SAB MEETING NOTES
The State Allocation Board (Board) met on August 28, 2019, to hear a number of business items, including regulatory changes to the Career Technical Education Facilities Program.
Executive Officer Statement
In her Executive Officer Statement, Lisa Silverman provided the following updates:
- Upcoming Bond Sale – There will be a General Obligation Bond sale next month. Staff anticipates receiving bond proceeds for the School Facility Program from this sale and will prepare Priority Funding Apportionments commensurate with the funds received, for presentation to the State Allocation Board (SAB) at the September 25, 2019 meeting.
- Career Technical Education Facilities Program Stakeholder Meeting – OPSC recently held two CTEFP Stakeholder meetings to evaluate the program’s funding order and to determine if regulation changes are necessary. Staff developed and presented multiple funding distribution scenarios to illustrate the impacts of any changes and solicited feedback. The stakeholder input was included as part of the policy discussion on potential change(s) to the regulations.
- Sixth CTEFP Filing Round – The filing period for the sixth round of CTEFP funding is now open. CTE Grant applications are due to CDE on or before December 2, 2019, and the Application for Career Technical Education Funding (Form SAB 50-10) is due to OPSC on April 6, 2020. For this round, CDE will be providing scores on a flow basis, and OPSC encourages projects with a score of 105 or higher to submit the SAB 50-10 form as soon as possible to ensure applicants can participate in the spring 2020 Priority Funding filing period. Future SAB regulatory amendments to the CTEFP funding order as a result of the Action item in today’s agenda will be applicable to the sixth and future rounds.
- Priority Funding Apportionments – At the April 24, 2019 meeting, the Board approved $221.9 million in priority funding apportionments for 108 projects representing 54 school districts, including nine Career Technical Education Facilities Program (CTEFP) projects approved as a reservation of funds. A total of 11 projects did not submit the form SAB 50-05 by the required deadlines and were returned to the Unfunded List (Lack of AB 55 Loans).
Solano County Office of Education – To present the Solano County Office of Education’s request for the following:
- Reinstate the unfunded approvals for two School Facility Program projects that were rescinded due to non-participation in the priority funding rounds; and
- Allow a change in scope to ensure these projects can be completed within the approved state grants.
SCOE committed to obtaining CDE and DSA plan approval within 12 months before determining that the projects are ready for Apportionment.
Action: SAB approved appeal.
Career Technical Education Facilities Program Regulatory Amendments
The Office of Public School Construction (OPSC) staff drafted a number of scenario options for the Board to consider in response to stakeholder concerns about the funding order of the Career Technical Education Facilities Program (CTEFP); specifically, about the equity of the funding order related to the assignment of the NCES Town Locale codes of the SFP definition of a Suburban Area, as well as an interest in returning to the Service Region model.
OPSC staff stated that there is a consensus to move sites classified by NCES as Town from the SFP definition of Suburban Area to Rural Area. Staff recommended making this shift and agreed that it will help equalize the number of applications funded across all three locales.”
Action: SAB approved the staff recommendation to move the Town Area locale from Suburban to Rural (requires regulatory amendments to existing definitions of Suburban Area and Rural Area) on an 8-0 vote.
School Facility Program Approvals, Workload and Acknowledged Lists
The Board approved Unfunded Approvals (Lack of AB 55 Loans) at the August 28, 2019 meeting worth the following:
- New Construction: $153,155,494
- Modernization: $104,654,599
- Total: $257,810,093
The Unfunded Approvals List (Lack of AB 55 Loans) dated June 26, 2019 contains projects worth $987,516,526.
The Workload List dated July 31, 2019 contains projects worth the following:
- New Construction: $1,773,105,736
- Modernization: $2,347,566,696
- Total: $4,120,672,432
The Acknowledged List dated July 31, 2019 contains projects worth the following:
- New Construction: $358,513,226
- Modernization: $450,399,528
- Total: $808,912,754
The next meeting is scheduled for September 25, 2019 at 2:00 pm.