BILL NUMBER: AB 2200AMENDED BILL TEXT AMENDED IN ASSEMBLY MARCH 17, 2016 INTRODUCED BY Assembly Member Thurmond FEBRUARY 18, 2016 An act relating to teachers. to add Chapter 12 (commencing with Section 51520) to Part 3 of Division 31 of the Health and Safety Code, relating to housing, and making an appropriation therefor. LEGISLATIVE COUNSEL'S DIGEST AB 2200, as amended, Thurmond. Teachers: recruitment and retention. School Employee Housing Assistance Grant Program. Existing law requires the California Housing Finance Agency to administer various housing programs. This bill would require the California Housing Finance Agency to administer a grant program, as specified, to provide development financing assistance to a qualified school district, as defined, for the creation of affordable rental housing for school employees, including teachers. The bill would transfer $100,000,000 from the General Fund to the School Employee Housing Assistance Grant Fund, which would be created by this bill, and would continuously appropriate those moneys to the agency for the purposes described above. The bill would require a qualified school district to apply for grants, as provided, and to submit specified information to the agency. Existing law establishes various programs for the recruitment of teachers. This bill would state the intent of the Legislature to enact legislation that would guarantee that every pupil has access to high-quality educators by ensuring that pupils' educators are able to live in the communities in which they serve. The bill would also state legislative findings and declarations relating to that purpose. Vote: majority 2/3 . Appropriation: no yes . Fiscal committee: no yes . State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Chapter 12 (commencing with Section 51520) is added to Part 3 of Division 31 of the Health and Safety Code , to read: CHAPTER 12. SCHOOL EMPLOYEE HOUSING ASSISTANCE GRANT PROGRAM 51520. For purposes of this chapter, a "qualified school district" means a school district that satisfies all of the following: (a) Has acquired and designated surplus land from any of the following: (1) A school district. (2) A special district. (3) A city. (b) Has a high average cost for the recruitment of teachers. (c) Has a low retention rate. (d) Has 60 percent of its students participating in the National School Lunch Program. 51521. (a) The agency shall administer a grant program to provide development financing assistance to qualified school districts for the creation of affordable rental housing for school district employees, including teachers. The agency shall do all of the following: (1) Be responsible for overseeing the grant program. (2) Award grants to qualified school districts. (3) Determine the predevelopment grant amount and the development grant amount for each qualified school district pursuant to Section 51523. (4) Publish deadlines and written procedures for a qualified school district to apply for grants. (5) Provide technical assistance to a qualified school district that is not eligible to receive a development grant in applying for additional public funds. (b) A qualified school district seeking a grant shall do both of the following: (1) Apply for a grant in the form and manner prescribed by the agency. (2) Submit both of the following to the agency: (A) An eligible basis certification pursuant to Section 10322 of Division 17 of Title 4 of the California Code of Regulations, as it read on January 1, 2017. (B) An itemized list of funds from state and federal programs and private funds used to cover projects costs. 51522. (a) There is hereby transferred from the General Fund to the School Employee Housing Assistance Grant Fund, which is hereby created in the State Treasury, the sum of one hundred million dollars ($100,000,000). (b) (1) Notwithstanding Section 13340 of the Government Code, all moneys in the fund shall be continuously appropriated to the agency for the purposes of this chapter. (2) The agency shall use 5 percent of the moneys appropriated to it pursuant to this section for predevelopment grants. 51523. (a) The agency shall determine both of the following for each qualified school district to be awarded a grant: (1) (A) The predevelopment grant amount, which shall be equal to the predevelopment costs of the project excluding any costs related to the acquisition of the land. (B) In order to be eligible to receive a predevelopment grant, the qualified school district must show a measurable degree of incapacity to fund the predevelopment project costs. (2) The development grant amount, which shall be the difference between the eligible basis as specified in the eligible basis certification, excluding any costs related to the acquisition of the land and any predevelopment project costs, and the total amount of any public and private funds received for the development of the project. (b) In order to be eligible to receive a development grant, the qualified school district must show that the project is not eligible for additional public funds as described in its eligible basis certification and that the project is subject to a project labor agreement and prevailing wage requirements. SECTION 1. (a) The Legislature finds and declares all of the following: (1) The rising cost of housing in California is having a direct impact on education. (2) Many school districts have difficulty retaining and recruiting teachers and other employees due to low compensation and high living and housing costs. (3) This teacher shortage results in greater inequities among pupils, especially in communities serving high populations of low-income pupils, English learners, and foster youth. (b) It is, therefore, the intent of the Legislature to enact legislation that would guarantee that every pupil has access to high-quality educators by ensuring that pupils' educators are able to live in the communities in which they serve.