State Allocation Board Disburses $383.8 Million for School Construction

January 2, 2013 - At the December meeting of the State Allocation Board (SAB), the board announced the disbursement of $383.8 million for new school construction and modernization projects across 96 school districts for 196 construction projects.  The majority of the state funds will be matched by local school district construction funding with construction on these projects expected to commence within 90 days.

Under SBCTC legislation, AB 436 (Solorio), school districts must pay a fee to the Department of Industrial Relations (DIR)’s Compliance Monitoring Unit for each project receiving state bond funds, but waives the fee for projects under a PLA.  The law requires the DIR to utilize the funds from those fees to provide prevailing wage monitoring services for each project not covered by a project labor agreement.  This provides another incentive for school districts to utilize PLAs.    

Governor Brown appointed SBCTC Legislative Director Cesar Diaz to serve as a member of the SAB in 2012.  The SAB and the Office of Public School Construction has since informed school districts statewide that strict compliance with the Labor Code is required in order to be eligible for state bond funds.  With Diaz on the SAB, the board has significantly reduced several school district grants by at least one-third of the total amount for their failure to comply with pre-AB 436 LCP requirements.  

A complete list of the projects can be found as an attachment to the State Allocation Board agenda. We urge you to watch for school construction and modernization projects coming to your areas.  A link is here:


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