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If the Naylor Act applies and the property is not exempted, the district must make a written
                   offer to sell or lease the property to the applicable entities listed below for use as an outdoor
                   recreational space.  These offers are often made simultaneously.

                   o  First priority to any city within which the land is situated.


                   o  Second priority to any park or recreation district within which the land is situated.

                   o  Third priority to any regional park authority having jurisdiction within the area in which
                       the land is situated.


                   o  Fourth priority to any county within which the land is situated.

                   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:


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

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


                   o  Submit an application to the State Board of Education.

                   o  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







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