Page 8 - Lozano Smith Property Checklist
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If any of the above entities wishes to purchase or lease the property, the entity must notify
                   the District in writing within 60 days after receiving written notification from the District of its
                   offer to sell or lease the property.  (Ed. Code § 17489.)

                   In the event the Naylor Act applies, the District may seek a waiver of Naylor Act requirements
                   from the California Department of Education.  (Ed. Code § 33050.)  To request a waiver, the
                   District must do the following:

                      Enable the employees’ unions to participate in the development of the waiver.  (Ed. Code
                       § 33050 (d).)

                      Hold a public hearing on the issue.  (Ed. Code § 33050 (a).)

                      Submit an application to the State Board of Education.

                      The State Board of Education must provide 30 days written notice of the hearing on the
                       waiver to each public agency to which an offer of sale or lease must be made under the
                       Naylor Act.  (Ed. Code § 33051.5.)

                   If the Naylor Act applies, the price of the land shall not exceed the school district’s cost of the
                   original acquisition, with adjustments made for any percentage increase or decrease in the
                   CPI from the original date of purchase to the year in which the offer of sale is made, plus the
                   cost of any improvement to the land made by the school district since the original
                   acquisition.  However, the final sale price shall not be less than 25 percent of the fair market
                   value of the land or less than the amount necessary to retire the share of local bonded
                   indebtedness plus the amount of the original cost of the approved state aid applications on
                   the property.  (Ed. Code § 17491(a).).

                   If public entities decline a school district’s offer to sell or lease school property under the
                   Naylor Act, the property may be sold, leased and/or developed to the same extent as is
                   permitted on adjacent property.  The process of zoning necessary for such development is to
                   be expedited by the local city or county.  (Gov. Code § 65852.9.)

               B.  Offers to Sell or Lease with Option to Purchase
                   The District must first make written solicitations to the following government agencies:  any
                   park or recreation department of any city or county within which the land is situated, any
                   regional park authority having jurisdiction within the area in which the land is situated, and
                   the State Resources Agency.  Such agencies must use the property for park and recreational
                   purposes if they purchase or lease the property under Government Code section 54222.  (Ed.
                   Code § 17464(b); Gov. Code § 54222(b).)

                      Government Code section 54222 also requires written solicitations to additional
                       government agencies, however, by declaring the property as “exempt surplus land,”
                       discussed above, the District appears to be exempt from these requirements.  This is an

                                 Checklist for Sale or Lease of School District Surplus Property   6
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