(a) (1) The Child Care Facilities Revolving Fund is hereby established in the State Treasury to provide funding for loans for the renovation, repair, or improvement of an existing building to make the building suitable for licensure for childcare and development services, and for the purchase of new relocatable childcare facilities for lease to local educational agencies and contracting agencies that provide childcare and development services, pursuant to this chapter. The Superintendent may transfer state funds appropriated for childcare facilities into this fund for allocation to local educational agencies and contracting agencies, as specified, for the purchase, transportation, and installation of facilities for replacement and expansion of capacity. Local educational agencies and contracting agencies using facilities purchased by the use of these funds shall be charged a leasing fee, either at a fair market value for those facilities or at an amount sufficient to amortize the cost of purchase and relocation, whichever amount is lower, over a 10-year period. Upon full repayment of the purchase and relocation costs, title shall transfer from the State of California to the local educational agency or contracting agency. Loans for renovation or repair shall be repaid within a period that does not exceed 10 years. The Superintendent shall deposit all revenue derived from the lease payments or renovation or repair loan repayments into the Child Care Facilities Revolving Fund.
(2) Notwithstanding Section 13340 of the Government Code, all moneys in the fund, including moneys deposited from lease payments or loan repayments, are continuously appropriated, without regard to fiscal years, to the Superintendent for expenditure pursuant to this article.
Terms Used In California Education Code 8278.3
- California state preschool program: means part-day and full-day educational programs for low-income or otherwise disadvantaged three- and four-year-old children. See California Education Code 8208
- Cost: includes , but is not limited to, expenditures that are related to the operation of child care and development programs. See California Education Code 8208
- Fair market value: The price at which an asset would change hands in a transaction between a willing, informed buyer and a willing, informed seller.
- Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- Local educational agency: means a school district, a county office of education, a community college district, or a school district acting on behalf of one or more schools within the school district. See California Education Code 8208
(3) Augmentations to the Child Care Facilities Revolving Fund made in the Budget Act of 2014 shall be used for loans for renovation or repair of existing local educational agency facilities to ensure those facilities meet applicable health and safety standards or the purchase of new relocatable childcare facilities for lease to local educational agencies, for the purpose of expanding access to California state preschool program services pursuant to this chapter.
(b) On or before August 1 of each fiscal year, the Superintendent shall submit to the Department of Finance and the Legislative Analyst’s Office a report detailing the number of funding requests received and their purpose, the types of agencies that received funding from the Child Care Facilities Revolving Fund, the increased capacity that these facilities generated, a description of the manner in which the facilities are being used, and a projection of the lease payments and loan repayments collected and the funds available for future use.
(c) A local educational agency that provides childcare pursuant to the California School Age Families Education Program (Article 7.1 (commencing with Section 54740) of Chapter 9 of Part 29 of Division 4 of Title 2) is eligible to apply for and receive funding pursuant to this section.
(d) Except as provided in subdivision (b) of Section 8280, this section shall become inoperative on January 1, 2020.
(Amended by Stats. 2019, Ch. 51, Sec. 9. (SB 75) Effective July 1, 2019. Section inoperative January 1, 2020, by its own provisions.)