Legislature
Governor and Legislature agree to a statewide school facilities bond
The $10 billion school bond will be Proposition 2 on the November 2024 General Election Ballot
After months of negotiation and years of advocacy by CSBA and other educational advocacy organizations, the Governor and Legislature agreed to a $10 billion statewide school bond, which will be up for consideration by voters on the November ballot. This is a significant win for CSBA’s advocacy. Titled the Kindergarten through Grade 12 Schools and Local Community College Public Education Facilities Modernization, Repair, and Safety Bond Act of 2024, and adopted via Assembly Bill 247, it was jointly authored by Assemblymember Al Muratsuchi (D–Torrance) and Assemblymember Mike Fong (D–Alhambra).

In an interesting turn of events, because both Gov. Gavin Newsom and Lt. Gov. Eleni Kounalakis were out of the state at the time AB 247 was passed, acting-Gubernatorial duties fell to Senate President Pro Tem Mike McGuire (D–Healdsburg) who is third in the line of succession. As a result, it was Sen. McGuire who signed AB 247, which effectively places the bond on the ballot.

If passed by voters, the $10 billion will be split between TK-12 public education and community colleges. Of that, $8.5 billion will be available for TK-12 public education and $1.5 billion for community colleges. The main elements of the K-12 public school portion will be split into the following programs and amounts:

  • New construction: $3.3 billion
  • Modernization: $4 billion, $115 million of which will be set aside for testing water for lead and remediation efforts
  • Career technical education: $600 million
  • Charter schools: $600 million
Small school district prioritization
Most notably, and in large part because of CSBA’s advocacy, the bond includes additional priorities for small school districts. Defined as local educational agencies with less than 2,500 students, these additional considerations are welcome additions. They include:

  • Establishing a process to help provide small school districts with technical assistance.
  • Providing a prioritization for small school districts that have a low bonding capacity and high percentages of youth in foster care, homeless youth and English learners.
  • Setting aside 10 percent of the new construction ($330 million) and modernization ($400 million) grant funding for small school districts.

This continued advocacy for small school districts includes CSBA-sponsored AB 2831, authored by Assemblymember Joshua Hoover (R–Folsom), which would help small school districts meet the needs of their students, staff and boards of education by establishing an Office of Small School District Facilities and Construction within the California Department of Education. The bill would also require CDE, upon request of a small school district, to provide assistance in the evaluation and utilization of existing school facilities and the justification of the needs of school sites, new facilities and the rehabilitation or replacement of existing facilities, in accordance with board regulations.

Greater considerations for low-wealth districts
The bond also includes changes to provide additional resources for lower wealth and small school districts. This includes a sliding scale for how school districts with lower property values can receive increased funding for new construction and modernization projects. It also increases the cap on bonding capacity for districts qualifying for financial hardship grants from $5 million to $15 million and adds an annual inflation adjuster that increases the cap over time. This will increase the number of school districts that can qualify for financial hardship funding over time.
The Governor and Legislature agreed to a $10 billion statewide school bond, which will be up for consideration by voters on the November ballot. This is a significant win for CSBA’s advocacy.
Additional permissions for new construction and modernization projects
Included in the proposed bond are permissions for school districts to use new construction and modernization funds for kitchens, preschool classrooms, health facilities, broadband infrastructure and structures to help protect students from high temperatures. It will also establish a program to help school districts receive increased new construction funds to demolish and replace buildings that are 75 years or older.
wide view of outdoor basketball courts and the entrance to an elementary school gymnasium

Four supplemental grants included

The bond will also include four supplemental grants for the following purposes:

  • Minimum essential facilities: Permitting eligible districts to receive one supplemental grant for a school kitchen, gymnasium, multipurpose room or library if either the existing facility is insufficient, or the school does not have such a facility.
  • Transitional kindergarten (TK): For the first time, a statewide school bond allows eligible school districts a supplemental grant if existing TK facilities are insufficient or they do not have an existing facility to serve TK students.
  • Extreme heat/energy efficiency: Permits a supplemental grant of up to 5 percent for new construction or modernization projects to enable a school district to respond to and address the impacts of higher temperatures on school facilities.
  • Career technical education: Permits a supplemental grant of up to 5 percent for new construction or modernization projects to help provide instruction for “high-demand technical careers.”
Accountability and transparency

The agreement includes a number of elements to address accountability and transparency. These include requiring school districts to hold a public hearing and adopt a five-year facilities master plan, which includes providing an inventory of facilities to the state and posting project and audit information to their websites.

What’s next
At the May 2024 Delegate Assembly meeting, CSBA Delegates voted to support a statewide school bond if and when it appeared on the ballot. As such, CSBA will be working to support and persuade voters to pass Proposition 2 to help provide much needed facilities funding for LEAs. CSBA will continue to keep members apprised of campaign activities and opportunities to support those efforts.
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