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New law lets districts lead small construction projects; board staff outlines oversight forms
Summary
After a 2021 law took effect, board staff outlined implementation steps letting local school systems manage capital projects under $500,000 and certain HVAC/roofing repairs without mandatory Division of Construction Management review.
Board staff reviewed changes stemming from a 2021 law (referred to in the meeting as House Bill 220) that returns some local control to school systems for capital projects below $500,000 and for certain HVAC and roofing repairs.
What the law does and implementation steps Under the law described to the board, local education agencies may proceed with capital improvement projects under $500,000, certified by a licensed architect or engineer, without mandatory review by the State Department of Education’s Division of Construction Management (DCM). The law also excludes maintenance or repair of HVAC systems or roofing from DCM review when projects fall under the statutory thresholds.
Department staff told the board they will adopt an emergency administrative rule so districts can begin using the new authority when the statutory change takes effect Feb. 1, 2022. To preserve oversight and safety, staff said they will require districts to file a project disclosure and affidavits signed by: (a) the local superintendent or board president (owner representative), (b) the licensed design professional (architect/engineer) certifying the plans and inspections, and (c) the contractor. The forms will explicitly remind signatories of applicable building codes, inspection responsibilities and other safety obligations.
Board members’ concerns and department responses Board members asked whether districts might circumvent oversight by splitting work into multiple sub‑$500,000 projects. Staff said their databases will flag recurring projects and that unusual serial low-dollar projects would prompt follow-up and possible review. Staff also noted that projects using PSCA or other state funds would still require DCM review — the new law applies to locally funded projects.
Staff said DCM will remain available to districts that prefer to use the division’s services. The division also will continue to review projects above the $500,000 threshold and will carry out final inspections on those projects.
Provenance Topic introduction: "So, as you know last year in the legislature, they, took up house bill 220..." (transcript excerpt) Topic finish: "But this law, I think... I think it is more than 99% certain that the current law is going to go into effect February 1." (transcript excerpt)
Ending Staff will finalize forms (disclosure and affidavits), issue emergency rule language to align department processes with the statute, and provide training and a data‑collection process to identify potential serial-splitting of projects. Districts using state funds remain subject to Division of Construction Management review.
