State Matching Funds
The Truth About MUSD Bond Funding
1. Is the District under consideration for Proposition 51 state matching funds from the State School Facility Program?
Yes. Mabel Mattos Elementary School New Construction Funding Application was submitted on October 12, 2017. The District received a 90-day notification from the State Office of Public School Construction (OPSC) on January 6, 2020 to review the District’s application of $16.8 million.
2. Has Milpitas Unified School District ever received any state matching funds from the State School Facility Program?
Yes. The District received a total of $23,980,633 from State Proposition 1A starting in the 1999-2000 school year for 1996 voter-approved bond projects.
3. Why has Milpitas Unified School District not applied for any state matching funds from the State School Facility Program since the 1996 bond?
The District did not have a bond since 1996. Therefore, the District did not have any available capital projects to apply for state matching funds from the State School Facility Program.
After local voters approved Bond Measure E in June 2012, the District had eligible projects but, at the time, State Proposition 1D funds were depleted, which means no funds were available until State Proposition 51 passed in November 2016.
4. Can school districts apply for state matching funds from the State School Facility Program without a bond in place?
It is not generally possible to do so. First, local voters must authorize a district bond for specific projects. Then, the district can use the bond proceeds to fund its share of the project before applying for state matching funds. The state can pay up to 50% of new construction and 60% of modernization projects when state funds are available.
5. What are the District’s actions to maximize state matching funds from the State School Facility Program?
On September 11, 2012 after passing the Measure E bond, the Board adopted Resolution 2013.10 Supporting the Application for the State School Facility Program. The Board then hired Jack Schreder & Associates to compile information and complete the eligibility application process for state matching funds on February 26, 2013.
Since then, staff has worked with our consultant to maintain our eligibility for state funding. When state funds became available in 2017 after the passing of Prop 51, the District filed its application on October 12, 2017.
With the anticipation of State Proposition 13 passing in the March 2020 ballot, staff is currently working to prepare a new application for 60 percent reimbursement of eligible Bond Measure E modernization projects and Bond Measure AA future projects.
6. Did the District submit a state matching fund application between 2012-2017?
Submitting a state matching fund application takes strategic planning. It depends on the scale and schedule of the bond project; the availability of state funds; and the District’s facility needs and enrollment trend.
During this time period, state funds were depleted. Governor Brown publicly opposed introducing another state bond to fund school projects.
Beginning in November 2012, OPSC stopped processing funding applications until early 2017. No actions were taken for applications submitted during this time.
Based on these circumstances, the District decided not to waste taxpayers money by preparing a funding application until a future state bond proposition became a possibility. Each time, there is a cost analysis associated with preparing and submitting an application. The District has been strategically planning for the timing to submit our applications.
In mid-2017, OPSC started to process funding applications again after voters passed State Prop 51 in November 2016. The District submitted its application in October 2017.
In August 2019, the District began working on new applications for reimbursement of eligible Measure E modernization projects. At the Aug. 27 meeting, it was shared that the District has more opportunities to access potential state funds since we have not received them in two decades. This comes with the speculation of Prop 13 passing in March 2020. District staff shared this encouraging news in our “Board Highlights” electronic newsletter.
7. How does a district qualify for state facilities funds?
Historically it depends on the size of the District. Our District's facility needs were estimated at more than $760 million. The District must pass a local bond before we can apply for state matching funds. The state matching funds are not a guaranteed funding source and are not equitably distributed throughout the state. Larger districts, such as Los Angeles, San Diego and Long Beach Unified school districts, drain a majority of the available state funds.
Any district can submit a funding application. However, the state decides when and how much, if any, a district will receive. Not all projects are qualified for a matching fund, and it is necessary to determine the eligibility of a project before a funding application can be submitted.
Yes. Mabel Mattos Elementary School New Construction Funding Application was submitted on October 12, 2017. The District received a 90-day notification from the State Office of Public School Construction (OPSC) on January 6, 2020 to review the District’s application of $16.8 million.
2. Has Milpitas Unified School District ever received any state matching funds from the State School Facility Program?
Yes. The District received a total of $23,980,633 from State Proposition 1A starting in the 1999-2000 school year for 1996 voter-approved bond projects.
3. Why has Milpitas Unified School District not applied for any state matching funds from the State School Facility Program since the 1996 bond?
The District did not have a bond since 1996. Therefore, the District did not have any available capital projects to apply for state matching funds from the State School Facility Program.
After local voters approved Bond Measure E in June 2012, the District had eligible projects but, at the time, State Proposition 1D funds were depleted, which means no funds were available until State Proposition 51 passed in November 2016.
4. Can school districts apply for state matching funds from the State School Facility Program without a bond in place?
It is not generally possible to do so. First, local voters must authorize a district bond for specific projects. Then, the district can use the bond proceeds to fund its share of the project before applying for state matching funds. The state can pay up to 50% of new construction and 60% of modernization projects when state funds are available.
5. What are the District’s actions to maximize state matching funds from the State School Facility Program?
On September 11, 2012 after passing the Measure E bond, the Board adopted Resolution 2013.10 Supporting the Application for the State School Facility Program. The Board then hired Jack Schreder & Associates to compile information and complete the eligibility application process for state matching funds on February 26, 2013.
Since then, staff has worked with our consultant to maintain our eligibility for state funding. When state funds became available in 2017 after the passing of Prop 51, the District filed its application on October 12, 2017.
With the anticipation of State Proposition 13 passing in the March 2020 ballot, staff is currently working to prepare a new application for 60 percent reimbursement of eligible Bond Measure E modernization projects and Bond Measure AA future projects.
6. Did the District submit a state matching fund application between 2012-2017?
Submitting a state matching fund application takes strategic planning. It depends on the scale and schedule of the bond project; the availability of state funds; and the District’s facility needs and enrollment trend.
During this time period, state funds were depleted. Governor Brown publicly opposed introducing another state bond to fund school projects.
Beginning in November 2012, OPSC stopped processing funding applications until early 2017. No actions were taken for applications submitted during this time.
Based on these circumstances, the District decided not to waste taxpayers money by preparing a funding application until a future state bond proposition became a possibility. Each time, there is a cost analysis associated with preparing and submitting an application. The District has been strategically planning for the timing to submit our applications.
In mid-2017, OPSC started to process funding applications again after voters passed State Prop 51 in November 2016. The District submitted its application in October 2017.
In August 2019, the District began working on new applications for reimbursement of eligible Measure E modernization projects. At the Aug. 27 meeting, it was shared that the District has more opportunities to access potential state funds since we have not received them in two decades. This comes with the speculation of Prop 13 passing in March 2020. District staff shared this encouraging news in our “Board Highlights” electronic newsletter.
7. How does a district qualify for state facilities funds?
Historically it depends on the size of the District. Our District's facility needs were estimated at more than $760 million. The District must pass a local bond before we can apply for state matching funds. The state matching funds are not a guaranteed funding source and are not equitably distributed throughout the state. Larger districts, such as Los Angeles, San Diego and Long Beach Unified school districts, drain a majority of the available state funds.
Any district can submit a funding application. However, the state decides when and how much, if any, a district will receive. Not all projects are qualified for a matching fund, and it is necessary to determine the eligibility of a project before a funding application can be submitted.
