Today the State Allocation Board (Board) met to hear routine business items, adopt regulatory amendments to the Career Technical Education Facilities Program, and receive a report on the Material Inaccuracy provision.  Additionally, in her Executive Officer Statement, Lisa Silverman addressed the issue of accepting applications once bond authority has been exhausted, which was not on the agenda for discussion or action at today’s Board meeting.

Executive Officer Statement

Ms. Silverman reported on the stakeholder meeting conducted July 11, 2018, on the proposed regulation to cease accepting applications once bond authority has been exhausted.  Ms. Silverman indicated that OPSC received a significant amount of input on the proposal.  Based on that stakeholder feedback and absent further Board direction, Ms. Silverman announced that Office of Public School Construction (OPSC) staff are not bringing forth an action item to amend the regulations at this time.  CASH opposed the proposal and had urged the Board to defer action at its June 27, 2018 meeting and to thoroughly vet the impacts of the proposal.

Thank you to all of the CASH members who actively engaged in this process by contacting their legislators or providing comments at the stakeholder meeting.  Your efforts made a difference in achieving this positive outcome!

Ms. Silverman also announced that OPSC has tentatively scheduled the first stakeholder meeting to develop the Full-Day Kindergarten Facilities Grant Program for Tuesday, August 28, 2018 at the Department of General Services Offices in West Sacramento.  Budget trailer bill AB 1808 provides $100 million for school districts to build new or retrofit existing facilities for the purpose of providing full-day kindergarten classrooms.

Regulatory Amendments to the Career Technical Education Facilities Program

The Board approved regulatory amendments to the Career Technical Education Facilities Program (CTEFP) to create additional criteria for tie-breakers in the funding order of applications.  During the processing of applications for the fourth funding cycle, there were multiple instances of tied rankings in the funding order.  The approved amendments include three new subsections to define the criteria for funding order when a tie exists among two or more CTEFP approved applications:

• First: fund the application with the highest total score in all weighted areas.
• Next: fund the applicant that does not have another application that will receive funding in the current cycle or did not receive funding in the prior funding cycle.
• If the tie is not resolved, funding order may be based on a lottery.

Material Inaccuracy Overview

The Board received a report outlining the material inaccuracy statute, Education Code Section 17070.51, and historical background of its application in the past.  Chair Jacqueline Wong-Hernandez indicated that the report was brought forward at this time to educate the Board members about this provision.

Information on the Application of Construction Cost Index Adjustments

This item was withdrawn from the agenda.  Chair Wong-Hernandez indicated that staff needed additional time to research the issue, and it will come back to a future meeting, possibly in September.

School Facility Program Workload List

The Unfunded List (Lack of AB 55 Loans) dated June 27, 2018 includes projects worth a total of $507,936,867.  This includes $84.5 million for 52 projects for Charter School Facilities Program Preliminary Apportionments for Design and Site funding.

The workload list dated July 31, 2018 contains projects worth the following:

New Construction:          $2,480,363,845
Modernization:                $1,644,677,102
Total:                               $4,125,040,947

The next State Allocation Board meeting is scheduled for Wednesday, September 26 at 2 pm.

~Rebekah Cearley, Legislative Advocate