Ariz. Admin. Code § R7-6-502 - Funding for New School Facilities or Additional Square Footage

A. The Board shall prepare a New Construction Analysis for a school district that requests funding for additional square footage under the capital plan submitted under R7-6-501 . The Board shall review the data submitted by the school district to determine student capacity of the school district, district student population projections, and existing square footage in the district. The Board shall provide a copy of the New Construction Analysis to the applicable school district.
B. If a school district proposes to locate a new school facility in territory in the vicinity of an airport, as defined in A.R.S. § 28-8461, the Board shall provide notice to the airport of the proposed new school facility and seek comments and analysis concerning whether the high noise or accident potential associated with airport operations is compatible with the proposed school facility and public health and safety. The Board shall consider the comments and analysis provided by the airport before deciding whether to fund the new school facility.
C. At an open meeting and after reviewing the New Construction Analysis prepared under subsection (A) and hearing from members of the applicable school district, the Board shall decide the number of square feet and students to be funded for the district, the funding per square foot approved by the legislature, and the total budget based on the funding per square foot.
D. After a school district signs the Terms and Conditions for New School Funding, the Board may make five percent of the funds approved available for architectural and engineering fees. The school district is responsible for deciding the actual amount spent on architectural and engineering fees.
E. A school district that is approved for funding for additional square footage shall proceed with the design development plan and specifications for the project. The school district shall submit to the Board one or more copies of the proposed drawings, specifications, schematic design, and budget estimates. The school district shall ensure all elements of new construction, excluding land acquisition, are included in the estimated budget. These elements include, but are not limited to:
1. Architectural and engineering fees;
2. Surveying, testing, obtaining permits, advertising, and printing;
3. Construction costs;
4. Furniture, fixtures, and equipment;
5. Any necessary project management; and
6. A three percent contingency amount to ensure the completed project meets all Minimum Adequacy Guidelines.

F. If the school district includes reasonable upgrades to the new construction project for energy conservation purposes, the Board shall provide funding upgrades above the formula based award to cover the full amount of the upgrade. Upgrades will only be funded if the upgrade receives pre-approval by the Board staff and the school district architect or engineer certifies that the upgrade will provide dollar savings in excess of the cost of the upgrade within an eight-year period.

G.F. After reviewing the materials submitted under subsection (E), the Board shall decide whether to authorize the school district to proceed with construction of the additional square footage. The Board shall base the decision on whether the project is within the original scope and Board approval, the project meets the Minimum Adequacy Guidelines, initial comments from the local building authority and whether revised student population projections continue to justify the additional square footage. If the Board authorizes the school district to proceed, the school district may initiate construction. If the Board determines a project is outside of the original scope and /or Board approval or does not meet the Minimum Adequacy Guidelines, the Board may instruct the school district to resubmit under subsection (E) or make an alternative decision. Other funds may be used by the school district in conjunction with the Board approved funding.

H. Upon receipt of bids by the school district, the Executive Director shall authorize the district to proceed with the contract if the school district has documented that it has obtained local (city, county or equivalent) building department approval, and the bid is within the original scope and Board approved budget, and meets the building adequacy standards. The Executive Director may make an alternative recommendation to the full Board.

I. The Board-approved funding for additional square footage shall be available to the school district for one year from the date of notification. The bid process shall be completed within the one-year period. The Board shall consider requests for an extension beyond the one year and may grant an extension for good reason.

J.G. The Board may modify or waive the requirements of this Section for good cause.

Notes

Ariz. Admin. Code § R7-6-502
New Section made by exempt rulemaking at 8 A.A.R. 287, effective June 7, 2001 (Supp. 01-4). Amended by final rulemaking at 28 A.A.R. 3939, effective 2/5/2023.

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