Amended in Senate May 7, 2014

Amended in Senate April 21, 2014

Senate Bill No. 1157

Introduced by Senator Hancock

February 20, 2014

An act to amend Section 101012 of the Education Code, relating to school facilities.

LEGISLATIVE COUNSEL’S DIGEST

SB 1157, as amended, Hancock. School facilities: Kindergarten-University Public Education Facilities Bond Act of 2006.

Existing law, known as the Kindergarten-University Public Education Facilities Bond Act of 2006, which was approved by the voters at the November 7, 2006, statewide general election, among other things, authorized the issuance of $7,329,000,000 in bonds, the proceeds of which are to be allocated, in accordance with a schedule, for the construction and modernization of school facilities. begin insert Existing law authorizes the Legislature to adjust, under certain conditions, the funding amounts for the school facilities projects authorized pursuant to those provisions. end insert

This bill would prohibit the funds identified for the repair or replacement of seismically vulnerable school facilities under the act from being transferred from the Seismic Repair Subaccount of the New Construction Account for use for any purpose other than seismic repair, reconstruction, or replacement.

The bill would require, in the event that the Budget Act of 2014 includes a transfer of the unencumbered funds remaining in the High Performance Schools Account to the New Construction Account or to the Modernization Account, the transferred funds to be used only for new construction or modernization projects that promote the use of designs and materials in new construction and modernization projects that include the attributes of high-performance schools, as specified. begin insert The bill would specify that the amounts to be expended for certain school facilities projects may not be adjusted until the projects eligible for the remaining unencumbered funds as of January 1, 2015, have had an opportunity to participate in the priority end insert begin insert funding process established by the State Allocation Board. end insert

The bill would declare that it is consistent with, and furthers the purposes of, the act.

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

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

SECTION 1.  

Section 101012 of the Education Code is amended
to read:

101012.  

(a) The proceeds from the sale of bonds, issued and
sold for the purposes of this chapter, shall be allocated in
accordance with the following schedule:

(1) (A) The amount of one billion nine hundred million dollars
($1,900,000,000) for new construction of school facilities of
applicant school districts under Chapter 12.5 (commencing with
Section 17070.10) of Part 10 of Division 1 of Title 1.

(B) Of the amount allocated under this paragraph, up to 10.5
percent shall be available for purposes of seismic repair,
reconstruction, or replacement, pursuant to Section 17075.10. To
meet the state’s legal and moral obligation to protect the health
and safety of students and staff, funds identified for the repair or
replacement of seismically vulnerable school facilities under this
subparagraph shall not be transferred from the Seismic Repair
Subaccount of the New Construction Account for use for any
purpose other than seismic repair, reconstruction, or replacement
pursuant to Section 17075.10.

(2) The amount of five hundred million dollars ($500,000,000)
shall be available for providing school facilities to charter schools
pursuant to Article 12 (commencing with Section 17078.52) of
Chapter 12.5 of Part 10 of Division 1 of Title 1.

(3) The amount of three billion three hundred million dollars
($3,300,000,000) for the modernization of school facilities pursuant
to Chapter 12.5 (commencing with Section 17070.10) of Part 10
of Division 1 of Title 1.

(4) The amount of five hundred million dollars ($500,000,000)
for the purposes set forth in Article 13 (commencing with Section
17078.70) of Chapter 12.5 of Part 10 of Division 1 of Title 1,
relating to facilities for career technical education programs.

(5) Of the amounts allocated under paragraphs (1) and (3), up
to two hundred million dollars ($200,000,000) for the purposes
set forth in Chapter 894 of the Statutes of 2004, relating to
incentives for the creation of smaller learning communities and
small high schools.

(6) The amount of twenty-nine million dollars ($29,000,000)
for the purposes set forth in Article 10.6 (commencing with Section
17077.40) of Chapter 12.5 of Part 10 of Division 1 of Title 1,
relating to joint use projects.

(7) The amount of one billion dollars ($1,000,000,000) shall be
available for providing new construction funding to severely
overcrowded schoolsites pursuant to Article 14 (commencing with
Section 17079) of Chapter 12.5 of Part 10 of Division 1 of Title
1.

(8) (A) The amount of one hundred million dollars
($100,000,000) for incentive grants to promote the use of designs
and materials in new construction and modernization projects that
include the attributes of high-performance schools, including, but
not necessarily limited to, the elements set forth in Section
17070.96, pursuant to regulations adopted by the State Allocation
Board.

(B) In the event that the Budget Act of 2014 includes a transfer
of the unencumbered funds remaining in the High Performance
Schools Account created pursuant to subparagraph (A) to the New
Construction Account created pursuant to paragraph (1) or to the
Modernization Account created pursuant to paragraph (3), the
transferred funds shall be used only for new construction or
modernization projects meeting the purposes set forth in
subparagraph (A).

(b) School districts may use funds allocated pursuant to
paragraph (3) of subdivision (a) only for one or more of the
following purposes in accordance with Chapter 12.5 (commencing
with Section 17070.10) of Part 10 of Division 1 of Title 1:

(1) The purchase and installation of air-conditioning equipment
and insulation materials, and related costs.

(2) Construction projects or the purchase of furniture or
equipment designed to increase school security or playground
safety.

(3) The identification, assessment, or abatement in school
facilities of hazardous asbestos.

(4) Project funding for high-priority roof replacement projects.

(5) Any other modernization of facilities pursuant to Chapter
12.5 (commencing with Section 17070.10) of Part 10 of Division
1 of Title 1.

(c) Funds allocated pursuant to paragraph (1) of subdivision (a)
may also be utilized to provide new construction grants for eligible
applicant county boards of education under Chapter 12.5
(commencing with Section 17070.10) of Part 10 of Division 1 of
Title 1 for funding classrooms for severely handicapped pupils,
or for funding classrooms for county community school pupils.

(d) (1) The Legislature may amend this section to adjust the
funding amounts specified in paragraphs (1) to (8), inclusive, of
subdivision (a), only by either of the following methods:

(A) By a statute, passed in each house of the Legislature by
rollcall vote entered in the respective journals, by not less than
two-thirds of the membership in each house concurring, if the
statute is consistent with, and furthers the purposes of, this chapter.

(B) By a statute that becomes effective only when approved by
the voters.

(2) Amendments pursuant to this subdivision may adjust the
amounts to be expended pursuant to paragraphs (1) to (8), inclusive,
of subdivision (a), but may not increase or decrease the total
amount to be expended pursuant to that subdivision.

begin insert

(3) Notwithstanding paragraph (2), the amounts to be expended
pursuant to paragraphs (2), (4), and (7) of subdivision (a) shall
not be adjusted until the projects eligible for the remaining
unencumbered funds as of January 1, 2015, have had an
opportunity to participate in the priority funding process
established by the board.

end insert

(e) Funds available pursuant to this section may be used for
acquisition of school facilities authorized pursuant to Section
17280.5.

SEC. 2.  

The Legislature finds and declares that the amendments
to Section 101012 of the Education Code made by Section 1 of
this act are consistent with, and further the purposes of, the
Kindergarten-University Public Education Facilities Bond Act of
2006.