15700-15754

EDUCATION CODE
SECTION 15700-15754




15700.  The Legislature hereby declares that it is in the interest
of the state and of the people thereof for the state to aid school
districts of the state in providing necessary and adequate school
sites and buildings for the pupils of the public school system, the
system being a matter of general concern inasmuch as the education of
the children of the state is an obligation and function of the
state.
   In adopting this act, the Legislature considers that the great
need in school construction is for adequate classrooms for the
education of the pupils of the public school system. It is the intent
of the Legislature to first satisfy this primary need to the
greatest extent possible before providing additional educational
facilities, regardless of how desirable such additional facilities
may be. To the end that school classrooms may be made available at
once and to all school districts in need of such classrooms,
provisions for other needed school facilities is necessarily
subordinated.



15701.  As used in this chapter:
   (a) "Board" means the State Allocation Board.
   (b) "Director" means the Director of Education for kindergarten
and grades 1 to 12, inclusive.
   (c) "Project" means the purposes for which a school district has
applied for an apportionment under this chapter.
   (d) "Grade level maintained by a district" means either of the
following:
   (1) The kindergarten, if any, and grades 1 to 6, inclusive, or
grades 1 to 8, inclusive, maintained by an elementary school district
or a unified school district.
   (2) Grades 7 to 12, inclusive, grades 9 to 12, inclusive, or
grades 7 to 10, inclusive, maintained by a high school district or
unified school district.
   (e) "Apportionment" means an apportionment made under this chapter
unless the context otherwise requires.



15702.  The Director of General Services shall administer this
chapter and shall provide any assistance to the board that it may
require.


15703.  The State Allocation Board is continued in existence for the
purposes of this chapter. The members of the board and the Members
of the Legislature meeting with the board in an advisory capacity
shall receive no compensation for their services under this chapter
but shall be reimbursed for their actual and necessary expenses
incurred in connection with the performance of their duties
hereunder, to be paid out of the Public School Building Loan Fund.



15704.  The board by the adoption of rules shall give priority in
allocating funds to districts to those districts where the children
will benefit most from additional schoolhouse facilities. This
priority shall be based on acuteness of overcrowding, on sudden
growth in attendance, on amount of local tax funds expended for
housing of a character within the purposes of this chapter, and on
the time the district's application has been ready for allotment. The
board may make exceptions when it determines that it will be for the
benefit of the children affected.
   In adopting rules the board may provide for the granting of
priority points to govern the allocation according to the following
schedule:
   (a) Two priority points may be granted for each percent of the
latest computed average daily attendance of the district that is
inadequately housed. The number of inadequately housed pupils is the
latest computed average daily attendance of the district less the sum
of both of the following:
   (1) Any classrooms up to a total of two, multiplied by 25.
   (2) Any classrooms in excess of two, multiplied by 33.
   The term "classrooms" for the purposes of this computation shall
mean any school classrooms, temporary and permanent, determined by
the State Department of Education to be safely usable.
   (b) One priority point may be granted for each 5 percent of the
latest computed average daily attendance of the district that
represents an increase over the average daily attendance for the
fifth preceding school year.
   (c) One point of priority may be granted for each one-twentieth of
1 percent of the assessed valuation of the district, collected in
taxes and expended for school housing within the scope of this
chapter since July 1, 1944. Expenditure of the proceeds of the sale
of bonds shall not be counted but expenditure for interest and
retirement of bonds shall be counted.
   (d) Not more than one point of priority shall be allowed for each
calendar month that the completed application of the district has
awaited funds.
   If any computation of priority points made under this section
results in a fraction of a point, that fraction shall be disregarded
and the number of priority points shall be taken as the next lowest
whole number.
   These priorities shall be recomputed at least semiannually when
funds are available for allocation, on the respective periods of time
next preceding the date of computation. The State Department of
Education shall assist and cooperate with the board in determining
priority ratings.


15705.  In addition to any other powers and duties as are granted
the board by this chapter, the board shall do each of the following:
   (1) Establish any qualifications not in conflict with other
provisions of this chapter that it deems will best serve the purposes
of this chapter for determining the eligibility of school districts
to apportionments of funds under this chapter.
   (2) Establish any procedures and policies in connection with the
administration of, and the expenditure of funds made available for
the purpose of, this chapter that it deems necessary and which are
not in conflict with the powers and duties of the State Department of
Education or of the director granted or imposed by this chapter.
   (3) Adopt any rules and regulations for the administration of this
chapter, requiring any procedure, forms, and information, that it
may deem necessary.


15706.  Apportionment from the Public School Building Loan Fund to
school districts shall be made in the manner and subject to the
conditions herein provided and in accordance with policies adopted by
the board, for all of the following purposes:
   (a) The purchase and improvement of schoolsites which have been
approved by the State Department of Education.
   (b) The purchase of desks, tables, chairs, and built-in or fixed
equipment, as listed in Part III of the California School Accounting
Manual contained in the Bulletin of the California State Department
of Education, Volume XIII, No. 2, June 1944, or as amended or
revised.
   (c) The planning and construction, reconstruction, alteration of,
and addition to, school buildings for any facilities that are
approved by the State Department of Education as essential, all of
which purposes are hereby declared to be, and are, public works.
   Where a district is required by a contract entered into between
itself and a contractor, to obtain at its own expense insurance
covering risks incurred during any construction, reconstruction or
alteration for which an apportionment has been made, the costs
thereof may be paid either directly, or by way of reimbursement, to
the district out of the apportionment, or out of any apportionment
made specifically covering the insurance. However, in other respects
the apportionments are eligible for payment under this chapter.



15707.  In addition to the purposes for which apportionments may be
made to school districts under Section 15706, apportionments may also
be made to school districts for the construction, repair, attachment
or development of offsite facilities, utilities or improvements
which the board determines are necessary to the proper operation or
functioning of the school facilities for which apportionments are
made, all of which purposes are hereby declared to be, and are,
public works.



15708.  In making application for, and in expending, apportionments
of funds under this chapter, a school district acts as an agent of
the state and all sites purchased and improved, all equipment
purchased, and all buildings constructed, reconstructed, altered, or
added to through the expenditure of funds apportioned under this
chapter, are declared to be, and are, the property of the state. Upon
the payment by the district of the amounts required to be paid by it
to the state under this chapter the board shall, in the name of the
state, convey the property to the district.



15709.  The board may require school districts to insure for the
benefit of the state all sites, equipment, and buildings which are
under Section 15708 the property of the state, against any risks and
in any amounts that the board may deem necessary to protect the
interests of the state. No state funds apportioned under this chapter
shall be used to pay the premiums on said insurance.



15710.  Where a district is required by a contract entered into
between itself and a general construction contractor to obtain, at
its own expense, insurance covering risks incurred during any
construction for which an apportionment has been made, the cost
thereof may be paid directly to said district out of the Public
School Building Loan Fund.
   It is the intent and purpose of this section to provide for
reimbursement to school districts for any builders' risk insurance
that may have been furnished and paid for by the districts in
connection with approved apportionments from the Public School
Building Loan Fund from the time of the effective date of Chapter
1389 of the Statutes of 1949.
   The Legislature in adopting this section expressly recognizes that
eligible school districts in making provision for builders' risk
insurance during the period of construction of new buildings has
provided a saving for the taxpayers of the district, and also has
reduced the amount which otherwise would have been paid out of the
Public School Building Loan Fund to the district if the cost of the
builders' risk insurance had been borne by the contractor with the
district. For this reason the Legislature hereby finds, determines,
and declares that the adoption of this section having an effect
retroactive to the effective date of Chapter 1389 of the Statutes of
1949 is therefore lawful, proper, and represents the saving of public
funds for a lawful and public purpose.
   The Controller of the State of California is hereby authorized and
directed to cancel and annul any claims or demands against the
school district arising out of, or in any way connected with, claims
for reimbursement from the school districts to the Public School
Building Loan Fund arising out of the direct purchase of builders'
risk insurance on any construction by any school district under an
approved application by the board.


15712.  Funds apportioned to a school district under this chapter
for a project, remaining unencumbered or unexpended one year from the
date the application of the district for the apportionment was
approved, shall not be encumbered or expended except as provided in
this section.
   The governing board of the district shall notify the board of its
desire to encumber or expend the funds. The board shall immediately
request the State Department of Education to, and the department
shall, review the project for which apportionment was made. If the
State Department of Education finds that the conditions existing at
the time it approved the project for which the apportionment was made
have so changed that the needs of the district are less than
originally determined, it shall notify the board of its findings and
of the respects in which the project should accordingly be modified.
The board shall review the project and revise the project in any
manner that it deems necessary, subject to the provisions of Section
15727, and make any changes in the purposes for which the
apportionment may be expended that it deems necessary. The cost of
the project as revised by the board shall be computed in the manner
prescribed by Section 15713 and the excess, if any, of the amount
theretofore apportioned to the district over the computed cost of the
revised project shall be deducted by the board from the
apportionment made to the district. The board shall give notice of
its action, in writing, to the Controller, the governing board of the
district, and the county auditor and the county treasurer having
jurisdiction over the public school building fund of the district. If
the amount of the excess, or any portion thereof, has not been paid
to the district, the excess, or portion thereof, shall be made
available for apportionment to other districts. If the excess, or
portion thereof, has been paid to the district, it shall not be
encumbered or expended by the district and shall become due and
payable to the State of California. The governing board of the
district and the county treasurer shall pay that amount to the
Treasurer, out of the funds, and in the manner specified in Section
15752. The payment shall, on order of the Controller, be deposited in
the Public School Building Loan Fund in the State Treasury.
   It shall be the duty of the governing body and county treasurer to
make the payments to the Treasurer as provided in this section, and
it shall be the duty of the Controller to enforce the collection on
behalf of the state.
   This section does not authorize the board to increase any
apportionment made to a district.



15713.  Each school district which desires an apportionment for a
grade level maintained by it, shall submit through its governing
board to the board an application therefor in any form and number of
copies that the board shall prescribe. Each copy of the application
shall be accompanied by a statement of the estimated cost of the
project certified by an architect or structural engineer, and by
layout plans showing the entire project for which the district
desires an apportionment. Estimates of cost for new construction
appearing in an application shall not exceed typical current costs of
comparable new construction by school districts in the same area not
receiving or not eligible for apportionment under this chapter, as
determined by the Director of General Services, or if there has been
no new construction by districts in the area, the estimates of cost
shall not exceed the reasonable current cost of similar construction
in the area as determined by the Director of General Services.
Immediately upon receipt of an application in the prescribed form
accompanied by the required estimate of cost, a copy thereof shall be
transmitted by the board to the director and to the Director of
General Services.
   A district may at any time amend or supplement its application.
   The Director of General Services shall determine the school
district's financial ability to meet all or a portion of the cost of
the project and the amount which the district can contribute toward
the cost of the project out of its available funds, and shall submit
his report thereon to the board.
   The directors shall as promptly as possible prepare a report and
recommendation with respect to the application and refer the
application, report, and recommendation to the Director of General
Services, who shall, if he or she finds the documents to be in proper
form and otherwise sufficient, refer them to the board. If the
Director of General Services finds the documents to be lacking in any
respect as to any matter which is subject to the jurisdiction or
approval of the director or State Department of Education, he or she
shall refer them to the director who shall take any action that may
be necessary. The board shall, subject to the provisions of this
chapter approve or reject each application referred to it by the
Director of General Services. If the board approves of the
application, either in whole or in part, it shall, by a resolution
adopted by it, apportion to the district from the Public School
Building Loan Fund the amount applied for, or any portion thereof
that the board may deem appropriate. However, it may order that the
apportionment or any part thereof shall be paid in progressive
installments at the times and under the conditions that it may then
prescribe. This shall be known as a conditional apportionment and
shall become final only if the vote provided for in Section 15721 is
favorable and if bonds are authorized and sold in the amounts
prescribed by the board, and the proceeds of the bonds sold earmarked
for the project as approved. The conditional apportionment shall
remain effective for a period of nine months from the date of the
resolution of the board, and if it does not become a final
apportionment by the date, it shall become void and the money so
apportioned shall become again available for apportionment pursuant
to this chapter.
   The board may for any good cause that it shall determine, reduce
the amount of, or modify any provisions relating to, any contribution
required of a district under the terms of an apportionment, other
than any contribution required of the district under Section 15721
from the sale of bonds. However, the board may not, without the
consent of the district, increase the amount of any district
contribution under the terms of an apportionment, in the absence of
mistake arising from any source, or misrepresentation, concealment,
or omission, on the part of the district, intentional or otherwise.
The provisions of this paragraph shall be applicable to
apportionments heretofore or hereafter made.




15714.  When an apportionment has been made by the board to a school
district the board may, upon application of the governing board of
the district, authorize the governing board to transfer funds from
other authorized purposes if more than one purpose has been
authorized in the district by the board, or to make additional
apportionments to the district, or both, if the board determines that
additional apportionments or transfers are necessary to meet the
actual cost of the specific school plant facilities or sites for
which the original apportionment was made. An apportionment made
under this section shall be final if the original apportionment has
become final, otherwise it shall become final if and when the
original apportionment becomes final.
   All provisions of this chapter shall apply to apportionments made
under this section, except Sections 15713, 15721, 15722, 15725, and
15726 exclusive of the second paragraph of Section 15726 and any
other provisions that may relate to application and eligibility for
apportionments.



15715.  The board may approve, in whole or in part, an application
submitted by a school district under Section 15713 and in the amount,
not exceeding the amount applied for, that the board may deem
appropriate.
   The board may, upon approval of the application, in whole or in
part, and subsequently from time to time, make a conditional
apportionment or conditional apportionments not exceeding in the
aggregate the total amount determined by the board as aforesaid, to
the applicant school district from the Public School Building Loan
Fund for that portion or portions of the project that the board
determines the district is ready to proceed with. If the board has
approved an application and made an apportionment as to a portion or
portions of a project, the board may approve the remaining portion or
portions of the project and make an additional apportionment or
apportionments within two years after the original approval without
requiring a district to issue additional bonds.
   The total of the amounts of applications as approved by the board
under this section shall not, when added to all amounts apportioned
to school districts by the board under Section 15713, exceed 90
percent of the total amount of state school building bonds authorized
to be issued and sold by Section 2 of Article XVI of the
Constitution of the state.
   Except as otherwise provided in this section, all provisions of
this chapter relating to apportionments shall apply to apportionments
made under this section.
   Approval of an application under this section shall not be
construed as creating or implying any obligation, commitment or
promise on the part of the board or the state to make apportionments
under this chapter.



15716.  If, after a conditional apportionment has been made to a
school district, legal proceedings initiated prior or subsequent to
the making of the conditional apportionment prevent the taking,
within the period during which the conditional apportionment remains
effective under Section 15713, of the actions necessary to permit the
conditional apportionment to become final, the conditional
apportionment shall nevertheless remain effective for a period of
nine months from the date upon which the legal proceedings are
finally determined. The amount of the apportionment may be diminished
by the board after a second investigation at which the board shall
determine whether conditions existing at the time it approved the
project for which apportionment was made have so changed that the
needs of the district are less than originally determined and if so
the conditional apportionment shall be reduced by a corresponding
amount.


15717.  With respect to any apportionment made to a school district
prior to December 26, 1950, the board may, on the application of the
governing board of the district make additional apportionments to the
school district for the purchase of the furniture authorized by
Section 15706. An apportionment made under this section shall be
final if the original apportionment has become final; otherwise it
shall become final if and when the original apportionment becomes
final.
   All provisions of this chapter shall apply to apportionments made
under this section, except Sections 15713, 15721, 15722, 15725, and
15726, exclusive of the second paragraph of Section 15726, and any
other provisions that may relate to applications and eligibility for
apportionments.



15718.  The sum of two million dollars ($2,000,000) was by Chapter
13 of the Statutes of 1952 (First Extraordinary Session) made
available from the Public School Building Loan Fund for apportionment
by the board pursuant to this chapter, except as otherwise provided
by this section and to be transferred by the Controller as needed
into a separate account in the State School Building Fund which was
created in the State Treasury.
   Apportionments made under this section shall be available as
grants to those school districts to which apportionments have been
made under this chapter, prior to April 1, 1952, and only for the
amounts thereof as are in excess of the apportionments the voters of
the districts voted to accept and repay under Sections 15721, 15722,
and 15723.
   If and when the electors of districts receiving apportionments
under this section, vote to accept and repay additional amounts under
Sections 15721, 15722, and 15723, the board may make apportionments
under other sections of this chapter in substitution in whole or in
part of the grants made under this section.
   In the event the electors of the district fail to vote to accept
and repay the additional amounts or if apportionments covering the
amounts are not made under other sections of this chapter, beginning
in September 1953, and annually for nine years thereafter,
apportionments made to the districts from the State School Fund under
Sections 46304, 46305, and 92 or 41050, Sections 41330 to 41343,
inclusive, and Sections 41600 to 41972, inclusive, or any successor
thereof, shall be reduced by an amount equivalent to one-tenth of the
amount apportioned under this section. This section shall not be
applied so as to reduce any average daily attendance apportionment
below the constitutional minimum. During the year beginning September
1953, and each year thereafter in which the Controller determines
that the apportionment of any district is to be reduced as herein
provided, he or she shall deduct the total amount of the annual
repayment of each district in equal amounts from each installment of
the apportionments made to the district. The amount deducted shall,
on order of the Controller, be transferred from the State School
Building Fund to the General Fund at the time and for the purpose
provided in Section 15903.
   Notwithstanding any other law, taxes in the districts shall be
increased sufficiently to offset the amounts by which the average
daily attendance apportionments are reduced under this section. The
tax increases shall be made in the manner prescribed under Section
15742 of this chapter.
   Any amounts made available by this section which are not
apportioned by June 30, 1953, and any recovery by substitution of
apportionments made in accordance with this section shall be
transferred to the Public School Building Loan Fund.



15719.  No apportionment shall be made for new construction which
when added to the area of adequate school construction existing in
the applicant school district at the time of application, will
provide a total area of school building construction per pupil of the
estimated enrollment in excess of that computed under the following
schedule:

                                            Square
                                           feet per
      Type of school        Enrollment      pupil
  Elementary school
  comprising
  kindergarten and         300 or more        55
  grades 1
  to 6, inclusive.......
  Elementary school
  comprising               750 or more        75
  grades 7 and 8........
  Junior high school
  comprising
                           750 or more        75
  grades 7 and 9,
  inclusive.............
  Junior high school
  comprising
                           750 or more        75
  grades 7 to 10,
  inclusive.............
  High school
  comprising grades        750 or more        80
  7 to 12, inclusive....
  High school
  comprising grades        750 or more        80
  9 to 12, inclusive....
  High  school
  comprising
                           750 or more        80
  grades 10 to 12,
  inclusive.............

   The maximum total building areas per pupil allowed to applicants
having schools with smaller estimated enrollments than shown in the
above schedule shall be determined by the State Department of
Education, and shall be building areas to provide comparable
facilities to those enumerated above, and shall be the least building
area required to house adequately the estimated enrollment and the
normal instructional and other services.
   No estimate of enrollment made by an applicant for the purpose of
justifying an apportionment shall be made for a longer time than the
second fiscal year beyond the fiscal year in which an application is
made, and in no case shall be given effect unless approved by the
State Department of Education.



15721.  No apportionment to a school district shall become final
unless one of the following is satisfied:
   (a) The total amount of outstanding bonds of the district exceeds
95 percent of the maximum amount of bonds which the district could
have had outstanding under any law on the date the conditional
apportionment is made.
   (b) If the total amount of the bonds of the district outstanding
and unpaid is less than 95 percent of the amount of the bonds
permitted to be issued by the district, the amount of district bonds
outstanding is within twenty-five thousand dollars ($25,000) of the
total bond limit permitted, as of the date on which the conditional
apportionment is made. At the time the board makes a conditional
apportionment pursuant to Section 15713, it shall determine what
portion of the total amount of bonds which a district is permitted to
issue and sell by law shall be issued and sold by the district, the
proceeds of which shall be applied toward the cost of the project for
which the apportionment is sought. The portion so determined by the
board shall be not less than the minimum amount required for the
apportionment to become final under this section. Any apportionment
made by the board pursuant to Section 15713 shall be conditioned upon
the approval and sale of the bonds by the district.
   No apportionment to a district shall become final unless, at an
election called by the governing board of the district, two-thirds of
the qualified electors of the district voting thereat have
authorized the governing board of the district to accept, expend, and
repay, as provided in this chapter, an apportionment under the
provisions of this chapter. The election shall be combined with and
held at the same time as the bond election to authorize the amount of
bonds required by the board, if any, and shall be called, held, and
conducted in the same manner as are elections to authorize the
issuance of district bonds, except that the ballot, in addition to
the bond proposition, shall contain substantially the following
words:

   "Shall the governing board of the ____ school district be
authorized to accept and expend an apportionment in an amount not to
exceed ____ dollars ($____) from the State of California under and
subject to the provisions of Chapter 6 (commencing with Section
15700) of Part 10 of Division 1 of Title 1 of the Education Code
which amount is subject to repayment as provided by said chapter  Yes
__ No __."



15722.  Immediately after the result of the election has been
determined, the county superintendent of schools shall make a
certificate in duplicate stating whether the bonds have been
authorized in the amount prescribed by the board and whether the
school district has authorized the acceptance and expenditure of the
apportionment. One copy of the certificate shall be sent to the board
and one copy to the Controller. When the bonds authorized have been
issued and sold and the proceeds thereof made available for the
purposes of the application, the county superintendent of schools
shall also certify this fact to the board and the Controller. Upon
the receipt by the board of the certificate stating that the bonds
have been issued and sold and the proceeds thereof made available for
the purposes of the application, the apportionment shall become
final.


15723.  The election by a school district upon the acceptance,
expenditure, and repayment of an apportionment prescribed by Section
15721 may be called and held either before or after the making of an
apportionment.
   All elections held prior to October 13, 1950, whether before or
after the making of an apportionment, are hereby validated and
confirmed if otherwise called and held pursuant to law.




15724.  Whenever a conditional apportionment has been made, and the
county auditor has inadvertently and erroneously included in his
certification of the outstanding bonded indebtedness of the school
district the bonded indebtedness of another school district having
the same, or substantially the same, boundaries, which bonded
indebtedness is less than 2 percent of the total amount of the total
bonded indebtedness certified, and thereafter an election upon the
issuance of new bonds in the amount required by the board has been
had and the vote thereon has been in favor of the issuance of the
bonds, and the board has certified to the Controller that the
apportionment to the district has become final, the final
apportionment is hereby confirmed, ratified, and validated, and any
expenditure of money from the Public School Building Loan Fund
according to the terms of the final apportionment is hereby
confirmed, ratified, and validated.
   Any bonds erroneously certified, however, shall not be taken into
consideration in making the computation required by Section 15721.



15725.  No apportionment shall be made to a school district for any
grade level if the estimated cost of the project, as approved by the
Director of General Services, is (1) an amount which would result in
an apportionment to the district exceeding the amount authorized at
the district election held under Section 15721, or (2) an amount
which if raised by the issuance and sale of bonds of the district
running for 25 years bearing the current going rate of interest as
determined by the board and the principal of which is payable in 25
equal annual payments, would require the levy of a tax under Section
15250 upon property in the district which would, when added to the
tax actually being levied upon property in the district for the grade
level as determined by the Director of General Services under that
section, amount to less than thirty cents ($0.30) on each one hundred
dollars ($100) of assessed valuation of property in the district
during the next fiscal year. Beginning in 1981-82, the amount shall
be the levy of a tax which would amount to less than 0.075 percent of
full valuation of property in the district during the next fiscal
year.
   At the time the board makes an apportionment, it shall, with the
approval of the Director of General Services, fix the interest to be
paid by the district on the sum apportioned to it at a rate equal to
the effective rate paid by the state upon the bonds sold from the
proceeds of which the apportionment is made, giving effect to the
price at which the bonds are sold and the premium, if any, paid
thereon, adjusted to the next highest one-eighth of 1 percent, to
cover the cost of sale and issuance of the bonds and costs of
administration, to be compounded annually through the 30th day of
June of each year.



15726.  As used in Section 15725 of the Education Code, the phrase
"adjusted to the next highest one-eighth of 1 percent" means
"increased by a full one-eighth of 1 percent." It is hereby declared
that this construction is not intended as a change in the present
law, but as a declaration of the existing law, and shall apply to any
interest rate heretofore or hereafter fixed by the board under said
section.



15727.  No apportionment shall be made to a district for the
construction, reconstruction, or alteration of, or addition to,
school buildings if the requirements prescribed by this code for the
construction of school buildings are not met by the plans for the
entire building program of the district in connection with which the
district applied for an apportionment or for any project or part
thereof which has not been approved by the State Department of
Education.


15728.  Each district to which an apportionment has been made under
this chapter shall repay the principal amount of the apportionment
and the accrued interest thereon in the amount and in the manner
hereinafter provided in this chapter.


15729.  The following definitions apply to the computations and
determinations required to be made under Sections 15730, 15732, and
15733, and they apply with respect to each grade level of a district
for which grade level an apportionment has become final during any
preceding fiscal year.
   (a) "Forty-cent tax amount" means the amount that would be
produced by a tax of forty cents ($0.40) on each one hundred dollars
($100) of assessed valuation, to and including 1980-81 fiscal year.
For the 1981-82 fiscal year and thereafter, the tax shall be 0.10
percent of the full valuation. This tax amount shall exclude the
assessed valuation of solvent credits and other intangible property,
for the current fiscal year within the district;
   (b) "Thirty-cent tax amount" means the amount that would be
produced by a tax of thirty cents ($0.30) on each one hundred dollars
($100) of such assessed valuation to and including the 1980-81
fiscal year. For 1981-82 and thereafter, the tax shall be 0.075
percent of such full valuation: and
   (c) "Ten-cent tax amount" means the amount that would be produced
by a tax of ten cents ($0.10) on each one hundred dollars ($100) of
such assessed valuation to and including the 1980-81 fiscal year. For
the 1981-82 fiscal year and thereafter, the tax shall be 0.025
percent of the full value.
   (d) "Eligible bonded debt service" means the amount raised and to
be raised by the district during the current fiscal year for the
repayment of principal and interest on the portion of the bonded
indebtedness of the district that was incurred for each such grade
level prior to the date of the first final apportionment for any
grade level to the district under this chapter, computed as provided
in Section 15730.


15730.  On or before the first day of December of each fiscal year,
the Director of General Services shall determine for each grade level
and certify to the Controller the eligible bonded debt service for
the district, as follows:
   (a) He or she shall determine the amount of the bonded
indebtedness that was incurred by the district for each grade level,
when bonds were issued and sold for purposes of more than one grade
level. When one or more additional apportionments have been made to a
grade level of a district, conditioned upon the issuance and sale of
additional bonds of the district, the Director of General Services
shall determine and include in the eligible bonded debt service and
in his or her certificate the amount raised and to be raised by the
district during the current fiscal year for the payment of principal
and interest on that portion of the additional bonded indebtedness of
the district that was incurred for each grade level as a condition
to receiving the additional apportionment.
   (b) If the Director of General Services determines in any fiscal
year that the amount certified to the Controller as the eligible
bonded debt service during the last preceding fiscal year is more
than the amount actually raised by the district for the repayment of
principal and interest of the bonded indebtedness referred to in
subdivision (d) of Section 15729 and subdivision (a) of this section,
then the Director of General Services shall subtract from the amount
determined as the eligible bonded debt service for the current
fiscal year an amount equal to the difference between the amount
actually raised by the district during the preceding fiscal year for
the repayment of the bonded indebtedness and the amount so certified
by the Director of General Services.
   (c) If the Director of General Services determines in any fiscal
year that the amount certified to the Controller as the eligible
bonded debt service during the last preceding fiscal year is less
than the amount actually raised by the district for the repayment of
principal and interest of the bonded indebtedness referred to in
subdivision (d) of Section 15729 and subdivision (a) of this section,
then the Director of General Services shall add to the amount
determined as the eligible bonded debt service for the current fiscal
year an amount equal to the difference between the amount actually
raised by the district during the preceding fiscal year for the
repayment of the bonded indebtedness and the amount so certified by
the Director of General Services.



15731.  Notwithstanding any other provisions of this chapter, a
school district otherwise eligible to receive a conditional
apportionment under Chapter 8 (commencing with Section 16000) of this
part may apply for an adjustment of annual repayment obligations
under this chapter.
   The board may require any information that is necessary to
determine the number of units of estimated average daily attendance
for which the district would have been eligible to construct school
facilities under this chapter, if the conditional apportionment had
been made and had become final. The units shall be known as "eligible
attendance units." The board shall then determine an "eligible
facilities cost" by multiplying the number of the eligible attendance
units by the average cost of housing elementary or high school
pupils as set forth in the latest report to the Legislature required
under Section 16098.
   In any fiscal year in which the school district is, in the
judgment of the board, operating sufficient year-round classes to
provide housing for the eligible attendance units, the Director of
General Services shall add to the amount which he or she is required
to certify to the Controller under Section 15730 an amount equal to
one-twentieth of such eligible facilities costs.
   The additional amount so certified shall be considered for all
purposes of this article as eligible bonded debt service.



15732.  On or before the first day of January of each fiscal year,
the Controller shall compute for each grade level of a district for
which grade level an apportionment has become final during any
preceding fiscal year the 40-cent tax amount, the 30-cent tax amount
and the 10-cent tax amount.



15733.  On or before the first day of January of each fiscal year
the Controller shall determine the annual repayment, if any, to be
due from each district during the next succeeding fiscal year, as
follows:
   (a) If, for any grade level of a district, the amount of the
eligible bonded debt service exceeds the 40 cents ($0.40) tax amount,
no annual repayment shall be due the state from the district with
respect to the grade level during the next succeeding fiscal year.
   (b) If, for any grade level of a district, the 40 cents ($0.40)
tax amount is greater than the eligible bonded debt service, the
amount of the excess shall constitute the annual repayment due the
state with respect to the grade level during the next succeeding
fiscal year. However, if the eligible bonded debt service is less
than the 10 cents ($0.10) tax amount, the annual repayment shall
equal the 30 cents ($0.30) tax amount.
   (c) The total repayment from each district is the sum of the
annual repayments determined for each grade level of the district
under this section.



15734.  Notwithstanding any other provision of this chapter, and
regardless of how many apportionments are made to a grade level of a
school district under the provisions of this chapter, the total
annual repayment for the grade level during any fiscal year, covering
all the apportionments, shall not exceed the amount that would be
computed under Sections 15729 to 15735, inclusive, for any one of the
apportionments.



15735.  The Controller shall, during the next fiscal year following
that in which he or she determines the annual repayment as herein
provided, deduct the total amount of the annual repayment of each
district in equal amounts from each of the February, March, April,
and May installments of the apportionments made to the district from
the State School Fund under Sections 46304, 46305, and 92 or 41050,
Sections 41330 to 41343, inclusive, and Sections 41600 to 41972,
inclusive, and, on order of the Controller, the amount so deducted
shall be transferred to the Public School Building Loan Fund. All
money transferred to the Public School Building Loan Fund under this
section shall be available only for transfer to the General Fund
under Section 15903.



15736.  Notwithstanding any provision of law to the contrary,
whenever in any fiscal year, pursuant to Chapter 5, Part 9, Division
1 of the Revenue and Taxation Code, a refund is made or a judgment
rendered, as the case may be, for the return of an amount collected
as school district taxes levied during a previous year upon secured
or unsecured personal property, because it was determined that the
property was exempt from taxation, and the property so determined to
be exempt equals 1 percent, or more, of the assessed valuation in the
school district upon which school district taxes for the previous
year were levied, the Controller shall reduce the annual repayment of
the district and the amount deducted from the State School Fund
apportionment of the district for the fiscal year next succeeding
that in which the refund was made or judgment rendered, by that
amount by which the annual repayment and deduction of the district
would have been reduced for the fiscal year next succeeding that in
which the taxes were levied had the assessed valuation upon which the
annual repayment was computed not included an amount of assessed
valuation equal to the amount of assessed valuation of the property
so determined to be exempt.
   The amount of annual repayment and deduction, reduced as required
by this section, shall be the amount deducted by the Controller for
the purposes of Sections 15735, 15741, and 15742 for the fiscal year
in which the reduction is made.



15737.  (a) Upon request of the district, the Controller shall use
in computing the "40-cent, 30-cent, and 10-cent tax amounts" under
Section 15732 the difference between the total assessed valuation of
property in a district as shown on the equalized assessment roll for
the current fiscal year and the assessed valuation of property as
shown on the equalized assessment roll for the current fiscal year,
in excess of 2 percent of the total assessed valuation, with respect
to which revenues of the district taxes levied in the 1954-1955
fiscal year, or thereafter, have been impounded by the county auditor
pursuant to Section 14240. Beginning with the 1981-82 fiscal year,
the amount in excess of 0.5 percent of the total assessed valuation
shall be used in the computation. If the request is received prior to
August 1, 1955, with respect to the impounding of revenues of taxes
levied during the 1954-1955 fiscal year, the Controller shall
recompute the annual repayment of the district due during the
1955-1956 fiscal year on the basis of the reduced assessed valuation,
and, on or before September 1, 1955, notify the officers and board
referred to in Section 15741 of the recomputed annual repayment for
the 1955-1956 fiscal year, and of the recomputed amount to be
deducted from the State School Fund apportionment to the district
during the 1955-1956 fiscal year.
   (b) Whenever, after July 1, 1955, the county auditor notifies the
Superintendent of Public Instruction and the Controller of the
release of impounded tax revenues to the school district, the
Controller shall add to the annual repayment of the district, for the
first fiscal year or second fiscal year next succeeding that in
which the notification of release was made, that amount by which the
annual repayment of the district for a previous fiscal year was
reduced by reason of the exclusion of assessed valuation with respect
to tax revenues impounded and thereafter released.
   (c) The amount of annual repayment and deduction, increased or
reduced as required by this section, shall be the amount deducted by
the Controller for the purposes of Sections 15735, 15741, and 15742
for the fiscal year in which the increase or reduction occurs.
   (d) If a request is received from a school district and an annual
repayment reduced pursuant to subdivision (a), Section 15736 shall
not apply with respect to any tax revenues to which subdivision (a)
applies.



15738.  The Controller shall make the deduction provided by Section
15735 during each fiscal year, as herein provided, until the
principal amount of the apportionment made to the district for the
grade level, and all accrued interest due thereon, has been withheld;
but no interest shall accrue or become due and payable to the state
with respect to the principal amount of any apportionment after the
expiration of 25 years from the first day of July of the fiscal year
next succeeding the date of the warrant issued by the Controller
covering the payment to the county treasurer of each portion of the
apportionment. At the expiration of 30 years from the first day of
July of the fiscal year next succeeding the date of the warrant
issued by the Controller covering the payment to the county treasurer
of each portion of the apportionment, any unpaid balance of the
principal amount of the apportionment, including all interest
included in the principal amount, shall be canceled on the books of
the Controller, and the state shall have no further right to the
repayment of the unpaid balance.



15739.  The Controller shall certify to the board the cancellation
of the unpaid balance of the principal amount of the apportionment.
Upon receipt of the certification, the board shall, in the name of
the state, convey to the district all sites purchased and improved,
all equipment purchased, and all buildings constructed,
reconstructed, altered, or added to, from moneys provided by the
apportionment covered by the cancellation.



15740.  The Controller shall determine and maintain a record of the
amount due the state in connection with each apportionment made to
each grade level of a district under this chapter. He or she shall
compute interest on the original amount of the apportionment at the
rate fixed by the board, from the date of issuance of the Controller'
s warrant covering the payment to the county treasurer of any portion
of the apportionment until the first day of July of the fiscal year
next succeeding that in which the warrant was issued. Thereafter,
interest shall accrue to and be compounded as a part of the principal
amount due the state pursuant to the apportionment through the 30th
day of the following June of each year, until the principal and
interest have been paid, or until the interest ceases to accrue, as
provided in this chapter. Interest on unpaid school building aid
apportionments shall be computed as if the annual repayment were
credited on the first day of July of the fiscal year in which the
repayment is withheld.


15741.  Upon computing in any fiscal year the amount to be deducted
from the apportionments to the district from the State School Fund
during the succeeding fiscal year, the Controller shall notify the
governing board of the district and the county auditor of the county,
the county superintendent of which has jurisdiction over the
district, of the amount to be deducted.



15742.  The board of supervisors of the county, the county
superintendent of which has jurisdiction over any district which
under this chapter will have moneys withheld by the Controller from
the apportionments to be made to it from the State School Fund during
any fiscal year, shall annually at the time the board of supervisors
makes the levy of taxes for county purposes, levy a tax upon the
property in the district sufficient to raise for the district the
amount of money to be withheld by the Controller during the fiscal
year in which the tax is levied. The tax, when collected, shall be
paid into the county treasury of the county, the county
superintendent of schools of which has jurisdiction over the district
for which the tax was levied, to the credit of the general fund of
the district.



15743.  The board shall prescribe in the detail that it deems
necessary, the purposes for which moneys apportioned by it or which
it requires the district to contribute toward, or in reduction of the
cost of a project, may be expended, and the prescription shall be
binding upon the governing board of the district, save as it may be
changed or modified by the board for any cause that it sees fit. In
determining funds which can be contributed by the district, the board
may require the district to contribute unexpended balances of funds
earmarked or encumbered by the district for furniture, equipment, or
any other lawful purpose. However, the changes or substitutions in
the purposes for which the funds were earmarked or encumbered, with
respect to the requirement under any apportionment heretofore or
hereafter made, may be authorized by the board, or pursuant to its
delegation, by the Director of General Services.



15744.  Unless the board has received the certificates of the county
superintendent of schools required by Section 15722 within nine
months from the date of the conditional apportionment, it shall, at
the expiration of the nine-month period, void the conditional
apportionment and shall certify this fact to the Controller. Each
final apportionment made by the board under this chapter shall be
certified by it to the Controller who shall from time to time draw
his or her warrant on the Treasurer in favor of the county treasurer
of the county having jurisdiction over the district in accordance
with the terms of the final apportionment. The warrant shall be
exempt from the provisions of Division 4 of Title 2 of the Government
Code and shall be paid by the Treasurer from the Public School
Building Loan Fund.



15745.  A public school building fund is hereby created in the
county treasury in each county for each school district in the
county. The county treasurer of each county shall pay into the public
school building fund of each district, exactly as apportioned by the
board, all moneys received by him or her under this chapter with
respect to that district.



15746.  The governing board of each school district to which an
apportionment is made under this chapter is authorized to, and shall,
transfer to the public school building fund of the district from all
other funds of the district in which the moneys may be, all moneys
of the district which under, or pursuant to, this chapter are
required to be expended for the project for which the apportionment
was made.



15747.  A fund in the State Treasury is hereby created, to be known
as the Public School Building Loan Fund. All money in the Public
School Building Loan Fund, including any money deposited in the fund
from any source whatsoever after July 29, 1949, is hereby
continuously appropriated without regard to fiscal years for
expenditure pursuant to apportionments made under the provisions of
this chapter.



15748.  Notwithstanding any provision of law to the contrary, the
State Allocation Board may from time to time by appropriate
resolution order the transfer from the Public School Building Loan
Fund to the State School Building Aid Fund of any amounts therein
which it deems no longer desirable to retain for the purposes of this
chapter and Sections 15900 to 15909, inclusive. Nothing herein shall
be deemed to apply to any moneys heretofore or hereafter deposited
in the Public School Building Loan Fund by virtue of Sections 15735
and 15907, and former Section 5107 as added by Chapter 922 of the
Statutes of 1949, and as subsequently amended; or to any moneys
appropriated from the Public School Building Loan Fund by virtue of
the Budget Acts of 1954 and 1955, and which remain available for
expenditure. Upon such order or orders the Controller shall make
appropriate transfers, and any sums so transferred shall be available
for apportionment in the same manner as other moneys in the State
School Building Aid Fund, except that to the amount available for
apportionment on the fifth day of each month pursuant to Section
16409, there shall be added any amount transferred to the State
School Building Aid Fund by virtue of this paragraph prior to the
fifth day of the preceding month. Notwithstanding the provisions of
Section 15904, after July 7, 1955, there shall be no further
transfers to the General Fund from the Public School Building Loan
Fund of any amounts deposited therein by virtue of Sections 15752,
15753, and 15754.



15749.  The governing board of each school district to which an
apportionment has been made under this chapter shall expend the
moneys in the public school building fund of the district exactly as
apportioned by the board and only for the purposes for which the
moneys were apportioned to the district, and for no other purpose,
and shall make the reports relating to the expenditure of the moneys
that the board and the Controller shall require.



15751.  It shall be the duty of the Controller to make the audit or
audits of the books and records of counties and school districts
receiving apportionments under this chapter, as he or she may deem
necessary from time to time, for the purpose of determining that the
money received by school districts as apportionments hereunder has
been expended for the purposes and under the conditions authorized by
this chapter.



15752.  Whenever the Controller determines that any money
apportioned to a school district has been expended by the school
district for purposes not authorized by this chapter, or exceeds the
final cost of the project which is authorized by this chapter to be
paid therefrom, the Controller shall furnish written notice to the
board, the governing board of the school district, the county
superintendent of schools, the county auditor, and the county
treasurer of the county whose county superintendent of schools has
jurisdiction over the school district, directing the school district
and the county treasurer to pay into the State Treasury the amount of
the unauthorized expenditures, or the amount of the excess
apportionment, as the case may be. Upon receipt of the notice, the
governing board shall order the county treasurer to pay to the
Treasurer, out of any moneys in the county treasury available to the
school district for that purpose, the amount set forth in the notice.
That amount shall, upon order of the Controller, be deposited in the
State Treasury to the credit of the Public School Building Loan
Fund.
   It shall be the duty of the governing body and county treasurer to
make the payments to the Treasurer as provided in this section, and
it shall be the duty of the Controller to enforce the collection on
behalf of the state.
   If, upon petition of the district, the Controller determines that
the amount is in excess of the amount that may be paid out of taxes
levied at the maximum rate increased by any increase in the rate
authorized by the electors of the district pursuant to Section 42202,
without impairing essential district services, he or she may provide
for the payment of the entire amount or any unpaid balance thereof
in not exceeding three consecutive annual payments, commencing with
the next school year. Each payment shall be an equal portion of the
principal amount, plus accrued interest, and shall be paid not later
than January 31st of each school year in which a payment is due. If
the district fails to make the payment as specified, the Controller
shall deduct the amount thereof from the February payment made to the
district under Section 14041.
   Deferred payments under this section shall bear interest at the
same annual rate of interest as the apportionment from which the
unauthorized expenditures or the amounts of excess apportionment were
made.



15753.  Any portion of an apportionment paid to a school district
under this chapter shall be available for expenditure by its
governing board for not less than one year nor more than three years,
as the board shall determine, after the date on which the warrant
covering the portion of the apportionment was issued by the
Controller. For the purposes of this chapter, an apportionment shall
be deemed to be expended at the time and to the extent that the
amount thereof on deposit in the county treasury has been encumbered
by the creation of a valid obligation on the part of the school
district. Upon the expiration of its period of availability, the
unencumbered balance of any apportionment made under this chapter
shall become due and payable to the State of California; and the
governing board of the school district and the county treasurer shall
pay the amount of the unencumbered balance to the Treasurer, out of
the funds, and in the manner specified in Section 15752. The payment
shall, on order of the Controller, be deposited in the Public School
Building Loan Fund in the State Treasury.
   It shall be the duty of the governing body and county treasurer to
make the payments to the Treasurer as provided in this section, and
it shall be the duty of the Controller to enforce the collection on
behalf of the state.



15754.  Whenever a school district receives an apportionment under
this chapter for the purchase or improvement of a school building
site and within a period of five years after the date on which the
warrant covering the appropriate portion or portions of the
apportionment was drawn on the State Treasurer from the Public School
Building Loan Fund, (1) sells or otherwise disposes of the site or
the improvements thereon, or any portion thereof, purchased or
improved in whole or in part from the apportionment, or (2) within
not less than one year nor more than five years, as the board shall
determine, does not begin to use the site or the improvements thereon
for the purpose or purposes for which the apportionment was made,
the board shall make the determinations and take the action with
respect thereto as it may deem necessary. If the board determines
that the district has (1) sold or otherwise disposed of the site or
the improvements thereon, or any portion thereof, or (2) has not used
the site for the purpose for which the apportionment was made, it
shall demand the return of the apportionment or the portion thereof
that it deems proper.
   Written notice of the demand, setting forth the amount due the
state pursuant thereto, shall be furnished by the board to the
governing board of the school district, the county superintendent of
schools, the county auditor, the county treasurer of the county whose
county has jurisdiction over the school district, and the
Controller. Upon receipt of the notice and demand, the governing
board of the school district shall order the county treasurer to pay
to the Treasurer, out of any moneys in the county treasury available
to the school district for that purpose, the amount set forth in the
notice. The amount shall, upon order of the Controller, be deposited
in the State Treasury to the credit of the Public School Building
Loan Fund.
   It shall be the duty of the governing board and county treasurer
to make the payments to the Treasurer as provided in this section,
and it shall be the duty of the Controller to enforce the collection
on behalf of the state.