School facilities: Charter School Facilities Program: undue financial burden

The law allows more state facility funding when a charter school cannot reasonably carry its required local share or lease debt. Schools must first pursue other available facility funding and disclose relevant financial information.

What the law does ​

• Authorizes the State Allocation Board to reduce a qualifying charter school's 50% local match or lease payments and raise its grant amount enough to reach a reasonable debt-service level.
• Applies to program filing rounds opened on or after January 1, 2028.
• Requires applicants to show they pursued eligible state and federal facility grants, requested inclusion in their chartering authority's next local bond measure, and reported specified bond support and major transfers of funds or assets.
• Requires the California School Finance Authority and State Allocation Board to set and update the financial-burden method and payment relief using current information.
• Requires the California School Finance Authority and State Allocation Board to consult the Department of General Services and the County Office Fiscal Crisis and Management Assistance Team when developing the financial-burden method.

Who it affects ​

• Charter schools and their facility-project applicants seeking Charter School Facilities Program funding.
• Chartering school districts and county boards of education that may be asked to include projects in future local general obligation bond measures.
• The California School Finance Authority and State Allocation Board.

Context ​

Charter schools generally must provide a 50% local match for this program, either directly or through lease payments.