CA SB743

Establishes the Equalization Reserve Account in the General Fund to provide dedicated funding for reducing per-pupil spending gaps among California school districts

Interest earned on funds in the account would be available, upon legislative appropriation, to increase per-pupil funding in non-basic aid school districts (districts that received Local Control Funding Formula apportionments in any of the preceding three fiscal years)

Requires the Controller to transfer an amount equal to what is transferred to the Public School System Stabilization Account into the Equalization Reserve Account in years when Proposition 98 minimum funding levels increase over the prior year

The bill only becomes operative if voters approve a constitutional amendment that excludes account funds from Proposition 98 minimum funding calculations and state appropriation limits

Expresses legislative intent that interest allocations be structured to allow the account balance to continue growing over time