Amended in Assembly April 22, 2014

California Legislature—2013–14 Regular Session

Assembly Bill No. 2302

Introduced by Assembly Member Mullin

February 21, 2014

An act to amend Section 8278.3 of the Education Code, relating to child care and development services begin delete , and making an appropriation therefor end delete .

LEGISLATIVE COUNSEL’S DIGEST

AB 2302, as amended, Mullin. Child care and developmental services: facilities.

Existing law establishes the Child Care Facilities Revolving Fund, a continuously appropriated fund in the State Treasury, to provide funding for the renovation, repair, improvement, or purchase of child care facilities for lease to school districts and contracting agencies that provide child care and developmental services pursuant to the Child Care and Development Services Act. Existing law provides for payment by the school district or contracting agency of a leasing fee over a 10-year period, after which title transfers to the district or agency.

This bill would begin delete provide that this funding shall be used for the renovation, repair, or improvement of an existing child care facility for lease to school districts and contracting agencies that provide child care and development services, and facilities that provide transitional kindergarten programs. This bill would end delete extend the period of the lease from 10 years to 14 begin delete years. end delete

begin delete The end delete begin insert years. The end insert bill would begin delete also end delete require the department to adopt regulations to establish priorities, forms, policies, and procedures for implementing and managing the fund, and to promote the availability of the fund on its Internet Web begin delete site. end delete

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Existing law establishes that a school district or county office of education that provides child care pursuant to the California School Age Families Education Program is eligible to apply for and receive moneys under the fund.

end delete

begin delete This end delete begin insert site. The end insert bill would provide that begin delete these end delete begin insert eligible end insert applicants may apply for, and receive, a funding award from the fund up to $400,000 for a single, freestanding relocatable or modular building, and up to $200,000 for each additional module added to an existing building. The bill would also require that a funding award not exceed $900,000 for any applicant for the renovation, repair, or improvement of an existing building.

The bill would state the intent of the Legislature that $7,000,000 shall be appropriated annually in the Budget Act, to fund specified purposes related to child care facilities.

begin delete

By changing the purpose of this continuously appropriated fund, this bill would make an appropriation.

end delete

Vote: majority. Appropriation:  begin delete yes end delete begin insert no end insert . Fiscal committee: yes. State-mandated local program: no.

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

SECTION 1.  

Section 8278.3 of the Education Code is amended
to read:

8278.3.  

(a) (1) The Child Care Facilities Revolving Fund is
hereby established in the State Treasury to provide funding for the
renovation, repair, or improvement of an existing building to make
the building suitable for licensure for child care and development
services and for the purchase of new relocatable child care facilities
for lease to school districts and contracting agencies that provide
child care and development services pursuant to this begin delete chapter, or
that provide transitional kindergarten programs pursuant to Section
48000. end delete begin insert chapter. end insert The Superintendent may transfer state funds
appropriated for child care facilities into this fund for allocation
to school districts and contracting agencies, as specified, for the
begin delete replacement and expansion of capacity of child care facilities, and
facilities that offer transitional kindergarten programs. end delete begin insert purchase,
transportation, and installation of facilities for replacement and
expansion of capacity. end insert School districts and contracting agencies
using facilities made available by the use of these funds shall be
charged a leasing fee, either at a fair market value for those
facilities or at an amount sufficient to amortize the cost of purchase
and relocation, whichever amount is lower, over a 14-year period.
Upon full repayment of the purchase and relocation costs, title
shall transfer from the State of California to the school district or
contracting agency. The Superintendent shall deposit all revenue
derived from the lease payments into the Child Care Facilities
Revolving Fund.

(2) Notwithstanding Section 13340 of the Government Code,
all moneys in the fund, including moneys deposited from lease
payments, are continuously appropriated, without regard to fiscal
years, to the Superintendent for expenditure pursuant to this article.

(b) On or before August 1 of each fiscal year, the Superintendent
shall submit to the Department of Finance and the Legislative
Analyst’s Office a report detailing the number of funding requests
received and their purpose, the types of agencies that received
funding from the Child Care Facilities Revolving Fund, the
increased capacity that these facilities generated, a description of
the manner in which the facilities are being used, and a projection
of the lease payments collected and the funds available for future
use.

(c) A school district or county office of education that provides
child care pursuant to the California School Age Families
Education Program (Article 7.1 (commencing with Section 54740)
of Chapter 9 of Part 29 of Division 4 of Title 2) is eligible to apply
for and receive funding pursuant to this section.

(d) The department shall adopt regulations to establish priorities,
forms, policies, and procedures for implementing and managing
the Child Care Facilities Revolving Fund that set expansion of
capacity begin insert , including expansion of capacity of existing sites, end insert as a
priority, and shall promote the availability of the fund on its
Internet Web site.

(e) (1) A funding award under this section shall not exceed nine
hundred thousand dollars ($900,000) per award for the renovation,
repair, or improvement of an existing building.

(2) An eligible applicant begin delete under subdivision (c) end delete may apply for,
and receive, a funding award up to four hundred thousand dollars
($400,000) for a single, freestanding relocatable or modular
building consisting of three 12-by-40-foot modules, and up to two
hundred thousand dollars ($200,000) per additional module added
to an existing building.

(f) It is the intent of the Legislature to annually appropriate the
amount of seven million dollars ($7,000,000) in the Budget Act
to fund purposes specified in Provision 3 of Item 6110-194-0001
of Section 2.00 of the Budget Act of 2013.