Bill Text: CA SB765 | 2017-2018 | Regular Session | Amended

California Senate Bill 765 (Prior Session Legislation)

NOTE: There are more recent revisions of this legislation. Read Latest Draft

Bill Title: Planning and zoning: housing.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2018-09-27 - Chaptered by Secretary of State. Chapter 840, Statutes of 2018. [SB765 Detail]

Download: California-2017-SB765-Amended.html

Amended IN Senate March 29, 2017

CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Senate Bill

No. 765

Introduced by Senator Wiener

February 17, 2017

~~An act to amend Section 33112 of the Education Code, relating to the Superintendent of Public Instruction.~~ An act to amend Sections 17457.5, 17516, and 17536 of, and to add Section 17463.5 to, the Education Code, relating to school facilities.

LEGISLATIVE COUNSEL'S DIGEST

SB 765, as amended, Wiener. ~~Superintendent of Public Instruction: powers and duties.~~ School facilities: surplus real property: charter schools.

(1) Existing law requires the governing board of a school district seeking to sell or lease real property designed to provide direct instruction or instructional support that the governing board deems to be surplus property to first provide a written offer to sell or lease that property to any charter school that has submitted a written request to the school district to be notified of surplus real property offered by the school district for sale or lease, as specified. Existing law provides that a school district selling or leasing surplus real property is not required to offer that property to a charter school pursuant to this provision on or after July 1, 2016. Existing law also requires that the construction of a school building, as defined, on property purchased by a charter school pursuant to this provision comply with the design and construction requirements of the Field Act, as specified.
Existing law, the Teacher Housing Act of 2016, authorizes a school district to establish and implement programs, as provided, that address the housing needs of teachers and school district employees who face challenges in securing affordable housing.
This bill would exempt from the requirement to first provide a written offer to the above-specified charter schools the governing board of a school district seeking to sell or lease surplus property intended to be used in accordance with the Teacher Housing Act of 2016 in a county with a Traditional Housing Affordability Index of 20% or less. The bill would delete the language specifying that the real property deemed to be surplus real property must be designed to provide direct instruction or instructional support. The bill would also delete the language providing that a school district selling or leasing surplus real property is not required to offer that property to a charter school pursuant to this provision on or after July 1, 2016. The bill would also provide that the construction of a school building on property purchased by a charter school pursuant to this provision could, at the discretion of the charter school, comply with either the design and construction requirements of the Field Act or with specified provisions of the California Building Standards Code, as prescribed.
This bill would authorize a school district to deposit the proceeds from the lease or sale of surplus real property, together with any personal property located on the property, leased or purchased by a charter school, into the general fund of the school district. The bill would also authorize the school district to use the proceeds, as defined, for any one-time general fund purpose, as specified.
(2) Existing law authorizes a school district to enter into leases and agreements relating to real property and buildings to be used jointly by the school district and any private person, firm, local governmental agency, or corporation, as specified. Existing law also requires that, before the governing board of a school district enters into a lease or agreement pursuant to this provision, it shall own a site upon which the building to be used by the school district and the private person, firm, local governmental agency, or corporation may be constructed, as specified.
This bill would instead require that, before the governing board of a school district enters into a lease or agreement pursuant to this provision, it shall first offer to lease or sell the real property or buildings to a charter school, as specified, except when the property is intended to be used in accordance with the Teacher Housing Act of 2016 in a county with a Traditional Housing Affordability Index of 20% or less.
(3) Existing law authorizes the governing board of a school district to exchange any of its real property for the real property of another person or private business firm, as specified.
This bill would require the governing board of a school district to first offer to lease or sell the real property it is proposing to exchange to a charter school, as specified, except when the real property is intended to be used in accordance with the Teacher Housing Act of 2016 in a county with a Traditional Housing Affordability Index of 20% or less.
~~Existing law requires the Superintendent of Public Instruction to perform certain duties, including, among others, the duty of superintending the schools of this state.~~
~~This bill would make nonsubstantive changes to these provisions.~~

Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO

The people of the State of California do enact as follows:

SECTION 1.

Section 17457.5 of the Education Code is amended to read:

17457.5.

(a) Notwithstanding Article 8 (commencing with Section 54220) of Chapter 5 of Part 1 of Division 2 of Title 5 of the Government Code, except when surplus property is intended to be used in accordance with Part 14 (commencing with Section 53570) of Division 31 of the Health and Safety Code in a county with a Traditional Housing Affordability Index of 20 percent or less, the governing board of a school district seeking to sell or lease real property ~~designed to provide direct instruction or instructional support~~ it deems to be surplus property shall first offer that property for sale or lease to any charter school that, at the time of the offer, has projections of at least 80 units of in-district average daily attendance for the following fiscal year, and has submitted a written request to the school district to be notified of surplus property offered for sale or lease by the school district, pursuant to the following conditions:

(1) The real property sold or leased shall be used by the charter school exclusively to provide direct instruction or instructional support.

(2) If the charter school purchased real property pursuant to this section and fails to comply with paragraph (1), or otherwise desires to dispose of the real property, all of the following shall apply:

(A) The charter school shall immediately offer that real property for sale to the school district that previously owned the property. The charter school shall comply, in that regard, with all requirements under this section that would otherwise apply to a school district.

(B) If the school district does not desire to purchase that real property from the charter school, the school district shall furnish a list of charter schools that have requested notification of surplus property pursuant to subdivision (a). The charter school that owns the real property shall offer that real property for sale to the charter schools on this list and comply with all requirements under this section that would otherwise apply to a school district. In the event the charter school selling property receives more than one offer, the charter school may determine to which charter school it will sell the property. The charter school purchasing the real property shall comply with all provisions of this section.

(C) If that real property remains unsold pursuant to subparagraph (A) or (B), the charter school selling the real property shall offer that property for sale pursuant to Article 5 (commencing with Section 17485). The charter school shall comply with all requirements under that article that would otherwise apply to a school district, except that a sale price computed under subdivision (a) of Section 17491 shall be based upon the cost of acquisition incurred by the school district that sold the property pursuant to this subdivision, rather than that incurred by the charter school.

(D) If all or part of the real property remains unsold pursuant to subparagraph (C), the charter school selling that real property shall dispose of the remaining property pursuant to subdivisions (c), (d), (e), and (f) of Section 17464. References in Section 17464 to a school district shall mean the charter school selling the real property.

(3) In the event, alternatively, of a lease of real property pursuant to this subdivision, the failure by the charter school to comply with paragraph (1) shall constitute a breach of the lease, entitling the school district to immediate possession of the real property, in addition to any damages to which the school district may be entitled under the lease agreement.

(4) The school district, and each of the entities authorized to receive offers of sale pursuant to this article or Article 5 (commencing with Section 17485), has standing to enforce the conditions set forth in this subdivision, and shall be entitled to the payment of reasonable attorney’s fees incurred as a prevailing party in any action or proceeding brought to enforce any of those conditions.

(b) A school district seeking to sell or lease real property ~~designed to provide direct instruction or instructional support~~ it deems to be surplus property shall provide a written offer to any charter school that, at the time of the offer, has projections of at least 80 units of in-district average daily attendance for the following fiscal year, and has submitted a written request to the school district to be notified of surplus property offered for sale or lease by the school district. A charter school desiring to purchase or lease the property shall, within 60 days after a written offer is received, notify the school district of its intent to purchase or lease the property. In the event more than one charter school notifies the school district of their intent to purchase or lease the property, the governing board of the school district may determine to which charter school to sell or lease the property.

(c) The price at which property described in this section is sold pursuant to this section shall not exceed the school district’s cost of acquisition, adjusted by a factor equivalent to the percentage increase or decrease in the cost of living from the date of purchase to the year in which the offer of sale is made, plus the cost of any school facilities construction undertaken on the property by the school district since its acquisition of the land, adjusted by a factor equivalent to the increase or decrease in the statewide cost index for class B construction, as annually determined by the State Allocation Board pursuant to Section 17072.10, from the year the improvement is completed to the year in which the sale is made. In the event a statewide cost index for class B construction is not available, the school district shall use a factor equal to the average statewide cost index for class B construction for the preceding 10 calendar years. In no event shall the price be less than 25 percent of the fair market value of the property described in this section or less than the amount necessary to retire the share of local bonded indebtedness plus the amount of the original cost of the approved state aid applications on the property. The percentage of annual increase or decrease in the cost of living shall be the amount shown for January 1 of the applicable year by the then current Bureau of Labor Statistics Consumers Price Index for the area in which the schoolsite is located.

(d) Land that is leased pursuant to this section shall be leased at an annual rate of not more than 5 percent of the maximum sales price determined pursuant to subdivision (c), adjusted annually by a factor equivalent to the percentage increase or decrease in the cost of living for the immediately preceding year. The percentage of annual increase or decrease in the cost of living shall be the amount shown for January 1 of the applicable year by the then current Bureau of Labor Statistics Consumers Price Index for the area in which the schoolsite is located.

(e) The sale or lease of the real property of a school district, as authorized under subdivision (a), shall not occur until the school district advisory committee has held hearings pursuant to subdivision (c) of Section 17390.

(f) This section shall only apply to real property identified by a school district as surplus property after July 1, 2012. ~~A school district selling or leasing surplus property is not required to offer that property to a charter school pursuant to this section on or after July 1, 2016.~~

(g) (1) The construction of a school building, as defined in Section 17368, located on real property purchased by a charter school pursuant to this section shall comply, at the discretion of the charter school, with either the design and construction requirements pursuant to Article 3 (commencing with Section 17280) and Article 6 (commencing with Section 17365) or the California Building Standards Code (Part 2 (commencing with Section 101) of Title 24 of the California Code of Regulations), as adopted and enforced by the local building enforcement agency with jurisdiction over the area in which the charter school is located.
~~(g)~~

(2) The construction of a school building, as defined in Section 17368, located on real property purchased by a charter school pursuant to this section shall comply with the design and construction requirements pursuant to Article 3 (commencing with Section 17280) and Article 6 (commencing with Section 17365). The reconstruction or alteration of, or an addition to, a school building, as defined in Section 17368, located on real property purchased by a charter school pursuant to this section is required to ~~comply~~ comply, at the discretion of the charter school, with either the design and construction requirements pursuant to Article 3 (commencing with Section 17280) and Article 6 (commencing with Section 17365) only if the building complied with those sections on the date the real property was purchased by the charter ~~school.~~ school or the California Building Standards Code (Part 2 (commencing with Section 101) of Title 24 of the California Code of Regulations), as adopted and enforced by the local building enforcement agency with jurisdiction over the area in which the charter school is located.

(h) A charter school selling real property obtained pursuant to this section shall use the proceeds only for capital outlay, maintenance, and other facility-related costs.

SEC. 2.

Section 17463.5 is added to the Education Code, to read:

17463.5.
Notwithstanding any other law, a school district may deposit the proceeds from the lease or sale of surplus real property, together with any personal property located on the property, leased or purchased by a charter school, into the general fund of the school district, and may use the proceeds for any one-time general fund purpose. For purposes of this section, “proceeds” of the transaction means either of the following, as appropriate:
(a) The amount realized from the lease or sale of property, less reasonable expenses related to the lease or sale.
(b) For a transaction that does not result in a lump-sum payment of the proceeds of the transaction, the proceeds of the transaction shall be calculated as the net present value of the future cashflow generated by the transaction.

SEC. 3.

Section 17516 of the Education Code is amended to read:

17516.

(a) Before the governing board of a school district enters into a lease or agreement pursuant to this article, it shall first offer to lease or sell the real property and buildings to a charter school pursuant to Section 17457.5, except when the property is intended to be used in accordance with Part 14 (commencing with Section 53570) of Division 31 of the Health and Safety Code in a county with a Traditional Housing Affordability Index of 20 percent or less. The school district shall own a site upon which a building to be used by the school district and private person, firm, local governmental agency, as defined in paragraph (3) of subdivision (f) of Section 4420 of the Government Code, or corporation may be constructed and shall have complied with the provisions of law relating to the selection and approval of sites.

(b) This section shall not apply to any building to be acquired by purchase pursuant to Article 2 (commencing with Section 17110) of Chapter 16 15 of Part 10.

SEC. 4.

Section 17536 of the Education Code is amended to read:

17536.

The governing board of a school district may exchange any of its real property for real property of another person or private business ~~firm.~~ firm, but shall first offer to lease or sell the real property to a charter school pursuant to Section 17457.5, except when the real property is intended to be used in accordance with Part 14 (commencing with Section 53570) of Division 31 of the Health and Safety Code in a county with a Traditional Housing Affordability Index of 20 percent or less. Any exchange shall be upon such terms and conditions as the parties thereto may agree and may be entered into without complying with any provisions in this code except as provided in this article.

SECTION 1.Section 33112 of the Education Code is amended to read:
33112.
~~The Superintendent shall:~~
~~(a)Superintend the schools of this state.~~
(b)Prepare, have printed, and furnish to teachers and to all officers charged with the administration of the laws relating to the public schools the blank forms and books necessary to the discharge of their duties, including blank teachers’ certificates to be used by county and city and county boards of education.
~~(c)Authenticate with his or her official seal all drafts or orders drawn by him or her, and all papers and writings issued from his or her office.~~
~~(d)Have bound, at the state bindery, all valuable school reports, journals, and documents in his or her office, or received by him or her.~~
(e)Deliver over, at the expiration of his or her term of office, on demand, to his or her successor, all property, books, documents, maps, records, reports, and other papers belonging to his or her office, or which may have been received by him or her for the use of his or her office.
(f)Designate and appoint, or terminate the designation and appointment of, any officer or employee of the department to have the powers and liabilities of a deputy, including designation pursuant to Section 7.9 of the Government Code, which appointment and termination of appointment shall be effective when filed in writing in the office of the Secretary of State.
~~(g)Annually inform the governing boards of school districts, in a manner prescribed by the Superintendent, of the provisions of Section 60510.5.~~