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7‑Eleven surplus committee seeks more data before recommending disposition of closed school sites
Summary
The subcommittee received an update from the 7‑Eleven surplus committee, which asked for more information on closed school properties and explored whether Education Code 17462 could permit a narrow one‑time transfer to the general fund; the committee recommended referring three sites for review while timing appraisal costs with charter renewals.
Felicia provided the Board Finance Subcommittee an update on the 7‑Eleven surplus committee's initial meetings and data review, and the group discussed next steps, legal constraints and appraisal costs for several closed school sites.
Felicia said the committee's first meeting established guidelines and responsibilities; the second meeting gave members the data needed to begin recommending potential uses or surpluses for closed sites. Staff briefed the committee on applicable provisions of Education Code 17462, which in very restricted circumstances can allow proceeds from a lease or sale of school property to be transferred to the district's general fund but requires state allocation board approval and a high threshold of conditions (including demonstration that there is no deferred maintenance or need for new construction).
Committee members discussed three candidate properties (Lewis Brook Hill/Doyle and others) and additional sites including Slater, Steel Lane and Commtock. Members noted appraisal cost estimates (roughly $19,000 for three appraisals; about $10,000–15,000 if limited to two properties) and recommended referring all three properties to the 7‑Eleven committee while asking staff to time any property‑related expenses for specific sites until charter renewals are complete in 60–90 days.
Why it matters: selling or leasing closed school property can produce one‑time funds but may forfeit eligibility for future facility reimbursements; Education Code 17462 allows limited transfers to general fund only under strict conditions, which the committee said would make such actions a narrow, case‑by‑case choice rather than a general solution to ongoing budget shortfalls.
The committee will return with additional data, appraisals and scenario options (site‑by‑site alternatives and combined scenarios) so the full board can weigh tradeoffs and legal constraints.
