Amended in Assembly May 20, 2015

Amended in Assembly May 6, 2015

California Legislature—2015–16 Regular Session

Assembly BillNo. 882


Introduced by Assembly Member Wilk

(Coauthor: Assembly Member Gallagher)

February 26, 2015


An act to amend Section 15144begin delete of, and to add Section 15267 to,end deletebegin insert ofend insert the Education Code,begin insert and to amend Section 53508.6 of the Government Code,end insert relating to school bonds.

LEGISLATIVE COUNSEL’S DIGEST

AB 882, as amended, Wilk. School bonds:begin delete portable electronic devices.end deletebegin insert term of bonds: furnishing and equipping classrooms.end insert

(1) Existing law authorizes the governing board of a school district or community college district tobegin delete issue bonds for specified purposes, andend deletebegin insert order an election and submit to the electors of the district whether the bonds of the district should be issued and sold, andend insert sets forth requirements in that regard,begin delete including, among other things,end deletebegin insert includingend insert specifying that the term of a bond shall not exceed 25 years from the date of the bond or bond series.

This bill would specify that the term of a bond used for purposes of furnishing and equipping classrooms shall not exceed 120% of the average reasonably expected economic life of the furnishings and equipment.

begin delete

(2) The California Constitution limits the maximum amount of any ad valorem tax on real property to 1% of the full cash value of the property except for ad valorem taxes or special assessments that pay the interest and redemption charges on certain bonded indebtedness, including bonded indebtedness incurred by a school district, community college district, or county office of education for the construction, reconstruction, rehabilitation, or replacement of school facilities, including the furnishing and equipping of school facilities, or the acquisition or lease of real property for school facilities, approved by 55% of the voters if the proposition includes specified accountability requirements.

end delete
begin delete

This bill would specify that proceeds from the sale of bonds authorized and issued after January 1, 2016, pursuant to the exception described above may be used to purchase portable electronic devices only for furnishing and equipping classrooms and school facilities, and that the portable electronic devices shall only be used for instruction-related purposes in school facilities and shall not be assigned to individual pupils or removed from the schoolsite on a daily basis.

end delete
begin insert

(2) Existing law, additionally and alternatively to the authority described above, authorizes the issuance of bonds or refunding bonds by a school district or community college district secured by the levy of ad valorem taxes, and, pursuant to those provisions, authorizes a school district or community college district to issue bonds that do not allow for the compounding of interest and that have a maturity greater than 30, but no greater than 40 years, in accordance with specified requirements.

end insert
begin insert

This bill, notwithstanding those provisions, would specify that a bond used for the purposes of furnishing and equipping classrooms shall not exceed 120% of the average reasonably expected economic life of the furnishings and equipment.

end insert

Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.

The people of the State of California do enact as follows:

P2    1

SECTION 1.  

Section 15144 of the Education Code is amended
2to read:

3

15144.  

(a) The number of years the whole or any part of the
4bonds are to run shall not exceed 25 years, from the date of the
5bonds or the date of any series thereof.

6(b) Notwithstanding subdivision (a), the term of a bond used
7for the purposes of furnishing and equipping classrooms, including,
8but not limited to, purchasing electronic equipment, shall not
P3    1exceed 120 percent of the average reasonably expected economic
2life of the furnishings and equipment.

begin delete
3

SEC. 2.  

Section 15267 is added to the Education Code, to read:

4

15267.  

(a) It is the intent of the Legislature in enacting this
5section to do the following:

6(1) Ensure that the use of proceeds of bond funds issued pursuant
7to Proposition 39, approved by the voters at the November 7, 2000,
8is consistent with the intent and requirements of Proposition 39.

9(2) Clarify that portable electronic devices, including, but not
10limited to, laptops and tablets, may be purchased with Proposition
1139 bond funds only for the equipping of school facilities and be
12used for instruction-related purposes in school facilities.

13(b) Proceeds from the sale of bonds authorized and issued
14pursuant to paragraph (3) of subdivision (b) of Section 1 of Article
15XIII A of, and subdivision (b) of Section 18 of Article XVI of, the
16California Constitution may be used to purchase portable electronic
17devices only for furnishing and equipping classrooms and school
18facilities. Portable electronic devices purchased with proceeds
19from the sale of bonds pursuant to this section shall only be used
20for instruction-related purposes in school facilities and shall not
21be assigned to individual pupils or removed from the schoolsite
22on a daily basis.

23(c) This section shall apply to bonds approved by voters after
24January 1, 2016.

end delete
25begin insert

begin insertSEC. 2.end insert  

end insert

begin insertSection 53508.6 of the end insertbegin insertGovernment Codeend insertbegin insert is amended
26to read:end insert

27

53508.6.  

begin insert(a)end insertbegin insertend insertNotwithstanding any other law, a school district
28or community college district may, pursuant to this article, issue
29bonds that do not allow for the compounding of interest and that
30have a maturity greater than 30 years, but not greater than 40 years,
31if the school district or community college district does both of
32the following:

begin delete

33(a)

end delete

34begin insert(1)end insert Complies with the requirements of subdivisions (b) and (c)
35of Section 15146 of the Education Code.

begin delete

36(b)

end delete

37begin insert(2)end insert Makes a finding that the useful life of the facility financed
38with the bonds that do not allow for the compounding of interest
39and that have a maturity greater than 30 years, but not greater than
4040 years, equals or exceeds the maturity date of those bonds.

begin insert

P4    1(b) Notwithstanding subdivision (a), the term of a bond used
2for the purposes of furnishing and equipping classrooms, including,
3but not limited to, purchasing electronic equipment, shall not
4exceed 120 percent of the average reasonably expected economic
5life of the furnishings and equipment.

end insert


O

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