BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                            Senator Carole Migden, Chair

                                           1297 (Evans)
          
          Hearing Date:  8/15/05          Amended: 8/15/05
          Consultant:  Bob Franzoia       Policy Vote: Ed 8-1
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          ____
          BILL SUMMARY: AB 1297 would do the following:
          - Authorize school districts to use funding in their restricted  
          account for maintenance of facilities for repairs or renovations  
          to prevent poor indoor air quality in school facilities.
          - Authorize the use of deferred maintenance funding for repairs  
          or renovations to prevent poor indoor air quality conditions in  
          school facilities.
          - Require school districts to ensure that facilities have  
          heating, ventilation, and air conditioning systems (HVAC) that  
          meet requirements set forth in the Labor Code.
          - Require school districts to use district employees or  
          contractors with specified expertise to maintain HVAC systems
          The latter two provisions would impose state mandated local  
          programs.
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          ____
                            Fiscal Impact (in thousands)

           Major Provisions               2005-06     2006-07    2007-08    Fund
           Expansion of deferred maintenance      Unknown, multimillion  
          dollar costs                 General*
          project criteria

          State mandated local         Unknown, potentially hundreds  
          ofGeneral*
          program (HVAC systems)       millions of dollars
                                                          
          * Counts toward meeting the Proposition 98 minimum funding  
          guarantee
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          ____

          STAFF COMMENTS: This bill meets the criteria for referral to the  
          Suspense File.
          
          The deferred maintenance program provides state funding on a  
          $1.00 to $1.00 match to assist school districts with  










          expenditures for major repair or replacement of existing  
          building components.  Under current law, deferred maintenance  
          funding, which is appropriated each year in the budget act, is  
          used for major repairs or replacement of existing plumbing,  
          HVAC, roofing, floors, paint, and hazardous materials  
          mitigation.  This bill would permit projects for the  
          installation of new air quality systems to be eligible for this  
          funding.

          There is no information at this time regarding the additional  
          costs to ensure that school facilities have HVAC systems that  
          meet minimum requirements set forth in the Labor Code in order  
          to prevent students from being exposed to poor indoor air  
          quality.  If this provision is intended to require all HVAC  
          systems out of compliance either in general, or specifically as  
          it relates to indoor air quality, to be upgraded or replaced,  
          the costs would be extraordinary.  Further, if this provision  
          was determined to be a true mandate (as opposed to an eligible  
          deferred maintenance cost pursuant to Section 2 of the bill),  
          the state would bear 100 percent of the costs.  Finally,  
          districts would incur costs to certify district employees or to  
          utilize certified contractors to maintain HVAC systems.