At its June 2014 meeting, the State Allocation Board (SAB) approved regulations for the creation of the Return of Real Property Sale Proceeds Program pursuant to Education Code (EC) Section 17462.3. The program requires that a school district, county office of education, or charter school that sells real property to return any moneys received through state school facilities funding program for the purchase, modernization, or construction of improvements on the real property, unless specific conditions are met. The approved regulations define terms, clarify the parameters of the 10-year period, and establish notification and repayment requirements.
Assembly Bill 308 (Chapter 496, Statutes of 2013), established EC Section 17462.3. This statute provided the SAB the option to establish a program that would require a school district, county office of education, or charter school that sells real property that was purchased with or modernized with, or on which improvements were constructed, to return moneys received through a state school facilities funding program.
For more information, please contact Liz Cheyne at Liz.Cheyne@dgs.ca.gov or Lisa Jones at Lisa.Jones@dgs.ca.gov.