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                                                      PRINTER'S NO. 3080

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 2292 Session of 1990


        INTRODUCED BY DISTLER, GODSHALL, FOX, CARLSON, BUNT, VROON,
           PITTS, D. R. WRIGHT, BELARDI, FARGO, TRELLO, D. W. SNYDER,
           SERAFINI, FARMER, LEH AND PESCI, FEBRUARY 12, 1990

        REFERRED TO COMMITTEE ON EDUCATION, FEBRUARY 12, 1990

                                     AN ACT

     1  Amending the act of March 10, 1949 (P.L.30, No.14), entitled "An
     2     act relating to the public school system, including certain
     3     provisions applicable as well to private and parochial
     4     schools; amending, revising, consolidating and changing the
     5     laws relating thereto," requiring a public hearing and
     6     referendum prior to the construction of school buildings with
     7     certain facilities.

     8     The General Assembly of the Commonwealth of Pennsylvania
     9  hereby enacts as follows:
    10     Section 1.  Section 701.1 of the act of March 10, 1949
    11  (P.L.30, No.14), known as the Public School Code of 1949, added
    12  June 27, 1973 (P.L.75, No.34), is amended to read:
    13     Section 701.1.  Referendum or Public Hearing Required Prior
    14  to Construction or Lease.--(a)  Except where the approval of the
    15  electors is obtained to incur indebtedness to finance the
    16  construction of a school project, the board of school directors
    17  of any school district of the second, third or fourth classes,
    18  shall not construct, enter into a contract to construct or enter
    19  into a contract to lease a new school building or substantial
    20  addition to an existing school building without the consent of

     1  the electors obtained by referendum or without holding a public
     2  hearing as hereinafter provided. In the event that a new school
     3  building or a substantial addition to an existing building is to
     4  be constructed or leased, the school board shall, by a majority
     5  vote of all its members, authorize a maximum project cost and a
     6  maximum building construction cost to be financed by the
     7  district or amortized by lease rentals to be paid by the
     8  district. Building construction cost shall consist of the cost
     9  of all building construction including general construction
    10  costs, plumbing, heating, electrical, ventilating and other
    11  structural costs, equipment and fixtures and architectural and
    12  engineering fees relating thereto, but not including costs for
    13  site acquisition and development, rough grading to receive the
    14  building, sewage treatment facilities or equivalent capital
    15  contributions, and architectural and engineering fees relating
    16  thereto. In all cases, a public hearing shall be held not later
    17  than thirty (30) days before the school district submits the
    18  initial building construction cost estimates to the Department
    19  of Education for approval. Notice of the hearing shall be given
    20  not later than twenty (20) days before the date of the scheduled
    21  hearing. In the event that the maximum building construction
    22  cost authorization exceeds the aggregate building expenditure
    23  standard hereinafter specified, the aforesaid authorization of
    24  the school board shall be submitted to the electors of the
    25  school district for their approval within six (6) months prior
    26  to submission of the final building construction cost bids to
    27  the Department of Education for approval. Such referendum shall
    28  be held in the same manner as provided by law for the approval
    29  of the incurring of indebtedness by referendum. The question as
    30  submitted shall specify the maximum project cost, the maximum
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     1  building construction cost and the annual sinking fund charge or
     2  lease rental to be incurred by the school district and the
     3  portion of such charge or rental expected to be reimbursed by
     4  the Commonwealth. If the final building construction cost bids
     5  to be submitted to the Department of Education for approval are
     6  less than the aggregate building expenditure standard hereafter
     7  specified but exceed by eight (8) per cent or more the initial
     8  building construction cost estimates submitted to the Department
     9  for approval, a second public hearing shall be held before the
    10  Department shall give its final approval.
    11     The applicable aggregate building expenditure standard shall
    12  be a total amount calculated for each building or substantial
    13  addition by multiplying the rated pupil capacity under the
    14  approved room schedule by the following: two thousand eight
    15  hundred dollars ($2,800) for each pupil of rated elementary
    16  capacity; four thousand two hundred dollars ($4,200) for each
    17  pupil of rated secondary capacity in grades seven, eight and
    18  nine and five thousand two hundred dollars ($5,200) for each
    19  pupil of rated secondary capacity in grades ten, eleven and
    20  twelve and five thousand two hundred dollars ($5,200) for each
    21  pupil of rated vocational-technical capacity in grades ten,
    22  eleven and twelve to not include the cost of equipment and
    23  fixtures in such vocational-technical schools: Provided,
    24  however, That each of the preceding per pupil amounts shall be
    25  adjusted by the Department of Education on July 1, 1974; and
    26  annually thereafter by multiplying said amounts by the ratio of
    27  the composite construction cost index compiled and published by
    28  the United States Department of Commerce for the preceding
    29  calendar year to such index for the next preceding calendar
    30  year. Rated elementary pupil capacity or rated secondary pupil
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     1  capacity for any school building shall be the rated pupil
     2  capacity determined on the basis of the method used by the
     3  Department for school building reimbursement purposes during the
     4  school year 1971-1972.
     5     For purposes of this section:
     6     (1)  "Site acquisition" includes the cost of land and mineral
     7  rights, demolition and clearing, rights-of-way and related
     8  utility relocations, surveys and soils analysis, and the cost of
     9  all fees relating thereto.
    10     (2)  "Site development" includes excavation, grouting or
    11  shoring, special foundations for buildings, access roads to
    12  site, utilities on site, extension of utilities to site.
    13     (3)  "Equipment and fixtures" means property fixed or movable
    14  which is incidental and necessary to conduct the educational
    15  program, and includes, but is not limited to movable equipment
    16  such as desks, chairs, tables, portable physical education
    17  equipment, audio-visual equipment and science, homemaking,
    18  industrial art and business equipment and instructional
    19  materials and fixtures such as casework, laboratory equipment,
    20  kitchen equipment, auditorium seating and any other special
    21  fixtures or equipment required to conduct a particular
    22  educational program.
    23     (4)  "Substantial addition" means more than twenty (20) per
    24  centum of the area and replacement value of the structure to
    25  which the improvement is to be added.
    26     (b)  Notwithstanding the provisions of subsection (a), the
    27  board of directors shall not construct, enter into a contract to
    28  construct or enter into a contract to lease a new school
    29  building or an expansion of an existing building which contains
    30  a swimming pool, additional athletic facilities, athletic
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     1  fieldhouse or an athletic complex without the approval of the
     2  electors obtained by referendum and without holding a public
     3  hearing. The referendum and public hearing shall be conducted in
     4  accordance with the time schedule provisions of subsection (a).
     5     Section 2.  This act shall take effect immediately.

















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