Tag Archives: Routine Restricted Maintenance Account

Facility Planners Meeting Update – June 2016

June 1, 2016

By CASH Staff

CASH_Logo_Web_Proof3 State Budget May Revision

K-12 School Facility Emergency Repair Revolving Loan Program

As CASH has previously reported, the Governor’s 2016-17 May Revision includes the K-12 School Facility Emergency Repair Revolving Loan Program which would provide $100 million in one-time Proposition 98 funds for bridge loans to school districts to address imminent emergency health and safety facilities repairs. School districts that receive a loan through this program would have the option of paying the loan off in full without interest within one year or having the Superintendent of Public Instruction (SPI) structure a longer-term low interest loan. As loans are repaid, funds would be returned to the program and made available for emergency repairs at other sites.

In light of Budget Flexibility, the elimination of the Deferred Maintenance Program (DMP) under the LCAP, and conclusion of the Emergency Repair Program (ERP), state support for school maintenance has essentially been eliminated. Because health and safety are cornerstone priorities for our organization, CASH supported (with amendments to assist small rural school districts), the K-12 School Facility Emergency Repair Revolving Loan Program as a bridge to a more permanent solution to funding adequate school maintenance, though we do note that this loan program should be a floor, not a ceiling, with regard to support for school maintenance.

On May 17 and 18 the Senate Budget Subcommittee #1 on Education reviewed the proposed May Revision and voted to reject the proposal 2-1, arguing that changes to the facilities program should be made in the context of whether or not a statewide bond for school facilities passes in November, and that there are concerns about, “…the use of Proposition 98 for this purpose…” The Assembly Budget Subcommittee on Education also rejected this item. The Legislative Analysts’ Office (LAO) and the California Teachers Association (CTA) opposed the program. The Department of Finance (DOF), the California Department of Education (CDE), and CASH testified in support. It is not expected that this program will be included on the Budget Conference Committee agenda.

For the complete June 2016 Facility Planners Meeting Update, please click here.

Quarterly Message from the Chair

December 4, 2015

It has been an exciting few months as Chair of the organization. All of the energy and excitement surrounding qualifying the State School Bond Initiative for the November 7, 2016, general election ballot, and now transitioning to campaigning, has reminded me that C.A.S.H. has the strength of our members to make the bond measure succeed. Continue reading →

C.A.S.H. July Facility Planners Update

July 1, 2015

Facility Planners Meeting

State School Bond Efforts
Efforts in the Legislature
Efforts on a state school bond have taken a backseat to other priorities in the Legislature, which does not need to act until next year to place a bond on the November 2016 ballot.

Only one of the three main bond bill vehicles met recent legislative deadlines to make it out of Appropriations Committee and to the floor. SB 114 (Liu) was passed out of Senate Appropriations Committee without the addition of a specific dollar amount; however this bill Continue reading →

Governor Signs Budget, Changes RRMA Contribution Requirements

06/25/15

On Wednesday, June 24, 2015, the Governor signed the 2015-16 Budget Act and accompanying trailer bills to implement the budget with very little fanfare. A negotiated deal between legislative leadership and the Governor was announced last Tuesday, June 16, one day after the Legislature approved its initial budget package. The Legislature passed modifications to the first budget bill and most of the accompanying trailer bills on Friday, June 19. The main budget bills are AB 93 and SB 97, and education trailer bills include AB 104, the K-12 omnibus bill, and SB 78, which makes mainly technical adjustments to the Local Control Funding Formula. Continue reading →

Approved Budget Includes Phase-In of 3% Routine Restricted Maintenance Contribution

06/19/15

On Tuesday, June 16, the Governor and Legislature reached an agreement to finalize the State Budget and on Friday, June 19, the Legislature approved trailer bill AB 104, to enact key education portions of the budget. This agreement does not make any significant changes to the funding amounts for facilities items that we reported to you on Monday, June 15. Continue reading →

Legislature Passes Budget – Implications for School Facilities

06/15/15

Today the Legislature passed the FY 2015-16 Budget Act and a handful of accompanying trailer bills in order to meet the June 15 constitutional deadline. Negotiations continue between the Governor and the Legislature to finalize a deal on the budget. Today, the Legislature voted to approve the main budget bill, AB 93, as well as four trailer bills to implement various provisions of the budget. Further action will be required for the Legislature to approve additional budget legislation, including the education trailer bill. Continue reading →

Message from the Chair – May 2015

05/28/15

Initiative Signature Gathering on Track, Preparing for State Water Restrictions and Legislation

In last month’s Message from the Chair, I focused on two critical issues for the school facilities community: C.A.S.H.’s Californians for Quality Schools (CQS) State School Bond Initiative, and the Governor’s Executive Order B-29-15 regarding mandatory state water restrictions. In this month’s Message, I will update you on both of these key issues, as well as provide information about the Governor’s May Revision Budget and the status of school bond legislation. Continue reading →

Budget Subcommittees Approve Plan to Delay the Return of Full Maintenance Funding

05/22/15

Under existing law, school districts that participate in New Construction and Modernization programs are required to set aside at least 3% of their annual general fund budget for routine maintenance, for 20 years after receiving state funds. Under Budget Flexibility commencing in 2008-09, this requirement was suspended, but is set to return in 2015-16. Predictably, the result was that school maintenance budgets were the first to be cut and the last to be restored, if they have been restored at all. The Governor’s 2015-16 January State Budget and Proposed May Revision both include the return of the RRMA contribution in 2015-16. Continue reading →

Senate Holds Joint Informational Hearing on School Facilities

February 19, 2015

On Wednesday, February 18^th the Senate Education and Senate Budget Subcommittee #1 on Education held a joint informational hearing on school facilities.

The hearing began with Bruce Hancock, former Assistant Executive Officer of the State Allocation Board, and Bill Savidge, the current Assistant Executive Officer of the State Allocation Board, providing a history of the School Facility Program (SFP) and discussion of current needs to establish a context for discussion.

Continue reading →

Message From the Chair – February 2015

February 10, 2015

joedixon “What Role, if Any, Should the State Play in the Future of School Facilities?”

~~Governor Edmund G. Brown

In my previous Special Message from the Chair, I announced that C.A.S.H. formed the Californians for Quality Schools (CQS) committee, and filed a ballot initiative with the State’s Attorney General’s Office to place a $9 billion K-14 school bond on the November 2016 ballot. C.A.S.H. continues to vigorously pursue this pathway to maintain the successful state and local partnership that has allowed schools to meet their new construction and modernization needs since 1998. As you will recall, the Governor’s 2015-16 State Budget proposes a significantly reduced state role in school facilities, and does not include a state bond or state funding for the current pipeline.