BILL NUMBER: AB 806	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 11, 2013

INTRODUCED BY   Assembly Member Wilk

                        FEBRUARY 21, 2013

   An act to amend Section 84362 of, and to add Section 84363 to, the
Education Code, relating to community colleges.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 806, as amended, Wilk. Community colleges: salaries of
classroom instructors.
   Existing law establishes the California Community Colleges, under
the administration of the Board of Governors of the California
Community Colleges, as one of the segments of public postsecondary
education in this state. Existing law establishes community college
districts throughout the state, and authorizes these districts to
provide instruction at community college campuses. Existing law
requires that 50% of each district's current expense of education, as
defined, be expended for payment of salaries of classroom
instructors, as defined. Existing law requires the governing board of
each district to provide for an internal audit in accordance with
regulations of the board of governors.
   This bill would define "salaries of classroom  instructors"
  instructors," commencing with the 2014-15 fiscal
year,  to include  the salaries of counselors, as
defines   , by reference to the Budget and Accounting
Manual for California Community Colleges, academic salaries, as
defined, including the salaries of counselors; instructional aide
salaries, as defined; and the health and welfare benefits paid to
specified personnel  .  This bill would require that,
commencing with the 2014-15 fiscal year, 52% of each district's
current expense of education be expended for payment of salaries of
classroom instructors.  The bill would also authorize the
board of governors  , commencing with the   2014-15
fiscal year,  to establish a committee to review the auditing
procedures in order to ensure compliance with the requirement that
 52%   50%  of each district's current
expense of education be paid for the salaries of classroom
instructors.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


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

  SECTION 1.  Section 84362 of the Education Code is amended to read:

   84362.  (a) As used in this section, "salaries of classroom
instructors" means:  expenditures included in
object-of-expenditure classification 1000 for academic salaries,
expenditures included in object-of-expenditure classifications 2200
and 2400 for classified salaries paid to each instructional aide
employed   by the district where any portion of their duties
are required to be performed under the supervision of an instructor,
and the health and welfare benefits provided to personnel identified
in object-of-expenditure classifications 1000, 2200, and 2400, of
the Budget and Accounting Manual for California Community Colleges,
except for educational administrators salaries and benefits as
defined in subdivision   (b).  
   (1) The salary paid to each instructor or counselor employed by
the district whose duties require that the full time for which the
instructor or counselor is employed be devoted to the instruction of
students of the district or to the provision of counseling services
for the students of the district.  
   (2) The portion of the salary of each instructor or counselor
whose duties require that a part, but not all, of the full time for
which the instructor or counselor is employed be devoted to the
instruction of students of the district or to the provision of
counseling services for the students of the district, which is equal
to the portion of the full time actually devoted by the instructor or
counselor to teaching or to the provision of counseling services to
the students of the district.  
   (3) The salary paid to each instructional aide employed by the
district, any portion of whose duties are required to be performed
under the supervision of an instructor. However, the cost of all
health and welfare benefits provided to the instructors by the
community college district shall be included within the meaning of
"salaries of classroom instructors." 
   (b) As used in this section, the following terms have the
following meanings: 
   (1) "Administrator" means any employee in a position having
significant responsibilities for formulating district policies or
administering district programs; and "supervisor" means any employee
having authority, on behalf of the district, to hire, transfer,
suspend, lay off, recall, promote, discharge, assign, reward,
discipline other employees, adjust their grievances, or effectively
recommend that action, if the exercise of the authority is not of a
merely routine or clerical nature.  
   (2) "Counselor" means an employee of the district employed in a
position requiring the minimum qualifications of a counselor.
 
   (3) "Instructor" means an employee of the district employed in a
position requiring minimum qualifications and whose duties require
him or her to teach students of the district for at least one full
instructional period each schoolday for which the employee is
employed. An instructional period is the number of minutes equal to
the number of minutes of the regular academic period in the community
college in which the instructor is employed.  
   (1) "Academic salaries" means expenditures for salaries of
employees in academic positions that require minimum qualifications
established by the board of governors.  
   (2) "Educational administrators salaries and benefits" means
expenditures for salaries and health and welfare benefits of
administrators who are employed in an academic position designated by
the governing board of the district as having direct responsibility
for supervising the operation of or formulating policy regarding the
instructional or student services program of the college or district.
Educational administrators include, but are not limited to,
chancellors, presidents, and other supervisory or management
employees designated by the governing board as educational
administrators.  
   (3) "Instructional aide salaries" means expenditures for salaries
of classified employees where any portion of their duties is required
to be performed under the supervision of an academic employee
providing classroom instruction. 
   (c) As used in this section, "current expense of education" means
the gross total expended (not reduced by estimated income or
estimated federal and state apportionments) for the purposes
classified in the final budget of a district (except one which,
during the preceding fiscal year, had less than 101 units of
full-time equivalent students) for academic salaries other than
academic salaries for student transportation, food services, and
community services; classified salaries other than classified
salaries for student transportation, food services, and community
services; employee benefits other than employee benefits for student
transportation personnel, food services personnel, and community
services personnel; books, supplies, and equipment replacement other
than for student transportation and food services; and community
services, contracted services, and other operating expenses other
than for student transportation, food services, and community
services. "Current expense of education," for purposes of this
section, shall not include those expenditures classified as sites,
buildings, books, and media and new equipment (object-of-expenditure
classification 6000 of the Budget and Accounting Manual for
California Community Colleges), the amount expended from categorical
aid received from the federal or state government which funds were
granted for expenditures in a program not incurring any instructor
salary expenditures or requiring disbursement of the funds without
regard to the requirements of this section, or expenditures for
facility acquisition and construction; and shall not include the
amount expended pursuant to any lease agreement for plant and
equipment or the amount expended from funds received from the federal
government pursuant to the "Economic Opportunity Act of 1964" or any
extension of that act of Congress or the amount expended by a
community college from state or federal funds received by the
community college for grants to community college students or for the
employment of community college students.
   (d)  Commencing with the 2014-15 fiscal year, there
  There  shall be expended during each fiscal year
for payment of salaries of classroom instructors by a community
college district,  52   50  percent of the
district's current expense of education.  For the purposes of
implementing this subdivision, all expenditures included in
object-of-expenditure classification 1000, pursuant to the Budget and
Accounting Manual for California Community Colleges, shall be
included in the numerator, except as follows:  
   (1) Salaries of educational administrators as defined in Section
87002.  
   (2) Prorated salaries of administrators for teaching instruction
as part of their regular workload.  
   (3) Salaries of instructors on sabbatical leave. 
   (e) If the board of governors determines that a district has not
expended the applicable percentage of current expense of education
for the payment of salaries of classroom instructors during the
preceding fiscal year, the board shall, in apportionments made to the
district from the State School Fund after April 15 of the current
fiscal year, designate an amount of the apportionment or
apportionments equal to the apparent deficiency in district
expenditures. Any amount so designated by the board of governors
shall be deposited in the county treasury to the credit of the
community college district, but shall be unavailable for expenditure
by the district pending the determination to be made by the board of
governors on any application for exemption which may be submitted to
the board of governors. In the event it appears to the governing
board of a community college district that the application of the
preceding subdivisions during a fiscal year results in serious
hardship to the district, or in the payment of salaries of classroom
instructors in excess of the salaries of classroom instructors paid
by other districts of comparable type and functioning under
comparable conditions, the governing board may apply to the board of
governors, in writing, not later than September 15 of the immediately
succeeding fiscal year for exemption from the requirements of this
section.
   (f) Immediately upon applying for the exemption described in
subdivision (e), the governing board shall provide the exclusive
representative of the district's academic employees or, if none
exists, the district or college academic senate, and all academic
employee organizations eligible for payroll dues deduction, with a
copy of the application. The exclusive representative, or the
district or college academic senate, and all academic employee
organizations eligible for payroll dues deduction, within 30 days of
its receipt of the application, may transmit to the board of
governors a written statement opposing the application, setting forth
reasons for its opposition.
   (g) Upon receipt of the application described in subdivision (f),
duly approved, and of the statement of opposition, if any, the board
of governors shall grant the district exemption for any amount that
is less than one thousand dollars ($1,000). If the amount is one
thousand dollars ($1,000) or more, the board of governors may grant
the district exemption from the requirement for the fiscal year for
which the application is made if a majority of all the members of the
board of governors finds, in writing, that the district will in fact
suffer serious hardship or will have to pay salaries of classroom
instructors in excess of those paid by other districts of comparable
type and functioning under comparable conditions unless the district
is granted an exemption. If the exemption is granted, the designated
moneys shall be immediately available for expenditure by the
community college district governing board. If no application for
exemption is made or exemption is denied, the board of governors
shall order the designated amount or amount not exempted to be added
to the amounts to be expended for salaries of classroom instructors
during the next fiscal year.
   (h) The board of governors shall enforce the requirements
prescribed by this section, and may adopt necessary rules and
regulations to that end. It may require the submission during the
college year, by community college district governing boards and
county superintendents of schools, of the reports and information as
may be necessary to carry out this section.
   (i) The board of governors, no later than the 10th calendar day of
each year of the Legislature, shall submit to the Legislature a
written report on the operation, effect, and the extent of compliance
with this section by community college districts in the state during
the two most recently ended fiscal years. The report shall describe
the activities of the board of governors and the chancellor's office,
undertaken to ensure compliance with this section, and may contain
recommendations for legislation pertaining to that subject.
  SEC. 2.  Section 84363 is added to the Education Code, to read:
   84363.  (a) The board of governors may establish a committee to
review the auditing procedures adopted pursuant to Article 2
(commencing with Section 84030) to develop ways to ensure compliance
with the requirement of subdivision (d) of Section 84362 
that, commencing with the 2014-15 fiscal year, 52  that
50  percent of each district's current expense of education be
paid for the salaries of classroom instructors. The membership of the
committee shall be as follows:
   (1) The Chancellor of the California Community Colleges.
   (2) One certified public accountant, to be selected by the board,
who is licensed by the California Board of Accountants and has
prepared an annual audit pursuant to subdivision (b) of Section
84040.
   (3) One exclusive representative of classified employees of a
district, to be selected by the board.
   (4) One district administrator, to be selected by the board.
   (b) The committee shall review local district auditing procedures
and recommend to the board any changes to the procedures published in
the California Community Colleges Budget and Accounting Manual that
may be necessary to achieve the current expense of education
requirements contained in subdivision (d) of Section 84362.
   SEC. 3.    Sections 1 and 2 of this act shall become
operative on July 1, 2014.