BILL NUMBER: AB 64 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MARCH 20, 1997
INTRODUCED BY Assembly Member Murray
(Principal coauthor: Senator Polanco)
DECEMBER 4, 1996
An act to add Part 68 (commencing with Section 100400)
to, and to add Part 69 (commencing with Section 100600) to, the
Education Code, relating to school facilities, by providing the funds
necessary therefor through the issuance and sale of bonds of the
State of California and by providing for the handling and disposition
of those funds. amend Sections 17620 and 17621 of, to
add Chapter 2 (commencing with Section 100400) to Part 66 of, and to
repeal Section 17046.8 of, the Education Code, and to amend Sections
65995, 65996, and 66007 of, and to add Section 65995.4 to, the
Government Code, relating to education facilities funding, by
providing the funds necessary therefor through an election for, and
the issuance and sale of, bonds of the State of California and by
providing for the handling and disposition of those funds.
LEGISLATIVE COUNSEL'S DIGEST
AB 64, as amended, Murray. Bonds: educational facilities.
(1) The Leroy F. Greene State Building Lease-Purchase
Law of 1976 (hereafter the Greene Act) provides for the acquisition
and construction of facilities by the state and the lease-purchase of
those facilities by school districts.
The Public Education Facilities Bond Act of 1996 provides for the
issuance, pursuant to the State General Obligation Bond Law, of bonds
in amounts not to exceed $3,000,000,000, exclusive of refunding
bonds, issued pursuant to that act, and the expenditure of
$2,025,000,000, of the proceeds therefrom to provide aid to school
districts, county superintendents of schools, and county boards of
education, as specified, in accordance with the Greene Act and
related school facilities programs, as specified.
This bill would enact the 1998 Class Size Reduction Bond Act, and
the 2000 Class Size Reduction Bond Act, each of which, upon approval
by the state electorate, would provide for the issuance of state
general obligation bonds in an amount not to exceed $1,000,000,000,
exclusive of refunding bonds, issued pursuant to that act, and the
expenditure of $1,000,000,000, of revenues therefrom to provide aid
to school districts in accordance with the Greene Act.
This bill would provide that the 1998 Class Size Reduction Bond
Act be submitted to the voters at the June 2, 1998, primary election,
in accordance with specified law.
This bill would provide that the 2000 Class Size Reduction Bond
Act be submitted to the voters at the June 6, 2000, primary election
in accordance with specified law.
Existing law provides that the maximum allowable building area for
each applicant district under the Greene Act shall be reduced by the
product of the maximum area per attendance unit calculated for each
appropriate grade level and the number of pupils reported by the
Superintendent of Public Instruction for that grade level.
This bill would repeal this provision relating to the reduction of
the maximum allowable building area. This provision would become
operative on January 1, 1998.
(2) Existing law authorizes certain local agencies to impose
limited fees or other charges against certain development projects to
fund the construction or reconstruction of school facilities. Under
existing law, a building permit may not be issued for any
development absent certification by the appropriate school district
of compliance by the development project with the fee, charge,
dedication, or other requirement levied by the governing board of
that school district. If the governing board of the school district
specifies, payment of the fee or charge on residential development
shall not be required until the date of the final inspection or the
date the certificate of occupancy is issued, whichever occurs first.
For residential development, the limit on fees is $1.50 per square
foot and for commercial development the limitation is 25
per square foot excluding permissible adjustment for inflation, as
specified. Existing law prohibits the legislative body of a local
agency from levying development fees or other requirements for the
construction or reconstruction of schools, other than pursuant to
designated statutory authority. This bill would replace the
$1.50 per square foot limit with a limit of an unspecified amount.
The bill would provide, on or after January 1, 1998, that, with
respect to single-family developments, any fee, charge, dedication,
or other requirement shall be deferred until close of an escrow for
the first affected single-family dwelling unit in the development, or
as to multifamily developments, until the close of a permanent
financing escrow following the completion of the development. To be
eligible for the deferral, the residential development project must
meet one or more of the following requirements: (a) 10% of the
rental units are for very low income households; (b) 49% of the
rental units are for lower income households; (c) 10% of the for-sale
units meet specified affordable housing cost requirements for very
low income households; or (d) 49% of the for-sale units meet
specified affordable housing cost requirements for lower income
households.
This bill would prohibit fees or other requirements for the
construction or reconstruction of schools from being levied or
imposed in connection with, or made a condition of, any legislative
or administrative act, or both, by any local agency involving, but
not limited to, the planning, use, or development of real property,
other than pursuant to designated authority. The bill would provide
for an additional fee, charge, dedication, or other requirement of up
to $1 per square foot of assessable space if specified conditions
are met. A school district could impose that additional fee only if
the school district has applied, and is eligible, for funds under the
Leroy F. Greene State School Building Lease-Purchase Law of 1976 and
has incurred bonded indebtedness in an amount not less than 15% of
its bonding capacity or has received approval by a majority of the
voters on a proposal to incur bonded indebtedness in an amount not
less than 15% of its bonding capacity.
(3) The Public Education Facilities Bond Act of 1996 provides for
the issuance, pursuant to the State General Obligation Bond Law, of
bonds in an amount not to exceed $2,025,000,000 and the expenditure
of the proceeds therefrom to provide aid to school districts, county
superintendents of schools, and county boards of education, as
specified, in accordance with the Greene Act and related school
facilities programs, as specified.
This bill would enact the Polanco-Murray Class Size Reduction and
Public Education Facilities Bond Act which, upon approval by the
state electorate, would provide for the issuance of state general
obligation bonds in an amount not to exceed $4,000,000,000, exclusive
of refunding bonds, issued pursuant to that act, and the expenditure
of revenues therefrom to provide aid to school districts, as
specified.
This bill would create the State School Building Fund, into which
the bond proceeds would be deposited.
The bill would provide that a school district may expend up to 75%
of the proceeds allocated to it under the Polanco-Murray Class Size
Reduction and Public Education Facilities Bond Act for specified
school building construction projects. The bill would state the
intent of the Legislature that school districts give first priority
for the use of the bond proceeds to assist with the
facilities-related costs associated with fully participating in the
Class Size Reduction Program.
This bill would provide that, of the bond proceeds authorized
under the Polanco-Murray Class Size Reduction and Public Education
Facilities Bond Act to be used for specified school building
construction projects, the Superintendent of Public Instruction shall
allocate not more than an unspecified percentage in an equal amount
per pupil, with each school district in the state entitled to receive
an allocation for each pupil enrolled in kindergarten and grades 1
to 12, inclusive, in the school district in the prior school year.
The bill would authorize the Superintendent of Public Instruction to
allocate no more than an unspecified percentage of these funds to
assist school districts with financial hardships, as specified.
The bill would provide that, of the bond proceeds authorized under
this act to be used for specified school building construction
projects, the Superintendent of Public Instruction shall allocate not
more than an unspecified percentage based upon the number of
unhoused pupils in each school district in the prior school year, as
specified.
The bill would provide that a school district may expend up to 25%
of the bond proceeds allocated to it under the Polanco-Murray Class
Size Reduction and Public Education Facilities Bond Act for capital
outlay needs related to education technology and that the
Superintendent of Public Instruction shall allocate those bond
proceeds in an equal amount per pupil, with each school district in
the state entitled to receive an allocation for each pupil enrolled
in kindergarten and grades 1 to 12, inclusive, in the school district
in the prior school year.
(4) Existing law prescribes the exclusive methods that may be
required by local agencies to mitigate environmental effects related
to the adequacy of school facilities when considering, under the
California Environmental Quality Act (CEQA), the approval, or the
establishment of conditions for the approval, of a development
project. Existing law prohibits a public agency, in the exercise of
its authority to adopt general plans, zoning laws, and other land use
legislation, from either denying approval of a project on the basis
of the adequacy of school facilities or imposing conditions, other
than the requirement to pay the limited school facilities fees, on
the approval of a project for the purpose of providing school
facilities. Existing law also provides that the restrictions
described above upon the mitigation of environmental effects under
CEQA apply to both administrative and legislative action taken by a
public agency under CEQA.
This bill instead would prohibit a state or local agency from
considering the adequacy of school facilities, whether or not it is a
condition contained in an existing legislative enactment, in
connection with any legislative or administrative act, or both,
involving, but not limited to, the planning, use, or development of
real property, except as specified. The bill would eliminate the
reference to the mitigation of environmental effects under CEQA. The
bill would instead refer to mitigation of the effects related to the
adequacy of school facilities and would provide that the
restrictions described above apply in connection with any legislative
or administrative action, or both, by any local agency involving,
but not limited to, the planning, use, or development of real
property or any change of governmental organization or
reorganization, as defined.
(5) This bill would provide that the Polanco-Murray Class Size
Reduction and Public Education Facilities Bond Act be submitted to
the voters at the June 2, 1998, primary election, or at an earlier
statewide general election, if such an election is held, in
accordance with specified law.
Vote: 2/3. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Part 68 (commencing with Section
SECTION 1. (a) It is the intent of the Legislature, in enacting
Sections 3, 4, 6, and 8 of this act, to accomplish the following:
(1) To legislatively reverse the holdings reached by the
California Courts of Appeal in Mira Development Corp. v. City of San
Diego (1988), 205 Cal. App. 3d 1201; William S. Hart Union High
School District v. Regional Planning Commission of the County of Los
Angeles (1991), 226 Cal. App. 3d 1612; and Murrieta Valley Unified
School District v. County of Riverside (1991), 228 Cal. App. 3d 1212,
by furthering the state preemption of financing the construction or
reconstruction of school facilities and mitigating the impacts of
land use approvals on the need for, or impact on, school facilities
and providing that the scope of the state preemption in this area
includes the financing of school facilities and the mitigation of
land use approvals, whether legislative, administrative, or
adjudicative, on the need for school facilities. More particularly,
it is meant to prohibit local agencies, including any local agency
formation commission, from considering whether school facilities are
adequate to serve enrollment, as part of the land use process.
(2) To limit the amount of fees, charges, dedications, or other
requirements that may be imposed, directly or indirectly, on the
development or construction of real property, in connection with the
construction or reconstruction of school facilities, to the amount
authorized in Section 65995 of the Government Code.
(b) The Legislature finds and declares that the adoption of a
reasonable and appropriate schedule of fees pursuant to subdivision
(b) of Section 65995 of the Government Code is necessary to assist
cities and counties to accomplish the state goals of ensuring that
excessive fees do not render housing unaffordable and that
homeownership is a realistic opportunity for the state's residents,
including those residents of low and moderate income.
SEC. 2. Section 17046.8 of the Education Code is repealed.
17046.8. Notwithstanding any other provisions of law, the maximum
allowable building area for each applicant district shall be reduced
by the product of the maximum area per attendance unit calculated
for each appropriate grade level and the number of pupils reported by
the Superintendent of Public Instruction for that grade level
pursuant to Section 42268. This reduction shall be calculated on the
basis, at the district's option, of either the district as a whole
or the appropriate attendance area, as defined in Section 17041.
SEC. 3. Section 17620 of the Education Code is amended to read:
17620. (a) (1) The governing board of any school district is
authorized to levy a fee, charge, dedication, or other requirement
against any development project within the boundaries of the
district, for the purpose of funding the construction or
reconstruction of school facilities, subject to any limitations set
forth in Chapter 4.9 (commencing with Section 65995) of Division 1 of
Title 7 of the Government Code. This fee, charge, dedication, or
other requirement may be applied to construction only as follows:
(A) To new commercial and industrial construction. The chargeable
covered and enclosed space of a commercial or industrial development
project, as defined in Section 65995 of the Government Code, shall
not be deemed to include the square footage of any structure existing
on the site of that development project as of the date the first
building permit is issued for any portion of that development
project.
(B) To new residential construction.
(C) To other residential construction, only if the resulting
increase in assessable space, as defined in Section 65995 of the
Government Code, exceeds 500 square feet. The calculation of the
"resulting increase in assessable space" for this purpose shall
reflect any decrease in assessable space in the same residential
structure that also results from that construction. Where authorized
under this paragraph, the fee, charge, dedication, or other
requirement is applicable to the total resulting increase in
assessable space.
(2) For purposes of this section, "development project" means any
project undertaken for the purpose of development, and includes a
project involving the issuance of a permit for construction or
reconstruction, but not a permit to operate.
(3) For purposes of this section, "construction or reconstruction
of school facilities" does not include any item of expenditure for
any of the following:
(A) The regular maintenance or routine repair of school buildings
and facilities.
(B) The inspection, sampling, analysis, encapsulation, or removal
of asbestos-containing materials, except where incidental to school
facilities construction or reconstruction for which the expenditure
of fees or other consideration collected pursuant to this section is
not prohibited.
(C) The purposes of deferred maintenance described in Section
17582.
(4) The appropriate city or county may be authorized, pursuant to
contractual agreement with the governing board, to collect and
otherwise administer, on behalf of the school district, any fee,
charge, dedication, or other requirement levied under this
subdivision. In the event of any agreement authorizing a city or
county to collect that fee, charge, dedication, or other requirement
in any area within the school district, the certification requirement
set forth in subdivision (b) or (c), as appropriate, is deemed to be
complied with as to any residential development project within that
area upon receipt by that city or county of payment of the fee,
charge, dedication, or other requirement imposed on that project.
(5) Fees or other consideration collected pursuant to this section
may be expended by a school district for the costs of performing any
study or otherwise making the findings and determinations required
under subdivisions (a), (b), and (d) of Section 66001 of the
Government Code. In addition, an amount not to exceed, in any
fiscal year, 3 percent of the fees collected in that fiscal year
pursuant to this section may be retained by the school district,
city, or county, as appropriate, for reimbursement of the
administrative costs incurred by that entity in collecting the fees.
When any city or county is entitled, under an agreement as
described in paragraph (4), to compensation in excess of that amount,
the payment of that excess compensation shall be made from other
revenue sources available to the school district.
(b) No city or county, whether general law or chartered, may issue
a building permit for any development absent certification by the
appropriate school district of compliance by that development project
with any fee, charge, dedication, or other requirement levied by the
governing board of that school district pursuant to subdivision (a),
or of the district's determination that the fee, charge, dedication,
or other requirement does not apply to the development project.
(c) If, pursuant to subdivision (c) of Section 17621, the
governing board specifies that the fee, charge, dedication, or other
requirement levied under subdivision (a) is subject to the
restriction set forth in subdivision (a) of Section 66007 of the
Government Code, the restriction set forth in subdivision (b) of this
section does not apply. In that event, however, no city or county,
whether general law or chartered, may conduct a final inspection or
issue a certificate of occupancy, whichever is later, for any
residential development project absent certification by the
appropriate school district of compliance by that development project
with any fee, charge, dedication, or other requirement levied by the
governing board of that school district pursuant to subdivision (a).
(d) Neither subdivision (b) nor (c) shall apply to a city or
county as to any fee, charge, dedication, or other requirement as
described in subdivision (a), or as to any increase in that fee,
charge, dedication, or other requirement, except upon the receipt by
that city or county of notification of the adoption of, or increase
in, the fee or other requirement in accordance with subdivision (c)
of Section 17621.
(e) Notwithstanding any other provision of this section, any fee,
charge, dedication, or other requirement levied or imposed pursuant
to this section on a residential development project that includes
units for lower income households or very low income households, as
described in paragraph (1) of subdivision (d) of Section 66007 of the
Government Code, shall be deferred pursuant to paragraph (2) of
subdivision (d) of Section 66007 of the Government Code.
SEC. 4. Section 17621 of the Education Code is amended to read:
17621. (a) Any resolution adopting or increasing a fee, charge,
dedication, or other requirement pursuant to Section 17620, for
application to residential, commercial, or industrial development,
shall be enacted in accordance with Chapter 5 (commencing with
Section 66000) of Division 1 of Title 7 of the Government Code, with
Section 54994.1 of the Government Code, and with the procedures for
mailed notice set forth in Section 54992 of the Government Code. The
adoption, increase, or imposition of any fee, charge, dedication, or
other requirement pursuant to Section 17620 shall not be subject to
Division 13 (commencing with Section 21000) of the Public Resources
Code. The adoption of, or increase in, the fee, charge, dedication,
or other requirement shall be effective no sooner than 60 days
following the final action on that adoption or increase, except as
specified in subdivision (b).
(b) Without following the procedure otherwise required for
adopting or increasing a fee, charge, dedication, or other
requirement, the governing board of a school district may adopt an
urgency measure as an interim authorization for a fee, charge,
dedication, or other requirement, or increase in a fee, charge,
dedication, or other requirement, where necessary to respond to a
current and immediate threat to the public health, welfare, or
safety. The interim authorization shall require a four-fifths vote
of the governing board for adoption, and shall contain findings
describing the current and immediate threat to the public health,
welfare, or safety. The interim authorization shall have no force or
effect on and after a date 30 days after its adoption. After notice
and hearing in accordance with subdivision (a), the governing board,
upon a four-fifths vote of the board, may extend the interim
authority for an additional 30 days. Not more than two extensions
may be granted.
(c) Upon adopting or increasing a fee, charge, dedication, or
other requirement pursuant to subdivision (a) or (b), the school
district shall transmit a copy of the resolution to each city and
each county in which the district is situated, accompanied by all
relevant supporting documentation and a map clearly indicating the
boundaries of the area subject to the fee, charge, dedication, or
other requirement. The school district governing board shall
specify, pursuant to that notification, whether or not the collection
of the fee or other charge is subject to the restriction set forth
in subdivision (a) of Section 66007 of the Government Code.
(d) Any party on whom a fee, charge, dedication, or other
requirement has been directly imposed pursuant to Section 17620 may
protest the establishment or imposition of that fee, charge,
dedication, or other requirement in accordance with Section 66020 of
the Government Code, except that the procedures set forth in Section
66021 of the Government Code are deemed to apply, for this purpose,
to commercial and industrial development, as well as to residential
development.
(e) In the case of any commercial or industrial development, the
following procedures shall also apply:
(1) The school district governing board shall ,
in the course of making the findings required under subdivisions (a)
and (b) of Section 66001 of the Government Code, shall do
all of the following:
(A) Make the findings on either an individual project basis or on
the basis of categories of commercial or industrial development.
Those categories may include, but are not limited to, the following
uses: office, retail, transportation, communications and utilities,
light industrial, heavy industrial, research and development, and
warehouse.
(B) Conduct a study to determine the impact of the increased
number of employees anticipated to result from the commercial or
industrial development upon the cost of providing school facilities
within the district. For the purpose of making that determination,
the study shall utilize employee generation estimates that are
calculated on either an individual project or categorical basis, in
accordance with subparagraph (A). Those employee generation
estimates shall be based upon commercial and industrial factors
within the district or upon, in whole or in part, the applicable
employee generation estimates set forth in the January 1990 edition
of "San Diego Traffic Generators," a report of the San Diego
Association of Governments.
(C) The governing board shall take into account the results of
that study in making the findings described in this subdivision.
(2) In addition to any other requirement imposed by law, in the
case of any development project against which a fee, charge,
dedication, or other requirement is to be imposed pursuant to Section
53080 on the basis of a category of commercial or industrial
development, as described in paragraph (1), the governing board shall
provide a process that permits the party against whom the fee,
charge, dedication, or other requirement is to be imposed the
opportunity for a hearing to appeal that imposition. The grounds for
that appeal include, but are not limited to, the inaccuracy of
including the project within the category pursuant to which the fee,
charge, dedication, or other requirement is to be imposed, or that
the employee generation or pupil generation factors utilized under
the applicable category are inaccurate as applied to the project.
The party appealing the imposition of the fee, charge, dedication, or
other requirement shall bear the burden of establishing that the
fee, charge, dedication, or other requirement is improper.
(f) Notwithstanding any other provision of this section, any fee,
charge, dedication, or other requirement levied or imposed pursuant
to this section on a residential development project that includes
units for lower income households or very low income households, as
described in paragraph (1) of subdivision (d) of Section 66007 of the
Government Code, shall be deferred pursuant to paragraph (2) of
subdivision (d) of Section 66007 of the Government Code.
SEC. 5. Chapter 2 (commencing with Section 100400) is added to
Part 66 of the Education Code, to read:
CHAPTER 2. POLANCO-MURRAY CLASS SIZE REDUCTION AND PUBLIC
EDUCATION FACILITIES BOND ACT
Article 1. General Provisions
100400. This chapter shall be known and may be cited as the
Polanco-Murray Class Size Reduction and Public Education Facilities
Bond Act.
100405. The incorporation of, or reference to, any provisions of
California statutory law in this chapter includes all acts amendatory
thereof and supplementary thereto.
Article 2. School Facilities Program Provisions
100410. Four billion dollars ($4,000,000,000) of the proceeds of
bonds issued and sold pursuant to this chapter shall be deposited in
the State School Building Fund, which is hereby created in the State
Treasury, and allocated by the Superintendent of Public Instruction
pursuant to this chapter.
100415. All moneys deposited in the State School Building Fund
pursuant to Section 100410 shall be available, and are hereby
continuously appropriated, to provide aid to school districts of the
state in accordance with Sections 100420, 100425, 100426, 100430, and
100435, to provide funds to repay any money advanced or loaned to
the State School Building Fund under any act of the Legislature,
together with interest provided for in that act, and to reimburse the
General Obligation Bond Expense Revolving Fund pursuant to Section
16724.5 of the Government Code.
100420. The proceeds from the sale of bonds pursuant to this
chapter shall be allocated in an equal amount per pupil, with each
school district in the state entitled to receive an allocation for
each pupil enrolled in kindergarten and grades 1 to 12, inclusive, in
the school district in the prior school year in accordance with both
of the following:
(a) The school district adopts a resolution certifying that it
will contribute 50 percent of the capital expenditures on the
construction project or projects. Local district contributions of
land and equipment for school construction shall count toward the 50
percent district portion of capital expenditure.
(b) The school district adopts a resolution specifying how bond
proceeds will be used at the local level at least 30 days prior to
the approval of this chapter by the state electorate.
100421. The Superintendent of Public Instruction may waive the 50
percent capital expenditure requirement for a local district set
forth in Section 100420 if the superintendent determines that at
least one of the following conditions are met:
(a) The district has a fiscal hardship which makes it impossible
to meet the 50 percent requirement.
(b) The district has recently placed a local bond measure before
the electorate and received a vote greater than 50 percent.
(c) The district has at least 20 percent of its pupils attending
school on a multitrack year-round school schedule.
100424. Of the proceeds from the sale of bonds pursuant to this
chapter, not more than ____ percent may be used to assist school
districts with financial hardships that are in need of school
facilities for the purposes specified in Section 100431.
100425. Of the proceeds from the sale of bonds pursuant to this
chapter, not more than ____ percent may be used to assist school
districts for the purposes specified in Section 100430, and shall be
allocated based upon the number of unhoused pupils in each school
district in the prior school year, as determined under state loading
standards established pursuant to Chapter 12 (commencing with Section
17000) of Part 10.
100426. Of the proceeds from the sale of bonds pursuant to this
chapter, not more than 25 percent may be used to assist school
districts for the purposes specified in Section 100435, and shall be
allocated in an equal amount per pupil, with each school district in
the state entitled to receive an allocation for each pupil enrolled
in kindergarten and grades 1 to 12, inclusive, in the school district
in the prior school year.
100430. (a) A school district may expend any funds allocated to
it pursuant to Section 100420 or Section 100425 for any of the
following purposes related to a school building construction project:
(1) Acquisition of real property and preparation of real property
for construction.
(2) Architectural services.
(3) Construction related to new and existing school buildings,
including reconstruction or modernization of existing facilities.
(4) Improvements to real property, including, but not limited to,
grading and road construction.
(5) Furniture, equipment, and related fixtures.
(6) Construction-related expenditures, including, but not limited
to, environmental impact reports and geological surveys.
(7) Reconstruction or modernization of an existing structure for
educational technology infrastructure. For purposes of this section,
"educational technology infrastructure" only includes the wiring and
cabling to enable a school to use technology-based materials,
equipment, systems, and networks and does not include computer
hardware or software, or multimedia audio, video, and data transfer
equipment.
(8) The purchase and installation of air-conditioning and
installation materials, and related costs, pursuant to Section
42250.1.
(b) It is the intent of the Legislature that school districts give
first priority for the use of the proceeds of bonds issued and sold
pursuant to this chapter to assist with the facilities-related costs
associated with fully participating in the Class Size Reduction
Program contained in Chapter 6.10 (commencing with Section 52120) of
Part 28.
100431. The Superintendent of Public Instruction may allocate
funds pursuant to Section 100424 for any of the following purposes:
(a) Emergency portable classrooms.
(b) Emergency repairs for school facilities damaged by a natural
disaster.
(c) Necessary small schools, as defined in Section 42283.
100435. A school district may expend any of the funds allocated
to it pursuant to Section 100426 for capital outlay needs related to
education technology.
100437. Notwithstanding Sections 16019 and 17730, school
districts shall be eligible for funds regardless of previous
participation in the state lease-purchase program. Under no
circumstances may participating districts be required to place
property liens upon, or transfer title of, district property as a
condition of receiving bond funds under this chapter.
100438. Bond funds allocated to local districts that are not
encumbered within 18 months after the enactment of this measure shall
revert to the Superintendent of Public Instruction for reallocation
pursuant to Sections 100424 and 100425.
Article 3. Fiscal Provisions
100500. Bonds in the total amount of four billion dollars
($4,000,000,000), not including the amount of any refunding bonds
issued in accordance with Section 100555, or so much thereof as is
necessary, may be issued and sold to provide a fund to be used for
carrying out the purposes expressed in this chapter and to reimburse
the General Obligation Bond Expense Revolving Fund pursuant to
Section 16724.5 of the Government Code. The bonds, when sold, shall
be and constitute a valid and binding obligation of the State of
California, and the full faith and credit of the State of California
is hereby pledged for the punctual payment of the principal of, and
interest on, the bonds as the principal and interest become due and
payable.
100505. The State School Building Finance Committee, created by
Section 15909 and composed of the Governor, Controller, Treasurer,
Director of Finance, and the Superintendent of Public Instruction, or
their designated representatives, all of whom shall serve thereon
without compensation, and a majority of whom shall constitute a
quorum, is continued in existence for the purpose of this chapter.
The Treasurer shall be designated to chair the committee. Two
Members of the Senate appointed by the Senate Committee on Rules, and
two Members of the Assembly appointed by the Speaker of the
Assembly, shall meet with and provide advice to the committee to the
extent that the advisory participation is not incompatible with their
respective positions as Members of the Legislature. For the
purposes of this chapter, the Members of the Legislature shall
constitute an interim investigating committee on the subject of this
chapter and, as that committee, shall have the powers and duties
imposed upon those committees by the Joint Rules of the Senate and
the Assembly. The Director of Finance shall provide the assistance
to the committee as it may require. The Attorney General of the
state shall be the legal adviser of the committee.
100510. (a) The bonds authorized by this chapter shall be
prepared, executed, issued, sold, paid, and redeemed as provided in
the State General Obligation Bond Law (Chapter 4 (commencing with
Section 16720) of Part 3 of Division 4 of Title 2 of the Government
Code), and all of the provisions of that law, except Section 16727 of
the Government Code, apply to the bonds and to this chapter and are
hereby incorporated in this chapter as though set forth in full in
this chapter.
(b) For purposes of the State General Obligation Bond Law, the
Superintendent of Public Instruction is designated the "board" for
purposes of administering the deposits to the State School Building
Fund made pursuant to this chapter.
100520. Upon request of the Superintendent of Public Instruction
from time to time, supported by a statement of the apportionments
made and to be made for the purposes described in Sections 100420,
100425, 100426, 100430, and 100435, the State School Building Finance
Committee created pursuant to Section 15909 shall determine whether
or not it is necessary
or desirable to issue bonds authorized pursuant to this chapter
in order to fund the apportionments and, if so, the amount of bonds
to be issued and sold. Successive issues of bonds may be authorized
and sold to fund those apportionments progressively, and it is not
necessary that all of the bonds authorized to be issued be sold at
any one time.
100525. There shall be collected each year and in the same manner
and at the same time as other state revenue is collected, in
addition to the ordinary revenues of the state, a sum in an amount
required to pay the principal of, and interest on, the bonds each
year. It is the duty of all officers charged by law with any duty in
regard to the collection of the revenue to do and perform each and
every act which is necessary to collect that additional sum.
100530. Notwithstanding Section 13340 of the Government Code,
there is hereby appropriated from the General Fund in the State
Treasury, for the purposes of this chapter, an amount that will equal
the total of the following:
(a) The sum annually necessary to pay the principal of, and
interest on, bonds issued and sold pursuant to this chapter, as the
principal and interest become due and payable.
(b) The sum necessary to carry out Section 100545, appropriated
without regard to fiscal years.
100535. The board may request the Pooled Money Investment Board
to make a loan from the Pooled Money Investment Account, in
accordance with Section 16312 of the Government Code, for the purpose
of carrying out this chapter. The amount of the request shall not
exceed the amount of the unsold bonds that the committee, by
resolution, has authorized to be sold for the purpose of carrying out
this chapter. The board shall execute any documents required by the
Pooled Money Investment Board to obtain and repay the loan. Any
amounts loaned shall be deposited in the fund to be allocated by the
board in accordance with this chapter.
100540. Notwithstanding any other provision of this chapter, or
of the State General Obligation Bond Law, if the Treasurer sells
bonds pursuant to this chapter that include a bond counsel opinion to
the effect that the interest on the bonds is excluded from gross
income for federal tax purposes, subject to designated conditions,
the Treasurer may maintain separate accounts for the investment of
bond proceeds and for the investment earnings on those proceeds. The
Treasurer may use or direct the use of those proceeds or earnings to
pay any rebate, penalty, or other payment required under federal law
or take any other action with respect to the investment and use of
those bond proceeds required or desirable under federal law to
maintain the tax-exempt status of those bonds and to obtain any other
advantage under federal law on behalf of the funds of this state.
100545. For the purposes of carrying out this chapter, the
Director of Finance may authorize the withdrawal from the General
Fund of an amount not to exceed the amount of the unsold bonds that
have been authorized by the State School Building Finance Committee
to be sold for the purpose of carrying out this chapter. Any amounts
withdrawn shall be deposited in the State School Building Fund. Any
money made available under this section shall be returned to the
General Fund, plus an amount equal to the interest that the money
would have earned in the Pooled Money Investment Account, from
proceeds received from the sale of bonds for the purpose of carrying
out this chapter.
100550. All money deposited in the State School Building Fund
that is derived from premium and accrued interest on bonds sold shall
be reserved in the fund and shall be available for transfer to the
General Fund as a credit to expenditures for bond interest.
100555. The bonds may be refunded in accordance with Article 6
(commencing with Section 16780) of Chapter 4 of Part 3 of Division 4
of Title 2 of the Government Code, which is a part of the State
General Obligation Bond Law. Approval by the voters of the state for
the issuance of the bonds described in this chapter includes the
approval of the issuance of any bonds issued to refund any bonds
originally issued under this chapter or any previously issued
refunding bonds.
100560. The Legislature hereby finds and declares that, inasmuch
as the proceeds from the sale of bonds authorized by this chapter are
not "proceeds of taxes" as that term is used in Article XIIIB of the
California Constitution, the disbursement of these proceeds is not
subject to the limitations imposed by that article.
SEC. 6. Section 65995 of the Government Code is amended to read:
65995. (a) Except for a fee, charge, dedication, or other
requirement authorized under Section 53080
17620 of the Education Code , or pursuant to Chapter 4.7
(commencing with Section 65970), no fee, charge, dedication, or other
requirement shall be levied by the legislative body of a
local agency against a development project, as defined in Section
53080, for the construction or reconstruction of school facilities
for the construction or reconstruction of school
facilities shall be levied or imposed in connection with, or made a
condition of, any legislative or administrative act, or both, by any
local agency involving, but not limited to, the planning, use, or
development of real property .
(b) In no event shall the amount of any fees, charges,
dedications, or other requirements authorized under Section
53080 17620 of the Education Code , or pursuant
to Chapter 4.7 (commencing with Section 65970), or both, exceed the
following:
(1) One dollar and fifty cents ($1.50) (A)
____ ($____) per square foot of assessable space, in the case
of any residential development. "Assessable space," for this
purpose, means all of the square footage within the perimeter of a
residential structure, not including any carport, walkway, garage,
overhang, patio, enclosed patio, detached accessory structure, or
similar area. The amount of the square footage within the perimeter
of a residential structure shall be calculated by the building
department of the city or county issuing the building permit, in
accordance with the standard practice of that city or county in
calculating structural perimeters.
(B) In addition to the fee, charge, dedication, or other
requirement specified in subparagraph (A), an additional fee, charge,
dedication, or other requirement of up to ____ ($____) per square
foot of assessable space may be levied by the governing board of a
school district against that residential construction described in
subparagraphs (B) and (C) of paragraph (1) of subdivision (a) of
Section 17620 of the Education Code for the construction or
reconstruction of school facilities if both of the following
conditions are met:
(i) On or after January 1, 1994, the school district has incurred
bonded indebtedness for school facilities construction in an amount
not less than 15 percent of its bonding capacity or has submitted to
the voters a proposal to incur bonded indebtedness for school
facilities construction in an amount not less than 15 percent of its
bonding capacity and the proposal received approval by at least 50
percent of the votes cast in the election at which the proposal was
submitted to the voters.
(ii) The school district has applied and is deemed eligible by the
State Allocation Board for funding under the Leroy F. Greene State
School Building Lease-Purchase Law of 1976 contained in Chapter 12
(commencing with Section 17000) of Part 10 of the Education Code or
any successor state program.
(2) In the case of any commercial or industrial development,
twenty-five cents ($0.25) per square foot of chargeable covered and
enclosed space. "Chargeable covered and enclosed space," for this
purpose, means the covered and enclosed space determined to be within
the perimeter of a commercial or industrial structure, not including
any storage areas incidental to the principal use of the
development, garage, parking structure, unenclosed walkway, or
utility or disposal area. The determination of the chargeable
covered and enclosed space within the perimeter of a commercial or
industrial structure shall be made by the building department of the
city or county issuing the building permit, in accordance with the
building standards of that city or county.
(3) The amount of the limits set forth in paragraphs (1) and (2)
shall be increased in 1990, and every two years thereafter, according
to the adjustment for inflation set forth in the statewide cost
index for class B construction, as determined by the State Allocation
Board at its January meeting, which increase shall be effective as
of the date of that meeting. The State Allocation Board
shall not raise the amount of the district matching share calculated
under Section 17705.5 of the Education Code, as a result of the
increase under this paragraph, until at least 90 days after the date
of that increase.
(c) (1) Notwithstanding any other provision of law, during the
term of any contract entered into between a subdivider or builder and
a school district, city, county, or city and county, whether general
law or chartered, on or before January 1, 1987, that requires the
payment of a fee, charge, or dedication for the construction of
school facilities as a condition to the approval of residential
development, neither Section 53080 17620 of
the Education Code nor this chapter applies to that residential
development.
(2) Any Except as provided in paragraph
(1), any development project for which a final map was approved
and construction on or off the area shown on the map had
commenced in furtherance of the project on or before
September 1, 1986 November 5, 1996 , is
subject to only the fee, charge, dedication, or other requirement
prescribed in any local ordinance in existence on that date
and applicable to the project operative and applicable
to the project on that date .
(d) For purposes of Section 53080 17620 of
the Education Code and this chapter, "residential, commercial,
or industrial development" does not include any facility used
exclusively for religious purposes that is thereby exempt from
property taxation under the laws of this state, any facility used
exclusively as a private full-time day school as described in Section
48222 of the Education Code, or any facility that is owned and
occupied by one or more agencies of federal, state, or local
government. In addition, "commercial or industrial development"
includes, but is not limited to, any hotel, inn, motel, tourist home,
or other lodging for which the maximum term of occupancy for guests
does not exceed 30 days, but does not include any residential hotel,
as defined in paragraph (1) of subdivision (b) of Section 50519 of
the Health and Safety Code.
(e) The Legislature finds and declares that the subject
of the financing of school facilities with
development fees is a matter and the mitigation of the
impacts of land use approvals, whether legislative or
administrative, or both, on the need for school facilities are
matters of statewide concern. For this reason , the
Legislature hereby occupies the subject matter of mandatory
development fees and other development requirements
matters of the financing of school facilities and the mitigation of
the impacts of land-use approvals, whether legislative or
administrative, or both, on the need for school facilities
finance , to the exclusion of all
local other measures on the subject.
(f) Nothing in this section shall be interpreted to limit or
prohibit the use of Chapter 2.5 (commencing with Section 53311) of
Division 2 of Title 5 to finance the construction or reconstruction
of school facilities.
(g) This section shall become inoperative on January 1,
1993, and shall remain inoperative until the date that Assembly
Constitutional Amendment 6 of the 1991-92 Regular Session fails to
receive the approval of a majority of the voters voting on the
measure, and as of that date this section shall become operative.
Participation in a community facilities district shall
not be made a condition of approval of any legislative or
administrative act, or both, involving, but not limited to, the
planning, use, or development of real property or any change in
governmental organization or reorganization, as defined in Sections
56021 and 56073. Participation or nonparticipation in a community
facilities district shall not be considered when determining whether
to approve or disapprove any legislative or administrative act, or
both, involving, but not limited to, the planning, use, or
development of real property or any change in governmental
organization or reorganization, as defined in Sections 56021 and
56073.
SEC. 7. Section 65995.4 is added to the Government Code, to read:
65995.4. After the issuance of the certificate of compliance
pursuant to subdivision (b) of Section 17620 of the Education Code,
no additional fee for school facilities may be required for the
issuance of a building permit. This section is declaratory of
existing law.
SEC. 8. Section 65996 of the Government Code is amended to read:
65996. (a) The Subject to the limitations
set forth in Section 65995, the following provisions shall be
the exclusive methods of mitigating environmental
effects related to the adequacy of school facilities when considering
the approval or the establishment of conditions
for the approval of a development project, as defined in
Section 53080, pursuant to Division 13 (commencing with Section
21000) of the Public Resources Code in connection with
any legislative or administrative act, or both, by any local agency
involving, but not limited to, the planning, use, or development of
real property or any change of governmental organization or
reorganization, as defined in Sections 56021 and 56073 :
(1) Chapter 22 12 (commencing with
Section 17700 17000 ) of Part 10 of the
Education Code.
(2) Chapter 25 14 (commencing with
Section 17785 17085 ) of Part 10 of the
Education Code.
(3) Chapter 28 18 (commencing with
Section 17870 17170 ) of Part 10 of the
Education Code.
(4) Article 2.5 (commencing with Section 39327
17430 ) of Chapter 3 4 of
Part 23 10.5 of the Education Code.
(5) Section 53080 17620 of the
Government Education Code.
(6) Chapter 2.5 (commencing with Section 53311) of
Division 2 of Title 5 of the Government Code.
(7) Chapter 4.7 (commencing with Section 65970) of
Division 1 of Title 7 of the Government Code.
(b) No public agency shall, pursuant to Division 13
(commencing with Section 21000) of the Public Resources Code or
Division 2 (commencing with Section 66410) of this code, deny
approval of a project on the basis of the adequacy of school
facilities. Except for the authority granted by
Section 17060 of the Education Code, Section 65970, and this chapter,
no state or local agency shall consider the adequacy of school
facilities nor consider any condition, standard, policy, or
requirement concerning the adequacy of school facilities contained in
a general plan, specific plan, zoning ordinance, or similar local
legislative enactment, whether adopted before or after January 1,
1999, in connection with any legislative or administrative act, or
both, involving, but not limited to, the planning, use, or
development of real property or any change in governmental
organization or reorganization, as defined in Sections 56021 and
56073.
(c) This section shall become inoperative on January 1,
1993, and shall remain inoperative until the date that Assembly
Constitutional Amendment 6 of the 1991-92 Regular Session fails to
receive the approval of a majority of the voters voting on the
measure, and as of that date this section shall become operative
not affect any conditions imposed by a state or local
agency in connection with the approval of the development or specific
real property, nor shall it affect the obligations under any
contract entered into between a builder or an owner or developer of
real property with any school district, city, county, or city and
county, whether general law or chartered, prior to January 1, 1999
.
SEC. 9. Section 66007 of the Government Code is amended to read:
66007. (a) Except as otherwise provided in subdivision (b), any
local agency which imposes any fees or charges on a residential
development for the construction of public improvements or facilities
shall not require the payment of those fees or charges,
notwithstanding any other provision of law, until the date of the
final inspection, or the date the certificate of occupancy is issued,
whichever occurs first. However, utility service fees may be
collected at the time an application for utility service is received.
If the residential development contains more than one dwelling, the
local agency may determine whether the fees or charges shall be paid
on a pro rata basis for each dwelling when it receives its final
inspection or certificate of occupancy, whichever occurs first; on a
pro rata basis when a certain percentage of the dwellings have
received their final inspection or certificate of occupancy,
whichever occurs first; or on a lump-sum basis when the first
dwelling in the development receives its final inspection or
certificate of occupancy, whichever occurs first.
(b) (1) Notwithstanding subdivision (a), the local
agency may require the payment of those fees or charges at an
earlier time if (1) the either of the
following occur:
(A) The local agency determines that the fees or charges
will be collected for public improvements or facilities for which an
account has been established and funds appropriated and for which
the local agency has adopted a proposed construction schedule or plan
prior to final inspection or issuance of the certificate of
occupancy or (2) the .
(B) The fees or charges are to reimburse the local agency
for expenditures previously made. "Appropriated," as
(2) As used in this subdivision, "appropriated"
means authorization by the governing body of the local agency for
which the fee is collected to make expenditures and incur obligations
for specific purposes.
(c) (1) If any fee or charge specified in subdivision (a) is not
fully paid prior to issuance of a building permit for construction of
any portion of the residential development encumbered thereby, the
local agency issuing the building permit may require the property
owner, or lessee if the lessee's interest appears of record, as a
condition of issuance of the building permit, to execute a contract
to pay the fee or charge, or applicable portion thereof, within the
time specified in subdivision (a). If the fee or charge is prorated
pursuant to subdivision (a), the obligation under the contract shall
be similarly prorated.
(2) The obligation to pay the fee or charge shall inure to the
benefit of, and be enforceable by, the local agency that imposed the
fee or charge, regardless of whether it is a party to the contract.
The contract shall contain a legal description of the property
affected, shall be recorded in the office of the county recorder of
the county and, from the date of recordation, shall constitute a lien
for the payment of the fee or charge, which shall be enforceable
against successors in interest to the property owner or lessee at the
time of issuance of the building permit. The contract shall be
recorded in the grantor-grantee index in the name of the public
agency issuing the building permit as grantee and in the name of the
property owner or lessee as grantor. The local agency shall record a
release of the obligation, containing a legal description of the
property, in the event the obligation is paid in full, or a partial
release in the event the fee or charge is prorated pursuant to
subdivision (a).
(3) The contract may require the property owner or lessee to
provide appropriate notification of the opening of any escrow for the
sale of the property for which the building permit was issued and to
provide in the escrow instructions that the fee or charge be paid to
the local agency imposing the same from the sale proceeds in escrow
prior to disbursing proceeds to the seller.
(d) (1) Notwithstanding subdivisions (a) and (b), the payment
of any fee, charge, dedication, or other requirement imposed
pursuant to Section 17620 or 17621 of the Education Code, or
subdivision (c) of Section 65996, for the purpose of funding the
construction or reconstruction of school facilities, shall be
deferred pursuant to paragraph (2) for residential development
projects that meet one or more of the following requirements:
(A) At least 10 percent of the rental units of the residential
development project have affordable rent, as defined in Section 50053
of the Health and Safety Code, for very low income households, as
defined in Section 50105 of the Health and Safety Code.
(B) At least 49 percent of the rental units of the residential
development project have affordable rent, as defined in Section 50053
of the Health and Safety Code, for lower income households, as
defined in Section 50079.5 of the Health and Safety Code.
(C) At least 10 percent of the for-sale units of the residential
development project meet the affordable housing cost requirements set
forth in Section 50052.5 of the Health and Safety Code for very low
income households, as defined in Section 50105 of the Health and
Safety Code.
(D) At least 49 percent of the for-sale units of the residential
development project meet the affordable housing cost requirements set
forth in Section 50052.5 of the Health and Safety Code for lower
income households, as defined in Section 50079.5 of the Health and
Safety Code.
(2) For a single family for-sale project, any fee, charge,
dedication, or other requirement described in paragraph (1) shall be
deferred until the close of an escrow of the first affected dwelling
unit in the project. For a multifamily rental project, any fee,
charge, dedication, or other requirement shall be deferred until
close of permanent financing escrow following completion of the
project; except that no deferral pursuant to this subdivision shall
extend more than 15 months following substantial completion of the
project. A down payment shall be paid on any fee, charge,
dedication, or other requirement imposed on a residential development
project for which a deferral was received pursuant to this
subdivision in an amount equal to 10 percent of any fee, charge,
dedication, or other requirement imposed on the residential
development project at the times specified in subdivision (a) or (b),
or as applicable.
(3) For purposes of this subdivision, "residential development
project" means housing financed, all or in part, by local, state, or
federal loans, grants, or tax credits, or housing in which the
developer is a nonprofit corporation that is exempt from taxation
pursuant to Section 501(c)(3) of the Internal Revenue Code as amended
in 1986.
(e) This section applies only to fees collected by a local
agency to fund the construction of public improvements or facilities.
It does not apply to fees collected to cover the cost of code
enforcement or inspection services, or to other fees collected to pay
for the cost of enforcement of local ordinances or state law.
(e)
(f) "Final inspection" or "certificate of occupancy," as
used in this section, have the same meaning as described in Sections
305 and 307 of the Uniform Building Code, International Conference of
Building Officials, 1985 Edition.
(f)
(g) Methods of complying with the requirement in subdivision
(b) that a proposed construction schedule or plan be adopted,
include, but are not limited to, (1) the adoption of the capital
improvement plan described in Section 66002, or (2) the submittal of
a five-year plan for construction and rehabilitation of school
facilities pursuant to subdivision (c) of Section 17717.5
17017.5 of the Education Code.
SEC. 10. (a) Section 5 of this act shall become effective upon the
approval by the voters, at the June 2, 1998, primary election, or at
an earlier statewide general election, if such an election is held,
of the Polanco-Murray Class Size Reduction and Public Education
Facilities Bond Act, as set forth in Section 2 of this act.
(b) Section 5 of this act shall be submitted to the voters at
the June 2, 1998, primary election, or at an earlier statewide
general election, if such an election is held, in accordance with the
provisions of the Government Code and Elections Code governing the
submission of statewide measures to the voters.
SEC. 11. (a) Notwithstanding any other provision of law, with
respect to the Polanco-Murray Class Size Reduction and Public
Education Facilities Bond Act, as set forth in Section 5, all ballots
of the June 2, 1998, primary election, or an earlier statewide
general election, if such an election is held, shall have printed
thereon and in a square thereof, exclusively the words:
"Polanco-Murray Class Size Reduction and Public Education Facilities
Bond Act" and in the same square under those words, the following in
8-point type: "This four billion dollar ($4,000,000,000) bond issue
will provide substantial funding for school facilities, including
facilities to reduce class size and facilities for unhoused pupils,
and provide funds for capital outlay needs related to educational
technology to prepare California's pupils for the 21st century. (At
this point, the Attorney General shall include the financial impact
summary prepared pursuant to Section 9087 of the Elections Code and
Section 88003 of the Government Code.)" Opposite the square, there
shall be left spaces in which the voters may place a cross in the
manner required by law to indicate whether they vote for or against
the act.
(b) Notwithstanding Sections 13247 and 13281 of the Elections
Code, the language in subdivision (a) of the condensed statement of
the ballot title shall be the only language included in the ballot
label for the condensed statement of the ballot title, and the
Attorney General shall not supplement, subtract from, or revise that
language. The ballot label is the condensed statement of the ballot
title and the financial impact summary.
(c) Where the voting in the election is done by means of voting
machines used pursuant to law in a manner that carries out the intent
of this section, the use of the voting machines and the expression
of the voters' choice by means thereof are in compliance with this
section.
SEC. 12. Sections 2, 3, and 4 of this act shall become operative
on January 1, 1998. _____________________________________
All matter omitted in this version of the bill appears in the bill
as introduced Assembly, December 4, 1996 (JR 11)
____________________________________