Amends TCA Title 49.

Subject to certain exceptions, present law requires that the funding formula for the calculation of kindergarten through grade 12 education (the "BEP") of every local education agency ("LEA") be calculated on the basis of prior year average daily membership ("ADM"), or full-time equivalent average daily attendance ("FTEADM"), or identified and served special education students ("I&S"). If state funds available for distribution are insufficient to meet the local public school systems' entitlements, present law requires the commissioner of education to apply a pro rata reduction to the amount for which each system is eligible. The pro rata reduction must be applied to the state increased amount needed to fully fund the BEP compared to the base year. If state funds must be prorated, present law requires, subject to certain exceptions, that the BEP formula be calculated for each LEA on the basis of prior year ADM or FTEADM or I&S. Under this bill, for the 2021-2022 school year, the BEP of each LEA must be calculated on the basis of each LEA's 2019-2020 ADM, or FTEADM, or I&S, unless the LEA's 2020-2021 ADM, FTEADM, and I&S, taken as a whole, exceeds the 2019-2020 ADM, FTEADM, and I&S, taken as a whole. If an LEA's 2020-2021 ADM, FTEADM, and I&S, taken as a whole, exceeds the LEA's 2019-2020 ADM, FTEADM, and I&S, taken as a whole, then that LEA's allocation of state funds must be calculated on the basis of the 2020-2021 ADM, FTEADM, and I&S. If state funds available for distribution must be prorated for the 2021-2022 school year, this bill generally requires that the BEP formula be calculated for each LEA on the basis of the 2019-2020 ADM, or FTEADM, or I&S. If an LEA's 2020-2021 ADM, FTEADM, and I&S exceeds the 2019-2020 ADM, FTEADM, and I&S, that LEA's allocation of state funds must be calculated on the basis of the 2020-2021 ADM, FTEADM, and I&S.