June 1, 2009
Dear County Superintendents of Schools, Auditors, and Treasurers:
This apportionment, in the amount of $5,493,651, is made from funds provided in Item 6110-243-0001, Pupil Retention Block Grant (PRBG), of the Budget Act of 2008 (Chapters 268 and 269, Statutes of 2008) as amended by Senate Bill (SB) 4 of the Third Extraordinary Session (Chapter 12, Statutes of 2009).
County superintendents of schools are requested to immediately inform recipients of this apportionment. Warrants will be mailed to each county treasurer approximately four weeks from the date of this Notice. To view the schedule of apportionment, please visit the California Department of Education (CDE) Categorical Programs Web page at http://www.cde.ca.gov/fg/aa/ca/.
California Education Code Section 42605, added by SBX3 4, authorizes complete flexibility by a school district, county office of education, and charter school in the use of funds appropriated in the state budget for fiscal years 2008-09 through 2012-13 for numerous budget items, including the funds formerly restricted to the PRBG Program.
School districts, county offices of education, and charter schools may now use the funds formerly restricted to this program for any educational purpose. Program and funding requirements as otherwise provided in statute, regulation, and budget act provisional language associated with the funding are not in effect. The funds are therefore unrestricted and should be accounted for as such. Despite the relatively late timing of SBX3 4, the legislation impacts the entire 2008-09 fiscal year; therefore, any funds allocated in previous 2008-09 apportionment(s) for this budget item are also unrestricted.
For standardized account code structure coding, use Resource Code 0000, Unrestricted, and Revenue Object Code 8590, All Other State Revenue. If you wish to continue to record activities related to these funds, for 2008-09 only, in Resource Code 7390 and Revenue Object Code 8590, please review the additional guidance provided in the CDE’s letter dated April 17, 2009, in the section entitled “Accounting Issues Unique to 2008-09” beginning on page 11. This letter contains in-depth guidance on accounting for the funds and balances made unrestricted pursuant to the flexibility provisions of SBX3 4, and is available on the CDE Web site at http://www.cde.ca.gov/fg/ac/co/.
This second apportionment provides 100 percent of each LEA’s revised 2008-09 PRBG entitlement less funds apportioned in fall 2008. Entitlements were revised to reflect the approximate15.4 percent reduction in funding that was enacted in Section 34 of SBX3 4.
Charter schools that receive funding through the Charter School Categorical Block Grant (CSCBG) are not eligible to receive funds from the PRBG because it is included in the statutory list of programs for which block-grant funded charter schools may not apply separately. District-wide charter schools that do not receive CSCBG funds are eligible to receive PRBG funds if they received in the 2003-04 base year funds from any program included in PRBG and continued to receive funds in 2004-05.
If you have any questions regarding this apportionment, please contact
Marcie Gregory, Education Fiscal Services Assistant, Categorical Allocations and Management Assistance Unit, at 916-324-4537 or by e-mail at firstname.lastname@example.org [Note, the preceding contact information is no longer valid and has been replaced by Christina Kersey, Fiscal Consultant, Categorical Allocations & Management Assistance Unit, at 916-324-9806 or by e-mail at email@example.com.]
Susan Lange, Deputy Superintendent
Finance, Technology, and Administration Branch