter to the Franchise
Tax Board shall release a person from a liability for the payment of
any tax, fee, or other liability deemed uncollectible that is due and
owing to the state and extinguish that liability, if at least one of
the following conditions is met:
(1) The liability is for an amount less than two hundred
and fifty dollars ($250) five hundred
dollars ($500) .
(2) The liable person has been deceased for more than four years
and there is no active probate with respect to that person.
(3) The Franchise Tax Board has determined that the liable person
has a permanent financial hardship.
(4) The liability has been unpaid for more than 30 years.
SEC. 13. Section 13943.2 of the
Government Code is amended to read:
13943.2. Upon authorization of the board, a state agency is not
required to collect taxes, licenses, fees, or money owing to the
state for any reason if the amount to be collected is two
hundred fifty dollars ($250) five hundred dollars
($500) or less. A state agency that seeks this authorization
shall file an application with the board accompanied by a statement
of circumstances. Nothing contained in this section shall be
construed as releasing any person from the payment of any money due
the state.
SEC. 14. Section 16583.1 is added to the
Government Code , to read:
16583.1. A participant may impose a reasonable fee, not to exceed
the actual costs, to recover the participant's collection costs on a
past due account.
SEC. 15. Section 16583.2 is added to the
Government Code , to read:
16583.2. (a) A participant shall submit an annual report to the
Controller of the participant's accounts receivables and discharged
accounts.
(b) The Controller shall inform a participant, not less than 60
days before the annual report is required to be submitted to the
Controller, of both of the following:
(1) The format for the annual report.
(2) The submission date for the annual report.
SEC. 16. Section 7104.2 of the Revenue
and Taxation Code is amended to read:
7104.2. (a) The Transportation Investment Fund (hereafter the
fund) in the State Treasury is hereby continued in existence. All
revenues transferred to the fund pursuant to Article XIX B of the
California Constitution beginning with the 2008-09 fiscal year shall
be available for expenditure as provided in this section.
Notwithstanding Section 13340 of the Government Code or any other
provision of law, moneys in the fund are continuously appropriated
without regard to fiscal years for disbursement in the manner and for
the purposes set forth in this section.
(b) All of the following shall occur on a quarterly basis:
(1) The State Board of Equalization, in consultation with the
Department of Finance, shall estimate the amount that is transferred
to the General Fund under subdivision (b) of Section 7102 that is
attributable to revenue collected for the sale, storage, use, or
other consumption in this state of motor vehicle fuel, as defined in
Section 7304.
(2) The State Board of Equalization shall inform the Controller,
in writing, of the amount estimated under paragraph (1).
(3) Commencing with the 2008-09 fiscal year, the Controller shall
transfer the amount estimated under paragraph (1) from the General
Fund to the fund.
(c) For each quarter, commencing with the 2008-09 fiscal year, the
Controller shall make all of the following transfers and
apportionments from the fund:
(1) To the Public Transportation Account, a trust fund in the
State Transportation Fund, 20 percent of the revenues deposited in
the fund. Funds transferred under this paragraph shall be made
available as follows:
(A) Twenty-five percent for purposes of Section 99315 of the
Public Utilities Code, subject to appropriation by the Legislature.
(B) Thirty-seven and one-half percent to the Controller, for
allocation pursuant to Section 99314 of the Public Utilities Code.
Funds allocated under this subparagraph shall be subject to all of
the provisions governing funds allocated under Section 99314 of the
Public Utilities Code. These funds are continuously appropriated to
the Controller for purposes of this subparagraph.
(C) Thirty-seven and one-half percent to the Controller, for
allocation pursuant to Section 99313 of the Public Utilities Code.
Funds allocated under this subparagraph shall be subject to all of
the provisions governing funds allocated under Section 99313 of the
Public Utilities Code. These funds are continuously appropriated to
the Controller for purposes of this subparagraph.
(D) Notwithstanding subparagraphs (A), (B), and (C), for the
2009-10 to 2012-13 fiscal years, inclusive, all funds transferred
under this paragraph shall be made available only for purposes of
Section 99315 of the Public Utilities Code, subject to appropriation
by the Legislature.
(2) To the Department of Transportation for expenditure for
transportation capital improvement projects subject to all of the
rules governing the State Transportation Improvement Program, 40
percent of the revenues deposited in the fund.
(3) To the Controller for apportionment pursuant to paragraphs (A)
and (B), 40 percent of the revenues deposited in the fund.
(A) Of the amount available under this paragraph, 50 percent shall
be apportioned by the Controller to the counties, including a city
and county, in accordance with the following formulas:
(i) Seventy-five percent of the funds payable under this
subparagraph shall be apportioned among the counties in the
proportion that the number of fee-paid and exempt vehicles that are
registered in the county bears to the number of fee-paid and exempt
vehicles registered in the state.
(ii) Twenty-five percent of the funds payable under this
subparagraph shall be apportioned among the counties in the
proportion that the number of miles of maintained county roads in
each county bears to the total number of miles of maintained county
roads in the state. For the purposes of apportioning funds under this
subparagraph, any roads within the boundaries of a city and county
that are not state highways shall be deemed to be county roads.
(B) Of the amount available under this paragraph, 50 percent shall
be apportioned by the Controller to cities, including a city and
county, in the proportion that the total population of the city bears
to the total population of all the cities in the state.
(d) Funds received under subparagraph (A) or (B) of paragraph (3)
of subdivision (c) shall be deposited as follows in order to avoid
the commingling of those funds with other local funds:
(1) In the case of a city, into the city account that is
designated for the receipt of state funds allocated for
transportation purposes.
(2) In the case of a county, into the county road fund.
(3) In the case of a city and county, into a local account that is
designated for the receipt of state funds allocated for
transportation purposes.
(e) Funds allocated to a city, county, or city and county under
subparagraph (A) or (B) of paragraph (3) of subdivision (c) shall be
used only for street and highway maintenance, rehabilitation,
reconstruction, and storm damage repair. For purposes of this
section, the following terms have the following meanings:
(1) "Maintenance" means either or both of the following:
(A) Patching.
(B) Overlay and sealing.
(2) "Reconstruction" includes any overlay, sealing, or widening of
the roadway, if the widening is necessary to bring the roadway width
to the desirable minimum width consistent with the geometric design
criteria of the department for 3R (reconstruction, resurfacing, and
rehabilitation) projects that are not on a freeway, but does not
include widening for the purpose of increasing the traffic capacity
of a street or highway.
(3) "Storm damage repair" is repair or reconstruction of local
streets and highways and related drainage improvements that have been
damaged due to winter storms and flooding, and construction of
drainage improvements to mitigate future roadway flooding and damage
problems, in those jurisdictions that have been declared disaster
areas by the President of the United States, where the costs of those
repairs are ineligible for emergency funding with Federal Emergency
Relief (ER) funds or Federal Emergency Management Administration
(FEMA) funds.
(f) (1) Cities and counties shall maintain their existing
commitment of local funds for street and highway maintenance,
rehabilitation, reconstruction, and storm damage repair in order to
remain eligible for the allocation of funds pursuant to subparagraph
(A) or (B) of paragraph (3) of subdivision (c).
(2) In order to receive any allocation pursuant to subparagraph
(A) or (B) of paragraph (3) of subdivision (c), the city or county
shall annually expend from its general fund for street, road, and
highway purposes an amount not less than the annual average of its
expenditures from its general fund during the 1996-97, 1997-98, and
1998-99 fiscal years, as reported to the Controller pursuant to
Section 2151 of the Streets and Highways Code. For purposes of this
paragraph, in calculating a city's or county's annual general fund
expenditures and its average general fund expenditures for the
1996-97, 1997-98, and 1998-99 fiscal years, any unrestricted funds
that the city or county may expend at its discretion, including
vehicle in-lieu tax revenues and revenues from fines and forfeitures,
expended for street and highway purposes shall be considered
expenditures from the general fund. One-time allocations that have
been expended for street and highway purposes, but which may not be
available on an ongoing basis, including revenue provided under the
Teeter Plan Bond Law of 1994 (Chapter 6.6 (commencing with Section
54773) of Part 1 of Division 2 of Title 5 of the Government Code, may
not be considered when calculating a city's or county's annual
general fund expenditures.
(3) For any city incorporated after July 1, 1996, the Controller
shall calculate an annual average of expenditure for the period
between July 1, 1996, and December 31, 2000, that the city was
incorporated.
(4) For purposes of paragraph (2), the Controller may request
fiscal data from cities and counties in addition to data provided
pursuant to Section 2151, for the 1996-97, 1997-98, and 1998-99
fiscal years. Each city and county shall furnish the data to the
Controller not later than 120 days after receiving the request. The
Controller may withhold payment to cities and counties that do not
comply with the request for information or that provide incomplete
data.
(5) The Controller may perform audits to ensure compliance with
paragraph (2) when deemed necessary. Any city or county that has not
complied with paragraph (2) shall reimburse the state for the funds
it received during that fiscal year. Any funds withheld or returned
as a result of a failure to comply with paragraph (2) shall be
reallocated to the other counties and cities whose expenditures are
in compliance.
(6) If a city or county fails to comply with the requirements of
paragraph (2) in a particular fiscal year, the city or county may
expend during that fiscal year and the following fiscal year a total
amount that is not less than the total amount required to be expended
for those fiscal years for purposes of complying with paragraph (2).
(7) The allocation made under subparagraph (A) or (B) of paragraph
(3) of subdivision (c) shall be expended not later than the end of
the fiscal year following the fiscal year in which the allocation was
made, and any funds not expended within that period shall be
returned to the Controller and shall be reallocated to the other
cities and counties pursuant to the allocation formulas set forth in
subparagraph (A) or (B) of paragraph (3) of subdivision (c).
(g) For the purpose of allocating funds under subparagraph (A) or
(B) of paragraph (3) of subdivision (c) to counties, cities, and a
city and county, the Controller shall use the most recent population
estimates prepared by the Demographic Research Unit of the Department
of Finance. For a city that incorporated after January 1, 2008, that
does not appear on the most recent population estimates prepared by
the Demographic Research Unit, the Controller shall use the
population determined for that city under Section 11005.3.
(h) (1) Notwithstanding any other law, the quarterly
apportionments scheduled to be made in October 2009 and January 2010
pursuant to paragraph (3) of subdivision (c) shall be suspended and
deferred until May 31, 2010.
(2) For the purpose of meeting the cash obligations associated
with ongoing budgeted costs, a city or county may make use of any
cash balance in its city or county road fund, including that
resulting from the receipt of funds pursuant to the Highway Safety,
Traffic Reduction, Air Quality, and Port Security Bond Act of 2006
(Chapter 12.49 (commencing with Section 8879.20) of Division 1 of
Title 2 of the Government Code (hereafter bond act)) for local street
and road maintenance, during the period of this suspension, without
the use of this cash being reflected as an expenditure of bond act
funds, provided the cash is replaced once this suspension is repaid.
Nothing in this paragraph shall change the fact that expenditures
must be accrued and reflected from the appropriate funding sources
for which the moneys were received and meet all requirements of those
funding sources.
SEC. 17. Section 35 of Chapter 757 of the Statutes
of 2008, as amended by Section 23 of the Statutes of 2009, Third
Extraordinary Session, is amended to read:
Sec. 35. (a) The sum of five hundred forty million
dollars ($540,000,000) six hundred fifty-five million
dollars ($655,000,000) is hereby appropriated from the General
Fund to the Board of Governors of the California Community Colleges
for apportionments to community college districts, for expenditure
during the 2009-10 fiscal year, to be expended in accordance with
Schedule (1) of Item 6870-101-0001 of Section 2.00 of the Budget Act
of 2008.
(b) The disbursal of funds appropriated in subdivision (a) shall
be deferred until July of the 2009-10 fiscal year. This appropriation
and deferment represent one hundred fifteen million dollars
($115,000,000) of the January apportionment to community college
districts, one hundred fifteen million dollars ($115,000,000) of the
February apportionment to community college districts, fifty-five
million dollars ($55,000,000) of the March apportionment to community
college districts and fifty-five million dollars ($55,000,000) of
the April apportionment to community college districts,
fifty-seven million five hundred thousand dollars ($57,500,000) of
the April apportionment to community colleges and fifty-seven million
five hundred thousand dollars ($57,500,000) of the May apportionment
to community colleges, and two hundred million dollars
($200,000,000) of the June apportionment to community college
districts.
(c) For the purposes of making the computations required by
Section 8 of Article XVI of the California Constitution, the
appropriation made by subdivision (a) shall be deemed to be "General
Fund revenues appropriated for community college districts," as
defined in subdivision (d) of Section 41202 of the Education Code,
for the 2009-10 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 2009-10 fiscal year.
SEC. 18. Section 39 of Chapter 12 of the Statutes
of 2009, Third Extraordinary Session is amended to read:
Sec. 39. (a) Notwithstanding Sections 84320, 84321, and 84321.5 of
the Education Code and any other law that covers the regulations
adopted by the Chancellor of the California Community Colleges to
disburse funds, two hundred million dollars ($200,000,000) from the
payment of apportionments to districts pursuant to Sections 84320,
84321, and 84321.5 of the Education Code for July 2009, shall be
deferred to October 2009.
(b) Notwithstanding any other law, one billion dollars
($1,000,000,000) from the payment of apportionments pursuant to
Section 14041 of the Education Code for July 2009, to local
educational agencies that maintain kindergarten and any of grades 1
to 12, inclusive, shall be deferred to October
December 2009.
(c) Notwithstanding any other law, one billion five hundred
million dollars ($1,500,000,000) from the payment of apportionments
pursuant to Section 14041 of the Education Code for August 2009, to
local educational agencies that maintain kindergarten or any of
grades 1 to 12, inclusive, shall be deferred to October 2009.
(d) Notwithstanding any other law, one billion dollars
($1,000,000,000) from the payment of apportionments pursuant to
Section 14041 of the Education Code for November 2009, to local
educational agencies that maintain kindergarten and any of grades 1
to 12, inclusive, shall be deferred to January 2010.
(d)
(e) (1) Notwithstanding
subdivisions (b) and (c) , (c), and (d)
and subject to the approval of the Director of Finance, the
Controller shall issue warrants pursuant to Section 14041 of the
Education Code that include the full amount of the apportionment
payments for the months of July and August ,
August, and November for a local educational agency for which
the county superintendent of schools certifies to the Superintendent
of Public Instruction and to the Director of Finance on or before
May 15 July 10 , 2009, that the
deferral of warrants pursuant to subdivisions (b) and (c) will result
in qualifying the local educational agency for an emergency
apportionment pursuant to Article 2 (commencing with Section 41320)
of Chapter 3 of Part 24 of Division 3 of Title 2 of the Education
Code.
(2) In order for a county office of education to receive payments
pursuant to paragraph (1), the Superintendent of Public Instruction
shall determine, and notify the Director of Finance on or before July
10, 2009, that the deferral of warrants pursuant to subdivisions (b)
and (c) will result in the county office of education being unable
to meet its expenditure obligations for the time period during which
warrants are deferred. The criteria, as applicable, set forth in
statute and regulations to qualify a school district for an emergency
apportionment shall be used to make the determination specified in
this section.
(3) In order for a charter school to receive payments pursuant to
paragraph (1), the chartering authority shall determine, in
consultation with the county superintendent of schools, and notify
the Superintendent of Public Instruction and the Director of Finance
on or before July 10, 2009, that the deferral of warrants pursuant to
subdivisions (b) and (c) will result in the charter school being
unable to meet its expenditure obligations for the time period during
which warrants are deferred. The criteria, as applicable, set forth
in statute and regulations to qualify a school district for an
emergency apportionment shall be used to make the determination
specified in this section.
(e)
(f) Notwithstanding subdivision (a) and subject to the
approval of the Director of Finance, the Controller shall issue
warrants pursuant to Sections 84320, 84321, and 84321.5 of the
Education Code that include the full amount of the apportionment
payments for the month of July for a community college for which the
Chancellor of the California Community Colleges determines, in
consultation with the Director of Finance, on or before May
15, 2008 July 10, 2009 , that the deferral of
warrants pursuant to subdivision (a) will present an imminent threat
to the fiscal integrity and security of the community college.
(f)
(g) This section shall apply to payments in the 2009-10
fiscal year only.
SEC. 19. Section 40 of Chapter 12 of the Statutes
of 2009, Third Extraordinary Session is amended to read:
SEC. 40.
Sec. 40. (a) Notwithstanding Sections 84320, 84321, and
84321.5 of the Education Code and any other law that covers the
regulations adopted by the Chancellor of the California Community
Colleges to disburse funds, the payment of apportionments to
districts pursuant to Sections 84320, 84321, and 84321.5 of the
Education Code for the months of January and February, in the amount
of one hundred fifteen million dollars ($115,000,000) for each month,
and the months of March and April, in the amounts of fifty-five
million dollars ($55,000,000) for each month, shall be deferred to
July. The total amount of these payments deferred to the month of
July shall be three hundred forty million dollars ($340,000,000).
(b) Notwithstanding Sections 84320, 84321, and 84321.5 of the
Education Code and any other law that governs the regulations adopted
by the Chancellor of the California Community Colleges to disburse
funds, the payment
of apportionments to districts pursuant to Sections 84320,
84321, and 84321.5 of the Education Code for the months of April and
May, in the amounts of fifty-seven million five hundred thousand
dollars ($57,500,000) for each month, shall be deferred to July. The
total amount of these payments deferred to the month of July shall be
one hundred fifteen million dollars ($115,000,000).
(b)
(c) This section is retroactively operative commencing
with the 2008-09 fiscal year.
SEC. 20. Section 41 of Chapter 12 of the Statutes
of 2009, Third Extraordinary Session is amended to read:
Sec. 41. (a) The sum of five hundred forty million
dollars ($540,000,000) six hundred fifty-five million
dollars ($655,000,000) is hereby appropriated from the General
Fund to the Board of Governors of the California Community Colleges
for apportionments to community college districts, for expenditure
during the 2010-11 fiscal year, to be expended in accordance with
Schedule (1) of Item 6870-101-0001 of Section 2.00 of the Budget Act
of 2009.
(b) The disbursal of funds appropriated in subdivision (a) shall
be deferred until July of the 2010-11 fiscal year. This appropriation
and deferment represent one hundred fifteen million dollars
($115,000,000) of the January apportionment to community college
districts, one hundred fifteen million dollars ($115,000,000) of the
February apportionment to community college districts, fifty-five
million dollars ($55,000,000) of the March apportionment to community
college districts and fifty-five million dollars ($55,000,000) of
the April apportionment to community college districts,
fifty-seven million five hundred thousand dollars ($57,500,000) of
the April ap portionment to community college districts
and fifty-seven million five hundred thousand dollars ($57,500,000)
of the May apportionment to community college districts , and
two hundred million dollars ($200,000,000) of the June apportionment
to community college districts.
(c) For the purposes of making the computations required by
Section 8 of Article XVI of the California Constitution, the
appropriation made by subdivision (a) shall be deemed to be "General
Fund revenues appropriated for community college districts," as
defined in subdivision (d) of Section 41202 of the Education Code,
for the 2010-11 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 2010-11 fiscal year.
SEC. 21. The Legislature finds and declares that
Section 10 of this act furthers the purpose of the California State
Lottery Act of 1984, enacted by Proposition 37 at the November 6,
1984, statewide general election.
SEC. 22. This act is an urgency statute necessary
for the immediate preservation of the public peace, health, or safety
within the meaning of Article IV of the Constitution and shall go
into immediate effect. The facts constituting the necessity are:
In order to ensure that the state may meet its financial
obligations and avoid a fiscal crisis, it is necessary that this act
take effect immediately.
SECTION 1. It is the intent of the Legislature
to enact statutory changes relating to the Budget Act of 2009.
