SB 978 - A provision contained in the truly agreed to and finally passed SB 287 (2005) altered, beginning on July 1, 2006, the manner in which moneys in the school district trust fund (commonly referred to as "prop C") were distributed to the public schools of this state. Prior to SB 287, the funds were distributed based on the sum of a district’s average daily attendance plus the product of two times the average daily attendance for summer school. Under SB 287, the funds are to be distributed based on the weighted average daily attendance of a school district.
This act establishes a transitional period whereby the weighted average daily attendance distribution method would be phased-in the same manner as the formula itself. For instance, for the 2006-07 school year, fifteen percent of the Prop C funds will be distributed based on a district’s weighted average daily attendance, and eighty-five percent of the Prop C funds will be distributed based on eligible pupils (the old method of prop C distribution), which is the sum of a district's average daily attendance plus the product of two times the average daily attendance for summer school. Specifically, the eligible pupils distribution will be based on a district's proportion of the total eligible pupil count in the 2005-2006 school year. The percent distribution based on weighted average daily attendance will increase by 15% annually until 2012-13, when the Prop C funds will be distributed entirely on a weighted average daily attendance basis.
This act contains an emergency clause with an effective date of July 1, 2006.