(a) In enacting this article, it is the intent of the
Legislature to accomplish all of the following:
(1) Provide explicit authority to the board to continue to
administer accounts for, and make awards to, persons who qualified
for awards under the provisions of the Governor's Scholarship
Programs as those provisions existed on January 1, 2003, prior to the
repeal of former Article 20 (commencing with Section 69995).
(2) Provide for the management and disbursement of funds
previously set aside for the scholarship programs authorized by
former Article 20 (commencing with Section 69995).
(3) Provide a guarantee should additional funds be needed to cover
awards authorized and made pursuant to former Article 20 (commencing
with Section 69995).
(b) The board may manage and disburse the funds previously set
aside for the scholarship programs authorized by former Article 20
(commencing with Section 69995).
(c) If a person has earned an award under the Governor's
Scholarship Programs on or before January 1, 2003, but has not
claimed the award on or before June 30, 2004, he or she still may
claim the award by a date that is five years from the first June 30
that fell after he or she took the qualifying test. An award shall
not be made by the board after that date.
(d) The board shall negotiate with the current manager of the
Governor's Scholarship Programs and execute an amended or new
management and funding agreement, before January 1, 2013, which shall
include, but not be limited to, all of the following:
(1) Terms providing for the return to the General Fund by no later
than January 1, 2013, of moneys appropriated to the Governor's
Scholarship Programs that are not anticipated to be needed to make
awards pursuant to paragraphs (1) and (2) of subdivision (a).
(2) Provisions that authorize the board to pay agreed-upon early
withdrawal penalties or fees.
(3) Terms that extend to the final date upon which the board may
withdraw funds for a person who earned an award under the Governor's
Scholarship Programs.
(e) (1) If funds retained in the Golden State Scholarshare Trust
after January 1, 2013, are insufficient to cover the remaining
withdrawal requests, it is the intent of the Legislature to
appropriate the necessary funds to the Golden State Scholarshare
Trust for the purpose of funding individual beneficiary accounts.
(2) The board shall notify the Department of Finance and the
Legislature no later than 10 working days after determining that a
shortfall in available funding described in paragraph (1) will occur.
(f) (1) (A) Of the funds transferred to the General Fund pursuant
to paragraph (1) of subdivision (d), five million dollars
($5,000,000) is hereby appropriated to the Chancellor of the
California State University, without regard to fiscal years, to fund
the establishment and administration of the California Open Education
Resources Council and the California Digital Open Source Library,
and the development or acquisition of open education resources, or
any combination thereof, pursuant to legislation enacted in the
2011-12 Regular Session of the Legislature, provided that the
chancellor may provide reimbursement to the California Community
Colleges and the University of California for costs those segments,
or their representatives, incur in association with the activities
described in this paragraph.
(B) Effective January 1, 2016, three million dollars ($3,000,000)
of the moneys appropriated pursuant to this paragraph are hereby
reappropriated pursuant to paragraph (4).
(2) Except those moneys allocated pursuant to paragraphs (3) and
(4), moneys, or a portion of moneys, appropriated pursuant to
paragraph (1) shall not be encumbered unless at least 100 percent of
that amount encumbered is matched by private funds and, if not
matched by private funds, shall revert to the Golden State
Scholarshare Trust for purposes of the Governor's Scholarship
Programs.
(3) Of the unencumbered amount appropriated pursuant to paragraph
(1) as of June 30, 2015:
(A) Up to two hundred thousand dollars ($200,000) may be used for
administration of the California Open Online Library for Education.
These funds may be used by the California Open Online Library for
Education to continue developing and updating its services to provide
faculty, staff, and students convenient access to open educational
resources as course materials and to provide administrative support
for the California Open Educational Resources Council. These funds
may be used by the California Open Online Library for Education for
purposes of the Open Educational Resources and Adoption Incentive
Program until September 1, 2020.
(B) Up to twenty-seven thousand dollars ($27,000) may be used for
stipends to members of the California Open Education Resources
Council for these members to carry out their duties in accordance
with the Open Educational Resources Adoption Incentive Program.
(4) Of the funds transferred to the General Fund pursuant to
paragraph (1) of subdivision (d) and appropriated pursuant to
paragraph (1), three million dollars ($3,000,000) is hereby
reappropriated to the Chancellor of the California State University,
without regard to fiscal years, for allocation for the Open
Educational Resources Adoption Incentive Program.
(g) The board may adopt rules and regulations for the
implementation of this article.
(a) Notwithstanding any other provision of law, not later
than 30 days after enactment of the Budget Act of 2004, the
Scholarshare Investment Board shall transfer from the Golden State
Scholarshare Trust to the General Fund the lesser of (1) fifty
million dollars ($50,000,000) or (2) the balance resulting from
unclaimed awards in the Golden State Scholarshare Trust that exceeds
five million dollars ($5,000,000) as of the close of business on the
business day preceding the transfer.
(b) The amount remaining in the Golden State Scholarshare Trust
after the transfer required by subdivision (a) shall be available as
a reserve for funding claims for these awards. If claims for these
awards exceed four million dollars ($4,000,000) of the reserve
established by this act in the Golden State Scholarshare Trust, the
Scholarshare Investment Board shall notify the Controller of the
amount of any shortfall of funds for the payment of claims, and the
Controller shall transfer an amount of money equal to the shortfall
from the General Fund to the Golden State Scholarshare Trust.