Code Section Group

Education Code - EDC

TITLE 3. POSTSECONDARY EDUCATION [66000 - 101060]

  ( Title 3 enacted by Stats. 1976, Ch. 1010. )

DIVISION 7. COMMUNITY COLLEGES [70900 - 88933]

  ( Division 7 enacted by Stats. 1976, Ch. 1010. )

PART 50. FINANCE [84000 - 85304]

  ( Part 50 enacted by Stats. 1976, Ch. 1010. )

CHAPTER 3. State School Fund [84320 - 84362]

  ( Chapter 3 enacted by Stats. 1976, Ch. 1010. )

ARTICLE 3. Duties of the Chancellor [84320 - 84328]
  ( Article 3 enacted by Stats. 1976, Ch. 1010. )

84320.
  

The board of governors shall adopt regulations providing for the payment of apportionments to districts on a schedule to include an advance apportionment and a first and second principal apportionment. Unless and until the dates related to these apportionments are amended in consultation with the Department of Finance, the regulations shall provide for the following schedule of payments as provided in this section:

(a) The board of governors shall certify estimated apportionments to the Controller on or before July 15 of each year.

(b) The first principal apportionment shall be certified on or before February 20 of each year, at which time shall also be made any final apportionment and recalculation of prior years, as applicable.

(c) The second principal apportionment shall be certified on or before June 25 of each year.

(Amended by Stats. 1990, Ch. 1372, Sec. 653.)

84321.
  

(a) Notwithstanding any other law, for the 2003–04 fiscal year, warrants for the principal apportionments for the month of June, for general apportionments in the amount of one hundred fifty million dollars ($150,000,000) and for the Partnership for Excellence in the amount of fifty million dollars ($50,000,000), shall instead be drawn in July of the same calendar year pursuant to the certification made under Section 84320.

(b) For the purposes of making the computations required by Section 8 of Article XVI of the California Constitution, the warrants drawn pursuant to subdivision (a) shall be deemed to be “General Fund revenues appropriated for community college districts,” as defined in subdivision (d) of Section 41202, for the fiscal year in which the warrants are drawn, and included within the “total allocations to school districts and community college districts from General Fund proceeds of taxes appropriated pursuant to Article XIII B,” as defined in subdivision (e) of Section 41202, for the fiscal year in which the warrants are drawn.

(Amended by Stats. 2004, Ch. 216, Sec. 23. Effective August 11, 2004.)

84321.61.
  

(a) Notwithstanding any other law that governs the regulations adopted by the Chancellor of the California Community Colleges to disburse funds, the monthly payment schedule for community college districts pursuant to Section 84320 shall be adjusted for the 2019–20 fiscal year by the following:

(1) For the month of June, three hundred million dollars ($300,000,000) shall be deferred to July.

(2) For the month of May, thirty million one hundred twenty-eight thousand dollars ($30,128,000) shall be deferred to July.

(b) The sum of three hundred thirty million one hundred twenty-eight thousand dollars ($330,128,000) is hereby appropriated from the General Fund to the Board of Governors of the California Community Colleges for apportionments to community college districts, for expenditure during the 2020–21 fiscal year, to be expended in accordance with Schedule (1) of Item 6870-101-0001 of Section 2.00 of the Budget Act of 2019.

(c) Of the funds appropriated in subdivision (b), three hundred thirty million one hundred twenty-eight thousand dollars ($330,128,000) shall be allocated in July of the 2020–21 fiscal year in satisfaction of the moneys deferred pursuant to subdivision (a).

(d) For purposes of making the computations required by Section 8 of Article XVI of the California Constitution, the appropriations made by subdivision (b) shall be deemed to be “General Fund revenues appropriated for community college districts,” as defined in subdivision (d) of Section 41202, for the 2020–21 fiscal year, and included within the “total allocations to school districts and community college districts from General Fund proceeds of taxes appropriated pursuant to Article XIII B,” as defined in subdivision (e) of Section 41202, for the 2020–21 fiscal year.

(e) This section shall become inoperative on December 15, 2020, and, as of January 1, 2021, is repealed.

(Added by Stats. 2020, Ch. 5, Sec. 3. (AB 76) Effective June 26, 2020. Inoperative December 15, 2020. Repealed as of January 1, 2021, by its own provisions.)

84321.62.
  

(a) Notwithstanding any other law that governs the regulations adopted by the Chancellor of the California Community Colleges to disburse funds, the payment of apportionments to community college districts pursuant to Section 84320 shall be adjusted, commencing with the 2020–21 fiscal year, by the following:

(1) For the month of June, three hundred million dollars ($300,000,000) shall be deferred to July.

(2) For the month of May, three hundred million dollars ($300,000,000) shall be deferred to August.

(3) For the month of April, three hundred million dollars ($300,000,000) shall be deferred to September.

(4) For the month of March, three hundred million dollars ($300,000,000) shall be deferred to October.

(5) For the month of February, two hundred fifty-three million two hundred forty-three thousand dollars ($253,243,000) shall be deferred to November.

(b) The sum of one billion four hundred fifty-three million two hundred forty-three thousand dollars ($1,453,243,000) is hereby appropriated from the General Fund to the Board of Governors of the California Community Colleges for apportionments to community college districts, for expenditure during the fiscal year the payments are disbursed, to be expended in accordance with the applicable schedules of Item 6870-101-0001 of Section 2.00 of the applicable Budget Act.

(c) Of the funds appropriated in subdivision (b), three hundred million dollars ($300,000,000) shall be allocated in each of the months of July, August, September, and October and two hundred fifty-three million two hundred forty-three thousand dollars ($253,243,000) shall be allocated in November of the fiscal year the payments are disbursed in satisfaction of the moneys deferred pursuant to subdivision (a).

(d) (1) The chancellor may adjust the monthly schedule described in subdivision (a) to increase the amount deferred in a specified month if it ensures a shorter time between a deferred payment and repayment.

(2) If adjusting the monthly schedule, the chancellor shall not exceed the total amount of deferred payments described in subdivision (a).

(e) Pursuant to Section 8.28 of the Budget Act of 2020, if the Director of Finance determines that there are sufficient federal funds provided to the state for the 2020–21 fiscal year that may be used to offset the deferral of payments in the amount specified in that section, the Director of Finance shall reduce the amounts reflected in subdivisions (a), (b), and (c). In reducing these amounts, the Director of Finance shall first reduce the amounts deferred from any months occurring earliest in the 2020–21 fiscal year.

(f) For purposes of making the computations required by Section 8 of Article XVI of the California Constitution, the appropriations made by subdivision (b) shall be deemed to be “General Fund revenues appropriated for community college districts,” as defined in subdivision (d) of Section 41202, for the fiscal year in which the payments are disbursed, and included within the “total allocations to school districts and community college districts from General Fund proceeds of taxes appropriated pursuant to Article XIII B,” as defined in subdivision (e) of Section 41202, for the fiscal year in which the payments are disbursed.

(g) This section shall become operative on December 15, 2020.

(Added by Stats. 2020, Ch. 25, Sec. 7. (SB 116) Effective June 29, 2020. Operative December 15, 2020, by its own provisions.)

84321.7.
  

(a) Commencing with the 2020–21 fiscal year, up to thirty million dollars ($30,000,000) of the amount of the warrants for the principal apportionments for any of the months of February, March, April, May or June, that are instead to be drawn in the applicable months of the following fiscal year pursuant to Section 84321.62, may be drawn in February, March, April, May, or June, as applicable, subject to the approval of the Director of Finance, for a community college district as follows:

(1) In order for a community college district to receive a payment in February, March, April, May, or June pursuant to this section, the community college district shall certify to the Office of the Chancellor of the California Community Colleges and to the Director of Finance at least two months before the applicable deferral that the deferral of warrants pursuant to Section 84321.62 will result in the community college district being unable to meet its financial obligations for any of the months of February, March, April, May, or June, as applicable, and shall provide the Office of the Chancellor of the California Community Colleges an estimate of the amount of additional funds necessary for the community college district to meet its financial obligations for the months of February, March, April, May, or June, as applicable.

(2) The criteria, as applicable, set forth in statute and regulations to qualify a community college district for an emergency apportionment shall be used to make the certification specified in paragraph (1).

(3) A community college district may receive, pursuant to this section, no more than the lesser of the following:

(A) The total amount of additional funds necessary for the community college district to meet its financial obligations for any of the months of February, March, April, May, or June, as reported to the Office of the Chancellor of the California Community Colleges pursuant to paragraph (1).

(B) The total payments the community college district is entitled to receive in the applicable deferral month pursuant to Section 84321.62.

(b) If the total amount requested by community college districts pursuant to paragraph (3) of subdivision (a) exceeds thirty million dollars ($30,000,000) for any of the applicable deferral months, the Controller, the Treasurer, and the Director of Finance may authorize additional payments to meet these requests, but total payments to community college districts pursuant to this section shall not exceed sixty million dollars ($60,000,000) for any of the applicable deferral months. No later than one month before the applicable deferral, the Controller, the Treasurer, and the Director of Finance shall determine whether sufficient cash is available to make payments in excess of thirty million dollars ($30,000,000) to a community college district. In making the determination that cash is sufficient to make additional payments, in whole or in part, the Controller, Treasurer, and Director of Finance shall consider costs for state government, the scope of any identified cash shortage, timing, achievability, legislative direction, and the impact and hardship imposed on potentially affected programs, entities, and related public services. The Department of Finance shall notify the Joint Legislative Budget Committee within 10 days of this determination and identify the total amount of requests that will be paid.

(c) If the total amount of cash made available pursuant to subdivision (b) is less than the amount requested pursuant to paragraph (2) of subdivision (a), payments to community college districts shall be prorated.

(d) Payments pursuant to this section shall be made by the Controller no later than the last business day of the months of February, March, April, May, or June, as applicable.

(e) By August 1 of each year, commencing in 2021, the Department of Finance, in collaboration with the Office of the Chancellor of the California Community Colleges, shall notify the Joint Legislative Budget Committee of the following information by each community college district that, in the prior fiscal year, requested an exemption to the deferral of payments:

(1) The amount requested for each applicable month pursuant to subdivision (a).

(2) The amount received for each applicable month pursuant to this section. and, if the request was not granted, the reason for the denial.

(f) Except as provided in subdivisions (c) and (e) of Section 41202, for purposes of making the computations required by Section 8 of Article XVI of the California Constitution, the warrants drawn pursuant to subdivision (a) shall be deemed to be “General Fund revenues appropriated for community college districts,” as defined in subdivision (d) of Section 41202, for the fiscal year in which the warrants are required to be drawn pursuant to Section 84321.62, and included within the “total allocations to school districts and community college districts from General Fund proceeds of taxes appropriated pursuant to Article XIII B,” as defined in subdivision (e) of Section 41202, for the fiscal year in which the warrants are required to be drawn pursuant to Section 84321.62.

(Amended by Stats. 2020, Ch. 25, Sec. 8. (SB 116) Effective June 29, 2020.)

84322.
  

Notwithstanding any other provision of law, a community college district may recognize, for budgetary and financial reporting purposes, any amount of state appropriations deferred from the current fiscal year and appropriated in the subsequent fiscal year for payment of current-year costs as a receivable in the current fiscal year.

(Added by Stats. 2003, Ch. 227, Sec. 31. Effective August 11, 2003.)

84328.
  

(a) The Board of Governors of the California Community Colleges shall certify each apportionment made by it to the Controller.

(b) The board of governors shall furnish an abstract of each apportionment of the State School Fund to the Controller, the Department of Finance, and to the county and city and county auditors, county and city and county treasurers, and to the county superintendents of schools of the several counties of the state.

(Amended by Stats. 1990, Ch. 1372, Sec. 658.)

EDCEducation Code - EDC3