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Joint City of Pleasanton and Pleasanton Unified School District Liaison Committee <br /> December 12,2016 <br /> Page 4 <br /> Finally, SB 50 provides that the capped fee amounts are also the exclusive method of mitigating school <br /> impacts for the purposes of the California Environmental Quality Act("CEQA"). (Gov. Code, § <br /> 65996(b).) <br /> C. California Building Industry Association ("CBL4') v. State Allocation Board <br /> In May of this year, for the first time,the State Allocation Board("Board")made a finding that state <br /> funds for new school construction are no longer available,and that the Board is no longer approving <br /> apportionments for new construction due to the lack of funds. Therefore,pursuant to provisions of SB <br /> 50(discussed above), the Board authorized the imposition of Level Ill fees for eligible school districts. <br /> The California Building Industry Association("CBIA")then brought a lawsuit against the Board, in an <br /> attempt to enjoin the Board from authorizing Level III fees. (California Building Industry Association v. <br /> State Allocation Board(Sacramento Superior Court Case No. 34-2016-80002356).) In the lawsuit, <br /> CBIA alleged that the Board incorrectly found that funds for new school construction are no longer <br /> available, pointing to other existing sources of school facility financing(including state funds dedicated <br /> to seismic improvements).4 The trial court rejected CBIA arguments,and upheld the findings of the <br /> Board. The CBIA filed an appeal of the trial court's decision,which was denied by the Third District <br /> Court of Appeal on October 28,2016. (Case No. C082812.)5 <br /> HI. SCHOOL FACILITIES AND CEQA <br /> As mentioned above, SB 50 amended Government Code section 65996 to provide in relevant part that <br /> the capped fee amounts"shall be the exclusive methods for considering and mitigating impacts on <br /> school facilities that occur or might occur as a result of any legislative or adjudicative act. . . involving <br /> [the approval of the] development of real property . . . ."(Gov. Code, § 65996(a).) <br /> SB 50 also added the following language to Government Code section 65996: <br /> (b) The provisions of this chapter are hereby deemed to provide full and complete school <br /> facilities mitigation and, notwithstanding[Government Code] Section 65858 ,or <br /> [CEQA], or any other provision of state or local law,a state or local agency may not deny <br /> or refuse to approve [the] development of real property . . . on the basis that school <br /> facilities are inadequate . <br /> (c) For purposes of this section, `school facilities' means any school-related <br /> consideration relating to a school district's ability to accommodate enrollment. <br /> The City of Dublin filed an amicus curiae("friends of the court")brief on behalf of the Board. <br /> ' Notwithstanding this litigation,given the approval of the 9 billion dollar state school bond measure on the November 2016 <br /> ballot(Proposition 51),Level III fees will likely no longer be authorized once the Board begins to approve and fund <br /> apportionments. <br />