Cal. Code Regs. tit. 2 § 1859.74.5

Current through Register 2024 Notice Reg. No. 24, June 14, 2024
Section 1859.74.5 - New Construction Additional Grant for District-Owned Site Acquisition Cost
(a) As an alternative to site acquisition funding provided by Sections 1859.74, 1859.74.2, 1859.74.3 and 1859.74.4, the Board shall provide an additional grant, in addition to the funding provided by Subdivision (a) of Education Code Section 17072.10 and Sections 1859.71 and 1859.71.1 for one half of the value of the district-owned site as determined in (b) provided all the following criteria are met:
(1) The site has been owned by the applicant district for a period of at least five years from the date the Approved Application is received by the OPSC. The district may demonstrate ownership of the site by any of the following:
(A) A grant deed.
(B) Escrow closing statement.
(C) Order of immediate possession.
(D) Other evidence satisfactory to the Board.
(2) The district-owned site was not purchased with funds made available from the LPP, the SFP or Proposition 1A.
(3) The district-owned site has been productively used by the applicant district for the entire five-year period immediately preceding the date the Approved Application is submitted to the OPSC for any of the following:
(A) The applicant's district administrative facility.
(B) A childcare or preschool program operated by the applicant district.
(C) An adult education program operated by the applicant district.
(D) Any other non-school productive use as determined by the Board.
(4) At least 75 percent of the useable acres of the district-owned site contained buildings and/or General Site Development that was used for the entire five year period for the qualifying purpose identified in (a)(3).
(5) The CDE has determined that the district-owned site is not otherwise available as a school site.
(6) The district has completed a cost benefit analysis as described in Section 1859.74.6 which indicates the current estimated value of the district-owned site is less than the current estimated value of an alternative site in the district.
(7) The district-owned site is approvable by the CDE for school purposes.

If all the criteria in items (a)(1) through (a)(7) are met, the OPSC will recommend to the Board that it make a finding that the non-school function on the site must be discontinued or relocated in order to utilize the site as a school site.

A district may request the Board make a finding that the non-school function on the district-owned site must be discontinued or relocated in advance of submittal of a funding application provided it meets all the criteria in (a).

(b) The value of the district-owned site shall be the sum of all the following:
(1) The value of the district-owned site determined by an appraisal made or updated no more than six months prior to submittal of the Approved Application to the OPSC. The appraisal shall include any buildings on the site and shall be made using the guidelines in Section 1859.74.1.
(2) The approved relocation expense of the district-owned site that conform to Title 25, California Code of Regulations, Section 6000, et seq. The reasonable and necessary relocation costs for purchasing fixtures and equipment, personal property, new machinery/equipment and the installation of any improvements at the replacement residence or business location may be included as relocation assistance. Do not include relocation expenses applicable to the relocation of district personnel, district buildings/furnishings or district equipment.
(3) Four percent of the appraised value determined in (b)(1), but not less than $50,000. This amount shall provide an allowance for appraisals, escrow, survey, site testing, CDE review/approvals and the preparation of the POESA and the PEA.
(4) The estimated DTSC costs for review, approval, and oversight of the POESA and the PEA applicable to the district-owned site.

The amounts above shall be reduced, on a prorated basis, by the percentage of any excess acreage of the district-owned site that exceeds the master plan site acreage approved by the CDE.

If the acreage of the district-owned site is less than the size recommended by the CDE for the master planned project capacity and the district plans on acquiring additional acreage as part of the project, the additional acreage, up to the CDE recommended site size, may be funded under the provisions of Section 1859.74.

Cal. Code Regs. Tit. 2, § 1859.74.5

1. New section filed 2-6-2003; operative 2-6-2003 pursuant to Government Code section 11343.4 (Register 2003, No. 6).
2. Amendment of subsection (a)(3) filed 11-4-2013; operative 1-1-2014 (Register 2013, No. 45).

Note: Authority cited: Section 17070.35, Education Code. Reference: Sections 17072.12 and 17251, Education Code.


1. New section filed 2-6-2003; operative 2-6-2003 pursuant to Government Code section 11343.4 (Register 2003, No. 6).
2. Amendment of subsection (a)(3) filed 11-4-2013; operative 1-1-2014 (Register 2013, No. 45).