CA AB2121

Authorizes community college districts to exclude certain local expenditures from their "current expense of education" calculation, which normally requires 50% be spent on classroom instructor salaries

Applies only to expenditures replacing federal discretionary grants terminated, nonrenewed, or defunded due to federal action on or after September 10, 2025

Covers specific federal programs including TRIO, Hispanic-Serving Institutions, Asian American- and Native American Pacific Islander-Serving Institutions, Predominantly Black Institutions, and Minority Science and Engineering Improvement programs

Requires districts using this exclusion to annually certify eligibility to the Chancellor's office and prohibits using the exclusion to create administrative positions or reduce faculty

Takes effect immediately as urgency legislation and expires July 1, 2031, or when federal funding is restored, whichever occurs first