BILL NUMBER: AB 765INTRODUCED BILL TEXT INTRODUCED BY Assembly Member Ridley-Thomas FEBRUARY 25, 2015 An act to amend Section 8265 of the Education Code, relating to child care and development. LEGISLATIVE COUNSEL'S DIGEST AB 765, as introduced, Ridley-Thomas. Child care and development: reimbursement rates. Existing law requires the Superintendent of Public Instruction to implement a plan that establishes reasonable child care standards and assigned reimbursement rates, as provided. Existing law requires the standard reimbursement rate to be increased annually by a cost-of-living adjustment, as provided. This bill would make nonsubstantive changes to these provisions. Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 8265 of the Education Code is amended to read: 8265. (a) The Superintendent shall implement a plan that establishes reasonable standards and assigned reimbursement rates, which vary with the length of the program year and the hours of service. (1) Parent fees shall be used to pay reasonable and necessary costs for providing additional services. (2) When establishing standards and assigned reimbursement rates, the Superintendent shall confer with applicant agencies. (3) The reimbursement system, including standards and rates, shall be submitted to the Joint Legislative Budget Committee. (4) The Superintendent may establish any regulations he or she deems advisable concerning conditions of service and hours of enrollment for children in the programs. (b) The standard reimbursement rate shall be nine thousand twenty-four dollars and seventy-five cents ($9,024.75) per unit of average daily enrollment for a 250-day year, and commencing with the 2015-16 fiscal year, shall be increased by the cost-of-living adjustment granted by the Legislature annually pursuant to Section 42238.15. (c) The plan shall require agencies having an assigned reimbursement rate above the current year standard reimbursement rate to reduce costs on an incremental basis to achieve the standard reimbursement rate. (d) The plan shall provide for adjusting reimbursement on a case-by-case basis, in order to maintain service levels for agencies currently at a rate less than the standard reimbursement rate. Assigned reimbursement rates shall be increased only on the basis of one or more of the following: (1) Loss of program resources from other sources. (2) Need of an agency to pay the same child care rates as those prevailing in the local community. (3) Increased costs directly attributable to new or different regulations. (4) (A) Documented increased costs necessary to maintain the prior year's level of service and ensure the continuation of threatened programs.Child(B) Child care agencies funded at the lowest rates shall be given first priority for increases. (e) The plan shall provide for expansion of child development programs at no more than the standard reimbursement rate for that fiscal year. (f) The Superintendent may reduce the percentage of reduction for a public agency that satisfies any of the following: (1) Serves more than 400 children. (2) Has in effect a collective bargaining agreement. (3) Has other extenuating circumstances that apply, as determined by the Superintendent.