JJCPA - Capital Improvement Projects

September 12, 2001

CHIEF PROBATION OFFICERS
COUNTY ADMINISTRATORS
BOARDS OF SUPERVISORS
OTHER INTERESTED PARTIES

Subject: SCHIFF-CARDENAS CRIME PREVENTION ACT OF 2000 (CPA 2000)
Capital Improvements/Construction

Recently, we received a question from a county asking if CPA 2000 funds, or interest earned from the investment of those funds, could be used for capital improvements to a leased facility housing programs funded by CPA 2000 funds.

Chapter 353, Statutes of 2000, which added Section 30062(c)(3) to the Government Code, specifically precludes the use of these funds for "the costs of any capital project or construction project funded from moneys allocated pursuant to paragraph (4) of subdivision (B) of Section 30061."

However tenant improvements to leased facilities used for the operations of programs funded by CPA 2000 are allowable expenditures, if such improvements are: 1) incorporated into a lease agreement; 2) reasonable; and 3) required for the success of the program.

Although the Board of Corrections (BOC) has previously addressed this and related questions in statewide regional meetings, in our Frequently Asked Questions on our website, and through conversations with county representatives, we are concerned that counties may need additional clarification on this issue. If your county is contemplating the use of CPA 2000 funds for tenant improvements, please immediately contact your assigned CPA 2000, BOC Field Representative (please see attached) to discuss the appropriateness of such expenditures.