54650-54659

EDUCATION CODE
SECTION 54650-54659




54650.  It is the intent of the Legislature to encourage improvement
in the performance of all public schools by providing fiscal
incentives to motivate teachers and school site administrators to
work to increase school performance. It is not the intent of the
Legislature that incentive funding provided pursuant to this article
be used as a substitute for periodic inflation adjustments to school
apportionments.
   The Legislature recognizes that recent indicators of education
achievement, including the results of the California Assessment
Program, show high schools to be in the greatest need of educational
improvement. It is therefore the intent of the Legislature that the
Education Improvement Incentive Program first be implemented in the
state's public high schools.
   It is further the intent of the Legislature that the Californa
Assessment Program conducted pursuant to Chapter 5 (commencing with
Section 60600) of Part 33 be used to measure the improvement of
school performance in content courses, with an emphasis on logical
analysis, the drawing of reasonable inferences, and communication of
ideas.



54651.  (a) Beginning with the 1984-85 fiscal year, and each fiscal
year thereafter, the State Board of Education shall develop a
composite rating of each school's performance in the subject areas
tested pursuant to Section 60602. The composite rating shall be based
upon the weighted percentage of correct answers scored by the school
on the tests administered pursuant to Section 60603 in each of the
subject areas tested pursuant to Section 60602.
   (b) Beginning with the 1984-85 fiscal year, and each fiscal year
thereafter, the State Board of Education shall develop a statewide
composite rating of performance for all schools in the state, based
upon the composite ratings of each school developed pursuant to
subdivision (a).



54651.5.  (a) In developing composite ratings of each school's
performance, the Superintendent of Public Instruction shall ensure
that equivalent questions from the tests administered pursuant to
Section 60603 are compared from fiscal year to fiscal year. For
fiscal years in which changes are made in the subject matter or skill
level of the tests, the superintendent shall calculate two composite
ratings, as follows:
   (1) A rating that includes only those subjects and skill levels
which are comparable to those of the prior fiscal year.
   (2) A rating which reflects all subjects and skill levels included
in the revised test instrument.
   (b) The State Board of Education shall use the composite rating
calculated pursuant to paragraph (1) of subdivision (a) to calculate
incentive funding in the first fiscal year the revised test is
administered. The composite rating calculated pursuant to paragraph
(2) of subdivision (a) shall be used to calculate incentive funding
each fiscal year thereafter.



54652.  The Superintendent of Public Instruction shall not include
the schools located within a district that has elected not to
participate in the Education Improvement Incentive Program in the
computations required pursuant to Section 54653, 54654, or 54655.




54653.  Beginning with the 1984-85 fiscal year, and each fiscal year
thereafter, the State Board of Education shall compute the change in
the performance of each school as measured by the change in the
composite rating from the prior year. Except as otherwise provided in
Sections 54653.5 and 54653.6, a school which demonstrates an
improved performance from the prior year shall earn incentive funding
in the fiscal year in which the performance improvement occurred.
The State Board of Education shall compute the incentive funding
earned by each school pursuant to this section as follows:
   (a) For each school which demonstrates an improved performance,
multiply the increase in the composite score of the school by the
number of pupils in that school who took the test during the fiscal
year in which the increase occurred.
   (b) Add the individual products computed pursuant to subdivision
(a) to determine the total statewide increase in school performance.
   (c) Divide the product computed for the individual school pursuant
to subdivision (a) by the total statewide increase in school
performance computed pursuant to subdivision (b) to determine the
individual school's proportional contribution to the statewide
increase in school performance.
   (d) Multiply the quotient obtained pursuant to subdivision (c) by
the amount appropriated in that fiscal year for purposes of this
article to determine the incentive funding earned by an individual
school. In no case, shall the amount of incentive funding earned by
an individual school exceed the product of the number of pupils who
took the test during the fiscal year in which the increase occurred
multiplied by four hundred dollars ($400).
   The State Board of Education shall provide the Superintendent of
Public Instruction with a list of the schools which have earned
incentive funding, and the amount of that funding earned by each
school. The board shall provide the governing board of each school
district with a list of the schools within the district which have
earned incentive funding, and the amount of that funding earned by
each school.



54653.5.  If the number of pupils who took the test during the
fiscal year in which a performance improvement occurred was less than
93 percent of the school's grade 12 enrollment, the school shall not
be eligible to receive incentive funding for that fiscal year, and
shall not be included in the calculations made pursuant to Section
54653.



54653.6.  If a school's composite rating for the prior year is below
the school's composite rating for the 1983-84 fiscal year by an
amount as determined by a formula that shall be established by the
State Board of Education and that shall account for the size of the
school's grade 12 enrollment, then the computation of change in
performance for that school shall be based on its composite rating
for the 1983-84 fiscal year. The computation of incentive funding for
schools subject to the provisions of this section shall be in
accordance with Section 54653 based on improved performance as
measured by the increase from the 1983-84 composite rating. The
provisions of this section shall apply to the determination of
incentive funding commencing with the 1985-86 fiscal year.



54654.  Commencing with the 1984-85 fiscal year, and each fiscal
year thereafter the Superintendent of Public Instruction shall
compute a districtwide total of incentive funding earned by
individual schools located within each school district. The
superintendent shall include this sum in the school district's second
principal apportionment for the fiscal year in which the incentive
funding was earned. Incentive funding received pursuant to this
article shall supplement, and shall not supplant, the apportionment
due to a school district.


54654.5.  Incentive funds included in a school district's
apportionment pursuant to Section 54654 shall not be considered part
of the current expense of education for purposes of Section 41372.



54655.  The governing board of a school district which received
funding pursuant to Section 54654 shall allocate to each school which
earned incentive funding an amount equal to 100 percent of the
amount earned by that school as computed pursuant to Section 54653.




54655.5.  Each school which receives an allocation pursuant to
Section 54655 shall utilize its school-site council for purposes of
planning the expenditure of those funds. If the school does not have
a school-site council, it shall establish one as provided by Section
52012.



54656.  (a) No funds allocated pursuant to Section 54654 shall be
used for any of the following purposes:
   (1) To pay salaries negotiated pursuant to Chapter 10.7
(commencing with Section 3540) of Title 1 of Division 4 of the
Government Code.
   (2) To hire additional staff pursuant to employment agreements for
a term of one year or more.
   (b) Funds allocated pursuant to Section 54654 may be expended
without regard to fiscal year.



54656.5.  Funds allocated to schools pursuant to Section 54655 shall
supplement, and shall not supplant, school budgets.



54657.  The governing board of each school district which elects to
participate in the Education Improvement Incentive Program shall
certify to the Superintendent of Public Instruction the number of
pupils enrolled in the district which have been exempted from the
testing program conducted pursuant to Section 60603. The
superintendent shall compare this number with the unduplicated count
of individuals with exceptional needs reported by age and disabling
conditions by the district to the superintendent as a condition of
receiving federal funding pursuant to the Individuals with
Disabilities Education Act (20 U.S.C. Sec. 1400 et seq.). If the
superintendent determines that the governing board has exempted an
excessive number of pupils from the testing program, the
superintendent shall proportionately reduce the district's total
incentive funding calculated pursuant to Section 54654.




54657.5.  In order to ensure the validity of the composite ratings
of 12th grade performance used for purposes of this article, the
State Department of Education shall develop procedures for the 12th
grade for the proctoring of tests administered as part of the testing
program by persons not employed by the school district administering
the test. At least one proctor shall be present in each classroom
used for the administration of the test while the test is being
conducted.
   The proctor assigned to each classroom shall be given the
responsibility of delivering the completed test forms to the State
Department of Education for scoring. The department shall elicit
assistance from geographically distributed county offices of
education in developing and implementing these procedures.



54657.7.  An amount not to exceed 0.5 percent of the funds
appropriated for the purposes of this article shall be used for the
payment of grade 12 testing proctors and the administration of the
Education Improvement Incentive Program.


54659.  This article applies only to public high schools.