Current through Register Vol. 49, No. 9, September, 2024
THE COMMISSION FOR ARKANSAS PUBLIC SCHOOL ACADEMIC
FACILITIES AND TRANSPORTATION RULES GOVERNING THE ACADEMIC FACILITIES
CATASTROPHIC PROGRAM
Effective: May 2, 2022
1.00 REGULATORY AUTHORITY
The Commission for Arkansas Public School Academic Facilities
and Transportation has authority to promulgate these Rules under Ark. Code Ann.
§§
6-20-2501
et seq.
and 25-15-201
et
seq.
2.00 PURPOSE
The purpose of these Rules is to establish a program and
process of providing state financial participation to a school district based
on a school district's academic facilities wealth index for eligible
catastrophic repairs and new construction projects to supplement insurance or
other public or private emergency assistance received by or payable to the
school district.
3.00
DEFINITIONS
3.01 "Academic facility" has the
same meaning as in Ark. Code Ann. § 6-202502(2).
3.02 "Academic facilities wealth index" has
the same meaning as in Ark. Code Ann. §
6-20-2502(1).
3.03 "Act of God or violence" means an act,
event, happening, or occurrence due to natural or man-made causes (whether a
criminal act or otherwise) such as flood, tornado, fire, earthquake, explosion,
or other disasters that could not have been prevented by reasonable
maintenance, repair, or renovation of an academic facility.
3.04 "Average daily membership" has the same
meaning as in Ark. Code Ann. §
6-20-2502(3).
3.05 "Catastrophic project" means a repair,
renovation, or new construction project necessary due to such great damage or
destruction to an academic facility caused by an Act of God or
violence.
3.06 "Commission" means
the Commission for Arkansas Public School Academic Facilities and
Transportation.
3.07 "Division"
means the Arkansas Division of Public School Academic Facilities and
Transportation.
3.08 "Local
enhancements" means the portion of any maintenance, repair, or renovation
project or new construction project that is designed to bring an academic
facility or related areas such as the physical plant or grounds to a state or
condition or efficiency that exceeds state academic facilities
standards.
3.09 "Local resources"
means any moneys lawfully generated by a school district for the purpose of
funding the school district's share of financial participation in any academic
facilities project for which a school district is eligible to receive state
financial participation under priorities established by the Division. Also
referred to as "raised funds" for the purpose of defining a self-funded
project.
3.10 "Maintenance, repair,
and renovation" means any activity or improvement to an academic facility and,
if necessary, related areas such as the physical plant and grounds that
maintains, conserves, or protects the state of condition or efficiency of an
academic facility.
3.11 "Millage
rate" means the millage rate listed in the most recent tax ordinance approved
by the county quorum court under the authority of Ark. Code Ann. §
14-14-904.
3.12 "New construction" means any improvement
to an academic facility and, if necessary, related areas such as the physical
plant and grounds that brings the state of condition or efficiency of the
academic facility to a state of condition or efficiency better than the
academic facility's current condition of completeness or efficiency. "New
construction" includes a new addition to an existing academic facility and
construction of a new academic facility.
3.13 "Project" means an undertaking in which
a school district engages in:
3.13.1
Maintenance, repair and renovation activities with regard to an academic
facility;
3.13.2 New construction
of an academic facility; or
3.13.3
Any combination of maintenance, repair, and renovation activities with regard
to an academic facility and new construction activities with regard to an
academic facility.
3.14
"Space utilization" means the number of gross square feet per student in a
public school academic facility adjusted for academic program, school
enrollment, grade configuration, and type of public school in accordance with
rules promulgated by the Commission for Arkansas Public School Academic
Facilities and Transportation.
4.00 ACADEMIC FACILITIES CATASTROPHIC PROGRAM
APPLICATION PROCESS
4.01 A school district may
apply for state financial participation to assist with a catastrophic project
provided an academic facility in the district has been damaged due to an Act of
God or violence that otherwise could not have been prevented by reasonable
maintenance, repair or, renovation of the academic facility. The school
district must apply in writing to the Division within sixty (60) days of the
event of damage occurring. However, the Division may waive this requirement for
good cause.
4.02 As part of its
application for state financial participation in a catastrophic project, the
school district shall complete the Catastrophic Program Application form that
is posted on the Division's website, and shall provide the Division with the
completed form and the following documented evidence:
4.02.1 The estimated cost of the project by a
design or construction professional;
4.02.2 The availability of insurance and any
other public or private emergency assistance to pay for the project;
4.02.3 A notarized statement from the school
district treasurer certifying that the amount of state assistance requested for
the emergency project is not covered by insurance or other public or private
emergency assistance received by or payable to the school district;
4.02.4 A written estimate from a licensed
architect, engineer, or contractor of the cost to repair the damaged
facilities;
4.02.5 A written
statement of how the catastrophic project supports the prudent and resourceful
expenditure of state funds and improves the school district's ability to
deliver an adequate and equitable education to public school students in the
district; and
4.02.6 Proof of full
replacement value insurance to include a provision requiring code
upgrades.
4.03 The
Division shall evaluate a school district's application for catastrophic
assistance and may conduct an on-site inspection prior to making a decision on
the application as it deems necessary.
4.04 The application shall be submitted to
the office of the Director of the Division:
4.04.1 Via first class mail, return receipt
requested;
4.04.2 Via hand delivery
during normal business hours, with the school district receiving a stamped
recognition of the delivery; or
4.04.3 Via electronic mail, with the school
district receiving an electronic mail response confirming receipt (not
including automatically generated delivery confirmations).
5.00 DIVISION APPROVAL
CRITERIA
5.01 The Division's consideration and
approval will be based on several factors, including but not limited to the
following:
5.01.1 School district compliance
with appropriate academic facility standards, including but not limited to,
appropriate space utilization;
5.01.2 The amount of availability of
insurance or other public or private emergency assistance;
5.01.3 The academic facilities wealth index
of the school district;
5.01.4 The
prudent and resourceful expenditure of state funds with regard to public school
academic facilities;
5.01.5 Whether
the facility is considered an academic facility. For example, the Division
shall not consider for approval applications for the replacement or repair of
administrative buildings, athletic fields, and other facilities not meeting the
definition of an academic facility; and
5.01.6 Whether the insurance as required in
Section 4.02.6 of these Rules is in force at the time of the catastrophic
loss.
5.02 The Division
shall consider each application for state financial participation in a
catastrophic project on a case-by-case basis, taking into account the funding
for the catastrophic program.
6.00 DIVISION AND SCHOOL DISTRICT OBLIGATIONS
6.01 If a school district qualifies for state
financial participation under these Rules, the Division shall, within thirty
(30) calendar days of approval, certify the amount of the state financial
participation to the Commission for oversight purposes and the Commission
shall, within thirty (30) calendar days of the receipt of the written notice of
certification, certify the amount to the Arkansas Department of
Education.
6.02 School districts
shall track and account for the catastrophic funds received as state financial
participation under these Rules as restricted funds and shall account for the
funds in accordance with provisions of law, including but not limited to, the
Arkansas Educational Financial Accounting and Reporting Act of 2004, Ark. Code
Ann. §
6-20-2201
et seq.
and rules established by the Arkansas State Board of Education and the
Commission.
6.03 Approved school
districts shall make every effort to conform a catastrophic project to current
academic facilities standards, including appropriate space utilization
requirements, unless the Division determines it is impractical to conform the
catastrophic project to current standards.
6.04 School districts shall use state
financial participation funds in a catastrophic program to pay only for the
cost of that portion of a catastrophic project that is not covered by insurance
or other public or private emergency assistance received by or payable to the
school district.
6.05 School
districts shall comply with all local, state, and federal laws and rules
related to construction, repair, or renovation projects including, but not
limited to, bidding laws and rules.
6.06 The amount of state financial
participation shall not exceed the amount resulting from the application of the
academic facilities wealth index to the cost necessary to bring the academic
facility into compliance with the Arkansas Public School Academic Facility
Manual, less any withholding or reduction imposed by the Commission under Ark.
Code Ann. §
6-21-114(d) for a
school district's failure to comply with the Commission's insurance
requirements, including without limitation the failure to carry replacement
cost coverage, if applicable, on all buildings and facilities. State financial
participation for any approved catastrophic project will be calculated using
the most current wealth index applicable to the school district at the time the
application was approved.
7.00 APPEAL PROCESS
A school district may appeal any written determination of the
Division in accordance with the Commission for Arkansas Public School Academic
Facilities and Transportation Rules Governing Appeals from Determinations of
the Arkansas Division of Public School Academic Facilities and
Transportation.