2005 California Education Code Sections 56837-56844 Article 7. Federal Funding Allocations

EDUCATION CODE
SECTION 56837-56844

56837.  For each fiscal year for which federal funds under Part B of
the federal Individuals with Disabilities Education Act (20 U.S.C.
Sec. 1400 set seq.) are allocated to the state pursuant to subsection
(d) of Section 1411 of Title 20 of the United States Code, the
federal funding for local entitlements shall be allocated through the
annual Budget Act in the following manner:
   (a) The state shall first award each local educational agency,
including public charter schools that operate as local educational
agencies, the amount the local educational agency would have received
under Section 1411 for the 1999 fiscal year.
   (b) After calculating the allocations under subdivision (a), the
state shall do both of the following:
   (1) Allocate 85 percent of any remaining funds to the local
educational agencies described in subdivision (a) on the basis of the
relative numbers of pupils enrolled in public and private elementary
schools and secondary schools within each local educational agency's
territorial jurisdiction.
   (2) Allocate 15 percent of the remaining funds to those local
educational agencies described in subdivision (a) in accordance with
the relative numbers of children living in poverty within each local
educational agency's jurisdiction, as determined by the
Superintendent.
56838.  In each fiscal year for which federal funds are received by
the state pursuant to Section 1419 of Title 20 of the United States
Code for individuals with exceptional needs between the ages of 3 and
5, inclusive, the portion of funds available for local entitlements
that are not reserved for state activities pursuant to subsection (d)
of Section 1419 of Title 20 of the United States Code shall be
allocated through the annual Budget Act in the following manner:
   (a) The state shall first award to each local educational agency,
including public charter schools that operate as local educational
agencies, the amount the local educational agency would have received
under Section 1419 of Title 20 of the United States Code for the
1997 federal fiscal year.
   (b) After calculating the allocations under subdivision (a), the
state shall do both of the following:
   (1) Allocate 85 percent of any remaining funds to those local
educational agencies described in subdivision (a) on the basis of the
relative numbers of pupils enrolled in public and private elementary
schools and secondary schools within each local educational agency's
territorial jurisdiction.
   (2) Allocate 15 percent of those remaining funds to the local
educational agencies in accordance with the relative number of
children within each local educational agency living in poverty, as
determined by the Superintendent.
56839.  For purposes of Sections 56837 and 56838, the superintendent
shall use the most recent population data, including data on
children living in poverty, that are available and are satisfactory
to the United States Secretary of Education.
56840.  The federal funding allocations for local entitlements in
Sections 56837 and 56838 shall also apply to state agencies that were
eligible to receive federal Part B funds pursuant to subsection (a)
of Section 1414 of Title 20 of the United States Code as that
provision read prior to the enactment of Public Law 105-17, the
Individuals with Disabilities Education Act Amendments of 1997.
56841.  (a) Federal funds available through Part B of the federal
Individuals with Disabilities Education Act (20 U.S.C. Sec. 1400 et
seq.) and appropriated through the annual Budget Act shall only be
used as follows:
   (1) For the excess costs of providing special education and
related services to individuals with exceptional needs.
   (2) To supplement state, local, and other federal funds and not to
supplant those funds.
   (b) Except as provided in subdivisions (c) and (d), the funds
shall not be used to reduce the level of expenditures for the
education of individuals with exceptional needs made by the local
educational agency from local funds below the level of those
expenditures for the preceding fiscal year.
   (c) Notwithstanding subdivision (b), a local educational agency
may reduce the level of expenditures from local funds where the
reduction is attributable to the following:
   (1) The voluntary departure, by retirement or otherwise, or
departure for just cause, of special education personnel.
   (2) A decrease in the enrollment of individuals with exceptional
needs.
   (3) The termination of the obligation of the local educational
agency, consistent with this part, to provide a program of special
education to an individual or individuals with exceptional needs that
is an exceptionally costly program, as determined by the
Superintendent, because any of the following is applicable:
   (A) The child has left the jurisdiction of the local educational
agency.
   (B) The child has reached the age at which the obligation of the
local educational agency to provide a free appropriate public
education to the child has terminated.
   (C) The child no longer needs the program of special education.
   (4) The termination of costly expenditures for long-term
purchases, such as the acquisition of equipment or the construction
of facilities.
   (d) Notwithstanding the provisions of paragraph (2) of subdivision
(a) and subdivision (b), for any fiscal year in which the allocation
received by a local educational agency under subsection (f) of
Section 1411 of Title 20 of the United States Code exceeds the amount
the local educational agency received for the previous fiscal year,
the local educational agency may reduce the level of expenditures
otherwise required by clause (iii) of subparagraph (A) of paragraph
(2) of subsection (a) of Section 1413 of Title 20 of the United
States Code by not more than 50 percent of the amount of the excess.
If a local educational agency exercises the authority under this
subdivision, the local educational agency shall use an amount of
local funds equal to the reduction in expenditures under this
subdivision to carry out activities authorized under the federal
Elementary and Secondary Education Act of 1965 (20 U.S.C. Sec. 6301
et seq.).
    (e) Notwithstanding subdivision (d), if the Superintendent
determines that a local educational agency is unable to establish and
maintain programs of free appropriate public education that meet the
requirements of subsection (a) of Section 1413 of Title 20 of the
United States Code, or if the Superintendent has taken action against
the local educational agency under Section 1416 of Title 20 of the
United States Code, the Superintendent shall prohibit the local
educational agency from reducing the level of expenditures under
subdivision (d) for that fiscal year.
   (f) The amount of funds expended by a local educational agency
under subsection (f) of Section 1413 of the United States Code for
early intervention services shall count toward the maximum amount of
expenditures the local educational agency may reduce under
subdivision (d) of this section.
   (g) Notwithstanding subparagraph (A) of paragraph (2) of
subsection (a) of Section 1413 of Title 20 of the United States Code
or any other provision of the federal Individuals with Disabilities
Education Act (20 U.S.C. Sec. 1400 et seq.), a local educational
agency may use federal special education funds for any fiscal year to
carry out a schoolwide program under Section 1114 of the federal
Elementary and Secondary Education Act of 1965 (20 U.S.C. Sec. 6301
et seq.), except that the amount so used in any such program shall
not exceed the number of individuals with exceptional needs
participating in the schoolwide program, multiplied by the amount
received by the local educational agency under this article for that
fiscal year, and divided by the number of individuals with
exceptional needs in the jurisdiction of that local educational
agency.
   (h) Notwithstanding subdivisions (a) to (g), inclusive, a local
educational agency may also use federal special education funds for
other purposes specified in subsection (a) of Section 1413 of Title
20 of the United States Code.
56842.  (a) A local educational agency may not use more than 15
percent of the amount the agency receives under Part B of the federal
Individuals with Disabilities Education Act (20 U.S.C. Sec. 1400 et
seq.) for any fiscal year, less any amount reduced by the local
educational agency pursuant to subparagraph (C) of paragraph (2) of
subsection (a) of Section 1413 of Title 20 of the United States Code,
if any, in combination with other amounts, which may include amounts
other than education funds, to develop and implement, coordinated,
early intervening services, which may include interagency financing
structures, for pupils in kindergarten and in grades 1 to 12,
inclusive, with a particular emphasis on pupils in kindergarten and
in grades 1 to 3, inclusive, who have not been identified as needing
special education or related services but who need additional
academic and behavioral support to succeed in a general education
environment.
   (b) The implementation of the coordinated, early intervening
services under this section, including activities, reporting, and
coordination with the federal Elementary and Secondary Education Act
of 1965 (20 U.S.C. Sec. 6301 et seq.), shall be carried out by a
local educational agency as specified in subsection (f) of Section
1413 of Title 20 of the United States Code.
   (c) This section does not limit or create a right to a free
appropriate public education under this part.
56844.  In complying with paragraph (17), regarding the prohibition
against supplantation of federal funds, and paragraph (18), regarding
maintenance of state financial support for special education and
related services, of subsection (a) of Section 1412 of Title 20 of
the United States Code, the state may not use funds paid to it under
Part B of the federal Individuals with Disabilities Education Act (20
U.S.C. Sec. 1400 et seq.) to satisfy state-mandated funding
obligations to local educational agencies, including funding based on
pupil attendance or enrollment, or on inflation.


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