Bill Text: CA SB64 | 2009-2010 | Regular Session | Amended


Bill Title: Budget Act of 2009.

Spectrum: Unknown

Status: (Engrossed - Dead) 2010-01-19 - Stricken from Senate file. [SB64 Detail]

Download: California-2009-SB64-Amended.html
BILL NUMBER: SB 64	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 2550, 2558.46, 17070.766, 42238.146, 42605,
44259, 45023.1, 45023.4, 46010.2, and 52124.3 of, to amend, repeal,
and add Section 17587 of, and to add and repeal Section 52055.60 of,
the   Education Code, to amend Sections 7906 and 8880.5 of
the Government Code, to amend Items 6110-488, 6440-001-0001,
6610-001-0001, and 6870-101-0001 of Section 2.00 of, and to amend
Section 12.42 of, the Budget Act of 2008 (Chapters 268 and 269 of the
Statutes of 2008), and to amend Section 42 of Chapter 12 of the
Statutes of 2009, relating to education finance, making an
appropriation therefor, and declaring the urgency thereof, to take
effect immediately. 



	LEGISLATIVE COUNSEL'S DIGEST


   SB 64, as amended, Committee on Budget and Fiscal Review. Budget
Act of 2009. 
   (1) Existing law requires a revenue limit to be calculated for
each county superintendent of schools, adjusted for various factors,
and reduced, as specified. Existing law reduces the revenue limit for
each county superintendent of schools for the 2008-09 fiscal year by
a deficit factor of 7.839%.  
   This bill would increase the deficit factor for each county
superintendent of schools for the 2008-09 fiscal year to 11.183%.
 
   (2) The Leroy F. Greene School Facilities Act of 1998 requires the
State Allocation Board to require school districts applying for
funds under that act to deposit, into a specified account for ongoing
and major maintenance of school buildings, an amount equal to or
greater than 3% of the total general fund expenditures of the
applicant school district. Existing law, for the 2008-09 to the
2012-13 fiscal years, inclusive, reduces that deposit requirement to
an amount equal to or greater than 1% of the total general fund
expenditures of the applicant school district.  
   This bill would exempt a school district that maintains its
facilities in good repair, as defined, from this 1% requirement.
 
   (3) Existing law requires the county superintendent of schools to
determine a revenue limit for each school district in the county and
requires the amount of the revenue limit to be adjusted for various
factors. Existing law reduces the revenue limit for each school
district for the 2008-09 fiscal year by a deficit factor of 7.844%
and for the 2009-10 fiscal year by a deficit factor of 13.094%. 

   This bill would instead reduce the revenue limit for each school
district for the 2008-09 fiscal year by a deficit factor of 11.187%
and for the 2009-10 fiscal year by a deficit factor of 17.048%. The
bill would set forth a mechanism by which basic aid school districts
would assume categorical funding reductions proportionate to the
revenue limit reductions implemented for nonbasic aid school
districts.  
   (4) Existing law establishes various categorical education
programs and appropriates the funding for those programs in the
annual Budget Act. Existing law requires the Superintendent of Public
Instruction, for the 2008-09 to 2012-13 fiscal years, inclusive, to
apportion from the amount provided in the annual Budget Act for
specified categorical education programs an amount based on the same
relative proportion that the local educational agency received in the
2008-09 fiscal year for those programs and authorizes school
districts, for those fiscal years, to use these funds, with specified
exceptions, for any educational purpose, to the extent permitted by
federal law. Existing law, for those fiscal years, deems local
educational agencies that use the authority to use these categorical
education program funds for any educational purpose to be in
compliance with the program and funding requirements of those
categorical education programs, including requirements related to
average daily attendance accounting.  
   This bill would base the amount to be received from certain
categorical education program budget items to be based on the same
relative proportion that the recipient received in the 2007-08 fiscal
year for those programs, instead of the 2008-09 fiscal year. The
bill would require, for the 2008-09 to 2012-13 fiscal years,
inclusive, and for certain calculations that use average daily
attendance, that the average daily attendance for specified programs
be the same amount used in those calculations for the 2007-08 fiscal
year. The bill would declare that changes to these calculations in
the California State Lottery Act, an initiative measure, further the
purposes of that act, and therefore may be made by an act enacted by
a 2/3 vote of both houses of the Legislature.  
   Existing law requires a school district that receives funding on
behalf of a charter school to continue to distribute those funds to
those charter schools based on the amounts distributed in the 2008-09
fiscal year and to adjust those amounts, as specified.  
   This bill would clarify that a school district that receives
funding on behalf of a charter school is prohibited from redirecting
that funding for another purpose, except as specified, and would
require the school district to continue to distribute those funds to
those charter schools based on the relative proportion that the
school district distributed in the 2007-08 fiscal year. The bill
would require the Superintendent to apportion from the amount
appropriated for the charter school categorical block grant in
accordance with the per pupil methodology prescribed by a specified
provision of law.  
   Existing law, as a condition of receiving the categorical
education program funds that may be used for any educational purpose,
requires school districts and county offices of education, at a
regularly scheduled, open, public hearing, to take testimony from the
public, discuss, and approve or disapprove the proposed use of
funding. Existing law, as a condition of transferring those funds to
their general funds, requires school districts and county offices of
education, at a regularly scheduled, open, public hearing, to take
testimony from the public, discuss, and approve or disapprove each
transfer and the proposed use of funding, and to report to the State
Department of Education, in the existing annual Standardized
Accounting System reporting process, the amounts transferred by using
the appropriate program code for which the funds were expended. The
department is required to collect and provide this information to the
appropriate legislative policy and budget committees and the
Department of Finance by February 28, 2010.  
   This bill would delete the meeting requirement that is a condition
of transferring categorical education program funds to the general
fund of a school district or county office of education. The bill
would add to the requirement that is a condition of the receipt of
categorical education program funds that may be used for any
educational purpose, that the governing board make explicit the
purposes for which the funds would be used. The bill would require a
local educational agency to report expenditures by using the
appropriate function codes of the Standardized Accounting System
reporting process to indicate the activities for which these funds
were expended. The bill would require the department to collect and
provide this information to the appropriate legislative policy and
budget committees and the Department of Finance by April 15, 2010,
and annually thereafter, until 2014.  
   (5) Existing law sets forth the minimum requirements for the
professional clear multiple or single subject teacher credential.
Among those requirements is the completion of a program of beginning
teacher induction. This requirement is contingent on the availability
of funds in the annual Budget Act to provide statewide access to
eligible beginning teachers.  
   This bill would remove the contingency of this requirement on the
availability of funds.  
   (6) Existing law requires the categorical block grant for charter
schools for the 2007-08 school year to be $500 per unit of charter
school average daily attendance, as determined at the 2nd principal
apportionment for the 2007-08 fiscal year, to be adjusted for
cost-of-living each fiscal year thereafter, and to be supplemented,
as specified, for economic impact aid-eligible pupils.  
   This bill would appropriate $8,267,000 from the General Fund to
the State Department of Education for the charter school categorical
block grant for the purpose of funding the economic impact aid
supplement for the 2008-09 fiscal year.  
   (7) The federal No Child Left Behind Act of 2001 requires a local
educational agency to identify an elementary or secondary school that
fails, for 2 consecutive years, to make adequate yearly progress, as
defined by the state, for program improvement. The act requires a
school that continues to fail to make adequate yearly progress after
being identified for program improvement to take additional
corrective action or meet specified restructuring requirements. The
Public Schools Accountability Act of 1999 requires the State
Department of Education to identify local educational agencies that
are in danger of being identified for program improvement pursuant to
the No Child Left Behind Act, and to notify those local educational
agencies, in writing, of that status. The department also is required
to provide those agencies with research-based criteria to conduct a
voluntary self-assessment.  
   This bill, for the 2008-09 to 2012-13 fiscal years, inclusive,
would prohibit a school, school district, county office of education,
or charter school that has been identified for program improvement
or corrective action under the federal No Child Left Behind Act of
2001 from being required to implement program requirements set forth
in the Mathematics and Reading Professional Development Program or
the Administrator Training Program. The bill would prohibit the State
Department of Education and the State Board of Education from
prohibiting these schools, school districts, county offices of
education, and charter schools from utilizing certain categorical
program flexibility provisions of law.  
   (8) Existing law establishes the Class Size Reduction Program
under which a participating school district or county office of
education reduces class size to 20 pupils per class in kindergarten
and grades 1 to 3, inclusive. Existing law provides that a local
educational agency is eligible to receive program funding only if it
was participating in the program as of December 10, 2008 and only for
the grade level or levels for which it had applied to receive
funding as of that date.  
   This bill would provide instead that, for the 2008-09, 2009-10,
2010-11 and 2011-12 fiscal years, that a local educational agency is
eligible to receive program funding for the same number of classes
for which it had applied to receive program funding as of January 1,
2009, and only for the number of classes reported on the 2008-09
operations application.  
   (9) Existing law establishes the Instructional Materials Funding
Realignment Program that requires the State Department of Education
to apportion funds to school districts and requires the governing
board of a school district to use that funding to ensure that each
pupil is provided with a standards-aligned textbook or basic
instructional materials by the beginning of the first school term
that commences no later than 24-months after those materials were
adopted by the State Board of Education, except as specified.
Existing law exempts, until July 1, 2010, school districts from the
24-month requirement.  
   This bill would provide that the State Department of Education and
the State Board of Education are prohibited from prohibiting a
school, school district, county office of education, or charter
school that has been identified for program improvement or corrective
action under the federal No Child Left Behind Act of 2001 from
implementing the exemption.  
   (10) The Budget Act of 2008 appropriates General Funds to the
State Department of Education for implementation of the High Priority
Schools Grant Program.  
   This bill would reduce that appropriation by $107,909,000. 

   (11) This bill would reappropriate to the State Department of
Education for the 2008-09 fiscal year prescribed amounts or the
unexpended balance of specified appropriations made in specified
prior Budget Acts to the Department of Corrections and Rehabilitation
for juvenile education.  
   (12) The Budget Act of 2008 appropriates from the General Fund
$2,995,520,000 for the support of the University of California,
$2,910,596,000 for the support of California State University, and
$3,649,230,000 to the Board of Governors of the California Community
Colleges.  
   This bill would reduce those appropriations, as specified. 

   (13) Existing law authorizes the governing board of a school
district to establish a district deferred maintenance fund for
specified maintenance purposes. The State Allocation Board is
required to apportion from the State School Deferred Maintenance
Fund, to school district an amount equal to $1 for each $1 of local
funds up to a specified maximum. To be eligible to receive the state
matching funds a school district is required to deposit in its
district deferred maintenance fund a specified amount. Existing law
authorizes the State Allocation Board to reserve funds in the State
School Deferred Maintenance Fund for apportionments to school
districts in instances of extreme hardship, as defined.  
   This bill would suspend for the 2008-09 to 2012-13 fiscal years,
inclusive, the requirement that a school district deposit the
required amount in its district deferred maintenance fund and also
suspend the board's authority to reserve funds for apportionments to
school districts in instances of extreme hardship.  
   (14) Existing law, for the 2008-09 and 2009-10 fiscal years,
authorizes the governing board of a school district or county office
of education to use up to 100 percent of the balances, as of June 30,
2008, of restricted accounts in its general fund or cafeteria fund
with certain exclusion, including, among others restricted reserves
committed for capital outlay, and excluding balances in specified
categorical education programs, including, among others the Targeted
Instructional Improvement Grant Program, the Instructional Materials
Program, and the California High School Exit Exam Intensive
Intervention Program. Existing law requires a governing board that
elects to use balances in restricted accounts to report to the
Superintendent regarding the programs and amounts of restricted
balances used and requires the Superintendent to report statewide
information and information for each school district and county
office of education to the Joint Legislative Budget Committee by
October 31, 2009.  
   This bill would exclude the use of the ending balance in the
cafeteria fund and the balances in the English Learner Acquisition
and Development Pilot Program and child development programs, but
would authorize the use of balances in the Targeted Instructional
Improvement Grant Program, the Instructional Materials Program, and
the California High School Exit Exam Intensive Intervention Program
and restricted reserves committed for capital outlay. The bill would
change the deadline of the date by which the Superintendent is
required to report to the Joint Legislative Budget Committee to April
15, 2010.  
   (15) 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 2550 of the  
Education Code   is amended to read: 
   2550.  For each fiscal year, the Superintendent  of Public
Instruction  shall make the following computations to
determine the amount to be allocated for direct services and other
purposes provided by county superintendents of schools:
   (a) For programs operated pursuant to subdivision (a) of Section
14054, the Superintendent  of Public Instruction 
shall:
   (1) Determine the allowances that county superintendents received
per unit of average daily attendance in the prior fiscal year. The
Superintendent  of Public Instruction  shall
increase each amount by a percentage equal to the inflation allowance
calculated for the current fiscal year pursuant to Section 2557.
   (2) Multiply each amount determined in paragraph (1) by the actual
number of units of average daily attendance in the prior fiscal year
for programs maintained by each county superintendent. For purposes
of this paragraph, the number of units of average daily attendance
shall include only units generated by elementary districts with less
than 901 units of average daily attendance, high school districts
with less than 301 units of average daily attendance, and unified
school districts with less than 1,501 units of average daily
attendance within each county superintendent's jurisdiction.
   (b) For programs operated pursuant to subdivision (b) of Section
14054, the Superintendent  of Public Instruction 
shall:
   (1) (A) For the 1999-2000 fiscal year, determine the rate per unit
of average daily attendance calculated for each county office of
education pursuant to subdivision (b) of Section 2567 and increase
each rate by a percentage equal to the inflation allowance calculated
in Section 2557.
   (B) For the 2000-01 fiscal year, determine the rate per unit of
average daily attendance calculated for each county office of
education pursuant to subdivision (b) of Section 2568 and increase
each rate by a percentage equal to the inflation allowance calculated
in Section 2557.
   (C) For the 2001-02 fiscal year and each fiscal year thereafter,
determine the allowances that county superintendents received per
unit of average daily attendance in the prior fiscal year. The
Superintendent of Public Instruction shall increase each amount by a
percentage equal to the inflation allowance calculated for the
current fiscal year pursuant to Section 2557.
   (2)  (A)    Multiply each amount determined in
paragraph (1) by the units of average daily attendance in the current
fiscal year for programs for kindergarten and grades 1 to 12,
inclusive, maintained by each county superintendent. For the purposes
of this paragraph, average daily attendance shall include only the
total units of average daily attendance credited to all elementary,
high school, and unified school districts within each county
superintendent's jurisdiction and to the county superintendent. 
   (B) For purposes of this paragraph, in each of the 2008-09,
2009-10, 2010-11, 2011-12, and 2012-13 fiscal years, the units of
average daily attendance in each of those fiscal years for programs
for kindergarten and grades 1 to 12, inclusive, maintained by each
county superintendent shall include the same amount of average daily
attendance for classes for adults and regional occupational centers
and programs used in the calculation pursuant to this subdivision for
the 2007-08 fiscal year. 
   SEC. 2.    Section 2558.46 of the  
Education Code   is amended to read: 
   2558.46.  (a) (1) For the 2003-04 fiscal year, the revenue limit
for each county superintendent of schools determined pursuant to this
article shall be reduced by a 1.195 percent deficit factor.
   (2) For the 2004-05 fiscal year, the revenue limit for each county
superintendent of schools determined pursuant to this article shall
be reduced by a 0.323 percent deficit factor.
   (3) For the 2003-04 and 2004-05 fiscal years, the revenue limit
for each county superintendent of schools determined pursuant to this
article shall be reduced further by a 1.826 percent deficit factor.
   (4) For the 2005-06 fiscal year, the revenue limit for each county
superintendent of schools determined pursuant to this article shall
be reduced further by a 0.898 percent deficit factor.
   (5) For the 2008-09 fiscal year, the revenue limit for each county
superintendent of schools determined pursuant to this article shall
be reduced by a  7.839   11.183  percent
deficit factor.
   (6) For the 2009-10 fiscal year, the revenue limit for each county
superintendent of schools determined pursuant to this article shall
be reduced by a 13.360 percent deficit factor.
   (b) In computing the revenue limit for each county superintendent
of schools for the 2006-07 fiscal year pursuant to this article, the
revenue limit shall be determined as if the revenue limit for that
county superintendent of schools had been determined for the 2003-04,
2004-05, and 2005-06 fiscal years without being reduced by the
deficit factors specified in subdivision (a).
   (c) In computing the revenue limit for each county superintendent
of schools for the 2010-11 fiscal year pursuant to this article, the
revenue limit shall be determined as if the revenue limit for that
county superintendent of schools had been determined for the 2009-10
fiscal year without being reduced by the deficit factors specified in
subdivision (a).
   SEC. 3.    Section 17070.766 of the 
Education Code   is amended to read: 
   17070.766.  Notwithstanding paragraph (2) of subdivision (b) of
Section 17070.75, for the 2008-09, 2009-10, 2010-11, 2011-12, and
2012-13 fiscal years, the board shall require a school district to
deposit into the account established pursuant to paragraph (1) of
subdivision (b) of Section 17070.75 only an amount equal to 1 percent
of the total expenditures by a district from its general fund in the
2008-09, 2009-10, 2010-11, 2011-12, and 2012-13 fiscal years
respectively  , but if the school district maintains its
facilities in good repair, as defined in Section 17002, it shall be
exempt from this 1 percent requirement  . A school district may
elect to deposit into the account an amount that is greater than the
amount required by the board pursuant to this section.
   SEC. 4.    Section 17587 of the   Education
Code   is amended to read:  
   17587.  (a) Notwithstanding the limitations of Section 17584, the
State Allocation Board may each year reserve an amount not to exceed
10 percent of the funds transferred from any source to the State
School Deferred Maintenance Fund for apportionments to school
districts, in instances of extreme hardship. The apportionment shall
be in addition to the apportionments made pursuant to Section 17584.
Not less than one-half of all funds made available by this section
shall be apportioned to school districts that had an average daily
attendance, excluding summer session attendance, of less than 2,501
during the prior fiscal year.
   An extreme hardship shall exist in a school district when the
State Allocation Board determines the existence of all of the
following:
   (1) That the district has deposited in its deferred maintenance
fund an amount equal to at least 0.5 percent of the total general
funds and adult education funds budgeted by the district for the
fiscal year, exclusive of any amounts budgeted for capital outlay or
debt service.
   (2) That the district has a critical project on its five-year plan
which if not completed in one year could result in serious damage to
the remainder of the facility or would result in a serious hazard to
the health and safety of the pupils attending the facility.
   (3) That the total funds deposited by the district and the state
pursuant to Section 17584 are insufficient to complete the project.
   (b) As a result of the determination made in subdivision (a), the

    17587.    (a)     The  State
Allocation Board may increase the apportionment to a school district
by the amount it determines necessary to complete the critical
project  on its five-year plan which, if not completed in one
year, could result in serious damage to the remainder of the facility
or would result in a serious hazard to the health and safety of the
pupils attending the facility  . 
   (c) 
    (b)  Notwithstanding subdivision (a), in any fiscal year
in which the State Allocation Board has apportioned all funding from
the State School Deferred Maintenance Fund for which school
districts have qualified under Section 17584, the board may apportion
any amount remaining in that fund for the purposes of this section.

   (c) This section shall become inoperative on July 1, 2013, and, as
of January 1, 2014, is repealed, unless a later enacted statute,
that becomes operative on or before January 1, 2014, deletes or
extends the dates on which it becomes inoperative and is repealed.

   SEC. 5.    Section 17587 is added to the  
Education Code   , to read:  
   17587.  (a) Notwithstanding the limitations of Section 17584, the
State Allocation Board may each year reserve an amount not to exceed
10 percent of the funds transferred from any source to the State
School Deferred Maintenance Fund for apportionments to school
districts, in instances of extreme hardship. The apportionment shall
be in addition to the apportionments made pursuant to Section 17584.
Not less than one-half of all funds made available by this section
shall be apportioned to school districts that had an average daily
attendance, excluding summer session attendance, of less than 2,501
during the prior fiscal year.
   An extreme hardship shall exist in a school district when the
State Allocation Board determines the existence of all of the
following:
   (1) That the district has deposited in its deferred maintenance
fund an amount equal to at least 0.5 percent of the total general
funds and adult education funds budgeted by the district for the
fiscal year, exclusive of any amounts budgeted for capital outlay or
debt service.
   (2) That the district has a critical project on its five-year plan
which, if not completed in one year, could result in serious damage
to the remainder of the facility or would result in a serious hazard
to the health and safety of the pupils attending the facility.
   (3) That the total funds deposited by the district and the state
pursuant to Section 17584 are insufficient to complete the project.
   (b) If a determination is made that a hardship exists pursuant to
subdivision (a), the State Allocation Board may increase the
apportionment to a school district by the amount it determines
necessary to complete the critical project.
   (c) Notwithstanding subdivision (a), in any fiscal year in which
the State Allocation Board has apportioned all funding from the State
School Deferred Maintenance Fund for which school districts have
qualified under Section 17584, the board may apportion any amount
remaining in that fund for the purposes of this section.
   (d) This section shall become operative on July 1, 2013. 
   SEC. 6.    Section 42238.146 of the  
Education Code   is amended to read: 
   42238.146.  (a) (1) For the 2003-04 fiscal year, the revenue limit
for each school district determined pursuant to this article shall
be reduced by a 1.198 percent deficit factor.
   (2) For the 2004-05 fiscal year, the revenue limit for each school
district determined pursuant to this article shall be reduced by a
0.323 percent deficit factor.
   (3) For the 2003-04 and 2004-05 fiscal years, the revenue limit
for each school district determined pursuant to this article shall be
further reduced by a 1.826 percent deficit factor.
   (4) For the 2005-06 fiscal year, the revenue limit for each school
district determined pursuant to this article shall be reduced by a
0.892 percent deficit factor.
   (5) For the 2008-09 fiscal year, the revenue limit for each school
district determined pursuant to this article shall be reduced by a
 7.844   11.187  percent deficit factor.
   (6) For the 2009-10 fiscal year, the revenue limit for each school
district determined pursuant to this article shall be reduced by a
13.094 percent deficit factor.
   (b) In computing the revenue limit for each school district for
the 2006-07 fiscal year pursuant to this article, the revenue limit
shall be determined as if the revenue limit for that school district
had been determined for the 2003-04, 2004-05, and 2005-06 fiscal
years without being reduced by the deficit factors specified in
subdivision (a).
   (c) In computing the revenue limit for each school district for
the 2010-11 fiscal year pursuant to this article, the revenue limit
shall be determined as if the revenue limit for that school district
had been determined for the 2009-10 fiscal year without being reduced
by the deficit factors specified in subdivision (a).
   SEC. 7.    Section 42605 of the   Education
Code   is amended to read: 
   42605.  (a) (1) Unless otherwise prohibited under federal law or
otherwise specified in subdivision (e), for the 2008-09 fiscal year
to the 2012-13 fiscal year, inclusive,  school districts,
charter schools, and county offices of education  
recipients of funds from the items listed in paragraph (2)  may
use funding received, pursuant to subdivision (b), from any of these
items listed in paragraph (2) that are contained in an annual Budget
Act, for any educational purpose:
   (2) 6110-104-0001, 6110-105-0001, 6110-108-0001, 6110-122-0001,
6110-123-0001, 6110-124-0001, 6110-137-0001, 6110-144-0001,
6110-150-0001, 6110-151-0001, 6110-156-0001, 6110-181-0001,
6110-188-0001, 6110-189-0001, 6110-190-0001, 6110-193-0001,
6110-195-0001, 6110-198-0001, 6110-204-0001, 6110-208-0001,
6110-209-0001, 6110-211-0001, 6110-227-0001, 6110-228-0001,
6110-232-0001, 6110-240-0001, 6110-242-0001, 6110-243-0001,
6110-244-0001, 6110-245-0001, 6110-246-0001, 6110-247-0001,
6110-248-0001, 6110-260-0001, 6110-265-0001, 6110-266-0001,
6110-267-0001, 6110-268-0001, and 6360-101-0001.
   (b)  (1)    For the 2009-10 fiscal year to the
2012-13 fiscal year, inclusive, the Superintendent  or other
administering state agency, as appropriate,  shall apportion
from the amounts provided in the annual Budget Act for the items
enumerated in paragraph (2) of subdivision (a), an amount to 
a school district, charter school, and county office of education
  recipients  based on the same relative proportion
that the  local education agency   recipient
 received in the 2008-09 fiscal year for the programs funded
through the items enumerated in paragraph (2) of subdivision (a).
 A 
    (2)     This section and Section 42 of
Chapter 12 of the Statutes of 2009 do not authorize a school district
that receives funding on behalf of a charter school pursuant to
Sections 47634.1 and 47651 to redirect this funding for another
purpose unless otherwise authorized in law or pursuant to an
agreement between a charter school and its chartering authority.
Notwithstanding   paragraph (1), for the 2008-09 fiscal year
to the 2012-13 fiscal year, inclusive, a  school district that
receives funding on behalf of a charter school pursuant to Sections
47634.1 and 47651 shall continue to distribute the funds to those
charter schools based on the  amounts   relative
proportion that the school district  distributed in the
 2008-09   2007-   08  fiscal
year, and shall adjust those amounts  as specified in this
section   to reflect changes in charter school
attendance in the district  . The amounts allocated shall be
adjusted for any greater or lesser amount appropriated for the items
enumerated in paragraph (2) of subdivision (a).  For a charter
school that began operation in the 2008-09 fiscal year, if a school
district received funding on behalf of that charter school pursuant
to Sections 47634.1 and 47651, the school district shall continue to
distribute the funds to that charter school based on the relative
proportion that the school district distributed in the 2008-09 fiscal
year and shall adjust the amount of those funds to reflect changes
in charter school attendance in the district. The amounts allocated
shall be adjusted for any greater or lesser amount appropriated for
the items enumerated in paragraph (2) of   subdivision (a).
 
   (3) Notwithstanding paragraph (1), for the 2008-09 fiscal year to
the 2012-13 fiscal year, inclusive, the Superintendent shall
apportion from the amounts appropriated by Item 6110-211-0001 of the
annual Budget Act, an amount to a charter school in accordance with
the per pupil methodology prescribed in subdivision (c) of Section
47634.1.  
   (4) Notwithstanding paragraph (1), for the 2008-09 fiscal year to
the 2012-13 fiscal year, inclusive, the Superintendent shall
apportion from the amounts provided in the annual Budget Act, an
amount to a school district, charter school, and county office of
education based on the same relative proportion that the local
education agency received in the 2007-08 fiscal year for the programs
funded through the following items contained in the annual Budget
Act: 6110-104-0001, 6110-105-0001, 6110-156-0001, 6110-190-0001,
schedule (3) of 6110-193-0001, 6110-198-0001, 6110-232-0001, and
schedule (2) of 6110-240-0001.  
   (5) Notwithstanding paragraphs (1) and (4), for the 2008-09 fiscal
year to the 2012-13 fiscal years, inclusive, if a charter school
began operation in the 2008-09 fiscal year and received direct
funding for the items enumerated in paragraph (4), the Superintendent
shall apportion an amount to that charter school based on the same
relative proportion that the charter school received in the 2008-09
fiscal year. 
   (c) (1) This section does not obligate the state to refund or
repay reductions made pursuant to this section. A decision by a
school district to reduce funding pursuant to this section for a
state-mandated local program shall constitute a waiver of the
subvention of funds that the school district is otherwise entitled to
pursuant to Section 6 of Article XIII B of the California
Constitution on the amount so reduced.
   (2) As a condition of receipt of funds  ,  the governing
board of the school district or board of the county office of
education, as appropriate, at a regularly scheduled open public
hearing shall take testimony from the public, discuss,  and
 approve or disapprove the proposed use of funding  ,
and make explicit for each of the budget items in paragraph (2) of
subdivision (a) the purposes for which the funds will be used  .

   (3) Using the Standardized Account Code Structure reporting
process, a local educational agency shall report expenditures of
funds pursuant to the authority of this section by using the
appropriate function codes to indicate the activities for which these
funds are expended. The department shall collect and provide this
information to the Department of Finance and the appropriate policy
and budget committees of the Legislature by April 15, 2010, and
annually thereafter on April 15 until, and including, April 15, 2014.

   (d) For the 2008-09 fiscal year to the 2012-13 fiscal year,
inclusive, local education agencies that use the flexibility
provision of the section shall be deemed to be in compliance with the
program and funding requirements contained in statutory, regulatory,
and provisional language, associated with the items enumerated in
subdivision (a).
   (e) Notwithstanding subdivision (d), the following requirements
shall continue to apply:
   (1) For Items 6110-105-0001 and 6110-156-0001, the amount
authorized for flexibility shall exclude the funding provided for
instruction of CalWORKs eligible students pursuant to schedules (2)
and (3), and provisions 2 and 4.
   (2) (A) Any instructional materials purchased by a local education
agency shall be the materials adopted by the state board for
kindergarten and grades 1 to 8, inclusive, and for grades 9 to 12,
inclusive, the materials purchased shall be aligned with state
standards as defined by Section 60605, and shall also meet the
reporting and sufficiency requirements contained in Section 60119.
   (B) For purposes of this section, "sufficiency" means that each
pupil has sufficient textbooks and instructional materials in the
four core areas as defined by Section 60119, and that all pupils
within the local education agency who are enrolled in the same course
shall have identical textbooks and instructional materials  , as
specified in Section 1240.3  .
   (3) For Item 6110-195-0001, the item shall exclude monies that are
required to fund awards for teachers that have previously met the
requirements necessary to obtain these awards, until the award is
paid in full. 
   (4) As a condition of exercising the authority conferred on local
educational agencies to transfer funds to their general funds
pursuant to subdivision (a), both of the following requirements shall
be met:  
   (A) The governing board of the school district, or the county
board of education, as appropriate, at a regularly scheduled open
public hearing, shall take testimony from the public, discuss, and
approve each transfer and the proposed use of funding. 

   (B) In the existing Standardized Account Code Structure (SACS)
reporting process, a local educational agency shall report the
amounts transferred pursuant to this section by using the appropriate
program code for which these funds were expended. The State
Department of Education shall collect and provide this information to
the Department of Finance and to the appropriate policy and budget
committees of the Legislature by February 28, 2010. 

   (5) 
    (4)  For Item 6110-266-0001, a county office of
education shall conduct at least one site visit to each of the
required schoolsites pursuant to Section 1240  and shall fulfill
all of the duties set forth in Sections 1240 and 44258.9  .
    (5)     For Item 6110-198-0001, a school
district or county office of education that operates the child care
component of the Cal-SAFE program shall comply with paragraphs (5)
and (6) of subdivision (c) of Section 54746.  
   (f) This section does not invalidate any state law pertaining to
teacher credentialing requirements or the functions that require
credentials. 
   SEC. 8.    Section 44259 of the   Education
Code   is amended to read: 
   44259.  (a) Except as provided in subparagraphs (A) and (C) of
paragraph (3) of subdivision (b), each program of professional
preparation for multiple or single subject teaching credentials shall
not include more than one year of, or the equivalent of one-fifth of
a five-year program in, professional preparation.
   (b) The minimum requirements for the preliminary multiple or
single subject teaching credential are all of the following:
   (1) A baccalaureate degree or higher degree from a regionally
accredited institution of postsecondary education. Except as provided
in subdivision (c) of Section 44227, the baccalaureate degree shall
not be in professional education. The commission shall encourage
accredited institutions to offer undergraduate minors in education
and special education to students who intend to become teachers.
   (2) Passage of the state basic skills examination that is
developed and administered by the commission pursuant to Section
44252.5.
   (3) Satisfactory completion of a program of professional
preparation that has been accredited by the committee on
accreditation on the basis of standards of program quality and
effectiveness that have been adopted by the commission. In accordance
with the commission's assessment and performance standards, each
program shall include a teaching performance assessment as set forth
in Section 44320.2 which is aligned with the California Standards for
the Teaching Profession. The commission shall ensure that each
candidate recommended for a credential or certificate has
demonstrated satisfactory ability to assist pupils to meet or exceed
state content and performance standards for pupils adopted pursuant
to subdivision (a) of Section 60605. Programs that meet this
requirement for professional preparation shall include any of the
following:
   (A) Integrated programs of subject matter preparation and
professional preparation pursuant to subdivision (a) of Section
44259.1.
   (B) Postbaccalaureate programs of professional preparation,
pursuant to subdivision (b) of Section 44259.1.
   (C) Internship programs of professional preparation, pursuant to
Section 44321, Article 7.5 (commencing with Section 44325), Article
11 (commencing with Section 44380), and Article 3 (commencing with
Section 44450) of Chapter 3.
   (4) Study of alternative methods of developing English language
skills, including the study of reading as described in subparagraphs
(A) and (B), among all pupils, including those for whom English is a
second language, in accordance with the commission's standards of
program quality and effectiveness. The study of reading shall meet
the following requirements:
   (A) Commencing January 1, 1997, satisfactory completion of
comprehensive reading instruction that is research-based and includes
all of the following:
   (i) The study of organized, systematic, explicit skills including
phonemic awareness, direct, systematic, explicit phonics, and
decoding skills.

      (ii) A strong literature, language, and comprehension component
with a balance of oral and written language.
   (iii) Ongoing diagnostic techniques that inform teaching and
assessment.
   (iv) Early intervention techniques.
   (v) Guided practice in a clinical setting.
   (B) For the purposes of this section, "direct, systematic,
explicit phonics" means phonemic awareness, spelling patterns, the
direct instruction of sound/symbol codes and practice in connected
text and the relationship of direct, systematic, explicit phonics to
the components set forth in clauses (i) to (v), inclusive.
   A program for the multiple subjects credential also shall include
the study of integrated methods of teaching language arts.
   (5) Completion of a subject matter program that has been approved
by the commission on the basis of standards of program quality and
effectiveness pursuant to Article 6 (commencing with Section 44310)
or passage of a subject matter examination pursuant to Article 5
(commencing with Section 44280). The commission shall ensure that
subject matter standards and examinations are aligned with the state
content and performance standards for pupils adopted pursuant to
subdivision (a) of Section 60605.
   (6) Demonstration of a knowledge of the principles and provisions
of the Constitution of the United States pursuant to Section 44335.
   (7) Commencing January 1, 2000, demonstration, in accordance with
the commission's standards of program quality and effectiveness, of
basic competency in the use of computers in the classroom as
determined by one of the following:
   (A) Successful completion of a commission-approved program or
course.
   (B) Successful passage of an assessment that is developed,
approved, and administered by the commission.
   (c) The minimum requirements for the professional clear multiple
or single subject teaching credential shall include all of the
following requirements:
   (1) Possession of a valid preliminary teaching credential, as
prescribed in subdivision (b), possession of a valid equivalent
credential or certificate, or completion of equivalent requirements
as determined by the commission.
   (2)  Subject to the availability of funds in the annual
Budget Act to provide statewide access to eligible beginning
teachers, as defined in subdivision (d) of Section 44279.1 and except
  Except    as provided in paragraph (3),
completion of a program of beginning teacher induction, including
one of the following:
   (A) A program of beginning teacher support and assessment approved
by the commission and the Superintendent pursuant to Section
44279.1, a provision of the Marian Bergeson Beginning Teacher Support
and Assessment System.
   (B) An alternative program of beginning teacher induction that is
provided by one or more local educational agencies and has been
approved by the commission and the Superintendent on the basis of
initial review and periodic evaluations of the program in relation to
appropriate standards of credential program quality and
effectiveness that have been adopted by the commission, the
Superintendent, and the state board pursuant to this subdivision. The
standards for alternative programs shall encourage innovation and
experimentation in the continuous preparation and induction of
beginning teachers. Any alternative program of beginning teacher
induction that has met state standards pursuant to this subdivision
may apply for state funding pursuant to Sections 44279.1 and 44279.2.

   (C) An alternative program of beginning teacher induction that is
sponsored by a regionally accredited college or university, in
cooperation with one or more local school districts, that addresses
the individual professional needs of beginning teachers and meets the
commission's standards of induction. The commission shall ensure
that preparation and induction programs that qualify candidates for
professional credentials extend and refine each beginning teacher's
professional skills in relation to the California Standards for the
Teaching Profession and the standards of pupil performance adopted
pursuant to Section 60605.
   (3) (A) If a candidate satisfies the requirements of subdivision
(b), including completion of an accredited internship program of
professional preparation, and if that internship program fulfills
induction standards and is approved as set forth in this subdivision,
the commission shall determine that the candidate has fulfilled the
requirements of paragraph (2).
   (B) If an approved induction program is verified as unavailable to
a beginning teacher, or if the beginning teacher is required under
the federal No Child Left Behind Act of 2001 (20 U.S.C. Sec. 6301 et
seq.) to complete subject matter coursework to be qualified for a
teaching assignment, the commission shall accept completion of an
approved fifth-year program after completion of a baccalaureate
degree at a regionally accredited institution as fulfilling the
requirements of paragraph (2). The commission shall adopt regulations
to implement this subparagraph.
   (4) Experience that includes the application of knowledge and
skills previously acquired in a preliminary credential program, in
accordance with commission standards, that addresses the following:
   (A) Health education, including study of nutrition,
cardiopulmonary resuscitation, and the physiological and sociological
effects of abuse of alcohol, narcotics, and drugs and the use of
tobacco. Training in cardiopulmonary resuscitation shall also meet
the standards established by the American Heart Association or the
American Red Cross.
   (B) Field experience in methods of delivering appropriate
educational services to pupils with exceptional needs in regular
education programs.
   (C) Advanced computer-based technology, including the uses of
technology in educational settings.
   (d) The commission shall develop and implement standards of
program quality and effectiveness that provide for the areas of
application listed in subparagraphs (A) to (C), inclusive, of
paragraph (4) of subdivision (c), starting in professional
preparation and continuing through induction.
   (e) A credential that was issued prior to January 1, 1993, shall
remain in force as long as it is valid under the laws and regulations
that were in effect on the date it was issued. The commission may
not, by regulation, invalidate an otherwise valid credential, unless
it issues to the holder of the credential, in substitution, a new
credential authorized by another provision in this chapter that is no
more restrictive than the credential for which it was substituted
with respect to the kind of service authorized and the grades,
classes, or types of schools in which it authorizes service.
   (f) A credential program that is approved by the commission may
not deny an individual access to that program solely on the grounds
that the individual obtained a teaching credential through completion
of an internship program when that internship program has been
accredited by the commission.
   (g) Notwithstanding this section, persons who were performing
teaching services as of January 1, 1999, pursuant to the language of
this section that was in effect prior to that date, may continue to
perform those services without complying with any requirements that
may be added by the amendments adding this subdivision.
   (h) Subparagraphs (A) and (B) of paragraph (4) of subdivision (b)
do not apply to any person who, as of January 1, 1997, holds a
multiple or single subject teaching credential, or to any person
enrolled in a program of professional preparation for a multiple or
single subject teaching credential as of January 1, 1997, who
subsequently completes that program. It is the intent of the
Legislature that the requirements of subparagraphs (A) and (B) of
paragraph (4) of subdivision (b) be applied only to persons who enter
a program of professional preparation on or after January 1, 1997.
   SEC. 9.    Section 45023.1 of the  
Education Code   is amended to read: 
   45023.1.  (a) Commencing with the 2000-01 fiscal year, the
governing board of a school district, the county superintendent of
schools, or the county board of education may increase, for teachers
meeting the requirements prescribed by this section, the salary on
its adopted certificated employee salary schedule as provided in
subdivision (b). For purposes of this section,  any 
 a  teacher for whom the governing board, county
superintendent of schools, or county board of education may increase
salaries shall meet all of the following criteria:
   (1) Hold a valid California teaching credential, not including an
emergency permit, intern certificate or credential, or waiver.
   (2) Possess a baccalaureate or higher degree.
   (3) Receive a salary paid through the general fund of the district
or county office.
   (b) The governing board, county superintendent of schools, or
county board of education that increases its salaries pursuant to
subdivision (a) shall perform the following computations:
   (1) The governing board, county superintendent of schools, or
county board of education shall designate as the lowest salary on the
salary schedule for a certificated employee meeting the criteria in
subdivision (a) an amount that is at least an annual salary of
thirty-four thousand dollars ($34,000) in the 2000-01 fiscal year.
   (2) The governing board, county superintendent of schools, or
county board of education shall increase to the annual salary amount
in paragraph (1) the salary of any certificated employee meeting the
criteria in subdivision (a) whose salary on the salary schedule for
the 1999-2000 fiscal year was less than the amount computed in
paragraph (1) and, notwithstanding Section 45028, shall incorporate
that increase into the salary schedule commencing with the 2000-01
fiscal year.
   (c) Each school district or county office of education that
increases its beginning teacher annual minimum salary to thirty-four
thousand dollars ($34,000) pursuant to subdivision (b) shall elect,
except as provided in subdivision (j), to receive reimbursement for
the cost of the increase pursuant to only one of the following two
options:
   (1) Option One:
   (A) In fiscal year 2000-01, a school district, county
superintendent of schools, or county office of education that
increases salaries pursuant to paragraph (2) of subdivision (b) and
selects reimbursement Option One shall receive an amount equal to six
dollars ($6) times the district's or county office's second
principal apportionment average daily attendance for the 1999-2000
fiscal year, excluding attendance in adult education programs and
charter schools participating in the charter school block grant
pursuant to Article 2 (commencing with Section 47633) of Chapter 6 of
Part 26.8.
   (B) Divide the amount received from the state pursuant to
subparagraph (A) for the 2000-01 fiscal year by the school district
or county office of education second principal apportionment average
daily attendance for the 1999-2000 fiscal year, excluding attendance
in adult education programs and charter schools participating in the
charter school block grant pursuant to Article 2 (commencing with
Section 47633) of Chapter 6 of Part 26.8.
   (C) For the 2001-02 fiscal year and each fiscal year thereafter,
for each school district that increases its salaries pursuant to
subdivision (a), the Superintendent  of Public Instruction
 shall sum the results of paragraphs (i) and (ii) and add
that figure to the total school district revenue limit computed
pursuant to Section 42238:
   (i) Annually increase the funding rate per unit of average daily
attendance specified in subparagraph (B) by the percentage increase
pursuant to subdivision (b) of Section 42238.1 and multiply the
resulting product by the school district's second principal
apportionment average daily attendance for the current fiscal year
excluding attendance in regional occupational centers/programs, adult
education programs, and charter schools participating in the charter
school block grant pursuant to Article 2 (commencing with Section
47633) of Chapter 6 of Part 26.8.
   (ii) Annually increase the funding rate per unit of average daily
attendance specified in subparagraph (B) by the percentage increase
pursuant to subdivision (b) of Section 42238.1 and multiply the
resulting product by the school district's second principal
apportionment average daily attendance for the current fiscal year in
regional occupational centers/programs excluding attendance in
charter schools participating in the charter school block grant
pursuant to Article 2 (commencing with Section 47633) of Chapter 6 of
Part 26.8.
   (D) For the 2001-02 fiscal year and each fiscal year thereafter,
for each county office of education that increases its salaries
subdivision (a), the Superintendent  of Public Instruction
 shall add the sum of paragraphs (i) and (ii) to the county
office of education revenue limit computed pursuant to Section 2550:
   (i) Annually increase the funding rate per unit of average daily
attendance specified in subparagraph (B) by the percentage increase
identified pursuant to Section 2557 and multiply the resulting
product by the county office of education's second principal
apportionment average daily attendance for the current fiscal year
excluding attendance in regional occupational centers/programs, adult
education programs, and charter schools participating in the charter
school block grant pursuant to Article 2 (commencing with Section
47633) of Chapter 6 of Part 26.8.
   (ii) Annually increase the funding rate per unit of average daily
attendance specified in subparagraph (B) by the percentage increase
identified pursuant to Section 2557 and multiply the resulting
product by the county office of education's second principal
apportionment average daily attendance for the current fiscal year in
regional occupational centers/programs excluding attendance in
charter schools participating in the charter school block grant
pursuant to Article 2 (commencing with Section 47633) of Chapter 6 of
Part 26.8.
   (E) The school district, county superintendent of schools, or
county office of education shall utilize these incentive funds not
only to meet the new beginning teacher annual minimum salary of
thirty-four thousand dollars ($34,000), but may also use the funds to
generally enhance teachers' salaries in order to achieve the goals
of retention of qualified, competent, and experienced teachers and
the attainment of a reasonable salary commensurate with a teacher's
experience, education, and responsibilities.
   (2) Option Two: A school district, county superintendent of
schools, or county office of education may submit a request to the
Superintendent  of Public Instruction  , on a form
supplied by the Superintendent  of Public Instruction
 , for state funding computed as follows:
   (A) Total the salaries of all certificated employees receiving
increased salaries up to a maximum of thirty-four thousand dollars
($34,000) per person pursuant to subdivision (b) for the 2000-01
fiscal year.
   (B) Total all salaries, based on the salary schedule for the
2000-01 fiscal year before the increase made pursuant to subdivision
(b), of all certificated employees receiving increased salaries
pursuant to subdivision (b).
   (C) Subtract the amount in subparagraph (B) from the amount in
subparagraph (A).
   (D) Multiply the amount in subparagraph (C) by the district's
statutory benefit rates.
   (E) For the 2000-01 fiscal year, a school district, county
superintendent of schools, or county office of education that
increases salaries pursuant to paragraph (2) of subdivision (b) and
selects reimbursement Option Two shall receive the sum of paragraphs
(C) and (D).
   (F) Divide the sum of the amounts received pursuant to paragraphs
(C) and (D) for the 2000-01 fiscal year by the school district and
county office of education average daily attendance for the second
principal apportionment for the 2000-01 fiscal year, excluding
attendance in adult education programs and charter schools
participating in the charter school block grant pursuant to Article 2
(commencing with Section 47633) of Chapter 6 of Part 26.8.
   (G) For the 2001-02 fiscal year and each fiscal year thereafter,
for each school district that increases its salaries pursuant to
subdivision (a), the Superintendent  of Public Instruction
 shall sum the results of paragraphs (i) and (ii) and add
that figure to the total school district revenue limit computed
pursuant to Section 42238:
   (i) Annually increase the funding rate per unit of average daily
attendance calculated pursuant to subparagraph (F) by the percentage
increase pursuant to subdivision (b) of Section 42238.1 and multiply
the resulting product by the school district's second principal
apportionment average daily attendance for the current fiscal year
excluding attendance in regional occupational centers/programs, adult
education programs, and charter schools participating in the charter
school block grant pursuant to Article 2 (commencing with Section
47633) of Chapter 6 of Part 26.8.
   (ii) Annually increase the funding rate per unit of average daily
attendance calculated pursuant to subparagraph (F) by the percentage
increase pursuant to subdivision (b) of Section 42238.1 and multiply
the resulting product by the school district's second principal
apportionment average daily attendance for the current fiscal year in
regional occupational centers/programs excluding attendance in
charter schools participating in the charter school block grant
pursuant to Article 2 (commencing with Section 47633) of Chapter 6 of
Part 26.8.
   (H) For the 2001-02 fiscal year and each fiscal year thereafter,
for each county office of education that increases its salaries
subdivision (a), the Superintendent  of Public Instruction
 shall add the sum of paragraphs (i) and (ii) to the county
office of education revenue limit computed pursuant to Section 2550:
   (i) Annually increase the funding rate per unit of average daily
attendance calculated pursuant to subparagraph (F) by the percentage
increase identified pursuant to Section 2557 and multiply the
resulting product by the county office of education's second
principal apportionment average daily attendance for the current
fiscal year excluding attendance in regional occupational
centers/programs, adult education programs, and charter schools
participating in the charter school block grant pursuant to Article 2
(commencing with Section 47633) of Chapter 6 of Part 26.8.
   (ii) Annually increase the funding rate per unit of average daily
attendance calculated pursuant to subparagraph (F) by the percentage
increase identified pursuant to Section 2557 and multiply the
resulting product by the county office of education's second
principal apportionment average daily attendance for the current
fiscal year in regional occupational centers/programs excluding
attendance in charter schools participating in the charter school
block grant pursuant to Article 2 (commencing with Section 47633) of
Chapter 6 of Part 26.8. 
   (3) For purposes of the calculation required by clause (ii) of
subparagraph (C) of paragraph (1), clause (ii) of subparagraph (D) of
paragraph (1), clause (ii) of subparagraph (G) of paragraph (2), and
clause (ii) of subparagraph (H) of paragraph (2), in the 2008-09,
2009-10, 2010-11, 2011-12, and 2012-13 fiscal years, a school
district's and county office of education's second principal
apportionment average daily attendance for the current fiscal year
shall be the second principal apportionment average daily attendance
for the 2007-08 fiscal year. 
   (d)  Any state   State  funds received
pursuant to this section and not used pursuant to the conditions of
this section shall be returned to the state.
   (e) If the funds requested by the school districts, the county
superintendents of schools, and the county offices of education for
the 2000-01 fiscal year exceed the state appropriation for this
section, the Superintendent  of Public Instruction 
shall reduce all requests by the application of a single, common
percentage factor for apportionment purposes, so as not to exceed the
amount appropriated for this purpose.
   (f) A school district or county office of education shall receive
reimbursement pursuant to subdivision (c) only. However, this section
does not prohibit a school district and its employees from
negotiating salary schedules.
   (g) The adjustments to school district and county office of
education revenue limits prescribed in subparagraphs (C) and (D) of
paragraph (1) of subdivision (c) and subparagraphs (G) and (H) of
paragraph (2) of subdivision (c), respectively, shall continue so
long as the increase in the salary schedule made pursuant to
paragraph (2) of subdivision (b) or subdivision (i) is maintained.
   (h) The Superintendent  of Public Instruction 
shall issue appropriate forms to school districts and county offices
of education no later than September 1, 2000. School districts,
county superintendents of schools, or county offices of education
shall notify the Superintendent  of Public Instruction
 no later than September 30, 2001, regarding which option
they wish to exercise for the 2000-01 fiscal year. School districts,
county superintendents of schools, or county offices of education
shall file their claim form for state funds with the Superintendent
 of Public Instruction  no later than September 30,
2001.
   (i) Adjustments made to school district or county office of
education revenue limits pursuant to subparagraphs (C) and (D) of
paragraph (1) of subdivision (c) and subparagraphs (G) and (H) of
paragraph (2) of subdivision (c), respectively, shall not be
considered part of the base revenue limit for the purpose of
computing equalization adjustments or determining other
wealth-related differences in school funding.
   (j) Notwithstanding subdivision (c), a school district or county
office of education that already has as the annual minimum salary for
beginning teachers who meet the criteria in subdivision (a) in an
amount equal to or greater than thirty-four thousand dollars
($34,000) shall be eligible to receive reimbursement pursuant to
Option One.
   SEC. 10.   Section 45023.4 of the  
Education Code   is amended to read: 
   45023.4.  (a) This section shall be known, and may be cited, as
the Jack O'Connell Beginning-Teacher Salary Incentive Program.
Commencing in the 1999-2000 fiscal year the governing board of a
school district, the county superintendent of schools, or the county
board of education may increase, for teachers who meet the
requirements of this subdivision, the salary on its adopted
certificated employee salary schedule as provided in subdivision (b).
 Any   A  school district that elects to
meet the requirements of this section shall be eligible to receive
the incentive amount provided by subdivision (c). For purposes of
this section,  any   a  teacher for whom
the governing board, county superintendent of schools, or county
board of education may increase salaries shall meet all of the
following criteria:
   (1) Hold a valid California teaching credential, not including an
emergency permit, intern permit, or waiver.
   (2) Possess a baccalaureate or higher degree.
   (3) Receive a salary paid from the general fund of the district or
county office.
   (b) The governing board, county superintendent of schools, or
county board of education that elects to increase teachers' salaries
as authorized pursuant to subdivision (a) shall perform the following
computations:
   (1) The governing board, county superintendent of schools, or
county board of education shall designate as the lowest salary on the
salary schedule for a certificated employee meeting or exceeding the
criteria in subdivision (a) an amount equal to a minimum annual
salary of thirty-two thousand dollars ($32,000). If this salary
change results in costs to the school district or county office of
education that are equal to or greater than the incentive received
pursuant to subdivision (c), the minimum salary shall be thirty-two
thousand dollars ($32,000). If this salary change results in costs to
the school districts or county offices of education that are less
than the incentive received, the remainder shall be used to increase
the beginning salary by an amount above thirty-two thousand dollars
($32,000) which fully applies the incentive received.
   (2) The governing board, county superintendent of schools, or
county board of education shall increase to the annual salary amount
in paragraph (1) the salary of  any   a 
certificated employee meeting the criteria in subdivision (a) whose
salary on the salary schedule is less than the amount computed in
paragraph (1) and, notwithstanding Section 45028, shall incorporate
that increase into the salary schedule.
   (3) The newly adopted salary schedule shall contain only one cell
that meets the amount set forth in paragraph (1), which most often is
the first-year step of a salary schedule column for certificated
personnel who meet the criteria set forth in subdivision (a). All
other salary schedule cells shall exceed the level set forth in
paragraph (1) for personnel that meet the criteria in subdivision
(a).
   (c) In the 1999-2000 fiscal year, the Superintendent  of
Public Instruction  shall divide the amount appropriated for
the purposes of this section by the 1998-99 second principal
apportionment average daily attendance for all school districts and
county offices of education in the state. Each school district and
county office of education that certifies to the Superintendent
 of Public Instruction  that it is in full
compliance with this section shall receive following that
certification an amount equal to the results of the calculation
multiplied by the participating school district's or county office's
1998-99 second principal apportionment average daily attendance.
   (d) For the 2000-01 fiscal year and each fiscal year thereafter,
for each school district that meets the requirements of subdivision
(b), the Superintendent  of Public Instruction 
shall sum the results of paragraphs (1) and (2) and add that figure
to the total school district revenue limit computed pursuant to
Section 42238.
   (1) Annually increase the statewide average funding rate per unit
of average daily attendance calculated pursuant to subdivision (c) by
the percentage increase computed pursuant to subdivision (b) of
Section 42238.1 and multiply the resulting product by the school
district's second period average daily attendance for the prior
fiscal year excluding attendance
      in regional occupational centers and programs, adult education
programs, and charter schools participating in the charter school
block grant pursuant to Article 2 (commencing with Section 47633) of
Chapter 6 of Part 26.8.
   (2) Annually increase the statewide average funding rate per unit
of average daily attendance calculated pursuant to subdivision (c) by
the percentage increase computed pursuant to subdivision (b) of
Section 42238.1 and multiply the resulting product by the school
district's second period average daily attendance for the prior
fiscal year in regional occupational centers and programs, excluding
attendance in charter schools participating in the charter school
block grant pursuant to Article 2 (commencing with Section 47633) of
Chapter 6 of Part 26.8. 
   (3) For purposes of the calculation required by paragraph (2), in
the 2008-09, 2009-10, 2010-11, 2011-12, and 2012-13 fiscal years, the
second period average daily attendance for the prior fiscal year
shall be the second period average daily attendance for the 2007-08
fiscal year. 
   (e) For the 2000-01 fiscal year and each fiscal year thereafter,
for each county office of education that meets the requirements of
subdivision (b), the Superintendent  of Public Instruction
 shall add the sum of paragraphs (1) and (2) to the county
office of education revenue limit computed pursuant to Section 2550.
   (1) Annually increase the statewide average funding rate per unit
of average daily attendance calculated pursuant to subdivision (c) by
the percentage increase identified pursuant to Section 2557 and
multiply the resulting product by the county office of education's
second period average daily attendance for the prior fiscal year
excluding attendance in regional occupational centers or programs,
adult education programs, and charter schools participating in the
charter school block grant pursuant to Article 2 (commencing with
Section 47633) of Chapter 6 of Part 26.8.
   (2) Annually increase the statewide average funding rate per unit
of average daily attendance calculated pursuant to subdivision (c) by
the percentage increase identified pursuant to Section 2557 and
multiply the resulting product by the county office of education's
second period average daily attendance for the prior fiscal year in
regional occupational centers or programs excluding attendance in
charter schools participating in the charter school block grant
pursuant to Article 2 (commencing with Section 47633) of Chapter 6 of
Part 26.8. 
   (3) For purposes of the calculation required by paragraph (2), in
the 2008-09, 2009-10, 2010-11, 2011-12, and 2012-13 fiscal years, the
second period average daily attendance for the prior fiscal year
shall be the second period average daily attendance for the 2007-08
fiscal year. 
   (f) The adjustment to the school district and county office of
education revenue limit prescribed in subdivisions (d) and (e) shall
continue so long as the increase in the salary schedule made pursuant
to paragraph (2) of subdivision (b) is maintained.
   (g) The adjustment made to school district or county office of
education revenue limits pursuant to subdivisions (d) and (e) shall
not be considered part of the base revenue limit for purposes of
computing equalization adjustments or determining other differences
in school funding that are based on the amount of funding received by
a school district or county office of education.
   (h) This section does not prohibit a school district and its
employees from negotiating salary schedules.
   SEC. 11.    Section 46010.2 of the  
Education Code   is amended to read: 
   46010.2.   (a)    For the purpose of determining
"changes in enrollment" pursuant to subdivision (b) of Section 8 of
Article XVI of the California Constitution, as required by
subdivision (d) of Section 41204, the total days of attendance by
pupils in schools and classes maintained by a school district shall,
in the 1997-98 fiscal year, be separately determined both as if
subdivision (b) of Section 46010, as it read in the 1997-98 fiscal
year, did and did not apply. The days of attendance figure resulting
from the application of subdivision (b) of Section 46010 shall be
used in calculating average daily attendance for comparison with
average daily attendance in the 1996-97 fiscal year. The days of
attendance figure determined without applying subdivision (b) of
Section 46010 shall be used in calculating average daily attendance
for comparison with average daily attendance in the 1998-99 fiscal
year. 
   (b) For the purpose of determining "changes in enrollment" for the
2008-09 fiscal year pursuant to subdivision (b) of Section 8 of
Article XVI of the California Constitution, as required by
subdivision (d) of Section 41204, the total days of attendance by
pupils in schools and classes maintained by a school district, in the
2007-08 fiscal year, shall be separately determined both as if the
California School Age Families Education Program (Cal-SAFE), as set
forth in Article 7.1 (commencing with Section 54740) of Chapter 9 of
Part 29, as it read on January 1, 2008, did and did not apply. The
days of attendance figure resulting from the application of the
Cal-SAFE program shall be used in calculating average daily
attendance for comparison with average daily attendance in the
2006-07 fiscal year. The days of attendance figure determined without
applying the Cal-SAFE program shall be used in calculating average
daily attendance for comparison with average daily attendance in the
2008-09 fiscal year.
   SEC. 12.    Section 52055.60 is added to the 
 Education Code   , to read:  
   52055.60.  (a) Notwithstanding any other law, for the 2008-09 to
the 2012-13 fiscal years, inclusive, a school, school district,
county office of education, or charter school that has been
identified for program improvement under the federal No Child Left
Behind Act of 2001 (20 U.S.C. Sec. 6301), or a school district or
county office of education that has received a federal corrective
action sanction by the state board pursuant to subdivision (b) of
Section 52055.57, shall not be required to implement with funds
allocated pursuant to Section 42605 the program requirements set
forth in the Mathematics and Reading Professional Development Program
(Article 3 (commencing with Section 99230) of Chapter 5 of Part 65
of Division 14 of Title 3) or the Administrator Training Program
(Article 4.6 (commencing with Section 44510) of Chapter 3 of Part 25
of Division 3).
   (b) Notwithstanding any other law, for the 2008-09 to the 2012-13
fiscal years, inclusive, the department and the state board shall not
prohibit a school, school district, county office of education, or
charter school identified for program improvement pursuant to the
federal No Child Left Behind Act of 2001 or a school district or
county office of education that has received a federal corrective
action sanction by the state board pursuant to subdivision (b) of
Section 52055.57, from utilizing the flexibility provisions
established in Section 42605.
   (c) This section does not prohibit a school, county office of
education, or charter school that has been identified for program
improvement pursuant to the federal No Child Left Behind Act of 2001,
or a school district or county office of education sanctioned
pursuant to subdivision (c) of Section 52055.57, from implementing
professional development activities for administrators, teachers, and
school employees to fulfill the sanction imposed pursuant to
paragraph (6) of subdivision (c) of Section 52055.57.
   (d) This section shall become inoperative on July 1, 2013, and, as
of January 1, 2014, is repealed, unless a later enacted statute,
that becomes operative on or before January 1, 2014, deletes or
extends the dates on which it becomes inoperative and is repealed.

   SEC. 13.    Section 52124.3 of the  
Education Code  is amended to read: 
   52124.3.  (a) For the 2008-09, 2009-10, 2010-11, and 2011-12
fiscal years only, the amounts deducted pursuant to subdivision (d)
of Section 52124 shall be as follows:
   (1) Five percent of the amount to which the school district would
otherwise be eligible for each class for which the annual 
average  enrollment determined pursuant to Section 52124.5 is
greater than or equal to 20.5 but less than 21.5.
   (2) Ten percent of the amount to which the school district would
otherwise be eligible for each class for which the annual average
enrollment determined pursuant to Section 52124.5 is greater than or
equal to 21.5 but less than 22.5.
   (3) Fifteen percent of the amount to which the school district
would otherwise be eligible for each class for which the annual
average enrollment determined pursuant to Section 52124.5 is greater
than or equal to 22.5 but less than 23.0.
   (4) Twenty percent of the amount to which the school district
would otherwise be eligible for each class for which the annual
average enrollment determined pursuant to Section 52124.5 is greater
than or equal to 23.0 but less than 25.0.
   (5) Thirty percent of the amount to which the school district
would otherwise be eligible for each class for which the annual
average enrollment determined pursuant to Section 52124.5 is greater
than or equal to 25.0.
   (b)  A   For the 2008-09, 2009-10, 2010-11,
and 2011-12 fiscal years, a  local educational agency is
eligible to receive funding pursuant to this  section
  chapter  only  if it was participating in
the K-3 Class Size Reduction Program as of December 10, 2008. An
eligible local educational agency may only receive funding for the
grade level or levels for which it had applied to receive funding as
of December 10, 2008   for the same number of classes
for which it had applied to receive program funding as of January 31,
2009. A local educational agency that meets these criteria is
eligible for reduced funding under this section only for the number
of classes reported on its 2008-09 operations application and is not
eligible for funds under this chapter for classes in addition to that
number  .
   SEC. 14.    Section 7906 of the   Government
Code   is amended to read: 
   7906.  For school districts:
   (a) "ADA" means a school district's second principal apportionment
units of average daily attendance as determined pursuant to Section
42238.5 of the Education Code, including average daily attendance in
summer school, regional occupational centers and programs, and
apprenticeship programs, and excluding average daily attendance in
adult education programs. All other units of average daily attendance
including, but not limited to, special day classes for special
education pupils, shall be included.
   (1) For purposes of this subdivision, the average daily attendance
of summer school programs shall be determined pursuant to
subparagraph (F) of paragraph (1) of subdivision (a) of Section
14022.5 of the Education Code.
   (2) For purposes of this subdivision, the average daily attendance
of apprenticeship programs shall be determined pursuant to
subparagraph (D) of paragraph (1) of subdivision (a) of Section
14022.5 of the Education Code. 
   (3) For the 2008-09, 2009-10, 2010-11, 2011-12, and 2012-13 fiscal
years, the average daily attendance of public school districts,
including county superintendents of schools, serving kindergarten and
grades 1 to 12, inclusive, or any part thereof, shall include the
same amount of average daily attendance for classes for supplemental
instruction and regional occupational centers programs that was used
for the purposes of this section for the 2007-08 fiscal year. 
   (b) "Foundation program level" means:
   (1) For the 1978-79 fiscal year, one thousand two hundred
forty-one dollars ($1,241) for elementary districts, one thousand
three hundred twenty-two dollars ($1,322) for unified districts, and
one thousand four hundred twenty-seven dollars ($1,427) for high
school districts.
   (2) For the 1979-80 fiscal year through the 1986-87 fiscal year,
inclusive, the levels specified in paragraph (1) increased by the
lesser of the change in cost of living or California per capita
personal income for the preceding calendar year.
   (3) For the 1986-87 fiscal year, the levels specified in paragraph
(2) increased by one hundred eighty dollars ($180) for elementary
districts, one hundred ninety-one dollars ($191) for unified
districts, and two hundred seven dollars ($207) for high school
districts.
   (4) For the 1987-88 fiscal year, the levels specified in paragraph
(3) increased by the lesser of the change in cost of living or
California per capita personal income for the preceding calendar
year.
   (5) For the 1988-89 fiscal year and each fiscal year thereafter,
the foundation program level shall be the appropriations limit of the
school district for the current fiscal year, plus amounts paid for
any nonreimbursed court or federal mandates imposed on or after
November 6, 1979, less the sum of the following:
   (A) Interest earned on the proceeds of taxes during the current
fiscal year.
   (B) The 50 percent of miscellaneous funds received during the
current fiscal year which are from the proceeds of taxes.
   (C) Locally voted taxes received during the current fiscal year,
such as parcel taxes or square foot taxes, unless for voter-approved
bonded debt.
   (D) Any other local proceeds of taxes received during the current
fiscal year, other than local taxes which count towards the revenue
limit, such as excess bond revenues transferred to a district's
general fund pursuant to Section 15234 of the Education Code.
   (c) "Proceeds of taxes" shall be deemed to include subventions
received from the state only if those subventions are for one of the
following two purposes:
   (1) Basic aid subventions of one hundred twenty dollars ($120) per
ADA.
   (2) Additional apportionments which, when added to the district's
local revenues as defined in Section 42238 of the Education Code, do
not exceed the foundation program level for that district. In no case
shall subventions received from the state for reimbursement of state
mandates in accordance with the provisions of Section 6 of Article
XIII B of the California Constitution or of Section 17561 or for
reimbursement of court or federal mandates imposed on or after
November 6, 1979, be considered "proceeds of taxes" for the purposes
of this section.
   (d) Proceeds of taxes for a fiscal year shall not include any
proceeds of taxes within the district's beginning balance or reserve,
unless those funds were not appropriated in a prior fiscal year.
Funds that were appropriated to a reserve or other fund referenced in
Section 5 of Article XIII B of the California Constitution shall be
deemed to be appropriated for the purpose of this paragraph.
   (e) The remainder of the state apportionments, including special
purpose apportionments and categorical aid subventions shall not be
considered proceeds of taxes for a school district.
   (f) Each school district shall report to the Superintendent of
Public Instruction and to the Director of Finance at least annually
its appropriation limit, its appropriations subject to limitation,
the amount of its state aid apportionments and subventions included
within the proceeds of taxes of the school district, and amounts
excluded from its appropriations limit, at a time and in a manner
prescribed by the Superintendent of Public Instruction and approved
by the Director of Finance.
   (g) For the 1988-89 fiscal year and each fiscal year thereafter,
nothing in paragraph (2) of subdivision (c) shall be so construed as
to require that the amount determined pursuant to subdivision (b) be
multiplied by the amount determined pursuant to subdivision (a) for
purposes of determining the amount of state aid included in school
district "proceeds of taxes" for purposes of this section.
   SEC. 15.    Section 8880.5 of the  
Government Code   is amended to read: 
   8880.5.  Allocations for education:
   The California State Lottery Education Fund is created within the
State Treasury, and is continuously appropriated for carrying out the
purposes of this chapter. The Controller shall draw warrants on this
fund and distribute them quarterly in the following manner, provided
that the payments specified in subdivisions (a) to (g), inclusive,
shall be equal per capita amounts.
   (a)  (1)   Payments shall be made directly to
public school districts, including county superintendents of schools,
serving kindergarten and grades 1 to 12, inclusive, or any part
thereof, on the basis of an equal amount for each unit of average
daily attendance, as defined by law and adjusted pursuant to
subdivision (). 
   (2) For purposes of this paragraph, in each of the 2008-09,
2009-10, 2010-11, 2011-12, and 2012-13 fiscal years, the number of
units of average daily attendance in each of those fiscal years for
programs for public school districts, including county
superintendents of schools, serving kindergarten and grades 1 to 12,
inclusive, shall include the same amount of average daily attendance
for classes for adults and regional occupational centers and programs
used in the calculation made pursuant to this subdivision for the
2007-08 fiscal year. 
   (b) Payments shall also be made directly to public school
districts serving community colleges, on the basis of an equal amount
for each unit of average daily attendance, as defined by law.
   (c) Payments shall also be made directly to the Board of Trustees
of the California State University on the basis of an amount for each
unit of equivalent full-time enrollment. Funds received by the
trustees shall be deposited in and expended from the California State
University Lottery Education Fund, which is hereby created or, at
the discretion of the trustees, deposited in local trust accounts in
accordance with subdivision (j) of Section 89721 of the Education
Code.
   (d) Payments shall also be made directly to the Regents of the
University of California on the basis of an amount for each unit of
equivalent full-time enrollment.
   (e) Payments shall also be made directly to the Board of Directors
of the Hastings College of the Law on the basis of an amount for
each unit of equivalent full-time enrollment.
   (f) Payments shall also be made directly to the Department of the
Youth Authority for educational programs serving kindergarten and
grades 1 to 12, inclusive, or any part thereof, on the basis of an
equal amount for each unit of average daily attendance, as defined by
law.
   (g) Payments shall also be made directly to the two California
Schools for the Deaf, the California School for the Blind, and the
three Diagnostic Schools for Neurologically Handicapped Children, on
the basis of an amount for each unit of equivalent full-time
enrollment.
   (h) Payments shall also be made directly to the State Department
of Developmental Services and the State Department of Mental Health
for clients with developmental or mental disabilities who are
enrolled in state hospital education programs, including
developmental centers, on the basis of an equal amount for each unit
of average daily attendance, as defined by law.
   (i) No Budget Act or other statutory provision shall direct that
payments for public education made pursuant to this chapter be used
for purposes and programs (including workload adjustments and
maintenance of the level of service) authorized by Chapters 498, 565,
and 1302 of the Statutes of 1983, Chapter 97 or 258 of the Statutes
of 1984, or Chapter 1 of the Statutes of the 1983-84 Second
Extraordinary Session.
   (j) School districts and other agencies receiving funds
distributed pursuant to this chapter may at their option utilize
funds allocated by this chapter to provide additional funds for those
purposes and programs prescribed by subdivision (i) for the purpose
of enrichment or expansion.
   (k) As a condition of receiving any moneys pursuant to subdivision
(a) or (b), each district and county superintendent of schools shall
establish a separate account for the receipt and expenditure of
those moneys, which account shall be clearly identified as a lottery
education account.
   () Commencing with the 1998-99 fiscal year, and each year
thereafter, for the purposes of subdivision (a), average daily
attendance shall be increased by the statewide average rate of
excused absences for the 1996-97 fiscal year as determined pursuant
to the provisions of Chapter 855 of the Statutes of 1997. The
statewide average excused absence rate, and the corresponding
adjustment factor required for the operation of this subdivision,
shall be certified to the State Controller by the Superintendent of
Public Instruction.
   (m) It is the intent of this chapter that all funds allocated from
the California State Lottery Education Fund shall be used
exclusively for the education of pupils and students and no funds
shall be spent for acquisition of real property, construction of
facilities, financing of research, or any other noninstructional
purpose.
   SEC. 16.    Item 6110-488 of Section 2.00 of the
Budget Act of 2008 (Chapters 268 and 269), as amended by Section 30
of Chapter 12 of the Statutes of 2009, Third Extraordinary Session,
is amended to read: 
6110-488--Reappropriation (Proposition 98),
Department of Education. Notwithstanding any other
provision of law, the unobligated balances from the
following items are available for reappropriation
for the purposes specified in Provisions 3, 4, and 5:
       0001--General Fund
       (1)        $12,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for preschool
                  education and child care programs
                  in Schedules (1) and (1.5) of Item
                  6110-196-0001     of the Budget Act
                  of 2003 (Ch. 157, Stats. 2003), as
                  carried forward per Provision 1 of
                  Item 6110-196-0001 of the Budget
                  Act of 2005 (Chs. 38 and 39, Stats.
                  2005).
       (2)        $1,441,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for preschool
                  education and child care programs
                  in Schedules (1) and (1.5) of Item
                  6110-196-0001 of the Budget Act of
                  2004 (Ch. 208, Stats. 2004), as
                  carried forward per Provision 1 of
                  Item 6110-196-0001 of the Budget
                  Act of 2006 (Chs. 47 and 48, Stats.
                  2006).
       (3)        $3,663,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for preschool
                  education and child care programs
                  in     Schedules (1) and (1.5) of
                  Item 6110-196-0001 of the Budget
                  Act of 2005 (Chs. 38 and 39, Stats.
                  2005), $1,749,000 of which was
                  carried forward per Provision 1 of
                  Item 6110-196-0001 of the Budget
                  Act of 2007 (Chs. 171 and 172,
                  Stats. 2007).
       (4)        $12,921,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for CalWORKs Stage 2
                  and Stage 3 child care in Schedules
                  (1.5)(e) and (1.5)(f) of Item 6110-
                  196-0001 of the Budget Act of 2006
                  (Chs. 47 and 48, Stats. 2006).
       (6)        $18,120,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for preschool
                  education and child care programs
                  in Schedules (1) and (1.5) of
                  Item 6110-196-0001 of the Budget
                  Act of 2007 (Chs. 171 and 172,
                  Stats. 2007), with the exception of
                  Schedules (1.5)(e) and (1.5)(f) for
                  CalWORKs child care programs.
       (7)        $8,000,000 of the amount
                  appropriated to the Child Care
                  Facilities Revolving Fund
                  established pursuant to Section
                  8278.3 of the Education Code from
                  Section 2.00 of the Budget Act of
                  2007 (Chs. 171 and 172, Stats.
                  2007).
       (8)        $5,000,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the provision of
                  wraparound care to children
                  enrolled in preschool programs
                  pursuant to Section 8238.6 of the
                  Education Code (Ch. 211, Stats.
                  2006).
       (9)        $48,000 or whatever greater or
                  lesser amount reflects the
                  unexpended funds from subdivision
                  (a) of Section 9 of Chapter 734 of
                  the Statutes of 1999.
       (10)       $21,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for Community-Based
                  English Tutoring pursuant to
                  Section 315 of the Education Code,
                  as enacted by Proposition 227 in
                  1998.
       (11)       $9,200,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount

                 appropriated for juvenile education
                  in Item 5225-011-0001 of the Budget
                  Act of 2007 (Chs. 171     and 172,
                  Stats. 2007).
       (12)       $76,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for Small School
                  District Bus Replacement in
                  Schedule (2) of Item 6110-111-0001
                  of the Budget Act of 2005 (Chs. 38
                  and 39, Stats. 2005).
       (13)       $488,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for Home to School
                  Transportation in Schedule (1) of
                  Item 6110-111-0001 of the Budget
                  Act of 2006 (Chs. 47 and 48, Stats.
                  2006).
       (14)       $545,000 or whatever     greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the California
                  High School Exit Examination in
                  Schedule (4) of Item 6110-113-0001
                  of the Budget Act of 2006 (Chs. 47
                  and 48, Stats. 2006).
       (15)       $2,060,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for Assessment Review
                  and Reporting and the STAR Program
                  in Schedules (1) and (2) of Item
                  6110-113-0001 of the Budget Act of
                  2007 (Chs. 171 and 172, Stats.
                  2007).
       (16)       $19,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for transfer to the
                  State School Fund for specialized
                  secondary programs in Item     6110-
                  122-0001 of the Budget Act of 2006
                  (Chs. 47 and 48, Stats. 2006).
       (17)       $17,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Immediate
                  Intervention/Underperforming
                  Schools Program Corrective Actions
                  in Schedule (3) of Item 6110-123-
                  0001 of the Budget Act of 2005
                  (Chs. 38 and 39, Stats. 2005).
       (18)       $2,993,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the implementation
                  of the Public Schools
                  Accountability Act of 1999 for the
                  Immediate
                  Intervention/Underperforming
                  Schools Program Corrective Actions
                  in Schedule (2) of Item 6110-123-
                  0001 of the Budget Act of 2006
                  (Chs. 47 and     48, Stats. 2006).
       (19)       $615,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the implementation
                  of the Public Schools
                  Accountability Act of 1999 for the
                  Immediate
                  Intervention/Underperforming
                  Schools Program Corrective Actions
                  in Schedule (2) of Item 6110-123-
                  0001 of the Budget Act of 2007
                  (Chs. 171 and 172, Stats. 2007).
       (20)       $5,149,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the English
                  Language Learners Program in
                  Schedule (2) of Item 6110-125-0001
                  of the Budget Act of 2006 (Chs. 47
                  and 48, Stats. 2006).
       (21)       $5,149,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the English
                  Language Acquisition Program in
                  Schedule (2) of Item 6110-125-0001
                  of the Budget Act of 2007 (Chs. 171
                  and 172, Stats. 2007).
       (22)       $109,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for transfer to the
                  State School Fund for Economic
                  Impact Aid in Schedule (1) of Item
                  6110-128-0001 of the Budget Act of
                  2005 (Chs. 38 and 39, Stats. 2005).
       (23)       $4,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance     of the
                  amount appropriated for transfer to
                  the State School Fund for Economic
                  Impact Aid in Item 6110-128-0001 of
                  the Budget Act of 2006 (Chs. 47 and
                  48, Stats. 2006).
       (24)       $1,500,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Administrator
                  Training Program in Item 6110-144-
                  0001 of the Budget Act of 2007
                  (Chs. 171 and 172, Stats. 2007).
       (25)       $7,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the American
                  Indian Early Childhood Education
                  Program in Item 6110-150-0001 of
                  the Budget Act of 2006 (Chs. 47 and
                  48, Stats. 2006).
       (26)       $110,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for American Indian
                  Education Centers in Schedule (1)
                  of Item 6110-151-0001 of the Budget
                  Act of 2005 (Chs. 38 and 39, Stats.
                  2005).
       (27)       $177,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for American Indian
                  Education Centers in Item 6110-151-
                  0001 of the Budget Act of 2006
                  (Chs. 47 and 48, Stats. 2006).
       (28)       $1,385,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for adults in
                  correctional facilities in Item
                  6110-158-0001 of the Budget Act of
                  2006 (Chs. 47 and 48, Stats. 2006).
       (29)       $107,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for special education
                  instruction in Schedule (1) of Item
                  6110-161-0001 of the Budget Act of
                  2005 (Chs. 38 and 39, Stats. 2005).
       (30)       $21,919,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for special education
                  instruction in Schedule (1) of Item
                  6110-161-0001 of the Budget Act of
                  2006 (Chs. 47 and 48, Stats. 2006).
       (31)       $57,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for vocational
                  education for partnership academies
                  in Item 6110-166-0001 of the Budget
                  Act of 2006 (Chs. 47 and 48, Stats.
                  2006).
       (32)       $23,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Agricultural
                  Vocational Education Incentive
                  Program in Item 6110-167-0001 of
                  the Budget Act of 2005 (Chs. 38 and
                  39, Stats. 2005).
       (33)       $369,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for educational
                  technology programs in Item
                  6110-181-0001 of the Budget Act of
                  2005 (Chs. 38 and 39, Stats. 2005).
       (34)       $369,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  transferred to the State School
                  Fund for educational technology
                  programs in Item 6110-181-0001 of
                  the Budget Act of 2006 (Chs. 47 and
                  48, Stats. 2006).
       (35)       $27,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for staff development
                  for teacher peer review in Schedule
                  (2) of Item 6110-193-0001 of the
                  Budget Act of 2005 (Chs. 38 and 39,
                  Stats. 2005).
       (36)       $95,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Bilingual
                  Teacher Training Assistance Program
                  and teacher peer review in
                  Schedules (1) and (2) of Item 6110-
                  193-0001 of the Budget Act of 2006
                  (Chs. 47 and 48, Stats. 2006).
       (37)       $43,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for transfer to the
                  State School Fund for teacher
                  dismissal apportionments in Item
                  6110-209-0001 of the Budget Act of
                  2006 (Chs. 47 and 48, Stats. 2006).
       (38)       $13,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for     School
                  Community Policing Partnership
                  Competitive Grants Program in
                  Schedule (5) of Item 6110-228-0001
                  of the Budget Act of 2004 (Ch. 208,
                  Stats. 2004).
       (39)       $21,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the International
                  Baccalaureate Diploma Program in
                  Schedule (1) of Item 6110-240-0001
                  of the Budget Act of 2005 (Chs. 38
                  and 39, Stats. 2005).
       (40)       $6,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Teacher
                  Credentialing Block Grant Program
                  in Item 6110-244-0001 of the Budget
                  Act of 2006 (Chs. 47 and 48, Stats.
                  2006).
       (41)       $79,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the School and
                  Library Improvement Block Grant
                  Program in Item 6110-247-0001 of
                  the Budget Act of 2006 (Chs. 47 and
                  48, Stats. 2006).
       (42)       $186,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the School and
                  Library Improvement Block Grant
                  Program in Item 6110-247-0001 of
                  the Budget Act of 2007 (Chs. 171
                  and 172, Stats. 2007).
       (43)       $30,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Physical
                  Education Teacher Incentive Grant
                  Program in Item 6110-260-0001 of
                  the Budget Act of 2006 (Chs. 47 and
                  48, Stats. 2006).
       (44)       $641,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated to county offices of
                  education for site visits for
                  Williams audits in Item 6110-266-
                  0001 of the Budget Act of 2007
                  (Chs. 171 and 172, Stats. 2007).
       (45)       $101,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Charter School
                  Facility Grant Program in Schedule
                  (7) of Item 6110-485 of the Budget
                  Act of 2005 (Chs. 38 and 39, Stats.
                  2005).
       (46)       $600,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Principal
                  Training Program in Schedule (8) of
                  Item 6110-485 of the Budget Act of
                  2006 (Chs. 47 and 48, Stats. 2006).
       (47)       $25,645,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance for the After
                  School Education and Safety Program
                  in Item 6110-649-0001 from the 2004-
                  05 fiscal year appropriation
                  pursuant to Section 8483.5 of the
                  Education Code, as enacted by
                  Proposition 49 in 2002.
       (48)       $178,352,000 or whatever greater or
                  lesser amount     reflects the
                  unexpended balance for the After
                  School Education and Safety Program
                  in Item 6110-649-0001 from the 2007-
                  08 fiscal year appropriation
                  pursuant to Section 8483.5 of the
                  Education Code, as enacted by
                  Proposition 49 in 2002, and
                  pursuant to Section 8483.51 of the
                  Education Code as enacted by
                  Chapter 2 of the Statutes of 2008,
                  Third Extraordinary Session.
       (49)       $20,000,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for special education
                  instruction in Schedule (1) of Item
                  6110-161-0001 of the Budget Act of
                  2007 (Chs. 171 and 172, Stats.
                  2007).
       (50)       $520,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance for the
                  After School Education and Safety
                  Program in Item 6110-649-0001 from
                  the 2006-07 fiscal year
                  appropriation pursuant to Section
                  8483.5 of the Education Code, as
                  enacted by Proposition 49 in 2002,
                  and pursuant to Section 8483.51 of
                  the Education Code, as enacted by
                  Chapter 2 of the Statutes of 2008,
                  Third Extraordinary Session.
       (51)       $3,207,465 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for special education
                  programs in Schedule (1) of Item
                  6110-161-0001 of the Budget Act of
                  2003 (Ch. 157, Stats. 2003).
       (52)       $10,922 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the School Safety
                  Consolidated Competitive Grant in
                  Item 6110-248-0001 of the Budget
                  Act of 2005 (Chs. 38 and 39, Stats.
                  2005).
       (53)       $10,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the adult
                  education program and regional
                  occupational programs pursuant to
                  Article 2 (commencing with Section
                  51120) of Chapter 1.5 of Part 28 of
                  Division 4 of Title 2 of the
                  Education Code in Schedule (3) of
                  Section 43 of Chapter 79 of the
                  Statutes of 2006.
       (54)       $27,500 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the parental
                  involvement program pursuant to
                  Article 2 (commencing with Section
                  51120) of Chapter 1.5 of     Part
                  28 of Division 4 of Title 2 of the
                  Education Code in Schedule (9) of
                  Section 43 of Chapter 79 of the
                  Statutes of 2006.
       (55)       $114,395 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for teacher
                  recruitment and retention pursuant
                  to Article 2 (commencing with
                  Section 51120) of Chapter 1.5 of
                  Part 28 of Division 4 of Title 2 of
                  the Education Code in Schedule (20)
                  of Section 43 of Chapter 79 of the
                  Statutes of 2006.
       (56)       $25,725 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for start-up school
                  breakfast and summer food program
                  pursuant to Article 2 (commencing
                  with Section 51120) of Chapter 1.5
                  of Part 28 of Division 4 of Title 2
                  of the Education Code in Schedule
                  (8) of Section 43 of Chapter 79 of
                  the Statutes of 2006.
       (57)       $831,523 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for prior year mandate
                  claims made by local education
                  agencies pursuant to Article 2
                  (commencing with Section 51120) of
                  Chapter 1.5 of Part 28 of Division
                  4 of Title 2 of the Education Code
                  in Schedule (1) of Section 43 of
                  Chapter 79 of the Statutes of 2006.
       (58)       $3,115,995 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the High Priority
                  Schools Grant Program in Schedule
                  (1) of Item 6110-123-0001 of the
                  Budget Act of 2006 (Chs. 47 and 48,
                  Stats. 2006).
       (59)       $247,611 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Special
                  Education Infant Program in
                  Schedule (1) of Item 6110-161-0001
                  of the Budget Act of 2006 (Chs. 47
                  and 48, Stats. 2006).
       (60)       $730,454 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Early
                  Education for Individuals with
                  Exceptional Needs in Schedule (2)
                  of Item 6110-161-0001 of the Budget
                  Act of 2006 (Chs. 47 and 48, Stats.
                  2006).
       (61)       $44,135 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Agricultural
                  Vocational Education in Item 6110-
                  167-0001 of the Budget Act of 2006
                  (Chs. 47 and 48, Stats. 2006).
       (62)       $29,837 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the California
                  High School Exit Exam Intensive
                  Intervention Program in Item 6110-
                  204-0001 of the Budget Act of 2006
                  (Chs. 47 and 48, Stats. 2006).
       (63)       $6,057 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the School Safety
                  Block Grant in Schedule (1) of Item
                  6110-228-0001     of the Budget Act
                  of 2006 (Chs. 47 and 48, Stats.
                  2006).
       (64)       $8,500,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the K-3 Class Size
                  Reduction Program in Item 6110-234-
                  0001 of the Budget Act of 2006
                  (Chs. 47 and 48, Stats. 2006).
       (65)       $339,439 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Pupil
                  Retention Block Grant in Item 6110-
                  243-0001 of the Budget Act of 2006
                  (Chs. 47 and 48, Stats. 2006).
       (66)       $98,647 or whatever     greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Professional
                  Development Block Grant in Item
                  6110-245-0001 of the Budget Act of
                  2006 (Chs. 47 and 48, Stats. 2006).
       (67)       $5,130 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Arts and Music
                  Block Grant in Item 6110-265-0001
                  of the Budget Act of 2006 (Chs. 47
                  and 48, Stats. 2006).
       (68)       $1,941,700 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Certificated
                  Staff Mentoring Program in Item
                  6110-267-0001 of the Budget Act of
                  2006 (Chs. 47 and 48, Stats. 2006).
       (69)       $12,844 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the School Safety
                  Block Grant Program pursuant to
                  subparagraph (J) of paragraph (2)
                  of subdivision (a) of Section 31 of
                  Chapter 73 of the Statutes of 2005.
       (70)       $11,705,886 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for adult education
                  programs pursuant to subparagraph
                  (G) of paragraph (2) of subdivision
                  (a) of Section 31 of Chapter 73 of
                  the Statutes of 2005.
       (71)       $1,217,782 or whatever     greater
                  or lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Prior Year K-
                  12 Education Mandate Claims in
                  Schedule (10) of Item 6110-485 of
                  the Budget Act of 2006 (Chs. 47 and
                  48, Stats. 2006).
       (72)       $57,239 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Prior Year K-
                  12 Education Mandate Claims in
                  Schedule (12) of Item 6110-485 of
                  the Budget Act of 2006 (Chs. 47 and
                  48, Stats. 2006).
       (73)       $40,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the specialized
                  secondary programs in Item 6110-122-
                  0001 of the Budget Act of 2007
                  (Chs. 171 and 172, Stats.     2007).
       (74)       $658,800 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the High Priority
                  Schools Grant Program in Schedule
                  (1) of Item 6110-123-0001 of the
                  Budget Act of 2007 (Chs. 171 and
                  172, Stats. 2007).
       (75)       $40,310 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Partnership
                  Academies Program in Item 6110-166-
                  0001 of the Budget Act of 2007
                  (Chs. 171 and 172, Stats. 2007).
       (76)       $145,000 or whatever greater or
                  lesser amount     reflects the
                  unexpended balance of the amount
                  appropriated for the National Board
                  Certification Program in Item 6110-
                  195-0001 of the Budget Act of 2007
                            (Chs. 171 and 172, Stats. 2007).
       (77)       $49,774 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the California
                  High School Exit Exam Intensive
                  Instruction Program in Item 6110-
                  204-0001 of the Budget Act of 2007
                  (Chs. 171 and 172, Stats. 2007).
       (78)       $41,445 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Teacher
                  Dismissal Apportionment Program in
                  Item 6110-209-0001 of the Budget
                  Act of 2007 (Chs. 171 and 172,
                  Stats. 2007).
       (79)       $1,003,040 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Pupil
                  Retention Program in Item 6110-243-
                  0001 of the Budget Act of 2007
                  (Chs. 171 and 172, Stats. 2007).
       (80)       $167,158 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Professional
                  Development Block Grant in Item
                  6110-245-0001 of the Budget Act of
                  2007 (Chs. 171 and 172, Stats.
                  2007).
       (81)       $429,880 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of     the
                  amount appropriated for the
                  Certificated Staff Mentoring
                  Program in Item 6110-267-0001 of
                  the Budget Act of 2007 (Chs. 171
                  and 172, Stats. 2007).
       (82)       $7,821 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Home to School
                  Transportation Program in Schedule
                  (14) of Item 6110-485 of the Budget
                  Act of 2007 (Chs. 171 and 172,
                  Stats. 2007).
       (83)       $281,207 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Quality
                  Education Improvement Act in
                  subparagraph (B) of paragraph (1)
                  of subdivision (c) of Section
                  52055.770 of the Education Code.
       (84)       $499,639 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated to the California
                  Community Colleges in Schedule (15)
                  of Item 6870-101-0001 of the Budget
                  Act of 2006 (Chs. 47 and 48, Stats.
                  2006).
       (85)       $145,359 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated to the California
                  Community Colleges for nursing
                  faculty recruitment and retention
                  in paragraph (30) of subdivision
                  (a) of Section 43 of Chapter 79 of
                  the Statutes of 2006.
       (86)       $229,653 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated to the California
                  Community Colleges in Schedule (18)
                  of Item 6870-101-0001 of the Budget
                  Act of 2006 (Chs. 47 and 48, Stats.
                  2006).
       (87)       $40,000 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated to the California
                  Community Colleges in Schedule (15)
                  of Item 6870-101-0001 of the Budget
                  Act of 2007 (Chs. 171 and 172,
                  Stats. 2007).
       (88)       $59,931 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated to the     California
                  Community Colleges in Schedule (20)
                  of Item 6870-101-0001 of the Budget
                  Act of 2007 (Chs. 171 and 172,
                  Stats. 2007).
       (89)       $81,824 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated to the California
                  Community Colleges in Schedule (23)
                  of Item 6870-101-0001 of the Budget
                  Act of 2007 (Chs. 171 and 172,
                  Stats. 2007).
       (90)       $404,091 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated to the California
                  Community Colleges in Schedule (18)
                  of Item 6870-101-0001 of the Budget
                  Act of 2007 (Chs. 171 and 172,
                  Stats. 2007).
       (91)       $817,973 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated to the California
                  Community Colleges in Schedule (6)
                  of Item 6870-101-0001 of the Budget
                  Act of 2007 (Chs. 171 and 172,
                  Stats. 2007).
       (92)       $8,738,578 or whatever greater or
                  lesser amount reflects the
                  unexpended balance of the amount
                  appropriated for the Prior Year K-
                  12 Education Mandate Claims of
                  subparagraph (A) of paragraph (3)
                  of subdivision (a) of Section 44 of
                  Chapter 79 of the Statutes of 2006.
        (93)       $6,000,000 or whatever greater or 
                   lesser amount reflects the 
                   unexpended balance of the amount 
                   appropriated for juvenile education 
                   in Item 5225-011-0001 of the Budget 
                   Act of 2006 (Chs. 47 and 48, Stats. 
                   2006). 
        (94)       $10,000,000 or whatever greater or 
                   lesser amount reflects the 
                   unexpended balance of the amount 
                   appropriated for juvenile education 
                   in Item 5225-011-0001 of the Budget 
                   Act of 2008 (Chs. 268 and 269, 
                   Stats. 2008). 
       Provisions:
       3.         The sum of $38,631,987 is hereby
                  reappropriated to the State
                  Department of Education for
                  transfer by the Controller to
                  Section A of the State School Fund
                  for allocation by the
                  Superintendent of Public
                  Instruction for the purpose of
                  funding CalWORKs Stage 2 child
                  care. The amount reappropriated
                  pursuant to this provision is for
                  use in the 2008-09 fiscal year.
       4.         The sum of $164,686,000 is hereby
                  reappropriated to the State
                  Department of Education for
                  transfer by the Controller to
                  Section A of the State School Fund
                  for allocation by the
                  Superintendent of Public
                  Instruction for the purpose of
                  funding     CalWORKs Stage 3 child
                  care. The amount reappropriated
                  pursuant to this provision is for
                  use in the 2008-09 fiscal year.
       5.         The sum of $46,161,769 is hereby
                  reappropriated to the State
                  Department of Education for
                  transfer by the Controller to
                  Section A of the State School Fund
                  for allocation by the
                  Superintendent of Public
                  Instruction for the Class Size
                  Reduction Program pursuant to
                  Chapter 6.10 (commencing with
                  Section 52120) of Part 28 of
                  Division 4 of Title 2 of the
                  Education Code.
        6.         The sum of $16,000,000 is hereby 
                   reappropriated to the State 
                   Department of Education for 
                   transfer by the Controller to 
                   Section A of the State School Fund 
                   for allocation by the 
                   Superintendent of Public 
                   Instruction for the purpose of 
                   funding school district revenue 
                   limit apportionments. The amount 
                   reappropriated pursuant to this 
                   section is for use in the 2008-09 
                   fiscal year. 


   SEC. 17.    Item 6440-001-0001 of Section 2.00 of the
Budget Act of 2008, as amended by Chapter 2 of the Statutes of 2009,
Third Extraordinary Session, is amended to read: 
6440-001-0001--For support of University
of California............................  2,930,023,000

                                            2,212,523,000 
    Schedule:
    (1)  Support.............  3,118,116,00  

                               3,386,616,00 
                                         0
    (2)  Charles R. Drew
         Medical Program.....    8,738,000
    (3)  Acquired Immune
         Deficiency Syndrome
         (AIDS) Research.....    9,214,000
    (4)  Student Financial
         Aid.................   52,199,000
    (5)  Loan Repayments.....    5,105,000
    (6)  San Diego
         Supercomputer
         Center..............    3,240,000
    (8)  Unallocated
         Reduction...........  -266,589,000 
                               -984,089,000 
     (9)  Reimbursements...... -268,500,000 
    Provisions:
    1.   The appropriations made in this
         item are exempt from Section
         31.00.
    2.   None of the funds appropriated
         in this item may be expended to
         initiate major capital outlay
         projects by contract without
         prior legislative approval,
         except for cogeneration and
         energy conservation projects.
         Funds appropriated in this item
         may be used for capital
         expenditures as well as payment
         of debt service for such
         exempted capital projects.
         Exempted projects shall be
         reported in a manner consistent
         with the reporting procedures in
         subdivision (e) of Section 28.00.
         Funds appropriated in this item
         may be used for capital
         expenditures as well as payment
         of debt service associated with
         the Energy Partnership Program,
         whereby the University of
         California will receive
         financial incentives from state
         investor-owned utilities to
         undertake energy conservation
         projects. The use of state
         operations funding for these
         energy savings projects may not
         infringe on the university's
         funding for its instructional
         support activities. The Director
         of Finance may authorize program
         expenditures for the list of
         planned projects not sooner than
         30 days after notification in
         writing is provided to the
         chairpersons of the committees
         in each house of the Legislature
         that consider appropriations,
         the chairpersons of the
         committees and the appropriate
         subcommittees in each house of
         the Legislature     that
         consider the State Budget, and
         the Chairperson of the Joint
         Legislative Budget Committee.
         The list of planned projects
         submitted for approval for a
         given funding cycle should be
         all-inclusive and may include
         projects that eventually may not
         be initiated during that funding
         cycle. A project not included on
         the list of planned projects for
         that funding cycle, but with
         which the university wishes to
         proceed during the budget year,
         may be treated as an exempted
         project as described above and
         reported in a manner consistent
         with the reporting procedures in
         subdivision (e) of Section
         28.00. No later than November 15
         of each year, the university
         shall prepare a report
         describing the identified
         projects funded under the Energy
         Partnership Program in the prior
         year. The report shall include
         the cost of each project, how
         the cost is being funded,
         including the amount funded from
         support budget funds and
         investor-owned utility incentive
         awards, and the projected amount
         of energy savings. These reports
         will sunset     at the end of
         the program.
    3.   The funds appropriated in
         Schedule (2) are for support of
         University of California
         programs of clinical health
         sciences education, research,
         and public service, conducted in
         conjunction with the Charles R.
         Drew University of Medicine and
         Science, as provided for in
         Sections 1, 2, and 3 of Chapter
         1140 of the Statutes of 1973. Of
         the funds appropriated, $500,000
         is contingent upon the provision
         by the University of California
         of an equal amount of matching
         funds from its own resources.
         The University of California
         shall ensure by adequate
         controls that funds appropriated
         in Schedule (2) are expended
         solely for the support of the
         program identified in that
         schedule.
    4.   The funds appropriated in
         Schedule (4) are for support of
         Program 45, Student Financial
         Aid, to provide financial aid to
         needy students attending the
         University of California,
         according to the nationally
         accepted needs analysis
         methodology.
    5.   Of the funds appropriated in
         Schedule (1), $2,762,129 is for
         payment of energy service
         contracts in connection with the
         issuance of State Public Works
         Board Energy Efficiency Revenue
         Bonds.
    6.   Of the funds appropriated in
         Schedule (5), $2,700,000 is for
         repayment of $25,000,000
         borrowed by the University of
         California for deferred
         maintenance in the 1994-95
         fiscal year.     It is the
         intent of the Legislature to
         annually provide funds for that
         repayment purpose through the
         2009-10 fiscal year.
    7.   Of the funds appropriated in
         Schedule (5), $2,405,000 is for
         repayment of $25,000,000
         borrowed by the University of
         California for deferred
         maintenance in the 1995-96
         fiscal year. It is the intent of
         the Legislature to annually
         provide funds for that repayment
         purpose through the 2010-11
         fiscal year.
    8.   Of the funds appropriated in
         Schedule (1), $1,897,200 is for
         the California State Summer
         School for Mathematics and
         Science (COSMOS). The University
         of California shall report on
         the outcomes and effectiveness
         of COSMOS every five years,
         commencing April 1, 2011.
    9.   The University of California
         (UC) shall report to the
         Legislature and the Governor by
         February 1 of each year on its
         progress toward increasing the
         quality and supply of science
         and mathematics teachers
         resulting from implementation of
         the Science and Math Teacher
         Initiative. This report shall
         include the following
         information: (a) annual number
         of mathematics and science
         teachers awarded credentials (by
         each UC campus) beginning with
         the 2004-05 academic year
         (before the state first provided
         funding for the initiative), (b)
         an expenditure plan on the use
         of the funds appropriated in
         this item, (c) the effectiveness
         of the initiative's different
         components and activities,
         including an identification of
         best practices, and (d) the job
         placement of students who earn a
         mathematics or science teaching
         credential, including the
         location of the K-12 school of
         employment and whether it is in
         an urban, rural, or suburban
         setting.
    10.  The University of California
         shall report to the Legislature
         by March 15, 2009, on whether it
         has met its 2008-09 academic
         year enrollment goal.
    11.  Of the funds appropriated in
         Schedule (1), $1,050,000 is to
         support 70 full-time equivalent
         students in the Program in
         Medical Education (PRIME) at the
         Irvine, Davis, San Diego, and
         San Francisco campuses. The
         primary purpose of this program
         is to train physicians
         specifically to serve in
         underrepresented communities.
         The University of California
         shall report to the Legislature
         by March     15, 2009, on (a)
         its progress in implementing the
         PRIME program and (b) the use of
         the total funds provided for
         this program from both state and
         nonstate resources.
    12.  The university shall report to
         the Legislature and the Governor
         by May 1, 2009, on the total
         enrollment in the 2007-08 and
         2008-09 academic years in the
         entry-level clinical and
         master's degree nursing programs
         and the master's of science
         nursing degree programs.
    13.  It is the intent of the
         Legislature that the University
         of California submit an annual
         report by March 1 of each year
         through the 2010-11 fiscal year
         to the Joint Legislative Budget
         Committee, legislative fiscal
         subcommittees, and     the
         Department of Finance on the
         university's progress in
         reforming its compensation
         policies and practices,
         reflecting the criteria
         specified in Provision 27 of
         Item 6440-001-0001 of the Budget
         Act of 2006 (Chs. 47 and 48,
         Stats. 2006).
    14.  Of the funds appropriated in
         Schedule (1), $19,300,000 is for
         student academic preparation and
         education programs (SAPEP) and
         is to be matched with
         $12,000,000 from existing
         university resources, for a
         total of $31,300,000 for these
         programs. The University of
         California shall provide a plan
         to the Department of Finance and
         the fiscal committees of each
         house of the Legislature for
         expenditure of both state and
         university funds for SAPEP by
         September 1 of each year.
    15.  The amount appropriated in
         Schedule (1) reflects a
         reduction of $32,300,000 to
         institutional support.
    17.  Of the funds appropriated in
         Schedule (1), $693,000 is for
         the Welfare Policy Research
         Project, pursuant to Article 9.7
         (commencing with Section 11526)
         of Chapter 2 of Part 3 of
         Division 9 of the Welfare and
         Institutions Code.
    18.  Of the funds appropriated in
         Schedule (1), $427,500 shall be
         expended for the Center for
         Earthquake Engineering Research,
         contingent upon the center
         continuing to receive federal
         matching funds from the National
         Science Foundation.
    19.  Of the funds appropriated in
         Schedule (1), $346,500 shall be
         expended for viticulture and
         enology research, contingent
         upon the receipt of an equal
         amount of private sector
         matching funds.
    20.  Of the funds appropriated in
         Schedule (1), $16,200,000 is for
         substance abuse research at the
         Department of Neurology at the
         University of California, San
         Francisco.
    21.  Of the funds appropriated in
         Schedule (1), $693,000 shall be
         used for lupus research at the
         University of California, San
         Francisco.
    22.  Of the funds appropriated in
         Schedule (1), $1,385,100 shall
         be used to expand spinal cord
         injury research.
    23.  Of the funds appropriated in
         Schedule (1), $3,463,000 is to
         fund the Medical Investigation
         of Neurodevelopment Disorders
         (MIND) Institute, including
         $3,150,000 for a research grants
         program.
    24.  Of the funds appropriated in
         Schedule (1), $0 is to support
         research on labor and employment
         and labor education throughout
         the University of California
         system.
    25.  The amount appropriated in this
         item reflects a $5,000,000 one-
         time reduction to the Subject
         Matter Projects. An identical
         amount is appropriated in Item
         6110-195-0890 from federal Title
         II carryover funds to ensure the
         projects can be maintained in
         the 2008-09 fiscal year.
    26.  To the extent funds are
         available in Schedule (1), and
         contingent upon the receipt of
         an equal amount of private
         sector matching funds, the
         University of California shall
         allocate funds for the
         California Institute for
         Quantitative Biosciences for the
         purpose of enhancing innovative,
         cost-effective technologies and
         therapies in health care.


   SEC. 18.    Item 6610-001-0001 of Section 2.00 of the
Budget Act of 2008, as amended by Chapter 2 of the Statutes of 2009,
Third Extraordinary Session, is amended to read: 
6610-001-0001--For support of California
State University.........................  2,844,364,000

                                            2,126,864,000 
    Schedule:
    (1)  Support.............  3,082,555,00 
                               3,351,055,00 
                                         0
    (2)  Unallocated
         Reduction...........  -238,191,000 
                               -955,691,000
     (3)  Reimbursements...... -268,500,000 
    Provisions:
    1.   The appropriations made in this
         item are exempt from Section
         31.00, except as otherwise
         provided by the applicable
         sections of the Government Code
         referred to in Section 31.00.
    2.   Of the amount appropriated in
         this item, $350,000 is for
         transfer to the Affordable
         Student Housing Revolving Fund
         for the     purpose of
         subsidizing interest costs in
         connection with bond financing
         for construction of affordable
         student housing at the Fullerton
         and Hayward campuses in
         accordance with Article 3
         (commencing with Section 90085)
         of Chapter 8 of Part 55 of
         Division 8 of Title 3 of the
         Education Code.
    3.   Of the amount appropriated in
         this item, $1,878,000 is for
         repayment of the $17,000,000
         financed for the California
         State University through a third
         party for deferred maintenance
         projects in the 1994-95 fiscal
         year. It is the intent of the
         Legislature to annually provide
         funds for that repayment purpose
         until June 30, 2010.
    4.   Of the amount appropriated in
         this item,     $2,309,000 is for
         repayment of the $24,000,000
         financed for the California
         State University through a third
         party for deferred maintenance
         projects in the 1995-96 fiscal
         year. It is the intent of the
         Legislature to annually provide
         funds for that repayment purpose
         until June 30, 2011.
    5.   The California State University
         (CSU) shall report to the
         Legislature and the Governor by
         February 1 of each year on its
         progress toward increasing the
         quality and supply of science
         and mathematics teachers
         resulting from implementation of
         the Science and Math Teacher
         Initiative. This report shall
         include the following
         information: (a) annual number
         of mathematics and science
         teachers awarded credentials (by
         each CSU campus) beginning with
         the 2004-05 academic year
         (before the state first provided
         funding for the initiative), (b)
         an expenditure plan     on the
         use of the funds appropriated in
         this item, (c) the effectiveness
         of the initiative's different
         components and activities,
         including an identification of
         best practices, and (d) the job
         placement of students who earn a
         math or science teaching
         credential, including the
         location of the K-12 school of
         employment and whether it is in
         an urban, rural, or suburban
         setting.
    6.   The California State University
         shall provide a preliminary
         report to the Legislature by
         March 15, 2009, and a final
         report by May 1, 2009, on
         whether it has met its 2008-09
         academic year enrollment goal.
    7.   The California State University
         shall report to the Legislature
         and the Governor     by May 1,
         2009, on the total enrollment in
         the 2007-08 and 2008-09 academic
         years in the baccalaureate
         nursing degree and entry-level
         master's nursing degree programs.
    8.   The amount appropriated in
         Schedule (1) reflects a
         reduction of $43,199,000 to
         institutional support.
    9.   Of the amount appropriated in
         this item, $33,785,000 is
         provided for student financial
         aid grants. These financial aid
         funds shall be provided to needy
         students according to the
         nationally accepted needs
         analysis methodology.
    10.  Of the amount appropriated
         in Schedule (1), $52,000,000 is
         appropriated for student
         academic preparation and student
         support services programs. The
         California State University
         shall provide $45,000,000 to
         support the Early Academic
         Assessment Program and the
         Educational Opportunity Program.


   SEC. 19.    Item 6870-101-0001 of Section 2.00 of the
Budget Act of 2008, as amended by Chapter 12 of the Statutes of
2009, Third Extraordinary Session, is amended to read: 
6870-101-0001--For local assistance,
Board of Governors of the California
Community Colleges (Proposition 98).....    3,649,230,000

                                             3,449,230,000 
   Schedule:
   (1)  10.10.010-              2,830,717,  

         Apportionments........ 2,715,717, 
         Apportionments........ 
  000
   (2)  10.10.020-
        Apprenticeship........ 14,641,000
   (3)  10.10.030-Growth for   113,500,00
        Apportionments........          0
   (4)  20.10.004-Student
        Success for Basic
        Skills Students....... 33,100,000
   (5)  20.10.005-Student
        Financial Aid
        Administration........ 51,269,000
   (6)  20.10.020-Disabled     115,011,00
        Students..............          0
   (7)  20.10.045-Special
        Services for CalWORKs
        Recipients............ 43,580,000
   (8)  20.10.060-Foster Care
        Education Program.....  5,254,000
   (9)  20.10.070-             101,803,00
        Matriculation.........          0
   (10) 20.20.020-Academic
        Senate for the
        Community Colleges....    467,000
   (11) 20.20.041-Equal
        Employment
        Opportunity pursuant
        to Ch. 1169, Stats.
        2002..................  1,747,000
   (12) 20.20.050-Part-time
        Faculty Health
        Insurance.............  1,000,000
   (13) 20.20.051-Part-time
        Faculty Compensation.. 50,828,000
   (14) 20.20.055-Part-time
        Faculty Office Hours..  7,172,000
   (15) 20.30.011-
        Telecommunications
        and Technology
        Services.............. 26,197,000
   (16) 20.30.050-Economic
        Development........... 46,790,000
   (17) 20.30.070-Transfer
        Education and
        Articulation..........  1,424,000
   (18) 20.40.026-Physical
        Plant and
        Instructional Support. 27,345,000
   (19) 20.10.010-Extended
        Opportunity Programs
        and Services and       122,291,00
        Special Services......          0
   (20) 20.30.045-Fund for
        Student Success.......  6,158,000
   (21) 20.70.010-Career
        Technical Education... 20,000,000
   (22) 20.80.010-Campus
        Childcare Tax Bailout.  6,836,000
   (23) 20.95.010-Nursing
        Program Support....... 22,100,000
    (24) Unallocated Reduction. -85,000,00 
                                        0 
   Provisions:
   1.   The funds appropriated in
        Schedules (1), (2), (3), (4),
        (5), (6), (7), (8), (9), (11),
        (12), (13), (14), (15), (16),
        (18), (19), and (22) are for
        transfer by the Controller
        during the 2008-09 fiscal year
        to Section B of the State School
        Fund.
   2.   Notwithstanding any other
        provision of law, apportionment
        funding for community college
        districts shall be based on the
        greater of the current year or
        prior year level of full-time
        equivalent students (FTES),
        consistent with K-12 declining
        enrollment practices pursuant to
        Section 42238.5 of the Education
        Code. Decreases in FTES shall
        result in a revenue reduction at
        the district's average level of
        apportionment funding per FTES
        and shall be made in the year
        following the initial year of
        decrease in FTES.
   3.   The funds appropriated in
        Schedule (1) for Apportionments
        include $31,409,000 to encourage
        district-level accountability
        efforts pursuant to Section
        84754.5 of the Education Code.
        It is intended that the
        Chancellor of the California
        Community Colleges submit an
        annual report on district-
        specific     accountability
        measures by March 19 of each
        year. This report shall reflect
        outcomes from the most recently
        completed fiscal year for which
        data is available pursuant to
        Section 84754.5 of the Education
        Code.
   4.   Of the funds appropriated in
        Schedule (1), Apportionments:
        (a)   Up to $100,000 is for a
              maintenance allowance,
              pursuant to Section 54200
              of Title 5 of the
              California Code of
              Regulations.
        (b)   Up to $500,000 is to
              reimburse     colleges for
              the costs of federal aid
              repayments related to
              assessed fees for fee
              waiver recipients. This
              reimbursement only applies
              to students who completely
              withdraw from college
              before the census date
              pursuant to Section 58508
              of Title 5 of the
              California Code of
              Regulations.
   5.   Notwithstanding any other
        provision of law, the Chancellor
        of the California Community
        Colleges shall not reduce
        district workload obligations
        for a lack of a funded cost-of-
        living adjustment.
   6.   (a)   Of the amount appropriated
              in Schedule (2) for the
              Apprenticeship Program, up
              to $14,641,000 shall be
              available as necessary
              upon certification by the
              Chancellor of the
              California Community
              Colleges for the purpose
              of funding community
              college-related and
              supplemental instruction
              pursuant to Section 3074
              of the Labor Code, as
              provided in Section 8152
              of the Education Code. No
              community college district
              shall use funds available
              under this provision to
              offer any new
              apprenticeship training
              program or the expansion
              of any existing program
              unless the new program or
              expansion has been
              approved by the chancellor.
        (b)   Notwithstanding Section
              8152 of the Education
              Code, each 60-minute hour
              of teaching time devoted
              to each indentured
              apprentice enrolled in and
              attending classes of
              related and supplemental
              instruction as provided
              under Section 3074 of the
              Labor Code shall be
              reimbursed at the rate of
              $5.06 per hour. For
              purposes of this
              provision, each hour of
              teaching time may include
              up to 10 minutes for
              passing time and breaks.
   7.   Funds appropriated in Schedule
        (3), Growth for Apportionments,
        shall be available first to any
        districts bringing online in the
        current fiscal year newly
        accredited colleges or
        California Postsecondary
        Education Commission-approved
        educational centers. It is the
        intent of the Legislature that
        increases in basic foundation
        allocations to each college be
        funded prior to additional
        growth in full-time equivalent
        students. The Chancellor of the
        California Community Colleges
        shall provide a report by
        November 1 of each year, to the
        Department of Finance and the
        Legislative Analyst, on the
        number of new centers and
        colleges added for the current
        fiscal year and those
        anticipated to be added for the
        prospective budget year. This
        report shall also detail the
        specific     funding adjustments
        provided for basic foundation
        allocations to each college and
        center for the current fiscal
        year.
   8.   Notwithstanding any other
        provision of law, funds
        appropriated in Schedule (3) for
        Growth for Apportionments shall
        only be allocated for growth in
        full-time equivalent students
        (FTES), on a district-by-
        district basis, as determined by
        the Chancellor of the California
        Community Colleges. The
        chancellor shall not include any
        FTES from concurrent enrollment
        in physical education, dance,
        recreation, study skills, and
        personal development courses and
        other courses in conflict with
        existing law for the purpose of
        calculating a district's three-
        year overcap adjustment. The
        Board of Governors of the
        California Community Colleges
        shall implement the criteria
        required by subdivision (a) of
        Provision 5 of Item 6870-101-
        0001 of     the Budget Act of
        2003 (Ch. 157, Stats. 2003) for
        the allocation of funds
        appropriated in Schedules (1)
        and (3), so as to ensure that
        courses related to student needs
        for transfer, basic skills, and
        vocational/workforce training
        are accorded the highest
        priority and are provided to the
        maximum extent possible within
        budgeted funds.
   10.  Of the amount appropriated in
        Schedule (1), $10,000,000 shall
        only be available for noncredit
        instruction to prepare pupils to
        pass the California High School
        Exit Examination (CAHSEE). The
        first priority shall be to serve
        high school pupils from the
        class of 2007 who met all other
        graduation requirements except
        for passage of the CAHSEE.
        Remaining funds may be used to
        support other necessary
        noncredit courses for other
        pupils who not only did not pass
        the CAHSEE, but who did not
        complete other     coursework
        necessary to meet high school
        graduation requirements. These
        funds are intended to supplement
        but not supplant existing
        funding for these purposes.
   11.  The funds appropriated in
        Schedule (4), Student Success
        for Basic Skills Students, shall
        be allocated as follows:
        (a)   $1,600,000 for faculty and
              staff development to
              improve curriculum,
              instruction, student
              services, and program
              practices in the areas of
              basic skills and English
              as a Second Language (ESL)
              programs. The Office of
              the Chancellor of the
              California Community
              Colleges shall select a
              district, utilizing a
              competitive process, to
              carry out these faculty
              and staff     development
              activities. All colleges
              receiving funds pursuant
              to subdivision (b) shall
              be provided with the
              opportunity to participate
              in the faculty and staff
              development programs
              specified in this
              subdivision. The
              chancellor shall report on
              the use of these funds by
              the selected district to
              the Legislative Analyst
              and the Department of
              Finance not later than
              September 1, 2009.
        (b)   $31,500,000 for allocation
              by the chancellor to
              community college
              districts for improving
              outcomes of students who
              enter college needing at
              least one course in ESL or
              basic skills, with
              particular emphasis on
              students transitioning
              from high school.
        (c)   Funding specified in
              subdivisions (a) and (b)
              shall be distributed to
              eligible applicants
              pursuant to Chapter 489 of
              the Statutes of 2007.
        (d)   The Office of the
              Chancellor shall work
              jointly with the
              Department of Finance and
              the Legislative Analyst to
              develop annual
              accountability measures
              for this program. It is
              the intent of the
              Legislature that annual
              performance accountability
              measures for this program
              utilize, to the extent
              possible, data available
              as part of the
              accountability system
              developed pursuant to
              Section 84754.5 of the
              Education Code. By
              November 1, 2009, the
              chancellor shall submit a
              report to the Governor and
              Legislature on the annual
              accountability measures
              developed pursuant to this
              process.
   12.  (a)   Of the funds appropriated
              in Schedule (5) for
              Student Financial Aid
              Administration, not less
              than $9,864,000 is
              available to provide $0.91
              per unit reimbursement to
              community college
              districts for the
              provision of board of
              governors (BOG) fee waiver
              awards pursuant to
              paragraph (2) of
              subdivision (m) of Section
              76300 of the Education
              Code.
        (b)   Of the funds appropriated
              in Schedule (5), not less
              than $4,405,000 is
              available to provide
              reimbursement of 2 percent
              of total waiver value to
              community college
              districts for the
              provision of BOG fee
              waiver awards pursuant to
              paragraph (2) of
              subdivision (m) of Section
              76300 of the Education
              Code.
        (c)   Funding provided to
              community college
              districts in subdivisions
              (a) and (b) of Provision
              15 is provided to directly
              offset any mandated costs
              claimed by community
              college districts pursuant
              to Commission on State
              Mandates Test Claims 99-TC-
              13 (Enrollment Fee
              Collection) and 00-TC-15
              (Enrollment Fee Waivers).
        (d)   (1)   Of the amount
                    appropriated in
                    Schedule (5),
                    $2,800,000 shall be
                    for a contract with
                    a community college
                    district to conduct
                    a statewide media
                    campaign to promote
                    the general message
                    to prospective
                    students as follows:
                    (A) the California
                    Community
                    Colleges (CCC)
                    remain affordable,
                    (B) financial aid
                    and tax credits are
                    available to cover
                    enrollment fees and
                    help with books and
                    other costs, and (C)
                    the active
                    encouragement of
                    contact between
                    pupils and local CCC
                    financial aid
                    offices. Any funds
                    used from this
                    source to produce
                    radio, television,
                    or mail campaigns
                    must emphasize the
                    availability of
                    financial aid, the
                    easiest and most
                    reliable method of
                    accessing the aid, a
                    contact telephone
                    number, an Internet
                    Web site address,
                    where applicable,
                    and the physical
                    location of a
                    financial aid
                    office. Any mail
                    campaign must give
                    priority to existing
                    pupils, recent high
                    school graduates,
                    and 12th graders.
                    The outreach and
                    information campaign
                    should target its
                    efforts in high
                    schools, welfare
                    offices,
                    unemployment
                    offices, churches,
                    community centers,
                    and any other
                    location that will
                    most effectively
                    reach low-income and
                    disadvantaged
                    students who must
                    overcome barriers in
                    accessing
                    postsecondary
                    education. The
                    community college
                    district awarded the
                    contract     shall
                    consult with the
                    Chancellor of the
                    California Community
                    Colleges and the
                    Student Aid
                    Commission prior to
                    performing any
                    activities to ensure
                    appropriate
                    coordination with
                    any other state
                    efforts in this area
                    and ensure
                    compliance with this
                    provision.
              (2)   Of the amount
                    appropriated in
                    Schedule (5), not
                    more than
                    $34,200,000 shall be
                    for direct contact
                    with potential and
                    current financial
                    aid applicants. Each
                    CCC campus shall
                    receive a minimum
                    allocation of
                    $50,000. The
                    remainder of the
                    funding shall be
                    allocated to
                    campuses based upon
                    a formula reflecting
                    full-time equivalent
                    students (FTES)
                    weighted by a
                    measure of low-
                    income populations
                    as demonstrated by
                    BOG fee waiver
                    program
                    participation within
                    a district. It is
                    the intent of the
                    Legislature, to the
                    extent that funds
                    are provided in this
                    item, that all
                    campuses provide
                    additional staff
                    resources to
                    increase both
                    financial aid
                    participation and
                    student access to
                    low-income and
                    disadvantaged
                    students who must
                    overcome barriers in
                    accessing
                    postsecondary
                    education. Funds may
                    be used for
                    screening current
                    students for
                    possible financial
                    aid eligibility and
                    offering personal
                    assistance to these
                    students in
                    accessing financial
                    aid, providing
                    individual help in
                    multiple languages
                    for families and
                    students in filling
                    out the necessary
                    paperwork to apply
                    for financial aid,
                    and increasing
                    financial aid staff
                    to process
                    additional financial
                    aid forms.
              (3)   Funds allocated to a
                    community college
                    district for
                    financial aid
                    personnel, outreach
                    determination of
                    financial need, and
                    delivery of student
                    financial aid
                    services shall
                    supplement, and
                    shall not supplant,
                    the level of funds
                    allocated for the
                    administration of
                    student financial
                    aid programs during
                    the 2001-02 fiscal
                    year.
              (4)   It is the intent of
                    the Legislature that
                    the Office of the
                    Chancellor of the
                    California Community
                    Colleges provide the
                    Legislature with a
                    report not later
                    than April 1, 2009,
                    on the use of the
                    funds allocated
                    pursuant to
                    paragraphs (1) and
                    (2) of this
                    subdivision (d),
                    including the
                    distribution of the
                    funds, specific uses
                    of the funds,
                    strategies employed
                    to reach low-income
                    and disadvantaged
                    students potentially
                    eligible for
                    financial aid, and
                    the extent to which
                    districts were
                    successful in
                    increasing the
                    number of students
                    accessing financial
                    aid, particularly
                    the maximum Pell
                    Grant     award.
              (5)   It is the intent of
                    the Legislature that
                    the chancellor
                    report by September
                    1, 2008, in the
                    manner and using the
                    factors set forth in
                    paragraph (5) of
                    subdivision (b) of
                    Provision 11 of Item
                    6870-101-0001 of
                    Section 2.00 of the
                    Budget Act of 2004
                    (Ch. 208, Stats.
                    2004), on the impact
                    of outreach efforts
                    on student headcount
                    and FTES enrollment
                    for the 2005-06 and
                    2006-07 academic
                    years.
   13.  Of the funds appropriated in
        Schedule (19) for Extended
        Opportunity Programs and
        Services, $106,786,000 is for
        Extended Opportunity Programs
        and Services (EOPS) in
        accordance with Article 8
        (commencing with     Section
        69640) of Chapter 2 of Part 42
        of Division 5 of Title 3 of the
        Education Code. Funds provided
        in this item for EOPS shall be
        available to students on all
        campuses within the California
        Community College system,
        including those students on new
        campuses or in new districts. In
        addition, $15,505,000 is for
        funding, at all colleges, the
        Cooperative Agencies Resources
        for Education (CARE) program in
        accordance with Article 4
        (commencing with Section 79150)
        of Chapter 9 of Part 48 of
        Division 7 of Title 3 of the
        Education Code. The Board of
        Governors of the California
        Community Colleges shall
        allocate funds on a priority
        basis to local programs on the
        basis of need for student
        services.
   14.  Of the funds appropriated in
        Schedule (19) for the Extended
        Opportunity Programs and
        Services, $1,900,000 shall be
        available to support
        additional textbook assistance
        grants to community college
        students as an allowable
        expenditure consistent with
        paragraph (10) of subdivision
        (b) of Section 69648 of the
        Education Code.
   15.  The funds appropriated in
        Schedule (20) for the Fund for
        Student Success is for
        additional targeted student
        services, to be expended as
        follows:
        (a)   $1,921,000 is for the
              Puente Project to support
              up to 75 colleges. These
              funds are available if
              matched by $200,000 of
              private funds and the
              participating community
              colleges and University of
              California campuses
              maintain their 1995-96
              fiscal year support level
              for the Puente Project.
              All funding     shall be
              allocated directly to
              participating districts in
              accordance with their
              participation agreement.
        (b)   Up to $2,459,000 is for
              the Mathematics,
              Engineering and Science
              Achievement (MESA)
              Program. For each dollar
              allocated, the recipient
              district shall provide $1
              in matching funds.
        (c)   No less than $1,778,000 is
              for the Middle College
              High School Program. With
              the exception of fully
              compliant special part-
              time students at the
              community colleges
              pursuant to Sections 48802
              and 76001 of the Education
              Code, student workload
              based on participation in
              the Middle College High
              School Program shall not
              be     eligible for
              community college state
              apportionment. Further, no
              community college state
              apportionment shall be
              made available for
              physical education
              classes, noncredit
              classes, nor other courses
              specified in Provision 8.
   16.  (a)   The funds appropriated in
              Schedule (6) for the
              Disabled Students Program
              are for assisting
              districts in funding the
              excess direct
              instructional cost of
              providing special support
              services or instruction,
              or both, to disabled
              students enrolled at
              community colleges, and
              for state hospital
              programs, as mandated by
              federal law.
        (b)   Of the amount appropriated
              in Schedule (6), no
              less than $3,945,000 shall
              be used to address
              deficiencies identified by
              the federal Office of
              Civil Rights (OCR), as
              determined by the Office
              of the Chancellor of the
              California Community
              Colleges.
        (c)   Of the amount appropriated
              in Schedule (6), at least
              $943,000 shall be used for
              support of the High Tech
              Centers for activities
              including, but not limited
              to, training of district
              employees, staff, and
              students in the use of
              specialized computer
              equipment for the
              disabled. All High Tech
              Centers shall meet
              standards developed by the
              Office of the Chancellor.
              Colleges that receive
              these augmentations shall
              not supplant existing
              resources provided to the
              centers.
        (d)   Notwithstanding any other
              provision of law, of the
              funds appropriated in
              Schedule (6), $1,246,000
              shall be for state
              hospital adult education
              programs at the hospitals
              served by the Coast and
              Kern Community College
              Districts since the 1986-
              87 fiscal year. If adult
              education services at any
              of the three hospitals are
              not supported by the
              community colleges in any
              portion of the 2008-09
              fiscal year, remaining
              funds shall, upon order of
              the Department of Finance,
              after 30 days' notice to
              the Chairperson of the
              Joint Legislative Budget
              Committee, be transferred
              to the State Department of
              Developmental Services
              (DDS). For any transfer of
              funds to DDS during the
              2008-09 fiscal year, the
              Proposition 98 base
              funding levels for
              community colleges and DDS
              shall be adjusted
              accordingly.
        (e)   Of the funds appropriated
              in Schedule (6) for the
              Disabled Student Services,
              no less than $9,600,000
              shall be allocated to
              support high-cost sign
              language interpreter
              services and real-time
              captioning equipment or
              other communication
              accommodations for hearing-
              impaired students based on
              a 4-to-1 state-to-local
              district match.
   17.  The funds appropriated in
        Schedule (7), Special Services
        for CalWORKs Recipients, are for
        the purpose of assisting welfare
        recipient students and those in
        transition off of welfare to
        achieve long-term self-
        sufficiency through coordinated
        student services offered at
        community colleges, including
        workstudy, other educational
        related work experience, job
        placement services, child care
        services, and coordination with
        county welfare offices to
        determine eligibility and
        availability of services. All
        services funded in Schedule (7)
        shall be for current CalWORKs
        recipients or prior CalWORKs
        recipients who are in transition
        off of cash assistance for no
        more than two years. Current
        cash-assistance recipients may
        utilize these services until
        their initial educational
        objectives are met. Former
        recipients in transition off of
        cash assistance may utilize
        these services for a period of
        up to two years after leaving
        cash assistance subject to the
        conditions of this provision.
        These funds shall be used to
        supplement and not supplant
        existing funds and services
        provided for CalWORKs recipients
        attending community colleges.
        The Chancellor of the California
        Community Colleges shall develop
        an equitable method for
        allocating funds to all
        districts and colleges based on
        the relative numbers of CalWORKs
        recipients in attendance and
        shall allocate funds for the
        following purposes:
        (a)   Job placement.
        (b)   Coordination with county
              welfare offices and other
              local agencies, including
              local workforce investment
              boards.
        (c)   Curriculum development and
              redesign.
        (d)   Child care and workstudy.
        (e)   Instruction.
        (f)   Postemployment skills
              training and related
              skills.
        (g)   Campus-based case
              management, limited to on-
              campus assistance and
              services not provided by
              county case workers that
              do not supplant other
              counseling and academic
              support services funded
              through existing
              California Community
              Colleges categorical
              programs.
         Of the amount appropriated in
        Schedule (7), $15,000,000 is for
        child care and does not require
        a district match. For the
        remaining funds, districts
        shall, as a condition of receipt
        of these funds, provide a $1
        match for every $1 provided by
        the state.
         Funds utilized for subsidized
        child care shall be for children
        of CalWORKs recipients through
        campus-based centers or parental
        choice vouchers at rates and
        with rules consistent with those
        applied to related programs
        operated by the State Department
        of Education in the 2008-09
        fiscal year, including
        eligibility, reimbursement
        rates, and parental contribution
        schedules. Subsidized campus
        child care for CalWORKs
        recipients may be provided
        during the period they are
        engaged in qualifying state and
        federal work activities
        through attainment of their
        initial education and training
        plan and for up to three months
        thereafter or until the end of
        the academic year, whichever
        period of time is greater.
         Funds utilized for workstudy
        shall be used solely for
        payments to employers that
        currently participate in campus-
        based workstudy programs or are
        providing work experiences that
        are directly related to and in
        furtherance of student
        educational programs and work
        participation requirements,
        provided that those payments may
        not exceed 75 percent of the
        wage for the workstudy
        positions, and the employers
        shall pay at least 25 percent of
        the wage for the workstudy
        positions. These funds may be
        expended only if the total hours
        of education, employment, and
        workstudy for the student are
        sufficient to meet both state
        and federal minimum requirements
        for qualifying work-related
        activities.
         Funds may be used to provide
        credit or noncredit classes for
        CalWORKs students if a district
        has committed all of its funded
        full-time equivalent students
        (FTES) and is unable to offer
        the additional instructional
        services to meet the demand for
        CalWORKs students. This
        determination shall be based on
        fall enrollment information.
        Districts shall submit
        applications to the Office of
        the Chancellor by October 15 of
        each year. If the chancellor
        approves the use of funds for
        direct instructional workload,
        the Office of the Chancellor
        shall submit a report to the
        Department of Finance and the
        Joint Legislative Budget
        Committee by November 15, 2008,
        that (a) identifies the
        enrollment of new CalWORKs
        students, (b) states whether and
        why additional classes were
        needed to accommodate     the
        needs of CalWORKs students, and
        (c) sets forth an expenditure
        plan for the balance of funds.
         As a condition of receipt of
        the funds appropriated in
        Schedule (7), by the fourth week
        following the end of the
        semester or quarter term
        commencing in January 2009, each
        participating community college
        shall submit to the Office of
        the Chancellor a report, in the
        format specified by the
        chancellor in consultation with
        the State Department of Social
        Services, that includes, but is
        not limited to, the funded
        components, the number of hours
        of child care provided, the
        average monthly enrollment of
        CalWORKs dependents served in
        child care, the number of
        workstudy hours provided, the
        hourly salaries and type of
        jobs, the number of students
        being case managed, the short-
        term programs available, the
        student participation     rates,
        and other outcome data. It is
        intended that, to the extent
        practical, reporting from
        colleges utilize data gathered
        for federal reporting
        requirements at the state and
        local level. Further, it is
        intended that the Office of the
        Chancellor compile the
        information for annual reports
        to the Legislature, the
        Governor, the Legislative
        Analyst, the Department of
        Finance, and the State
        Department of Social Services by
        November 15 of each year.
         First priority for expenditures
        of any funds appropriated in
        Schedule (7) shall be in support
        of current CalWORKs recipients.
        However, if caseloads are
        insufficient to fully utilize
        all of the funding in this
        schedule in a cost-beneficial
        way, it is intended that up to
        $5,000,000 of the funds subject
        to local matching requirements
        may be allocated for providing
        postemployment     services to
        former CalWORKs recipients who
        have been off of cash assistance
        for no longer than two years to
        assist them in upgrading skills,
        job retention, and advancement.
        Allowable services include
        direct instruction that cannot
        be funded under available growth
        funding, child care to support
        attendance in these classes
        consistent with this provision,
        job development and placement
        services, and career counseling
        and assessment activities which
        cannot be funded through other
        programs. Child care services
        may only be provided for periods
        commensurate with a student's
        need for postemployment training
        within the two-year transitional
        period.
         Prior to allocation of funds
        for postemployment services, the
        chancellor shall first secure
        the approval of the Department
        of Finance for the allocations,
        complete a cumulative     report
        on the outcomes, activities, and
        cost-effectiveness of the
        program no later than November
        15, 2008, in compliance with the
        Budget Acts of 1998 (Ch. 324,
        Stats. 1998) and 1999 (Ch. 50,
        Stats. 1999) and this act, and
        shall provide the rationale and
        justification for the proposed
        allocation of postemployment
        services to districts for
        transitional students.
         If a district is unable to
        fully expend its share of child
        care funds, it may request that
        the Office of the Chancellor
        approve a reallocation to other
        CalWORKs purposes authorized by
        this provision, subject to all
        pertinent limitations and
        district match required for
        these purposes under this
        provision.
         Of the funds appropriated in
        Schedule (7) for the Special
        Services for CalWORKs Recipients
        Program, no less than $8,000,000
        is to provide direct workstudy
        wage reimbursement for students
        served under this program, and
        $1,000,000 is available for
        campus job development and
        placement services.
   18.  Funds appropriated in Schedule
        (7) for the Special Services for
        CalWORKs Recipients Program have
        been budgeted to meet the
        state's Temporary Assistance for
        Needy Families maintenance-of-
        effort requirement pursuant to
        the federal Personal
        Responsibility and Work
        Opportunity Reconciliation Act
        of 1996 (P.L. 104-193) and may
        not be expended in any way that
        would cause their
        disqualification as a federally
        allowable maintenance-of-effort
        expenditure.
   19.  (a)   Funds provided in Schedule
              (8) for the Foster Care
              Education Program shall be
              allocated to provide
              foster and
              relative/kinship care
              education and training.
              Districts shall ensure
              that education and
              training required by
              Sections 1529.1 and 1529.2
              of the Health and Safety
              Code and Section 16003 of
              the Welfare and
              Institutions Code receive
              priority. Districts may
              use any remaining funds
              for additional parenting
              skills training.
        (b)   Funds provided in Schedule
              (8) shall be used for
              foster parent and
              relative/kinship care
              provider education
              training services
              consistent with the
              following criteria:
              (1)   The Chancellor of
                    the California
                    Community Colleges
                    shall use these
                    funds exclusively
                    for foster parent
                    and relative/kinship
                    care provider
                    education and
                    training, as
                    specified by the
                    chancellor in
                    consultation with an
                    advisory committee
                    that includes foster
                    parents,
                    representatives of
                    statewide foster
                    parent
                    organizations,
                    parent and
                    relative/kinship
                    care providers, and
                    representatives from
                    the State Department
                    of Social Services.
              (2)   Acceptance of funds
                    under this program
                    shall constitute
                    agreement by the
                    district to comply
                    with such reporting
                    requirements,
                    guidelines, and
                    other     conditions
                    for receipt of
                    funding as the
                    chancellor may
                    establish.
              (3)   Each college plan
                    for foster and
                    relative/kinship
                    care education
                    programs shall
                    include the
                    provision of
                    training to
                    facilitate the
                    development of
                    foster family homes,
                    small family homes,
                    and relative/kinship
                    homes to care for no
                    more than six
                    children who have
                    special mental,
                    emotional,
                    developmental, or
                    physical needs.
              (4)   The State Department
                    of Social Services
                    shall facilitate the
                    participation of
                    county welfare
                    departments in the
                    foster and
                    relative/kinship
                    care education
                    program.
   20.  (a)   Funds appropriated in
              Schedule (9) for the
              Matriculation Program are
              for the purpose of student
              matriculation pursuant to
              Article 1 (commencing with
              Section 78210) of Chapter
              2 of Part 48 of Division 7
              of Title 3 of the
              Education Code.
        (b)   Of the amount appropriated
              in Schedule (9),
              $20,000,000 shall be
              allocated to community
              college districts on a one-
              to-one matching funds
              basis to provide
              matriculation services,
              including, but not limited
              to, orientation,
              assessment, and
              counseling, for students
              enrolled in designated
              noncredit classes and
              programs who may benefit
              most, as     determined by
              the Chancellor of the
              California Community
              Colleges pursuant to
              Sections 78216 to 78218,
              inclusive, of the
              Education Code.
   21.  The funds in Schedule (13) for
        the Part-time Faculty
        Compensation Program shall be
        allocated solely to increase
        compensation for part-time
        faculty from the amounts
        previously authorized. Funds
        shall be distributed to
        districts based on the total
        actual full-time equivalent
        students served in the previous
        fiscal year and include a small
        district factor as determined by
        the Chancellor of the California
        Community Colleges. These funds
        are to be used to assist
        districts in making part-time
        faculty salaries more comparable
        to full-time salaries for
        similar work, as determined
        through each district's local
        collective bargaining process.
        These funds shall not supplant
        the amount of resources each
        district used to compensate part-
        time faculty or be used to
        exceed parity of each part-time
        faculty employed by each
        district with regular full-time
        faculty at the same district, as
        certified by the chancellor. If
        a district achieves parity, its
        allocation may be used for any
        other educational purpose.
   22.  (a)   $24,197,000 of the funds
              provided in Schedule (15)
              for the Telecommunications
              and Technology Services
              Program shall be for the
              purpose of supporting
              technical and application
              innovations and for
              coordination of activities
              that serve to maximize the
              utility of the technology
              investments of the
              community college system
              towards improving learning
              outcomes. Allocations
              shall be made by the
              Chancellor of the
              California Community
              Colleges, based on
              criteria and guidelines as
              developed by the
              chancellor,     on a
              competitive basis through
              the RFA/RFP application
              process for the following
              purposes:
              (1)   Provision of access
                    to statewide
                    multimedia hosting
                    and delivery
                    services for system
                    colleges and
                    districts.
              (2)   Provision of
                    systemwide Internet,
                    audio bridging, and
                    telephony.
              (3)   Technical assistance
                    and planning,
                    cooperative purchase
                    agreements, and
                    faculty and staff
                    development in a
                    manner consistent
                    with paragraph (3)
                    of subdivision (b)
                    of Provision 17 of
                    Item 6870-101-0001
                    of Section 2.00 of
                    the Budget Act of
                    1996 (Ch. 162,
                    Stats. 1996).
              (4)   Ongoing support for
                    the California
                    Virtual University
                    Distance Education
                    Program.
              (5)   Ongoing support for
                    programs designed to
                    use technology in
                    assisting
                    accreditation and
                    the alignment of
                    curricula across K-
                    20 segments in
                    California.
              (6)   Support for
                    technology pilots
                    and ongoing
                    technology programs
                    and applications
                    that serve to
                    maximize the utility
                    and economy of scale
                    of the technology
                    investments of the
                    community college
                    system towards
                    improving learning
                    outcomes.
              In addition, a portion of
              the funds provided in this
              subdivision shall be
              available for allocations
              to districts. It is the
              intent of the Legislature
              that these funds be used
              by colleges to maintain
              the technology
              capabilities specified in
              subdivision (a) of
              Provision 21 of Item 6870-
              101-0001 of the Budget Act
              of 2003 (Ch. 157, Stats.
              2003). These funds shall
              not supplant existing
              funds used for those
              purposes, and colleges
              shall     match
              maintenance and ongoing
              costs with other funds as
              provided by Provision
              21(a) of Item 6870-101-
              0001 of the Budget Act of
              2003 (Ch. 157, Stats.
              2003).
        (b)   The Office of the
              Chancellor of the
              California Community
              Colleges shall develop the
              reporting criteria for all
              programs funded by this
              item and shall submit that
              for review along with an
              annual progress report on
              program implementation to
              the Legislative Analyst,
              the Office of the
              Secretary for Education,
              and the Department of
              Finance no later than
              December 1 of each year.
              Reporting shall include
              summaries of allocations
              and expenditures by
              program and by district,
              where applicable.
        (c)   Of the funds provided in
              Schedule (15), $2,000,000
              is for ongoing support and
              expansion of the
              California Partnership for
              Achieving Student Success
              (Cal-PASS) program. As a
              condition of receipt of
              these funds, the grantee
              shall submit to the Office
              of the Chancellor, by
              October 15 of each year,
              all of the following: (1)
              a report that includes the
              numbers and percentages of
              institutions and school
              districts that have signed
              agreements and the number
              and percentage that have
              actively submitted data in
              the current year, (2) the
              results of an annual
              program evaluation, as
              prescribed by the
              chancellor, that
              sufficiently documents the
              value and productivity of
              the program, and (3) an
              annual financial audit, as
              prescribed by the
              chancellor, that includes
                    an accounting of all
              funding sources and all
              uses of funds by funding
              source. It is the intent
              of the Legislature that
              all reporting requirements
              contained in this
              subdivision shall be
              completed using     funds
              provided to the grantee.
   23.  Of the funds provided in
        Schedule (16) for the Economic
        and Workforce Development
        Program:
        (a)   $22,830,000 is allocated
              for grants for regional
              business resources
              assistance and innovation
              network centers. Each
              grant awarded to a
              district for Centers for
              International Development
              shall contain sufficient
              funds, as determined by
              the Chancellor of the
              California Community
              Colleges, for the
              continued operation of
              Mexican International
              Trade Centers.
        (b)   $7,822,000 is allocated
              for industry-driven
              regional education and
              training collaboratives.
              These grants shall be made
              on a competitive basis and
              the award amounts shall
              not be restricted to any
              predetermined limit, but
              rather shall be funded on
              their individual merits.
        (c)   $3,609,000 is allocated
              for statewide network
              leadership, organizational
              development, coordination,
              information and support
              services, or other program
              purposes.
        (d)   $4,529,000 is available
              for Job Development
              Incentive Training
              programs focused on
              job creation for public
              assistance recipients. Any
              annual savings from this
              subdivision shall only be
              available for expenditure
              for one-time activities
              listed under subdivision
              (j) of Section 88531 of
              the Education Code.
        (e)   $8,000,000 is allocated
              for the establishment of a
              Responsive Incumbent
              Worker Training Fund,
              which will serve to expand
              the delivery of
              performance improvement
              training to employers and
              incumbent workers in high-
              growth industries. Funds
              shall also be used to
              develop programs that
              integrate basic skills and
              career technical education
              curriculum in ways that
              provide students with
              seamless educational
              coursework that
              transitions students into
              high-tech and high-demand
              job sectors.
        (f)   The following provisions
              apply to the expenditure
              of funds within
              subdivisions (a) and (b):
              Funds allocated for
              centers and regional
              collaboratives shall seek
              to maximize the use of
              state funds for
              subdivisions (g) to (j),
              inclusive, of Section
              88531 of the Education
              Code. Funds allocated to
              districts for purposes of
              subdivisions (g) and (i)
              of Section 88531 of the
              Education Code for
              performance-based training
              and student internships
              shall be matched by a
              minimum of $1 of private
              business and industry
              funding for each $1 of
              state funds. Funds
              allocated for purposes of
              subdivision (h) of Section
              88531 of the Education
              Code for credit and
              noncredit instruction may
              be transferred to Schedule
              (1) or (3) to facilitate
              distribution at the
              chancellor's discretion.
              Any funds that become
              available from network
              centers due to savings,
              discontinuance, or
              reduction of amounts shall
              first be made available
              for additional allocations
              in subdivision (b) to
              increase the level of
              subsidized training
              otherwise available.
        (g)   Funds allocated by the
              Board of Governors of the
              California Community
              Colleges under this
              provision may not be used
              by community college
              districts to supplant
              existing courses or
              contract education
              offerings. The chancellor
              shall ensure that funds
              are spent only for
              expanded services and
              shall implement
              accountability reporting
              for districts receiving
              these funds to ensure that
              training, credit, and
              noncredit programs remain
              relevant to business
              needs. Programs that do
              not demonstrate continued
              relevance and support by
              business shall not be
              eligible for continued
              funding. The board of
              governors shall consider
              the level of involvement
              and financial commitments
              of business and industry
              as     primary factors in
              making awards. The
              chancellor shall
              incorporate grant
              requirements into the
              guidelines for audits of
              economic development
              grants.
        (h)   Primary objectives of the
              Economic and Workforce
              Development Program are to
              maximize instruction, to
              prepare students for entry-
              level jobs, to increase
              skills of the current
              workforce, and to
              stimulate the growth of
              businesses through
              training so that more jobs
              are created. As part of
              the annual report on the
              performance of the
              Economic and Workforce
              Development Program, the
              chancellor shall provide
              disaggregated data
              detailing the funding
              provided to each economic
              development regional
              center and each industry-
              driven regional education
              and training
              collaborative, and to the
              extent practicable, the
              total number of hours of
              contract education
              services,     performance
              improvement training,
              credit and noncredit
              instruction, and job
              placements created as a
              result of each center and
              collaborative.
   24.  (a)   The funds appropriated in
              Schedule (17) for the
              Transfer Education and
              Articulation Program are
              available to support
              transfer and articulation
              projects and common course
              numbering projects.
        (b)   Funding provided to
              community college
              districts from Schedule
              (17) is provided to
              directly offset any
              mandated costs claimed by
              community college
              districts pursuant to
              Chapter 737 of the
              Statutes of 2004.
   25.  (a)   $13,673,000 of the funds
              appropriated in Schedule
              (18) is available for the
              following purposes:
              (1)   Scheduled
                    maintenance and
                    special repairs of
                    facilities. The
                    Chancellor of the
                    California Community
                    Colleges shall
                    allocate funds to
                    districts on the
                    basis of actual
                    reported full-time
                    equivalent students
                    (FTES), and may
                    establish a minimum
                    allocation per
                    district. As a
                    condition for
                    receiving and
                    expending these
                    funds for
                    maintenance or
                    special repairs, a
                    district shall
                    certify that it will
                    increase its
                    operations and
                    maintenance spending
                    from the 1995-96
                    fiscal year by the
                    amount it allocates
                    from this
                    appropriation
                    for maintenance and
                    special repairs,
                    plus an equal amount
                    to be provided from
                    district
                    discretionary funds.
                    The chancellor may
                    waive all or a
                    portion of the
                    matching requirement
                    based upon a review
                    of a district's
                    financial condition.
                    The question of
                    whether a district
                    has complied with
                    its resolution shall
                    be reviewed under
                    the annual audit of
                    that district. For
                    every $1 a district
                    expends from this
                    appropriation for
                    scheduled
                    maintenance and
                    special repairs, the
                    recipient district
                    shall provide $1 in
                    matching funds.
              (2)   Hazardous substances
                    abatement, cleanup,
                    and repairs.
              (3)   Architectural
                    barrier removal
                    projects that meet
                    the requirements of
                    the federal
                    Americans with
                    Disabilities Act of
                    1990 (42 U.S.C. Sec.
                    12101 et seq.) and
                    seismic retrofit
                    projects limited to
                    $400,000. Districts
                    that receive funds
                    for architectural
                    barrier removal
                    projects shall
                    provide a $1 match
                    for every $1
                    provided by the
                    state.
        (b)   $13,672,000 of the funds
              appropriated in Schedule
              (18) is available for
              replacement of
              instructional equipment
              and library materials. For
              every $3 a district
              expends from this
              appropriation for
              replacement of
              instructional equipment or
              library materials, the
              recipient district shall
              provide $1 in matching
              funds. The chancellor may
              waive all or a portion of
              the matching requirement
              based upon a review of a
              district's     financial
              condition. The funds
              provided for instructional
              equipment and library
              materials shall not be
              used for personal services
              costs or operating
              expenses. The chancellor
              shall allocate funds to
              districts on the basis of
              actual reported FTES and
              may establish a minimum
              allocation per district.
              The question of whether a
              district has complied with
              its resolution shall be
              reviewed under the annual
              audit of that district.
        (c)   The funds appropriated in
              Schedule (18) shall be
              available for expenditure
              until June 30, 2010.
   26.  Pursuant to Sections 69648.5,
        78216, and 84850, and
        subdivision (b) of Section
        87108, of the Education Code,
        the Board of Governors of the
        California Community Colleges
        may allocate funds appropriated
        in Schedules (6), (9), (11), and
        (19) by grant or contract, or
        through the apportionment
        process, to one or more
        districts for the purpose of
        providing program evaluation,
        accountability, monitoring, or
        program development services, as
        appropriate under the applicable
        statute.
   27.  The funds appropriated in
        Schedule (21) for the Career
        Technical Education Program are
        for the purpose of aligning
        career-technical education
        curriculum between K-12 and
        community colleges in targeted
        industry-driven programs offered
        through the Economic and
        Workforce Development Program.
        Prior to the allocation of these
        funds, the Chancellor of the
        California Community Colleges,
        in conjunction with the State
        Department of Education, shall
        submit a proposed
        expenditure plan for the funds
        contained in this item, and the
        rationale therefor, to the
        Department of Finance by August
        1, 2008, for approval.
         Of the funds appropriated in
        Schedule (21), $2,500,000 is
        available for the development
        and enhancement of health-
        related career pathway programs
        in grades 7 to 12, inclusive,
        and for the articulation and
        alignment of health-related
        curriculum between schools with
        pupils in kindergarten and
        grades 1 to 12, inclusive, and
        the California Community
        Colleges.
   28.  The funds appropriated in
        Schedule (22) for the Campus
        Childcare Tax Bailout shall be
        allocated by the Chancellor of
        the California Community
        Colleges to community college
        districts that levied child care
        permissive override taxes in the
        1977-78 fiscal year pursuant to
        Sections 8329 and 8330 of the
        Education Code in an amount
        equal to the property tax
        revenues, tax relief
        subventions, and state aid
        required to be made available by
        the district to its child care
        and development program for the
        1979-80 fiscal year pursuant to
        Section 30 of Chapter 1035 of
        the Statutes of 1979, increased
        by any cost-of-living increases
        granted in subsequent fiscal
        years. These funds shall be used
        only for the purpose of
        community college child care and
        development programs.
   29.  With regard to the funds
        appropriated in Schedule (23),
        Nursing Program Support, all of
        the following shall apply:
        (a)   $14,000,000 shall be used
              to provide support for
              nursing program enrollment
              and equipment needs
              consistent with paragraph
              (2) of subdivision (a) of
              Section 2 of Chapter 514
              of the Statutes of 2001.
              Grant funding for nursing
              enrollment shall provide a
              marginal increase in
              funding in addition to the
              amount provided for each
              full-time equivalent
              student for regular growth
              in apportionments.
        (b)   $8,100,000 shall be used
              to provide diagnostic and
              support services, preentry
              coursework, alternative
              program delivery model
              development, and other
              services to reduce the
              incidence of student
              attrition in nursing
              programs.
        (d)   The Board of Governors of
              the California Community
              Colleges shall develop a
              request for applications
              (RFA) to allocate the
              additional $5,214,000 of
              funds in subdivision (b)
              to community college
              districts. Criteria for
              assessing each RFA shall
              include all of the
              following:
              (1)   The degree to which
                    the funds provided
                    would be used to
                    increase student
                    enrollment in
                    nursing programs
                    beyond the level of
                    full-time equivalent
                    students served in
                    the 2007-08 academic
                    year.
              (2)   The district's level
                    of attrition from
                    nursing programs and
                    the suitability of
                    planned expenditures
                    to address attrition
                    levels.
              (3)   The degree to which
                    funds provided would
                    be used to support
                    infrastructure or
                    equipment needs with
                    the intent of
                    building capacity
                    and increasing the
                    number of nursing
                    students served.
              (4)   For districts with
                    attrition rates of
                    15 percent or more,
                    new grant funding
                    shall focus on
                    attrition reduction.
                    For districts with
                    attrition rates
                    below 15 percent,
                    new grant
                    funding shall focus
                    on enrollment
                    expansion.
        (e)   The board of governors
              shall release the RFA no
              sooner than 30 days after
              submitting it to the
              Legislature and the
              Department of Finance for
              review.
        (f)   On or before March 1 of
              each year, the Chancellor
              of the California
              Community Colleges shall
              provide the Legislature
              and the Department of
              Finance with a report on
              the allocation of funding.
              For each district
              receiving funding under
              this item, the report
              shall include all of the
              following: (1) the amount
              of funding received, (2)
              the number of nursing full-
              time equivalent students
              served in the 2006-07
              academic year, and the
              additional number of
              nursing full-time
              equivalent students served
              with funding provided in
              this item in each
              subsequent year, (3) the
              district's attrition and
              completion rates in the
              2006-07 academic year and
              subsequent years, (4) any
              equipment or
              infrastructure-related
              items acquired with the
              funds appropriated in this
              item, and (5) the number
              of new and existing
              faculty receiving annual
              stipend awards.


   SEC. 20.    Section 12.42 of the   Budget
Act of 2008   (Chapters 268 and 269 of the Statutes of
2008), as added by Sec. 34 of Chapter 12 of the Statutes of 2009,
Third Extraordinary Session, is amended to read: 
  Sec. 12.42.  (a) The amounts appropriated in the items set forth in
subdivision (b) are each hereby reduced by the percentage determined
by dividing  943,773,000   926,208,000  by
the sum of the amounts appropriated in the items set forth in
subdivision (b).
   (b) Subdivision (a) shall apply to Items 6110-103-0001,
6110-104-0001, 6110-105-0001, 6110-107-0001, 6110-108-0001,
6110-113-0001, 6110-119-0001, 6110-122-0001,  6110-123-0001,
 6110-124-0001, 6110-125-0001, 6110-137-0001, 6110-144-0001,
6110-150-0001, 6110-151-0001, 6110-156-0001, 6110-158-0001,
6110-166-0001, 6110-167-0001, 6110-181-0001, 6110-182-0001,
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, 6110-220-0001, 6110-224-0001,
6110-227-0001, 6110-228-0001, 6110-232-0001, 6110-240-0001,
6110-242-0001, 6110-243-0001, 6110-244-0001, 6110-245-0001,
6110-246-0001, 6110-247-0001, 6110-248-0001, 6110-260-0001,
6110-265-0001, 6110-266-0001, 6110-267-0001, 6110-268-0001, as
amended by Chapter 269, Statutes of 2008 and 6360-101-0001 of Section
2.00 of the Budget Act of 2008.
   SEC. 21.    Section 42 of Chapter 12 of the Statutes
of 2009, Third Extraordinary Session is amended to read: 
  Sec. 42.  (a) For the 2008-09 and 2009-10 fiscal years, in order to
provide local budgeting flexibility as a result of budget reductions
made by the Legislature for the 2008-09 and 2009-10 fiscal years,
the governing board of a school district or county office of
education may use  for any educational purpose  up to 100
percent of the balances, as of June 30, 2008, of restricted accounts
in its general fund  or cafeteria fund   , adult
education fund, deferred maintenance fund, and pupil transportation
  equipment fund  , excluding restricted reserves
committed for  capital outlay,  bond funds, sinking
funds, and federal funds, and excluding balances in the following
programs:
   (1) Economic Impact Aid (Article 2 (commencing with Section 54020)
of Chapter 1 of Part 29 of Division 4 of Title 2 of the Education
Code). 
   (2) Targeted Instructional Improvement Grant (former Chapter 2.5
(commencing with Section 54200) of Part 29 of Division 4 of Title 2
of the Education Code).  
   (3) Instructional materials.  
   (4) 
    (2)  Special education. 
   (5) 
    (3)  Quality Education Investment Act of 2006 (Article
3.7 (commencing with Section 52055.700) of Chapter 6.1 of Part 28 of
Division 4 of Title 2 of the Education Code). 
   (6) California High School Exit Exam Intensive Intervention
Program.  
   (7) 
    (4)  Home-to-school transportation. 
   (5) The English Language Learner Acquisition and Development Pilot
Program (Chapter 5 (commencing with Section 420) of Part 1 of
Division 1 of Title 1 of the Education Code) as funded pursuant to
paragraph (13) of subdivision (a) of Section 43 of Chapter 79 of the
Statutes of 2006.  
   (6) Child development.  
   (7) Child nutrition programs. 
   (b) For purposes of this section, balances of restricted accounts
do not include the amounts deferred from the 2006-07 fiscal year to
the 2007-08 fiscal year or the amounts deferred from the 2007-08
fiscal year to the 2008-09 fiscal year.
   (c) A governing board shall not use the ending balance in any
restricted account if that use would violate a federal maintenance of
effort requirement.
   (d) This section does not obligate the state to refund or repay
funds used pursuant to this section. If a school district uses an
ending balance in a restricted account that consists, in whole or in
part, of funds reimbursed to the district as a subvention of funds
for a state-mandated local program, the school district shall not
submit a claim to the state for a subsequent reimbursement of the
funds that were reimbursed pursuant to Section 6 of Article XIII B of
the California Constitution and used pursuant to the authority
granted to a school district pursuant to this section.
   (e) A governing board that elects to use balances in restricted
accounts pursuant to this section shall report to the Superintendent,
in a manner determined by the Superintendent, regarding the programs
and amounts of restricted balances used pursuant to subdivision (a).
The Superintendent shall report statewide information and
information for each school district and county office of education
to the Joint Legislative Budget Committee by  October 31,
2009   April 15, 2010  .
   SEC. 22.    It is the intent of the Legislature that
basic aid school districts assume categorical funding reductions
proportionate to the revenue limit reductions implemented for
nonbasic aid school districts in this act. The Superintendent of
Public Instruction shall reduce the amount of categorical funding
allocated to basic aid school districts in 2008-09 as follows: 

   (a) For 2008-09, the State Department of Education shall notify
each basic aid school district, by September 1, 2009, of the amount
of funds to be reduced from its categorical allocations and shall
calculate that amount as follows:  
   (1) Multiply each district's 2008-09 total revenue limit subject
to the deficit factor specified in paragraph (5) of subdivision (a)
of Section 42238.146 of the Education Code, calculated as of the
2008-09 certified second principal apportionment, by 3.53 percent.
 
   (2) The department shall recover from categorical funds identified
in subdivision (b) and apportioned in 2009-10 to districts that were
basic aid school districts in the 2008-09 fiscal year, the lesser of
the amount calculated in paragraph (1) or the amount by which the
sum of the amounts described in subdivision (h) of Section 42238 of
the Education Code exceeds the district's revenue limit. This result
shall be further limited by the following:  
   (A) The amount of categorical funds to be reduced shall be limited
to the extent that the provisions of Section 41975 of the Education
Code cannot be met through other state aid.  
                                    (B) If the amount determined in
paragraph (1) exceeds the amount of categorical funding owed or paid
in the 2009-10 fiscal year to the basic aid school district for
programs identified in subdivision (b), then the department shall
recover the lesser amount.  
   (b) The department shall recover the amount of funds calculated in
subdivision (a) and may offset funds for any categorical program to
be received in the 2009-10 fiscal year, with the exception of special
education, the After School Education and Safety program, the
Quality Education Investment Act, and child care and development.
 
   (c) By June 30, 2010, the department shall report to the
Controller and the Director of Finance the amounts that were
recovered from each categorical education program and the
corresponding item of appropriation in the Budget Act of 2008 that is
to be reduced. The amounts so reduced shall revert to the unexpended
balance of the General Fund. The reductions pursuant to this
subdivision shall be reductions in the amount appropriated for
purposes of Section 8 of Article XVI of the California Constitution
for the 2008-09 fiscal year.  
   (d) For purposes of this section, "basic aid school district"
means a school district that does not receive from the state, for the
2008-09 fiscal year, an apportionment of state funds pursuant to
subdivision (h) of Section 42238 of the Education Code. 
   SEC. 23.    Notwithstanding any other law, for the
2008-09 to the 2012-13 fiscal years, inclusive, school districts
shall not be required to deposit in their deferred maintenance fund,
established pursuant to Section 17582 of the Education Code, the
amount specified in subdivision (b) of Section 17584. 
   SEC. 24.    The sum of eight million two hundred and
sixty-seven thousand dollars ($8,267,000) is hereby appropriated to
the State Department of Education for the charter school categorical
block grant for the purpose of funding the calculation specified in
paragraph (2) of subdivision (c) of Section 47634.1 of the Education
Code for the 2008-09 fiscal year, provided that the total amount
allocated to charter schools for the purpose of funding the
calculation specified in paragraph (1) of subdivision (c) of Section
47634.1 of the Education Code in 2008-09 is the result of applying
the same proportional cut that other categorical programs received
pursuant to Section 12.42 of the Budget Act of 2008. 
   SEC. 25.    Notwithstanding any other law, one
hundred seven million nine hundred nine thousand dollars
($107,909,000) is reduced from the amount appropriated to the High
Priority Schools Grant Program in Schedule (1) of Item 6110-123-0001
of Section 2.00 of the Budget Act of 2008 (Chs. 268 and 269, Stats.
2008). 
   SEC. 26.    The Legislature finds and declares that
Section 15 of this act furthers the purpose of the California State
Lottery Act of 1984. 
   SEC. 27.   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 make the necessary statutory changes to implement the
Budget Act of 2008 before the end of the fiscal year, 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.
          
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