Treatment of Categorical Programs Under LCFF

this information is from http://www.lao.ca.gov/reports/2013/edu/lcff/lcff-072913.aspx

Spending Restrictions

The LCFF eliminates the vast majority of categorical spending restrictions. In their place, the LCFF establishes a more limited set of spending restrictions, some of which apply over the long term and some of which are applicable only during the initial transition period.

Long–Term Spending Requirements

Many Existing Categorical Spending Requirements Removed. Approximately three–quarters of categorical programs were eliminated in tandem with the creation of the LCFF. As a result, the majority of categorical spending restrictions that districts faced under the old system were eliminated. Under the new system, 14 categorical programs remain. Figure 5 lists those categorical programs that were eliminated and those that are retained under the new system.

Figure 5

Treatment of Categorical Programs Under LCFF

Retained Programs
Adults in Correctional Facilities After School Education and Safety Agricultural Vocational Education American Indian Education Centers and Early Childhood Education Program Assessments Child Nutrition	Foster Youth Services Mandates Block Grant Partnership Academies Quality Education Improvement Act Special Education Specialized Secondary Programs State Preschool
Eliminated Programs
Advanced Placement Fee Waiver	Instructional Materials Block Grant
Alternative Credentialing	International Baccalaureate Diploma Program
California High School Exit Exam Tutoring	National Board Certification Incentives
California School Age Families	Oral Health Assessments
Categorical Programs for New Schools	Physical Education Block Grant
Certificated Staff Mentoring	Principal Training
Charter School Block Grant	Professional Development Block Grant
Civic Education	Professional Development for Math and English
Community–Based English Tutoring	School and Library Improvement Block Grant
Community Day School (extra hours)	School Safety
Deferred Maintenance	School Safety Competitive Grant
Economic Impact Aid	Staff Development
Educational Technology	Student Councils
Gifted and Talented Education	Summer School Programs
Grade 7–12 Counseling	Teacher Credentialing Block Grant
High School Class Size Reduction	Teacher Dismissal

Short–Term Requirements

Specific Maintenance–of–Effort (MOE) Requirements Imposed During First Two Years of Implementation. Of the state categorical funds they received, school districts are required to spend no less in 2013–14 and 2014–15 than they did in 2012–13 on ROCPs and Adult Education. If districts received funding for ROCPs and/or HTS Transportation through a joint powers authority (JPA), they must continue to pass through those funds to the JPA in 2013–14 and 2014–15. Funds used to satisfy these MOE requirements count towards a district’s LCFF allocation. Consequently, districts subject to these MOE requirements will have relatively less general purpose funding over this two–year period. (A district that already shifted all funds away from these programs as part of its response to categorical flexibility is not subject to these MOE requirements.)