Skip to content
Printer-friendly version

Calculations to Determine 2009-10 P-2

Detail of calculations to determine the 2009-10 Second Principal (P-2) Apportionment.

The Second Principal (P-2) Apportionment for fiscal year 2009-10 was certified on June 22, 2010 pursuant to Education Code (EC) Section 41335. The details of the P-2 apportionment as well as the details of the updated calculations of the 2008-09 apportionment (2008-09 Annual R1) and the 2007-08 apportionment (2007-08 Annual R3) that were certified as part of the P-2 Apportionment are described below.

School Districts and County Offices of Education (Fiscal Year 2009-10)

The average daily attendance (ADA) and other data reported in the Principal Apportionment Revenue software were used to calculate this apportionment. Revenue limits were increased by the 2009-10 statutory cost-of-living adjustment (COLA) of 4.25 percent (EC sections 42238 and 42238.1). Assembly Bill 2 of the 2009-10 Fourth Extraordinary Session (ABX4 2) (Chapter 2, Statutes of 2009) prescribed the following reductions to the revenue limit: 18.355 percent for school districts and 18.621 percent for county offices of education (COE). As a result, deficit factors of 0.81645 and 0.81379 were applied to school district and COE revenue limits, respectively, in the P-2 Apportionment.

Inflation (Cost-of-living) Adjustment for District Revenue Limits

The chart below shows the COLA increase applied to Revenue Limits for each type of district for 2009-10. The COLA is calculated by multiplying the 2008-09 statewide average base revenue limit per ADA by the 2009-10 COLA of 4.25 percent for each type of district.

Type of District Prior Year Statewide Average Base Revenue Limit 2009-10 COLA
(4.25 %)

Elementary District

$5,883

$250

High School District

$7,069

$300

Unified District

$6,155

$262

Adult Education

The funding methodology for this program was changed pursuant to Senate Bill 4 of the 2009-10 Third Extraordinary Session (SBX3 4) (Chapter 12, Statutes of 2009), as amended by ABX4 2. The 2009-10 funding for Adult Education was calculated by determining the amount each local educational agency (LEA) received for the program for 2007-08 (as of Annual R3) as a percentage of the statewide total ($753,613,376) and then multiplying that percentage by the $634,753,000 appropriated for the program.

Adults in Correctional Facilities (AICF)

Funding for this program is based on the lesser of each LEA’s 2008-09 rate per ADA or 80 percent of the 2007-08 statewide average revenue limit for adult education. This amount is multiplied by the lesser of prior-year annual ADA or a cap based on 2002-03 ADA funding increases of 2.5 percent each year. The amount appropriated for this program equals $14.9 million. The Statewide claims totaled $15.9 million. The growth funding was insufficient to fund all of the additional growth in the program for 2009-10. A factor of 0.1398259000 was used to adjust the per-pupil growth rate to allocate funding for growth.

Apprentice Program

The entitlement for the Apprentice program was calculated by multiplying the lesser of the 2009-10 reported apprentice hours or the 2009-10 approved (cap) apprentice hours by the hourly rate of $5.06. Sufficient funds were available to fully fund the program.

Beginning Teacher Salary (BTS)
Community Day School (CDS) Additional Funding for “All Other” Pupils

The funding methodology for this program was changed pursuant to SBX3 4, as amended by ABX4 2. The 2009-10 funding for CDS was calculated by determining the amount each LEA received for the program (excluding funding for mandatory-expelled students) for 2007-08 (as of Annual R3) as a percentage of the statewide total ($52 million) and then multiplying that percentage by the $41,681,000 appropriated for the program.

Community Day School (CDS) Additional Funding for Mandatory Expelled Pupils

Funding for CDS pupils who were expelled for any of the mandatory expulsion offenses as described in EC 48915(c) was calculated using 2009-10 P-2 ADA for the 5th and 6th hours for these pupils.

Schools with small school waivers that report ADA for mandatory expelled pupils will receive waiver funding that equals the amount displayed on the necessary small schools funding table for one certificated teacher less revenue limit received for any community day school pupils. The additional funding provided by the waiver is reduced by the current dollar value of any waiver funding included in the base-year funding for “All Other” CDS pupils. The current dollar value is calculated by multiplying the 2007-08 amount by a 0.80111 adjustment factor. The adjustment factor recognizes the decrease in funding for “All Other” CDS pupils from the 2007-08 level and is determined by dividing the statewide total dollars available for CDS “All Other” pupils in the 2009-10 fiscal year, by the amount used to calculate the 2007-08 base.

Gifted and Talented Education (GATE)

The funding methodology for this program was changed pursuant to SBX3 4. The 2009-10 funding for GATE was calculated by determining the amount each LEA received for GATE for 2008-09 (as of Annual R1) as a percentage of the statewide total ($46,833,000) and then multiplying that percentage by the $44,222,000 appropriated for the program.

Necessary Small Schools (NSS)

The Allowance for NSS is based on the combination of ADA and the number of full-time teachers (for elementary schools) or the number of certificated employees (for high schools), whichever provides the lesser amount. The allowance amounts shown in the following tables reflect the 4.25 percent COLA for 2009-10:

For necessary small elementary schools
Number of Teachers Average Daily Attendance Amount to be Computed

1

1 to 24

$138,525

2

25 to 48

$277,050

3

49 to 72

$415,575

4

73 to 96

$554,100

 

For necessary small high schools
Minimum Number of Certificated Employees Average Daily Attendance Amount to be Computed

2 or less

1 to 19

$112,450 per teacher

3

1 to 19

$499,500

4

20 to 38

$611,950

5

39 to 57

$724,400

6

58 to 71

$836,850

7

72 to 86

$949,300

8

87 to 100

$1,061,750

9

101 to 114

$1,174,200

10

115 to 129

$1,286,650

11

130 to 143

$1,399,100

12

144 to 171

$1,511,550

13

172 to 210

$1,624,000

14

211 to 248

$1,736,450

15

249 to 286

$1,848,900

Note: Fractional ADA units of .5 and above are rounded up, and those below .5 are rounded down.

Public Employees' Retirement System (PERS) Reduction

To restore a portion of the PERS Reduction, $44.383 million was appropriated in 2009-10. To arrive at the statewide total adjustment, a restoration rate of 0.1794976536 was applied to the PERS adjustment before deducting the amount from the revenue limit, thereby increasing the total revenue limit for school districts and county offices.

Regional Occupational Centers/Programs (ROC/P)

The funding methodology for this program was changed pursuant to SBX3 4, as amended by ABX4 2. The 2009-10 funding for ROC/Ps was calculated by determining the amount each LEA received for ROC/Ps, including from excess taxes for county operated ROC/Ps, for 2007-08 (as of Annual R3) as a percentage of the statewide total ($525,806,567) and then multiplying that percentage by the $384,677,000 appropriated for the program. Local income savings were distributed to all LEAs based on the same percentage.

Supplemental Instructional Programs

The funding methodology for this program was changed pursuant to SBX3 4, as amended by ABX4 2. The 2009-10 funding for each supplemental instructional program was calculated by determining the amount each LEA received for each program for 2007-08 (as of Annual R3), and 2008-09 (as of 2008-09 recertified P-1) for direct-funded charter schools that began operation in 2008-09, as a percentage of the statewide total (shown below). The percentage was then multiplied by the amounts appropriated for each program as shown in the following table:

Program

2007-08 Statewide Totals + 2008-09 Recertified P-1 Totals for new Direct-Funded Charter Schools

Appropriation

Core Academic Program for Kindergarten and Grades One through Twelve

$101,384,000

$70,009,000

Remedial Program, Grades Seven through Twelve

$235,040,011

$200,789,000

Retained or Recommended for Retention, Grades Two through Nine

$62,668,355

$48,497,000

Low Standardized Testing and Reporting (STAR) and At-Risk of Retention, Grades Two through Six

$22,101,000

$16,924,000

Direct Services

Funding equals the COE’s 2008-09 rate per ADA for direct services funding, increased by the 4.25 percent COLA, multiplied by the total of the 2008-09 Annual R1 ADA for all applicable school districts, as follows:

Charter school ADA units are included in the calculation.

Other County Service Fund Operations

Funding equals the COE’s 2008-09 rate per ADA, increased by the 4.25 percent COLA, multiplied by the total of the 2009-10 P-2 ADA for the COE, school districts, and charter schools in the county. The 2009-10 P-2 ADA also includes the ADA amounts for Adult Education and ROC/Ps that were used in the 2007-08 other county service fund calculation.

Charter Schools (Fiscal Year 2009-10)

The 2009-10 P-2 ADA and other data reported in the Principal Apportionment Revenue software were used to calculate this apportionment. In addition, the non-classroom based ADA was adjusted for charter schools that received a determination of funding from the State Board of Education.

Charter School (General Purpose) Block Grant Funding Calculations

The general purpose apportionment for charter schools is calculated using two funding models – the block grant funding model and the district or county office revenue limit funding model.

Grade Level Amount

Kindergarten and Grades One through Three

$5,044
Grades Four through Six $5,118
Grades Seven through Eight $5,268
Grades Nine through Twelve $6,130
Charter School Categorical Block Grant Calculations

The Categorical Block Grant is calculated pursuant to EC Section 47634.1; and the Budget Act of 2009, as amended by ABx4 1.

Charter School Funding Exhibits

Detailed charter school funding exhibits and funding excel files are available on the CDE Web site.

Special Education (Fiscal Year 2009-10)

Assembly Bill (AB) 602 Funding

In accordance with the FY 2009 Budget Act language, the FY 2009-10’s statewide target rate no longer includes prior year’s supplement to base rate. The statewide target rate is thereby computed by adding the prior year statewide target rate to the current year COLA of zero percent, resulting in a rate of $465.44. This year, an increase in federal aid for special education of approximately $46 million provides each Special Education Local Plan Area (SELPA) $7.71 per unit of ADA in supplement to base funding.

EC Section 56836.155 was not modified to allow the use of incidence multipliers for fiscal year 2009-10. Therefore, as indicated in the calculations letter for P-1, the CDE has excluded the incidence multipliers adjustment in the AB 602 funding calculation at P-2. Funding components affected by this change include special disabilities adjustment, growth, and COLA. The most significant impact on the AB 602 funding is the complete elimination of the special disabilities adjustment funding. If the statute is changed to allow for incidence multipliers for the 2009-10 fiscal year this funding will be restored.

Lastly, funding for pre-referral mental health services is outside of the principal apportionment, and is apportioned separately.

Out-of-Home Care (OHC)

The Budget Act of 2009 appropriated $205.022 million for the sixth year of this program, which replaced the 100 percent reimbursement funding for nonpublic school and agency tuition for students residing in licensed children’s institutions (NPS/LCI). Funding for the 2009-10 P-2 Apportionment is calculated based on the bed and pupil count data collected as of April 1, 2010 and funded at the FY 2009-10 budgeted amount for the program. In addition, fiscal year 2009-10 is the fourth year of the hold harmless phase-out. Specifically, if a SELPA’s 2009-10 OHC funding entitlement is less than the amount it received for the 2008-09 fiscal year, the SELPA shall receive the same amount it received for the 2008-09 fiscal year less 50 percent of the difference between the two amounts (EC Section 56836.173(c)). Conversely, if a SELPA’s 2009-10 funding entitlement greater than the amount received for the prior year, the SELPA shall receive the same amount it received for the prior year plus the gain. In the case where the total gain amount exceeds the program’s budget appropriation, a proration factor will be applied. Gains are fully funded at P-2.

Infant (ages two and younger) Program

Total funding apportioned for the Infant Program for 2009-10 is $68,613,780. Following are the 2009-10 Infant Program statewide average unit rates:

Programs 2008-09 Statewide Average Rate 2009-10 COLA (0%) 2009-10 Statewide Average Rate

Special Day Class

$56,932

$0

$56,932

Resource Specialist

$60,026

$0

$60,026

Designated Instruction

$56,227

$0

$56,227

Aide

$23,118

$0

$23,118

Prior Years

The following provides updates to the 2008-09 and 2007-08 apportionments certified at the same time as the 2009-10 P-2 Apportionment. The types of data used and the method of calculating the apportionment are similar to those given above unless specified.

2008-09 Annual R1--School Districts and County Offices of Education

Adult Education

The funding methodology for this program was changed pursuant to SBX3 4, as amended by ABX4 2. The 2008-09 funding for Adult Education was calculated by determining the amount each LEA received for the program for 2007-08 (as of Annual R3) as a percentage of the statewide total ($753,613,376) and then multiplying that percentage by the $653,744,000 appropriated for the program.

Adults in Correctional Facilities (AICF)

SBX3 4 prescribed a reduction to the AICF program. As a result, the new total amount appropriated for this program equals $15.414 million. Entitlements were calculated by dividing prior year total funding by prior year funded ADA to determine individual LEA prior year rates per ADA. The rate per ADA is the lesser of the rate received in 2007-08, or 80 percent of the 2007-08 statewide average adult education revenue limit amount; the fundable rate is the lesser of the two. The growth funding was insufficient to fund the additional growth in the program. A factor of 0.4028512000 was used to adjust the per-pupil growth rate to allocate funding for growth.

Community Day School (CDS) Additional Funding for “All Other” Pupils

The funding methodology for this program was changed pursuant to SBX3 4, as amended by ABX4 2. The 2008-09 funding for CDS was calculated by determining the amount each LEA received for the program (excluding funding for mandatory-expelled students) for 2007-08 (as of Annual R3) as a percentage of the statewide total ($52 million) and then multiplying that percentage by the $44,002,000 appropriated for the program

Community Day School (CDS) Additional Funding for Mandatory Expelled Pupils

Funding for CDS pupils who were expelled for any of the mandatory expulsion offenses as described in EC 48915(c) was calculated using 2008-09 Annual ADA for the 5th and 6th hours for these pupils.

Schools with small school waivers that report ADA for mandatory expelled pupils will receive waiver funding that equals the amount displayed on the necessary small schools funding table for one certificated teacher less revenue limit received for any community day school pupils. The additional funding provided by the waiver is reduced by the current dollar value of any waiver funding included in the base-year funding for “All Other” CDS pupils. The current dollar value is calculated by multiplying the 2007-08 amount by a 0.84572 adjustment factor. The adjustment factor recognizes the decrease in funding for “All Other” CDS pupils from the 2007-08 level and is determined by dividing the statewide total dollars available for CDS “All Other” pupils in the 2008-09 fiscal year, by the amount used to calculate the 2007-08 base.

Gifted and Talented Education (GATE)

The entitlement for GATE was calculated by multiplying the 2007-08 P-2 ADA by the higher of the school district’s and county office’s 1999-2000 per-ADA funding rate, or the 2008-09 statewide per-ADA funding rate of $8.48, which was calculated by dividing the total funds appropriated for GATE by the total prior year P-2 ADA for the eligible school districts and county offices that reported participation in the current year. Agencies with fewer than 1,500 ADA received the greater of the funding amount calculated above, a minimum funding guarantee of $3,188, or their 1998-99 GATE allowance, as increased by annual COLAs.

The total amount appropriated for GATE was $46.833 million. Statewide claims totaled $53.640 million, resulting in a proration factor of 0.8730969991.

Public Employees’ Retirement System (PERS) Reduction

The restoration factor resulting from the $42.776 million appropriated to reduce the PERS Reduction in 2008-09 was 0.1582727836 of the total PERS adjustment.

Regional Occupational Centers and Programs (ROC/P)

The funding methodology for this program was changed pursuant to SBX3 4, as amended by ABX4 2. The 2008-09 funding for ROC/Ps was calculated by determining the amount each LEA received for ROC/Ps, including from excess taxes for county operated ROC/Ps, for 2007-08 (as of Annual R3) as a percentage of the statewide total ($525,806,567) and then multiplying that percentage by the $408,704,000 appropriated for the program. Local income savings were distributed to all LEAs based on the same percentage.

Supplemental Instructional Programs

The funding methodology for this program was changed pursuant to SBX3 4, as amended by ABX4 2. The 2008-09 funding for each supplemental instructional program was calculated by determining the amount each LEA received for 2007-08 (as of Annual R3), and 2008-09 (as of 2008-09 recertified P-1) for direct-funded charter schools that began operation in 2008-09, as a percentage of the statewide total (shown below). The percentage was then multiplied by the amounts appropriated for each program as shown in the following table.

Program

2007-08 Statewide Totals + 2008-09 Recertified P-1 Totals for new Direct-Funded Charter Schools

Appropriation

Core Academic Program for Kindergarten and Grades One through Twelve

$101,384,000

$74,143,000

Remedial Program, Grades Seven through Twelve

$235,040,011

$212,647,000

Retained or Recommended for Retention, Grades Two through Nine

$62,668,355

$51,360,000

Low Standardized Testing and Reporting (STAR) and At-Risk of Retention, Grades Two through Six

$22,101,000

$17,924,000

2007-08 Annual R2--School Districts and County Offices of Education

Adult Education

Adult education funding was calculated using the lesser of the 2007-08 Annual reported ADA or the 2007-08 adult education ADA cap. Sufficient funds were available to fund excess ADA at 1,925.72 per excess ADA.

Adults in Correctional Facilities (AICF)

Entitlements were calculated by dividing prior-year total funding by prior-year funded ADA to determine individual LEA’s prior-year rate per ADA. The prior-year rate per ADA was increased by the prior-year COLA (5.92 percent) and compared to 80 percent of the prior-year statewide average rate per ADA for the adult education program; the fundable rate is the lesser of the two. Funding available at the 2007-08 Annual R3 was sufficient to fully fund the program.

Community Day Schools (CDS)

Funding for the CDS program was calculated using 2007-08 Annual ADA for community day schools. Schools with newly-approved small school waivers will receive the amount displayed on the necessary small schools funding table for one certificated teacher. The total amount appropriated for CDS was $51.999 million. Due to insufficient funding, a proration factor of 0.9034587464 was applied to the funding for the 5th and 6th hours ADA (for pupils other than mandatory expelled), the approved small school waiver (for pupils other than mandatory expelled), and the 7th and 8th hours.

Gifted and Talented Education (GATE)

Funding was calculated by multiplying the 2006-07 P-2 ADA by the higher of the school district’s and county office’s 1999-2000 per-ADA funding rate, or the 2007-08 statewide per-ADA funding rate of $10.02, which was calculated by dividing the total funds appropriated for GATE by the total prior year P-2 ADA for the eligible school districts and county offices that reported participation in the current year. Agencies with fewer than 1,500 ADA received the greater of the funding amount calculated above, a minimum funding guarantee of $3,188, or their 1998-99 GATE allowance, as increased by annual COLAs.

The total amount appropriated for GATE was $55.634 million. Statewide claims totaled $58.720, resulting in a proration factor of 0.9474395515.

Public Employees’ Retirement System (PERS) Reduction

The restoration factor resulting from the $40.736 million appropriated to reduce the PERS Reduction in 2007-08 was 0.1469396569 of the total PERS adjustment.

Regional Occupational Centers and Programs (ROC/P)

The base funding for this program is equal to the ROC/P 2007-08 base revenue limit per ADA multiplied by the lesser of the 2007-08 Annual reported ADA or the 2007-08 ROC/P ADA cap. A 4.53 percent COLA (applied to the prior year Statewide Average Revenue Limit per Growth ADA) of $156.09 was added to the prior year weighted average base revenue limit per ADA to establish the 2007-08 base revenue limit per ADA.

Supplemental Instructional Programs

The funding for these programs is based on the 2007-08 Annual hours of attendance in the supplemental instructional programs.

Special Education (Fiscal Years 2008-09 and 2007-08)

Assembly Bill (AB) 602 Funding

Both 2008-09 (Annual R1) and 2007-08 (Annual R3) AB 602 entitlements are fully funded at the 2009-10 P-2 Apportionment. The only exceptions are funding for the 2007-08 Out-of-Home Care (OHC) Program and funding for the 2008-09 Extraordinary Cost Pool (ECP) Program, where a proration factor of 0.88 and 0.76 was applied in each calculation.

Out-of-Home Care (OHC)

Total entitlement for 2008-09 (Annual R1) is $196,335,861. Total entitlement for 2007-08 (Annual R3) is $205,022,005 with a proration factor of 0.88 for the gain in funding.

Infant (ages two and younger) Program

Total entitlements are $69,127,248 for 2008-09 (Annual R1) and $68,742,470 for 2007-08 (Annual R3).

Per-ADA Reduction

Pursuant to Assembly Bill 3 of the 2009-10 Fourth Extraordinary Session (ABX4 3) (Chapter 3, Statutes of 2009) apportionments for revenue limits, charter school general purpose entitlements and sometimes categorical programs were reduced by an amount equal to $252.99 times an LEA’s 2008-09 P-2 apportionment ADA. The $252.99 per-ADA rate was calculated by dividing $1.516 billion by the statewide total 2008-09 P-2 apportionment ADA.

The ADA used in the calculation came from the following 2008-09 P-2 exhibits:

School Districts:
COEs:
Charter Schools:

Each LEA’s reduction total at P-2 can be found in the Principal Apportionment Excel files section of the CDE Web site. For some LEAs, the reduction applied to the Principal Apportionment may be less than the total per-ADA reduction. The two primary reasons for this were 1) because the per-ADA reduction total exceeded the total Principal Apportionment amount (excluding special education funds) or 2) because the application of the reduction to a charter school would have resulted in a negative payment. In most cases, invoices for the differences have been issued for categorical programs not included in the Principal Apportionment. Any remaining balances, which are due to decreases in the P-2 apportionment amount when compared to the P-1 amount, will be applied as offsets or invoiced to categorical programs that are not included in the Principal Apportionment.

For standardized account code structure (SACS) coding, this apportionment reduction is to be considered a reduction to Revenue Limit State-Aid—Current Year (Object 8011, Resource 0000) or Charter Schools General Purpose Entitlement—State Aid (Object 8015, Resource 0000). If the reduction exceeds the amount available in these Object codes, LEAs may allocate the reduction to other categorical apportionments in the Principal Apportionment, but may not reduce apportionments for Special Education.

Payment Schedule and Deferrals

Senate Bill 16 of the 2009-10 Fourth Extraordinary Session (SBX4 16) (Chapter 23, Statutes of 2009) modified the monthly payment schedule for most LEAs. SBX4 16 also changed the payment calculation for the months of February through May to one fifth of the principal apportionment balance due for LEAs that are paid pursuant to EC sections 14041 (a)(2) and 14041 (a)(7).

SBX4 16 also added deferrals to various payments. The deferrals during the P-1 and P-2 periods are as follows:

Recent legislative changes also affect the 2009-10 June P-2 payment. Specifically, Assembly Bill 191 of the 2009-10 Regular Session authorized the CDE to pay up to $800 million of the P-2 payment in June, instead of July. As such, 18.395% of the balance due for 2009-10 is being paid in June. The remaining amount is to be paid in July. However, Government Code Section 16325.5 and 16326 require that up to $2.5 billion in warrants for July be deferred for up to 60 days. As such, the CDE anticipates that approximately 40% of the remaining P-2 payment will be deferred. The exact amount deferred will not be known until the advance calculations are complete in July 2010. At that time this letter will be updated.

[Updated July 30, 2010] CDE has completed the Advance calculations and has determined that 28% (0.2794997224) of the July P-2 payment is subject to deferral pursuant to Government Code Sections 16325.5 and 16326. The remaining amount (0.7205002776) will be paid in July.

A spreadsheet of the payment schedule (XLS) is available on the CDE Web site.

Questions:   Office of Principal Apportionment and Special Education | 916-324-4541
Office of Charter Apportionments and District Reorganization | 916-324-4541
Download Free Readers