Assigned to ED                                                                                                                           FOR COMMITTEE

 

 


 

ARIZONA STATE SENATE

Phoenix, Arizona

 

FACT SHEET FOR S.B. 1181

 

school facilities board; construction

 

Purpose

 

An emergency measure allowing the School Facilities Board to contract and procure directly for services and materials used to correct school facility deficiencies. Extends the date of the School Facilities Board’s rulemaking and procurement code exemptions.

 

Background

 

Laws 1998, 43rd Legislature, Fifth Special Session, Chapter 1 (Students FIRST) established a School Facilities Board that is responsible for developing capital standards, for distributing state funding to ensure that adequate school facilities are built and maintained, and for ensuring that the appropriate capital equipment is available in schools to meet the state’s academic requirements.  Additionally, Arizona law requires the School Facilities Board to award monies directly to school districts for the correction of school deficiencies by June 30, 2001.  The School Facilities Board is charged with ensuring that school districts take measures to correct school deficiencies by June 30, 2003. 

 

Laws 2000, 44th Legislature, Fifth Special Session, Chapter 1 allowed the School Facilities Board authority to issue up to $800 million in revenue bonds to correct existing deficiencies in schools. 

 

In 1999, the School Facilities Board approved 150 emergency deficiency correction projects.  Of these 150 emergency projects approved in 1999, school districts completed 20 projects as of August of 2000.  S.B. 1181 provides the School Facilities Board authority to contract and procure for construction services and materials directly with vendors hired for the correction of existing deficiencies. 

 

There is no fiscal impact to the state general fund associated with this bill. 

 

Provisions

 

1.      Allows the School Facilities Board to contract for construction services and materials in the correction of school facility deficiencies.

 

2.      Allows the School Facilities Board to procure for construction services.  Provides that procurement rules do not apply for the construction planning and services required to perform the correction of school deficiencies.  

 

3.      Allows the School Facilities Board to enter into agreements with school districts to allow staff and contractors of the School Facilities Board access onto school property in order to perform construction services. 

 

4.      Allows the School Facilities Board to provide school deficiencies correction fund monies directly to contractors.

 

5.      Allows deficiencies correction projects to be combined between one or more school districts for the purpose of procuring construction services and materials in the correction of school deficiencies, if the School Facilities Board determines that such action maximizes the state’s purchasing value.

 

6.      Allows the School Facilities Board or school districts, or both, to enter into an agreement with a public procurement unit to procure materials and services in order to correct school facility deficiencies. 

 

7.      Adds two exceptions for when a school district governing board is not required to hold an election of the school district electors when selling a school site or leasing buildings and grounds, including the following:

 

(a)    If the School Facilities Board provides for the entire funding of the buildings and sites. 

 

(b)   If the transaction involves the sale of improved or unimproved property based on an agreement with the School Facilities Board, whereby the school district agrees to sell the property and transfer proceeds of the sale to the School Facilities Board in exchange for monies from the Board to acquire a more suitable school site.

 

8.      Extends the School Facilities Board’s rulemaking and procurement code exemption from December 31, 2000 to December 31, 2001.  Provides that these provisions are retroactive to December 31, 2000. 

 

9.      Repeals the delayed repeal of the revenue bonding for deficiencies corrections from and after June 30, 2005. 

 

10.  Contains technical and conforming changes.

 

11.  Contains an emergency clause.

 

 

Prepared by Senate Staff

January 23, 2001