SAB Approves Priority Funding Apportionments
The State Allocation Board (Board) met on Wednesday, September 25 to hear a number of business items, including approval of Priority Funding apportionments and adoption of Career Technical Education Facilities Program and Charter School Facilities Program regulatory amendments.
Gayle Miller, the Board chair, congratulated Assembly Member O’Donnell and others for the passage of AB 48, which, if signed by the Governor, will place the 2020 state school bond on the ballot.
CASH Lawsuit – 2017 CCI Adjustment
Gayle Miller made a statement at the top of the meeting regarding the recent lawsuit filed by CASH and a number of school districts. The lawsuit challenged the Board’s decision not to apply the 2017 Construction Cost Index (CCI) adjustment to projects on the Unfunded List that were submitted in 2012 and received an apportionment in 2017. Ms. Miller indicated that a recent decision by the Orange County court went against the Board’s action, identifying a disparity in how projects were treated. The Board’s counsel and the Attorney General are conferring and will decide next steps, which could include an appeal of the decision or a motion to vacate judgement. Ms. Miller directed members of the public to contact Department of General Services attorney Tom Patton if they have questions or comments regarding the ruling.
During public comment, Terry Tao (attorney for the lawsuit petitioners) said that the petitioners are entitled to the CCI. He recognized that several current members of the Board were not present during prior conversations on this matter. He urged the Board to provide the CCI adjustment as quickly as possible to all schools on the Unfunded List, not just those involved in the lawsuit, so that all are treated equitably.
Executive Officer Statement
In her Executive Officer statement, Lisa Silverman provided the following updates:
- Priority Funding Apportionments – The Consent portion of the agenda includes $771.7 million in Priority Funding apportionments for 193 projects representing 106 applicants. Fund Release Authorization (Form SAB 50-05) requests are due by Tuesday, December 24, 2019 to the Office of Public School Construction.
- Full-Day Kindergarten Facilities Grant Program (FDKFGP) Stakeholder Meeting – OPSC will be holding to FDKFGP stakeholder meetings to discuss amendments needed to the existing program based on the Governor’s 2019-20 annual budget, which provides an additional $300 million to the FDKFGP: Thursday, Sept. 26, 2019 from 9 am to 11 am at the State Capitol, Room 447, and Wednesday, Oct. 16, 2019 from 9 am to 11 am in Sacramento (location TBD).
- Sixth Career Technical Education Facilities Program (CTEFP) Filing Round – Now Open! – OPSC and CDE have coordinated the deadlines for the sixth filing round for CTEFP applications. CDE will be providing scores on a flow basis to ensure that applicants can participate in the Priority Funding filing period taking place from May 13, 2020 through June 11, 2020. OPSC encourages applicants with scores of 105 or higher to submit the funding application immediately upon receipt of CDE’s score letter. Applications for this program may be submitted electronically. Deadlines include:
- CDE: due on or before Dec. 2, 2019
- OPSC: due on or before April 6, 2020
Priority Funding School Construction Apportionments
The Board approved School Facility Program funding apportionments worth $771.7 million for 193 projects that represent 106 applicants. The recent 30-day filing period for apportionment requests began May 8, 2019 and ended on June 6, 2019.
One appeal originally agendized for today’s meeting was pulled from consideration and not heard:
- Laytonville Unified/Mendocino County – To present the district’s request for a change in scope and an extension to the due date to obtain Division of the State Architect approval.
Proposed Regulatory Amendments for the School Facility Program
The Board approved regulatory amendments to the definition of Suburban Area and Rural Area in the School Facility Program regulations. At the August 28, 2019 meeting, the Board directed staff to amend these definitions after staff brought forward a report summarizing the findings of stakeholder meetings. These definitions are used by the Career Technical Education Facilities Program and the Charter School Facilities Program to determine funding order of eligible applications.
School Facility Program Approvals and Workload List
The Unfunded Approvals List (Lack of AB 55 Loans) dated August 28, 2019 contains projects worth $1,272,026,421.
The Workload List dated August 23, 2019 contains projects worth the following:
- New Construction: $1,679,881,481
- Modernization: $2,291,153,637
- Total: $3,971,035,118
The Acknowledged List dated August 23, 2019 contains projects worth the following:
- New Construction: $421,999,555
- Modernization: $529,176,936
- Total: $951,176,491
The next State Allocation Board meeting is scheduled for October 23, 2019 at 2 pm.