Cal. Education Code § 42238.05

(a) For purposes of Sections 42238.02, 42238.025, and 42238.03, the fiscal year average daily attendance for a school district shall be computed pursuant to paragraphs (1) to (3), inclusive, as applicable. (1) The second principal apportionment regular average daily attendance for the current fiscal year, or the prior fiscal year if the prior fiscal year total is greater, or the average of the three most recent prior fiscal years, if the three-year average total is greater than both the current fiscal year and prior fiscal year, excluding units of average daily attendance resulting from pupils attending schools funded pursuant to Article 4 (commencing with Section 42280). (2) The units of average daily attendance resulting from pupils attending schools funded pursuant to Article 4 (commencing with Section 42280). (3) Average daily attendance for any applicable prior fiscal year shall be adjusted for any loss or gain of average daily attendance due to a reorganization or transfer of territory. (b) For purposes of this article, regular average daily attendance shall be the base grant average daily attendance. (c) For purposes of this section, the Superintendent shall distribute total ungraded enrollment and average daily attendance among kindergarten and each of grades 1 to 12, inclusive, in proportion to the amounts of graded enrollment and average daily attendance, respectively, in each of these grades. (d) Subdivisions (a) to (c), inclusive, shall only apply to average daily attendance generated by school districts and shall not apply to average daily attendance generated by charter schools. (e) A pupil shall not be counted more than once for purposes of calculating average daily attendance pursuant to this section. (f) For purposes of Sections 42238.02, 42238.025, and 42238.03, average daily attendance for a charter school shall be the total current year average daily attendance in the corresponding grade level ranges for the charter school. (g) For purposes of computing the average of the three most recent prior fiscal years for a school district pursuant to this section, the Superintendent shall adjust a school district’s average daily attendance applicable to the 2021–22 fiscal year by the amount computed pursuant to paragraph (3) of subdivision (a) of Section 42238.023.