2007 California Government Code Chapter 3.2.2. Revenue Bond Financing Of Prison Construction--phase Ii

CA Codes (gov:15819.41-15819.417)

15819.41.  (a) The Department of Corrections and Rehabilitation
shall complete site assessments at prison facilities where it intends
to construct or renovate additional prison housing units, prison
support buildings, and programming space in order to add
approximately 4,000 beds at existing prison facilities. The
department may use the funding provided in Section 28 of Chapter 7 of
the Statutes of 2007 to complete the site assessments. After
completing these site assessments the department shall define the
scope and costs of each project pursuant to subdivision (d).  This
authorization is in addition to the authorization in subdivision (a)
of Section 15891.40. Any new beds constructed shall be supported by
rehabilitative programming for inmates, including, but not limited
to, education, vocational programs, substance abuse treatment
programs, employment programs, and prerelease planning. The
Department of Corrections and Rehabilitation is authorized to design,
construct, or renovate prison housing units, prison support
buildings, and programming space in order to add approximately 4,000
beds at existing prison facilities. This authorization is in addition
to the authorization in subdivision (a) of Section 15819.40. Any new
beds constructed shall be supported by rehabilitative programming
for inmates, including, but not limited to, education, vocational
programs, substance abuse treatment programs, employment programs,
and prerelease planning. The authority contained in this subparagraph
together with the funds appropriated in Section 15819.413 for this
purpose, shall constitute the scope and cost of a single capital
outlay project for purposes of calculating augmentations pursuant to
Section 13332.11 as described in Section 15819.411.
   (b) The Department of Corrections and Rehabilitation is authorized
to design and construct new, or renovate existing buildings at
facilities under the jurisdiction of the department to provide
medical, dental, and mental health treatment or housing for
approximately 2,000 inmates. This authorization is in addition to the
authorization in subdivision (c) of Section 15819.40. The authority
contained in this subparagraph together with the funds appropriated
in Section 15819.413 for this purpose, shall constitute the scope and
cost of a single capital outlay project for purposes of calculating
augmentations pursuant to Section 13332.11 as described in Section
15819.411.
   (c) The Department of Corrections and Rehabilitation is authorized
to construct, establish, and operate reentry program facilities
throughout the state that will house approximately 10,000 inmates
pursuant to Section 6271.1 of the Penal Code, and together with the
funds appropriated in Section 15819.413 for this purpose, this shall
constitute the scope and cost of a single capital outlay project for
purposes of calculating augmentations pursuant to Section 13332.11 as
described in Section 15819.411.
   (d) (1) The reporting requirements set forth in Sections 7000 to
7003.5, inclusive, of the Penal Code, shall apply separately to each
institution or facility. The scope and cost of the project for each
institution or facility shall be established by the State Public
Works Board individually. The amount of the total appropriations in
Section 15819.413 that is necessary for each project shall be
allocated to each institution or facility project. The appropriations
may be allocated based on current estimates. These initial
allocations may be adjusted commensurate to changes that occur during
the progression of the projects.  As allocations are made or
adjusted, the anticipated deficit or savings shall be continuously
traced and reported. Once the total appropriation has been allocated,
any augmentation necessary to fund an anticipated deficit shall be
based on the total applicable capital outlay appropriation in Section
15819.413 and applied to each project allocation as necessary.
   (2) For each institution, the department shall report to the Joint
Legislative Budget Committee, identifying those projects that the
department proposes to undertake, and any support buildings, and
programming space to support approximately 4,000 new beds at existing
institutions. For each institution, the department shall describe
the scope, budget, schedule, number of beds by security level, along
with approximate square footage of prison support buildings, and
programming space to be constructed or renovated. If after providing
these reports, the committee fails to take any action with respect to
each report within 30 days after submittal, this inaction shall be
deemed to be approval for purposes of this section, and the
department is authorized to proceed to design, construct, or renovate
prison housing units, support buildings, and programming space for
each institution for which a report has been approved.
   (3) The Department of Corrections and Rehabilitation shall notify
the Joint Legislative Budget Committee 45 days prior to the
submission of preliminary plans to the board for each project
authorized in this section. If after providing these notifications,
the committee fails to take any action with respect to each report
within 45 days after submittal, this inaction shall be deemed to be
approval for purposes of this section, and the department is
authorized to design, construct, or renovate prison housing units,
support buildings, and programming space for each institution for
which a report has been approved.
   (4) The Department of Corrections and Rehabilitation shall report
quarterly to the Joint Legislative Budget Committee on the
allocations from the appropriations in Section 15819.413 and the
anticipated deficit or savings. Each reentry program facility
authorized under subdivision (c) shall be considered to be a separate
project. Each medical, mental health, or dental building improvement
authorized under subdivision (b) shall be considered to be a
separate project, except that building improvements that have a
related purpose and that are located at the same prison may be
considered one project, for reporting purposes pursuant to Sections
7000 and 7003.5 of the Penal Code.



15819.411.  The scope and costs of the projects authorized by this
chapter shall be subject to approval and administrative oversight by
the State Public Works Board, including augmentations, pursuant to
Section 13332.11. For purposes of this chapter, the availability of
an augmentation for each individual project allocation shall be
calculated based on the total applicable capital outlay appropriation
contained in Section 15819.413 and is not limited to 20 percent of
the individual project allocation.



15819.412.  For all projects approved for financing by the board
pursuant to Section 15819.41, the board may borrow funds for project
costs, including studies, preliminary plans and working drawings,
construction, and construction-related costs from the Pooled Money
Investment Account pursuant to Sections 16312 and 16313. Project
funds expended prior to project approval by the board shall not be
reimbursable from the proceeds of the bonds.



15819.413.  (a) The board may issue revenue bonds, negotiable notes,
or negotiable bond anticipation notes pursuant to this part to
finance the design, construction, and the costs of interim financing
of the projects authorized in Section 15819.41. Authorized costs for
design, construction, and construction-related costs, for all
projects approved for financing by the board shall not exceed six
hundred million dollars (0,000,000) for subdivision (a) of Section
15819.41, two hundred eighty-five million seven hundred thousand
dollars (5,700,000) for subdivision (b) of Section 15819.41, and
one billion six hundred twenty-five million dollars (,625,000,000)
for subdivision (c) of Section 15819.41.
   (b) Notwithstanding Section 13340, funds derived from interim
financing, revenue bonds, negotiable notes, or negotiable bond
anticipation notes issued pursuant to this chapter are hereby
continuously appropriated to the board on behalf of the Department of
Corrections and Rehabilitation for the purposes specified in Section
15819.41.
   (c) For the purposes of this section, "construction-related costs"
shall include mitigation costs of local government and school
districts and shall be made available pursuant to subdivisions (c)
and (d) of Section 7005.5 of the Penal Code. It is the intent of the
Legislature that any payments made for mitigation shall be made in a
timely manner.


15819.414.  Notwithstanding Section 15819.413, the amount of revenue
bonds, negotiable notes, or negotiable bond anticipation notes to be
sold shall equal the following:
   (a) The cost of design, construction or construction management
and supervision, and other costs related to the design and
construction of the facilities, including augmentations.
   (b) Sums necessary to pay interim financing.
   (c) In addition to the amount authorized by Section 15819.413, any
additional amount as may be authorized by the board to establish a
reasonable construction reserve and to pay the costs of financing,
including the payment of interest during acquisition or construction
of the project, the cost of financing a debt-service reserve fund,
and the cost of issuance of permanent financing for the project. This
additional amount may include interest payable on any interim loan
for the facility from the General Fund or the Pooled Money Investment
Account pursuant to Sections 16312 and 16313.



15819.417.  The State Public Works Board may not release any funds
pursuant to this chapter until the panel created pursuant to Section
7021 of the Penal Code has certified that conditions listed in that
section have been met. The authority provided by this chapter shall
expire on January 1, 2014, and no project shall be commenced after
that date, but projects already commenced may be completed.