SB 239 — SCHOOL CAPITAL OUTLAY FOR SECURITY

c e r c 23 provided that:

e a n b 24 (1) the total annual expenditures from the u [ fund for the core administrative functions pursuant to this .210051.2 - 6 - subsection shall not exceed five percent of the average annual grant assistance authorized from the fund during the three previous fiscal years;

The fund may be expended by the council for building system repair, renovation or replacement initiatives SB 239 with projects to be identified by the council pursuant to Page 6 Section 22-24-4.6 NMSA 1978;

The grants shall be made upon application e e 17 by the school districts and pursuant to rules adopted by the e e n d 18 council;

provided that an application on behalf of a charter = = l ] 19 school shall be made by the school district, but, if the school a l r i 20 district fails to make an application on behalf of a charter t e a t school, the charter school may submit its own application.

The m m 21 e d r e 22 following criteria shall apply to the grants:

c e r c 23 (1) the amount of a grant to a school district e a n b 24 shall not exceed:

u [ (a) the actual annual lease payments .210051.2 - 7 - owed for leasing classroom space for schools, including charter schools, in the school district;

or (b) seven hundred dollars ($700) multiplied by the [number of ] MEM using the leased classroom facilities;

provided that in fiscal year 2009 and in each subsequent fiscal year, this amount shall be adjusted by the percentage change between the penultimate calendar year and the SB 239 immediately preceding calendar year of the consumer price Page 7 index for the United States, all items, as published by the United States department of labor;

(3) at the end of each fiscal year, any unexpended or unencumbered balance of the appropriation shall e e 17 revert to the fund;

e e n d 18 (4) no grant shall be made for lease payments = = l ] 19 due pursuant to a financing agreement under which the a l r i 20 facilities may be purchased for a price that is reduced t e a t according to the lease payments made unless:

m m 21 e d r e 22 (a) the agreement has been approved c e r c 23 pursuant to the provisions of the Public School Lease Purchase e a n b 24 Act;

and u [ (b) the facilities are leased by a .210051.2 - 8 - charter school;

(5) if the lease payments are made pursuant to a financing agreement under which the facilities may be purchased for a price that is reduced according to the lease payments made, neither a grant nor any provision of the Public School Capital Outlay Act creates a legal obligation for the school district or charter school to continue the SB 239 lease from year to year or to purchase the facilities nor Page 8 does it create a legal obligation for the state to make subsequent grants pursuant to the provisions of this subsection;

1) the average full-full-time-equivalent time-equivalent enrollment using leased classroom facilities on the [eightieth and one hundred twentieth days ] second and third reporting dates of the prior school year;

or 2) in the case of an approved charter school that has not commenced classroom e e 17 instruction, the estimated full-time-equivalent enrollment that e e n d 18 will use leased classroom facilities in the first year of = = l ] 19 instruction, as shown in the approved charter school a l r i 20 application;

provided that, after the eightieth day of the t e a t school year, the MEM shall be adjusted to reflect the full-full-time-equivalent m m 21 e d r e 22 time-equivalent enrollment on that date;

and c e r c 23 (b) "classroom facilities" or "classroom e a n b 24 space" includes the space needed, as determined by the minimum u [ required under the statewide adequacy standards, for the direct .210051.2 - 9 - administration of school activities.

In addition to other authorized expenditures from the fund, up to one percent of the average grant assistance authorized from the fund during the three previous fiscal years may be expended in each fiscal year by the public school facilities authority to pay the state fire SB 239 marshal, the construction industries division of the Page 9 regulation and licensing department and local jurisdictions having authority from the state to permit and inspect projects for expenditures made to permit and inspect projects funded in whole or in part under the Public School Capital Outlay Act.

Such a contract may provide for initial estimated payments from the fund prior to the expenditures if e e 17 the contract also provides for additional payments from the e e n d 18 fund if the actual expenditures exceed the initial payments and = = l ] 19 for repayments back to the fund if the initial payments exceed a l r i 20 the actual expenditures.

Money distributed from the fund to t e a t the state fire marshal or the construction industries division m m 21 e d r e 22 pursuant to this subsection shall be used to supplement, rather c e r c 23 than supplant, appropriations to those entities.

e a n b 24 K.

Pursuant to guidelines established by the u [ council, allocations from the fund may be made to assist school .210051.2 - 10 - districts in developing and updating five-year facilities plans required by the Public School Capital Outlay Act;

(1) no allocation shall be made unless the council determines that the school district is willing and SB 239 able to pay the portion of the total cost of developing or Page 10 updating the plan that is not funded with the allocation from the fund.

(a) the school district has fewer than an average of six hundred full-time-equivalent students on the ] second and third [eightieth and one hundred twentieth days e e 17 reporting dates of the prior school year;

or e e n d 18 (b) the school district meets all of the = = l ] 19 following requirements:

1) the school district has fewer than a l r i 20 an average of one thousand full-time-equivalent students on the t e a t [eightieth and one hundred twentieth days ] second and third m m 21 e d r e 22 reporting dates of the prior school year;

2) the school c e r c 23 district has at least seventy percent of its students eligible e a n b 24 for free or reduced-fee lunch;

3) the state share of the total u [ cost, if calculated pursuant to the methodology in Paragraph .210051.2 - 11 - (5) of Subsection B of Section 22-24-5 NMSA 1978, would be less than fifty percent;

and 4) for all educational purposes, the school district has a residential property tax rate of at least seven dollars ($7.00) on each one thousand dollars ($1,000) of taxable SB 239 value, as measured by the sum of all rates imposed by Page 11 resolution of the local school board plus rates set to pay interest and principal on outstanding school district general obligation bonds.

(2) there is no practical use for the e e 17 abandoned facility without the expenditure of substantial e e n d 18 renovation costs;

and = = l ] 19 (3) the council may enter into an agreement a l r i 20 with the school district under which an amount equal to the t e a t savings to the district in lower insurance premiums are used to m m 21 e d r e 22 reimburse the fund fully or partially for the demolition costs c e r c 23 allocated to the district.

e a n b 24 M.

Up to ten million dollars ($10,000,000) of the u [ fund may be expended in each [year in] of fiscal years 2014 .210051.2 - 12 - through 2019 for an education technology infrastructure deficiency corrections initiative pursuant to Section 22-24-4.5 NMSA 1978;

provided that funding allocated pursuant to this section shall be expended within three years of its SB 239 allocation.

Page 12 N.

Any portion of an amount of the public school capital outlay fund that is reserved for appropriation by the legislature for a fiscal year, but that is not e e 17 appropriated before the first day of that fiscal year, may be e e n d 18 expended by the council as provided in this section.

= = l ] 19 O.

Up to ten million dollars ($10,000,000) of the a l r i 20 fund may be expended in each of fiscal years 2019 through 2022 t e a t for school security system repair,project renovationgrants or replacement m m 21 e d r e 22 made in accordance with Section 22-24-4.7 NMSA 1978." c e r c 23 SECTION 4.

TEMPORARY PROVISION--COMPILATION e a n b 24 INSTRUCTION--RECONCILIATION.--If acts making amendments to u [ Section 22-24-4 NMSA 1978 are enacted by the first and second .210051.2 - 13 - sessions of the fifty-third legislature, the provisions of those acts shall be reconciled and compiled in accordance with SB 239 the provisions of Section 12-1-8 NMSA 1978, notwithstanding Page 13 that the amendments were not made in the same session of the legislature.

-SB 14239 -Page 8 10 12 14 164 e6 e8 1725 e e n d 18 = = l ] 19 a l r i 20 t e a t m m 21 e d r e 22 c e r c 23 e a n b 24 u [ .210051.2