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CASH Alert: SAB Update

The State Allocation Board (SAB) held a meeting to approve School Facility Program General Fund Apportionments worth $142,872,173, and California Preschool, Transitional Kindergarten and Full-Day Kindergarten Facilities Grant Program Apportionments worth $346,557,574. The Board also approved an extension of the grant for general site development, and an extension of fund release and completion deadlines for projects under the third and fourth rounds of the California Preschool, Transitional Kindergarten and Full-Day Kindergarten Facilities Grant Program. At the start of the meeting, SAB Executive Officer Lisa Silverman announced her intention to retire effective December 1st. Ms. Silverman has been the longest serving Executive Officer in SAB history, and only the second woman to hold that post. CASH thanks Ms. Silverman for her dedication and partnership in providing California’s public school students with quality school facilities.

Executive Officer Statement

SAB Executive Officer Lisa Silverman delivered the following information:

Fall Bond Proceeds—

  • OPSC staff anticipates receiving proceeds from the Fall General Obligation Bond sale that occurred earlier this month and is preparing Priority Funding Apportionments of approximately $171 million to the State Allocation Board (Board) at the November 29, 2023 Board meeting.

 

Second Round Apportionments for California Preschool, Transitional Kindergarten & Full-Day Kindergarten—

  • The second filing round for the expanded California Preschool, Transitional Kindergarten and Full-Day Kindergarten Facilities Grant Program occurred from February 1, 2023, through March 2, 2023. OPSC received a total of 446 applications from 208 applicants requesting an estimated $1,479.2 million. There is approximately $367 million available to allocate to eligible applications in this round.
  • Most of the funding requests from this round are presented in today’s agenda for the Board’s consideration. OPSC intends to present the remaining fund requests from this round at the November meeting.

 

Action Items

Additional Grant for General Site Development—

  • The Board approved a two-year extension of the grant for general site development. This continues the series of single and multi-year extensions authorized by the Board since 2006. The supplemental grant for General Site Development includes, but is not limited to, finish grading, on-site hard surfaced areas for foot traffic, driveways, walkways, outdoor instructional play facilities, permanent playground equipment, athletic fields, and landscaping.

 

Proposed Amendments to the California Preschool, Transitional Kindergarten and Full-Day Kindergarten Facilities Grant Program—

  • The Board approved policy recommendations to modify funding deadlines and requirements for projects Apportioned during the third and fourth funding rounds of the California Preschool, Transitional Kindergarten and Full-Day Kindergarten Facilities Grant Program, and proposed conforming regulatory amendments. This change is necessary because the program, as expanded in the third and fourth rounds, encountered increased complexity and barriers for applicants to meet existing deadlines. The extended deadlines will better align the Program with the timelines used for School Facility Program projects.
  • The approved extensions to Program deadlines apply to Apportioned applications received during the third funding round (applications received from April 1, 2022, through April 30, 2022) as well as the Apportioned applications that were received during the fourth funding round (applications received from February 1, 2023, through March 2, 2023).
  • Extensions and amendments include:
    • Fund Release Deadline: Amend the current deadline that school districts must submit the required plan approvals and Form SAB 70-02 for full fund release from 180 days (projects without Advanced Release of Funds) or 12 months (projects with Advanced Release of Funds) from the first Apportionment to 18 months from the first Apportionment.
    • Project Completion Deadline: Amend the current deadline by which school districts must meet project completion requirements and submit an Expenditure Report (Form SAB 70-03) from one year from the date of the final fund release to three years from the date of the first Apportionment.
    • Provide an option for school districts to submit other evidence in writing to the Board demonstrating that substantial progress has been made on the project if they are unable to submit a request for full fund release within 18 months.  However, in no instance will a district have more than a combined three years from the first Apportionment to request the release of funds and complete the project.
    • CASH thanks the Office of Public School Construction and the State Allocation Board for this change, which will help ensure the success of a vital program to support our youngest learners.

 

California Preschool, Transitional Kindergarten and Full-Day Kindergarten Facilities Grant Program Apportionments—

  • The Board approved 84 projects totaling $346,557,574 for Apportionment for the Program grants, as shown in Attachment B (beginning on page 230 of the SAB Agenda with Supporting Documentation). OPSC staff notes that the remaining applications that can be funded within available program funding authority will be presented at a future Board meeting.

 

School Facility Program Workload and Approvals

Today’s Consent agenda includes a list of SFP General Fund Apportionments worth $142,872,173.

The list of Unfunded Approvals, dated August 23, 2023, contains projects worth $179,232,506.

The SFP Workload list, dated August 31, 2023, contains projects worth the following:

New Construction & Charter

$ 1,059,575,359

Modernization

$ 966,937,177

Total

$ 2,026,512,536

The workload list for the California Preschool, Transitional Kindergarten and Full-Day Kindergarten Facilities Grant Program, dated August 31, 2023, contains projects worth $1,069,284,460.

The Acknowledged List, dated August 31, 2023, contains projects worth the following:

New Construction

$ 929,627,375

Modernization

$ 1,491,484,995

Total

$ 2,421,112,370

The October and December 2023 SAB meetings have been cancelled. The next SAB meeting will take place on Wednesday, November 29, 2023, at 1 p.m. The location of the meeting will be announced at a later date.

~Nancy Chaires Espinoza, CASH Legislative Advocate