Section § 17240

Explanation

This part of the law is officially called the New Schools Relief Act of 1979.

This chapter shall be known and may be cited as the New Schools Relief Act of 1979.

Section § 17241

Explanation

This law recognizes that due to restrictions on school districts' power to collect property taxes, there's a need to find new ways to pay for building school facilities.

The Legislature hereby finds and declares that because of the adoption of Article XIII A of the California Constitution, imposing limits on the ability of school districts to levy and collect property taxes, it is necessary to create new revenues for the construction of school facilities.

Section § 17242

Explanation

This law is meant to encourage cooperation between school districts, the state, and private businesses to build new school facilities in areas where the population is growing quickly. It aims to find creative ways to finance and support the construction of these schools.

It is the intent of the Legislature in enacting this chapter to provide opportunities for school districts, the state, and the private sector to cooperate to provide needed school facilities in growth impacted districts, and to facilitate innovative financing and other techniques for growth impacted districts to help meet new school construction needs.

Section § 17243

Explanation

This section defines several terms as they are used in this chapter of the law. First, the "Board" refers to the State Allocation Board. Next, a "school district with an anticipated increase in enrollment" is one that expects more students over the next five years compared to the current year, as predicted by the district following the Board's guidelines. Finally, "private developers" are individuals or companies that own land or facilities or are involved in developing land or constructing buildings.

As used in this chapter:
(a)CA Education Code § 17243(a) “Board” means the State Allocation Board.
(b)CA Education Code § 17243(b) “A school district with an anticipated increase in enrollment” means a school district in which the level of enrollment is projected by the district to be higher during any of the five years, including the year in which the projection is made, than the year preceding the year in which the projection is made. Projections shall be made pursuant to regulations adopted by the board.
(c)CA Education Code § 17243(c) “Private developers” means individuals or corporations owning land, facilities, or both; or, in the business of developing land for construction purposes, constructing facilities on developed land, or both.

Section § 17244

Explanation

This law allows a school district expecting more students to lease land and buildings from a private developer. They can use funds from several sources: state money for school construction, borrowed funds they're repaying to the state without changing the repayment schedule, capital reserves that align with the statute’s purpose, and proceeds from selling or leasing unneeded facilities. However, they must not disrupt payment obligations to the state or misuse any funds not intended for this purpose.

Notwithstanding any other provision of law, a school district with an anticipated increase in enrollment is authorized to lease land and facilities from a private developer with funds provided by one or more of the following sources, subject to regulations established by the board:
(a)CA Education Code § 17244(a) Funds provided by the state for the purposes of school construction (1) in the Budget Act, (2) in separate legislation, (3) from the sale of bonds, the issuance of which was approved by the voters of the state prior to January 1, 1980, provided that the purposes for which the issuance of the bonds was approved encompassed the purposes of this section; or (4) from the sale of bonds, the issuance of which may be approved on or after January 1, 1980, by the voters of the state for the purposes of school construction, among other purposes.
(b)CA Education Code § 17244(b) Funds the district has borrowed from the state and which the district is in the process of repaying, provided that nothing in this section shall be construed as terminating, delaying, or otherwise interrupting the district’s schedule of repayments for the funds.
(c)CA Education Code § 17244(c) Available capital reserves from the district’s general fund or special funds of the district, provided the purposes of this section do not conflict with the purposes for which the funds may be used.
(d)CA Education Code § 17244(d) Proceeds from the sale or lease of unneeded facilities, provided that nothing in this section shall be construed to have any of the following effects:
(1)CA Education Code § 17244(d)(1) To terminate, delay, or otherwise interrupt the schedule of regular repayments for the district’s obligations to the state.
(2)CA Education Code § 17244(d)(2) To relieve the district from any obligation to the state, except to the degree that such district may retain that portion of the proceeds from the sale or lease of unneeded facilities necessary to lease land and facilities pursuant to this section.
(3)CA Education Code § 17244(d)(3) To permit the district to retain any proceeds otherwise owing to the state from the lease or sale of unneeded facilities in excess of the amount necessary to lease land and facilities pursuant to this section.

Section § 17245

Explanation

This law allows a school district expecting more students to build new school facilities using certain funds. They can use money from their reserves, as long as it doesn't conflict with what those funds are typically used for. They can also use money from selling or leasing buildings they don't need, but this can't delay their debt payments to the state or change their obligations. They only keep as much money as needed for the new buildings, not more.

Notwithstanding any other law, a school district with an anticipated increase in enrollment is authorized to construct school facilities authorized within state school building aid standards, and subject to regulations established by the board, with funds from the following sources:
(a)CA Education Code § 17245(a) Available capital reserves from the district’s general fund or special funds of the district, provided the purposes of this section do not conflict with the purposes for which the funds may be used.
(b)CA Education Code § 17245(b) Proceeds from the sale or lease of unneeded facilities provided that nothing in this section shall be construed to have any of the following effects:
(1)CA Education Code § 17245(b)(1) To terminate, delay, or otherwise interrupt the schedule of regular repayments for the district’s obligations to the state.
(2)CA Education Code § 17245(b)(2) To relieve the district from any obligation to the state, except to the degree that the district may retain that portion of the proceeds from the sale or lease of unneeded facilities necessary to construct facilities pursuant to this section.
(3)CA Education Code § 17245(b)(3) To permit the district to retain any proceeds otherwise owing to the state from the lease or sale of unneeded facilities in excess of the amount necessary to construct facilities pursuant to this section.