CHAPTER 2. New Schools Relief Act of 1979 [17240. - 17245.]

Cal. Education Code - EDC 2.
in effect

Cal. Education Code - EDC § 17241. Section 17241.

The Legislature hereby finds and declares that because of the adoption of Article XIII A of the California Constitution, imposing limits on the ability of school districts to levy and collect property taxes, it is necessary to create new revenues for the construction of school facilities.

Cal. Education Code - EDC § 17242. Section 17242.

It is the intent of the Legislature in enacting this chapter to provide opportunities for school districts, the state, and the private sector to cooperate to provide needed school facilities in growth impacted districts, and to facilitate innovative financing and other techniques for growth impacted districts to help meet new school construction needs.

Cal. Education Code - EDC § 17243. Section 17243.

As used in this chapter: (a) “Board” means the State Allocation Board. (b) “A school district with an anticipated increase in enrollment” means a school district in which the level of enrollment is projected by the district to be higher during any of the five years, including the year in which the projection is made, than the year preceding the year in which the projection is made. Projections shall be made pursuant to regulations adopted by the board. (c) “Private developers” means individuals or corporations owning land, facilities, or both; or, in the business of developing land for construction purposes, constructing facilities on developed land, or both.

Cal. Education Code - EDC § 17244. Section 17244.

Notwithstanding any other provision of law, a school district with an anticipated increase in enrollment is authorized to lease land and facilities from a private developer with funds provided by one or more of the following sources, subject to regulations established by the board: (a) Funds provided by the state for the purposes of school construction (1) in the Budget Act, (2) in separate legislation, (3) from the sale of bonds, the issuance of which was approved by the voters of the state prior to January 1, 1980, provided that the purposes for which the issuance of the bonds was approved encompassed the purposes of this section; or (4) from the sale of bonds, the issuance of which may be approved on or after January 1, 1980, by the voters of the state for the purposes of school construction, among other purposes. (b) Funds the district has borrowed from the state and which the district is in the process of repaying, provided that nothing in this section shall be construed as terminating, delaying, or otherwise interrupting the district’s schedule of repayments for the funds. (c) Available capital reserves from the district’s general fund or special funds of the district, provided the purposes of this section do not conflict with the purposes for which the funds may be used. (d) Proceeds from the sale or lease of unneeded facilities, provided that nothing in this section shall be construed to have any of the following effects: (1) To terminate, delay, or otherwise interrupt the schedule of regular repayments for the district’s obligations to the state. (2) To relieve the district from any obligation to the state, except to the degree that such district may retain that portion of the proceeds from the sale or lease of unneeded facilities necessary to lease land and facilities pursuant to this section. (3) To permit the district to retain any proceeds otherwise owing to the state from the lease or sale of unneeded facilities in excess of the amount necessary to lease land and facilities pursuant to this section.

Cal. Education Code - EDC § 17245. Section 17245.

Notwithstanding any other law, a school district with an anticipated increase in enrollment is authorized to construct school facilities authorized within state school building aid standards, and subject to regulations established by the board, with funds from the following sources: (a) Available capital reserves from the district’s general fund or special funds of the district, provided the purposes of this section do not conflict with the purposes for which the funds may be used. (b) Proceeds from the sale or lease of unneeded facilities provided that nothing in this section shall be construed to have any of the following effects: (1) To terminate, delay, or otherwise interrupt the schedule of regular repayments for the district’s obligations to the state. (2) To relieve the district from any obligation to the state, except to the degree that the district may retain that portion of the proceeds from the sale or lease of unneeded facilities necessary to construct facilities pursuant to this section. (3) To permit the district to retain any proceeds otherwise owing to the state from the lease or sale of unneeded facilities in excess of the amount necessary to construct facilities pursuant to this section.
Source: CA Legislative Counsel Bulk DataURL: https://downloads.leginfo.legislature.ca.gov/pubinfo_2025.zipFetched: 6/27/2026

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