Revenue and Taxation Code § 2243
ARTICLE 3. Method of Providing Reimbursement Revenue for Costs Mandated by State
The estimate required by Section 2242 shall be the amount estimated to be required during the first fiscal year of a bill’s operation in order to reimburse local agencies and school districts, pursuant to Section 2229 or 2230, for lost revenue mandated by the bill. In the event that the operative date of such a bill does not begin on July 1, the estimate shall also include the amount estimated to be required for reimbursement for the next following full fiscal year.