12.23.2010 K-12 No Comments

QSCB Allocation Award Delay

Update for Districts from the Desk of Ernesto Flores

The California Department of Education (CDE) has delayed the timeline for awarding the 2010 Qualified School Construction Bond (QSCB) allocation provided for by the American Reinvestment and Recovery Act. CDE stated that notification of QSCB allocations should occur between the end of December and early January. As many of our clients are aware, the State of California was awarded $720,058,000 in authorization in addition to which $214,753,568 of unused 2009 allocations were added for redistribution.

To determine the allocation awards, CDE is utilizing the lottery system prescribed by the State legislation. During this process, you may have received a call from CDE staff to verify application information in advance of the lottery. This lottery process involves three criteria for priority of allocation in the following order of importance:

  1. Postmark date of application
  2. DSA approved projects
  3. Percentage of free & reduced lunch

State legislation requires that any QSCB allocation be issued within six months of notification. If an allocation is not issued within that timeframe, CDE has stated that the allocation will be redistributed to the next applicant on the waiting list, which will also be established by the initial lottery. CFW will continue to monitor the status of its clients’ applications and assist your district in determining the best process for the implementation of QSCB authorization and any other financing programs available. If you have any questions, please contact Abel Guillen at (510) 596-8170.

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