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School District Revenue Limit


Funding Description

Under California's school finance system, most general-purpose education funding is apportioned to school districts through a calculation called the "revenue limit". Each school district has a revenue limit funding amount per unit of average daily attendance (ADA). A district's total revenue limit is funded through a combination of local property taxes and state General Fund aid. In effect, the State makes up the difference between property tax revenues and the total revenue limit funding for each district. Revenue limits are funded through the Principal Apportionment.

Eligibility

Eligible Applicants Local educational agencies
Required Eligibility Criteria Not applicable
Other Eligibility Considerations Not applicable
Eligible Grade Level(s) K, 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12
Eligible Age Level(s) Not applicable

Funding

Legal Authority Education code sections 42238-42245, 42280-42289.6, 45023.1, and 45023.4
Source / Type State / Apportionment
State Fiscal Year 2007-08
SACS Resource / Revenue Codes 0000 / 8011
Total Available Unavailable
Recipient Amount Actual funding amounts vary.
Match Requirement No
Allocation Formula The first step in the calculation of each district's Revenue Limit funding is the calculation of their Base Revenue Limit amount. This amount is equal to their prior year Base Revenue Limit amount increased by the applicable cost-of-living increase (Elementary, High, or Unified amount). This amount is then multiplied by the district's "funded" ADA which is equal to the greater of current year or prior year Second Principal Apportionment (P-2) ADA. For certain school districts the base revenue limit dollars are then increased by funding generated by Necessary Small Schools.

Several adjustments may be made to the revenue limit funding to include additional funding for Meals for Needy Pupils, Beginning Teacher Salary Incentive Program, and Unemployment Insurance Program funding. Also, other adjustments to the revenue limit funding are made for various purposes including the recapture of savings related to the Public Employees Retirement System (PERS) employer contribution rate.

Important Dates

Date Application Available Unavailable
Due Date Unavailable
Expected Notification Date February 20, 2008

Additional Information

Application Unavailable
Background Unavailable
Fiscal Principal Apportionment [http://www.cde.ca.gov/fg/aa/pa/index.asp]
Other Principal Apportionment amounts are calculated three times for each fiscal year: The First Principal Apportionment (P-1) is certified by February 20th, the Second Principal Apportionment (P-2) is certified by July 2nd, and the Annual calculation is certified by February 20th of the following year (at the same time as the following year's P-1 certification).

Contacts

Program Office of Principal Apportionment and Special Education, 916-324-4541, PASE@cde.ca.gov
Fiscal Office of Principal Apportionment and Special Education, 916-324-4541, PASE@cde.ca.gov
Division School Fiscal Services Division, 916-324-4541
Last Modified: February 21, 2008
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