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Ltr-10: K-3 CSR

Letter Head: Jack O'Connell, State Superintendent of Public Instruction, California Department of Education

July 12, 2010

Dear County Superintendents of Schools and Treasurers:

NOTICE OF THE FINAL APPORTIONMENT (JULY PAYMENT) FOR THE
KINDERGARTEN AND GRADES ONE THROUGH THREE
CLASS SIZE REDUCTION PROGRAM
FISCAL YEAR 2010-11
(AMOUNTS DEFERRED FROM FISCAL YEAR 2009-10)

This apportionment, in the amount of $262,234,502, is made from funds provided in Section 38 of Senate Bill 4 of the Third Extraordinary Session, Chapter 12, Statutes of 2009 (SBX3 4) and is to be expended consistent with the requirements specified in Item 6110-234-0001 of the Budget Act of 2009 (Chapter 1 of the Third Extraordinary Session and Chapter 1 of the Fourth Extraordinary Session, Statutes of 2009), in support of the Kindergarten and Grades One through Three Class Size Reduction (K-3 CSR) Program.

Beginning in fiscal year 2010-11, letters of apportionment from the California Department of Education’s (CDE) School Fiscal Services Division will no longer be mailed to the county superintendents of schools. Instead, county superintendents will be notified of each apportionment by e-mail. Accordingly, the CDE has sent an e-mail to each county superintendent, addressed to the county’s CDEfisc e-mail address, to inform him or her of this apportionment. The e-mail contained a link to the CDE Categorical Programs Web page at http://www.cde.ca.gov/fg/aa/ca/ where, under the program name, the letter and schedule for this apportionment are posted. The CDE requested that the e-mail be forwarded to the school districts and charter schools in the county.

Direct-funded and locally funded charter schools that applied for the K-3 CSR Program on their own behalf are listed separately on the apportionment schedule. Funding for charter schools that did not apply on their own behalf is included in the authorizing entity’s entitlement if the entity included charter school enrollment data in its FormJ-7CSR. Warrants will be mailed to each county treasurer approximately four weeks from the date of this Notice. For standardized account code structure coding, use Resource Code 1300, Class Size Reduction, Grades K-3, and Revenue Object Code 8434, Class Size Reduction, Grades K-3.

The apportionment for each school district or charter school is based on actual enrollment i participating classes as submitted on the Form J-7CSR, less any amounts received in the November 2009 and February 2010 Advance Apportionments, and the June 2010 Final Apportionment. Funds are apportioned at $1,071 per pupil in an Option 1 class (full day), and at $535 per pupil in an Option 2 class (half day).

This payment distributes the balance of the final entitlement for the 2009-10 K-3 CSR Program. This apportionment also contains offsets to recover 2007-08 and 2008-09 K-3 CSR Program funds from school districts and charter schools that were overpaid. As a result of these offsets, the net payment is $252,057,089.

Some school districts and charter schools submitted their Form J-7CSR with errors that could not be processed. Those entities that did not submit a certified revision to the CDE by Friday, July 2, 2010, are not included in this apportionment. The affected school districts and charter schools must ensure that a revised certified 2009-10 Form J-7CSR is received by CDE in order to avoid having their 2009-10 funding recovered as an offset to their principal apportionment payment.

Section 37 of Assembly Bill 2 of the Fourth Extraordinary Session (ABX4 2) requires that categorical funding allocations to basic aid school districts in fiscal year 2010-11 be reduced by the lesser of: (1) the district's 2009-10 total revenue limit subject to the deficit factor, calculated as of the 2009-10 certified second principal apportionment, multiplied by 5.81 percent or (2) the amount of the district's excess taxes. In implementation of ABX4 2, we have reduced the amount paid to basic aid districts in this apportionment. The amounts reduced are shown on the schedule of apportionment.

The apportionment reduction for basic aid school districts applies to fiscal year 2010-11 only and their entitlement to funds in subsequent years for this program will not be affected. To view the list of basic aid districts and the total amount to be reduced from their 2010-11 categorical funding allocations, please go to the CDE Web page at http://www.cde.ca.gov/fg/aa/ca/documents/basicaidcut2010.xls.

If you have any questions regarding the K-3 CSR Program or this apportionment, please contact Rebecca Lee, Fiscal Consultant, Categorical Allocations and Management Assistance Office, by phone at 916-324-4533 or by e-mail at relee@cde.ca.gov.

Sincerely,

 

Susan Lange, Deputy Superintendent
Finance, Technology, and Administration Branch

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