BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      



           ------------------------------------------------------------ 
          |SENATE RULES COMMITTEE            |                  SB 1404|
          |Office of Senate Floor Analyses   |                         |
          |1020 N Street, Suite 524          |                         |
          |(916) 651-1520         Fax: (916) |                         |
          |327-4478                          |                         |
           ------------------------------------------------------------ 
           
                                         
                              UNFINISHED BUSINESS


          Bill No:  SB 1404
          Author:   Hancock (D)
          Amended:  8/6/12
          Vote:     21

           
           SENATE EDUCATION COMMITTEE  :  7-1, 4/18/12
          AYES:  Lowenthal, Alquist, Hancock, Huff, Liu, Price, 
            Simitian
          NOES:  Vargas
          NO VOTE RECORDED:  Runner, Blakeslee, Vacancy

           SENATE APPROPRIATIONS COMMITTEE  :  7-0, 5/24/12
          AYES:  Kehoe, Walters, Alquist, Dutton, Lieu, Price, 
            Steinberg

           SENATE FLOOR  :  36-2, 5/29/12
          AYES:  Alquist, Anderson, Berryhill, Blakeslee, Cannella, 
            Corbett, Correa, De León, DeSaulnier, Dutton, Emmerson, 
            Evans, Fuller, Gaines, Hancock, Harman, Hernandez, Huff, 
            Kehoe, La Malfa, Leno, Lieu, Liu, Lowenthal, Padilla, 
            Pavley, Price, Rubio, Simitian, Steinberg, Strickland, 
            Walters, Wolk, Wright, Wyland, Yee
          NOES:  Negrete McLeod, Vargas
          NO VOTE RECORDED:  Calderon, Runner

           ASSEMBLY FLOOR  :  77-0, 8/23/12 - See last page for vote


           SUBJECT  :    Civic Center Act

          SOURCE  :     Los Angeles Unified School District
                      Piedmont Unified School District
                                                           CONTINUED





                                                               SB 1404
                                                                Page 
          2



           DIGEST  :    This bill authorizes a governing board of a 
          school district to, until January 1, 2020, charge an entity 
          for using school facilities or grounds, an amount for 
          maintenance, repair, restoration, and refurbishment, 
          proportional to the use of the school facilities or 
          grounds. 

           Assembly Amendments  add language to express the intent of 
          the Legislature to encourage all school districts to 
          maximize opportunities to make available and accessible 
          public school facilities and grounds to their communities 
          as civic centers; and make various technical changes.

           ANALYSIS  :    Existing law, known as the "civic center act" 
          declares that at every public school facility and grounds 
          there is a civic center where the governing board of the 
          school district may grant various organizations, clubs, and 
          associations, some of which are specified, the opportunity 
          to engage in supervised recreation and meet and discuss 
          subjects pertaining to the interests of the citizens of the 
          communities in which they reside.  

          The school district governing board is authorized to set 
          terms and conditions for this use of public school 
          facilities and grounds, and some conditions are specified 
          in statute.  In addition, the governing board is authorized 
          to charge an amount not to exceed its direct costs for use 
          of its facilities by any entity.  Existing law defines 
          direct cost as costs of supplies, utilities, janitorial 
          services, services of any other district employees, and 
          salaries paid school district employees necessitate by the 
          organization's use of the school district's 
          facilities/grounds.  

          In the case of entertainments or meetings where admission 
          is charged or  contributions are solicited, and the 
          receipts are not expended for the welfare of the district's 
          students, districts are required to charge a fee equal to 
          fair rental value.  Existing law defines "fair rental 
          value" as the direct costs to the districts plus the 
          amortized costs of the facilities or grounds used for the 
          duration of the authorized activity.  

                                                           CONTINUED





                                                               SB 1404
                                                                Page 
          3


          Existing law authorizes the governing board of a school 
          district to require persons other than students, or 
          organizations that wish to use recreational facilities that 
          are on school grounds or are provided by a district at a 
          community recreation center and maintained solely by the 
          district, to pay fees, as prescribed by the board. 

          This bill authorizes a governing board of a school district 
          to, until January 1, 2020, charge an entity for using 
          school facilities or grounds, an amount for maintenance, 
          repair, restoration, and refurbishment, proportional to the 
          use of the school facilities or grounds.  Specifically, 
          this bill:

          1. Expresses the intent of the Legislature to encourage all 
             school districts to maximize opportunities to make 
             available and accessible public school facilities and 
             grounds to their communities as civic centers. 

          2. Finds and declares that the ability of school districts 
             to maintain their facilities and grounds has been 
             jeopardized due to severe budget cuts, and the costs to 
             maintain facilities or grounds exceeds the operational 
             costs associated with an organization's use of the 
             facilities and grounds. 

          3. Strikes the provision specifying that a governing board 
             of a school district shall authorize the use of school 
             facilities or grounds only when an alternative location 
             is not available. 

          4. Adds YMCA to the list of organizations promoting youth 
             and school activities that may use school facilities or 
             grounds. 

          5. Revises the definition of "direct costs" to mean the 
             following: 

             A.    The share of costs of supplies, utilities, 
                janitorial services, services of school district 
                employees directly associated with the administration 
                of the Civic Center Act, and salaries paid to school 
                district employees to operate and maintain school 

                                                           CONTINUED





                                                               SB 1404
                                                                Page 
          4

                facilities or grounds; and, 

             B.    The share of the costs for maintenance, repair, 
                restoration, and refurbishment, proportional to the 
                use of the school facilities or grounds by the entity 
                using the school facilities or grounds as follows: 

                (1)      "School facilities" shall be limited to only 
                   nonclassroom space and "school grounds" shall 
                   include, but not be limited to, playing fields, 
                   athletic fields, track and field venues, tennis 
                   courts, and outdoor basketball courts; 

                (2)      The share of the cost for maintenance, 
                   repair, restoration and refurbishment shall not 
                   apply to: 

                   (a)         Classroom-based programs that operate 
                      after school hours, including, but not limited 
                      to, after school programs, tutoring programs or 
                      child care programs; and, 

                   (b)         Organizations retained by the school 
                      or school district to provide instruction or 
                      instructional activities to pupils during 
                      school hours. 

                (3)      Funds collected shall be deposited into a 
                   special fund that shall only be used for purposes 
                   specified in this bill. 

          6. Requires the Superintendent of Public Instruction (SPI) 
             to, by December 31, 2013, develop, and the State Board 
             of Education (SBE), to adopt, regulations to be used by 
             a school district in determining the proportionate share 
             and the specific allowable costs that a school district 
             may include as direct costs for the use of its school 
             facilities or grounds. 

          7. Sunsets on January 1, 2020, and as of that date is 
             repealed, unless a later enacted statute, that is 
             enacted before January 1, 2020, deletes or extends that 
             date. 


                                                           CONTINUED





                                                               SB 1404
                                                                Page 
          5

          Comments  

          The Civic Center Act requires school districts to authorize 
          use of school facilities or grounds to school-related and 
          community organizations for various purposes.  Existing law 
          also authorizes a school district to charge a fee for the 
          use of facilities or ground.  Governing boards are required 
          to adopt a policy specifying the type of activities that 
          require a fee; however, existing law also specify 
          parameters, including (1) a governing board may charge an 
          organization using the facilities or grounds for youth 
          sports league activities an amount not to exceed the 
          district's direct costs; (2) a governing board must charge 
          a religious organization or church an amount at least equal 
          to the district's direct costs for use of facilities or 
          grounds for religious service; and (3) a governing board 
          must charge fair rental value in the case of entertainments 
          or meetings where admission fees are charged or 
          contributions are solicited and the net receipts are not 
          expended for the welfare of the pupils or for charitable 
          purposes. 

          "Direct costs" is defined as the costs of supplies, 
          utilities, janitorial services, and salaries of district 
          employees required to facilitate an organization's use of 
          the facilities or grounds.  This bill, until January 1, 
          2020, authorizes a school district to charge a proportional 
          amount for the maintenance, repair, restoration and 
          refurbishment for the use of non-classroom space and school 
          grounds, defined as playing fields, athletic fields, track 
          and field venues, tennis courts, and outdoor basketball 
          courts.  This bill exempts classroom-based after school 
          programs, including, but not limited to, tutoring programs 
          or child care programs, and organizations serving pupil 
          populations during the core school day from the maintenance 
          fee. 

          According to the author, current law defines "direct costs" 
          as "incremental costs to the District caused by the 
          community organization's use, but does not include any of 
          the District's costs to maintain the facilities in 
          condition for use by the public or to replace equipment, 
          including artificial turf, trace surfaces, or gym floors, 
          that is worn out over time.  SB 1404 would expand the 

                                                           CONTINUED





                                                               SB 1404
                                                                Page 
          6

          definition of "direct costs" to include each user's 
          proportionate share of the total costs to operate and 
          maintain the school district facilities being used, the 
          proportionate share of the total costs to repair and 
          replace those facilities, and costs caused by the user's 
          use of the facilities that would otherwise not be incurred. 
           School districts' need for users to pay their fair share 
          of these costs is particularly acute with respect to 
          artificial turf fields, which are heavily used throughout 
          the year (unlike grass fields), but which must be replaced 
          periodically." 

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes   
          Local:  No

          According to the Assembly Appropriations Committee: 

           No General Fund or state school construction fund effect 
            related to providing school district's with the 
            authorization to assess a direct cost fee associated with 
            operating and maintaining school facilities or grounds 
            that is proportional to the entities use of the 
            facilities or grounds. 

           General Fund administrative costs, likely between 
            $100,000 and $150,000, to the Department of Education to 
            conduct a regulatory process required in this bill. 

           SUPPORT  :   (Verified  8/23/12)

          Los Angeles Unified School District (co-source)
          Piedmont Unified School District (co-source)
          Association of California School Administrators
          California School Board Association
          Riverside County School Superintendents' Association
          San Diego Unified School District
          San Francisco Unified School District


           ARGUMENTS IN SUPPORT  :    Supporters argue that over the 
          past several years, school districts throughout the state 
          have experienced very deep budget cuts.  Those cuts have 
          not only impacted teachers, aides, administrators, but also 
          the facilities and play fields we all use.  When the Civic 

                                                           CONTINUED





                                                               SB 1404
                                                                Page 
          7

          Center Act was created, its goal was to provide the public 
          with access to school facilities and play fields.  Since 
          the creation of the Civic Center Act, the costs to maintain 
          these facilities and play fields have been covered under a 
          school district's general fund budget.  However, due to the 
          ongoing budget cuts, many school districts are no longer 
          able to maintain these facilities.  This puts in jeopardy 
          the access to clean and safe school facilities and play 
          fields for both the community and the students.   

          Currently, the Civic Center Act authorizes a school 
          district to recoup "direct costs" such as the cost of 
          supplies, utilities, janitorial services, and any 
          administrative costs.  This bill expands the definition of 
          direct costs and authorizes school districts to charge for 
          the proportional share of the cost of maintaining, 
          repairing or replacing those facilities.

          With the deep cuts school districts are facing, school 
          districts need the ability to ask those community 
          organizations who use school facilities and play fields to 
          pay their fair share of the actual costs to make these 
          facilities available.


           ASSEMBLY FLOOR  :  77-0, 8/23/12
          AYES:  Achadjian, Alejo, Allen, Ammiano, Atkins, Beall, 
            Bill Berryhill, Block, Blumenfield, Bonilla, Bradford, 
            Brownley, Buchanan, Butler, Charles Calderon, Campos, 
            Carter, Cedillo, Chesbro, Conway, Cook, Davis, Dickinson, 
            Donnelly, Eng, Feuer, Fletcher, Fong, Fuentes, Furutani, 
            Beth Gaines, Galgiani, Garrick, Gatto, Gordon, Gorell, 
            Grove, Hagman, Hall, Harkey, Hayashi, Hill, Huber, Hueso, 
            Huffman, Jeffries, Jones, Knight, Lara, Logue, Bonnie 
            Lowenthal, Ma, Mendoza, Miller, Mitchell, Monning, 
            Morrell, Nestande, Nielsen, Norby, Olsen, Pan, Perea, V. 
            Manuel Pérez, Portantino, Silva, Skinner, Smyth, Solorio, 
            Swanson, Torres, Valadao, Wagner, Wieckowski, Williams, 
            Yamada, John A. Pérez
          NO VOTE RECORDED:  Halderman, Roger Hernández, Mansoor


          PQ:m  8/24/12   Senate Floor Analyses 


                                                           CONTINUED





                                                               SB 1404
                                                                Page 
          8

                         SUPPORT/OPPOSITION:  SEE ABOVE

                                ****  END  ****
          









































                                                           CONTINUED