Board members were expected to declare one of two idle properties surplus last week but changed their minds about the 6.5-acre parcel in Chino Hills after discovering it would lose out on state-funded bond projects for 10 years.
"With any funds, there are restrictions, and with these funds the district would be limited to using them for a one-time expenditure, such as capital facility improvements," said Greg Stachura, the assistant superintendent of facilities planning and operations.
If the district chooses to sell the property near Chino Hills High School, it would be barred from receiving revenue from bond sales by the state or through the State Allocation Board, he said.
"So that would limit us to not being able to receive any funds for future modernization, and having to bow out to those programs we would be limiting ... what we could do for the district," Stachura said.
The recommendation to sell the property came from the district's Surplus Property Citizens Advisory Committee. The committee's objective is to review all district property for possible disposition, said Art Bennett, a Chino Hills councilman who is on the committee.
"It's on an area that is considered multifamily residential.
Board member James Na asked if it would be easier to do "an exchange for the property," but Stachura wasn't sure.
"I don't know what the law or state would require if we did a property exchange. That is not something we explored or discussed as a committee or legal counsel," he said.
Despite having a potential buyer, board members requested that the item be brought back with more information on the repercussions of selling the property.
The land was previously owned by the Galstian Family Trust and was purchased in 1989 through the district's Land Bank Program for $366,500, according to the committee's final report to the board.
In August, an appraisal set the property's value at $1.3 million. The same agenda item included a vacant 13.75-acre property on Yorba Avenue in Chino. The district bought the land in 1989 for $2.7 million through the same program.
An appraisal in September 2011 set the value at $3.4 million.
The Advisory Committee recommended that the Chino property not be declared surplus.
Board members approved the committee's recommendation to direct staff to explore options for the use or disposition of the Chino property and the hiring of a broker or consultant to advise on options, the item says.
The advisory committee will reconvene to consider more information about its recommendation.
The Chino Valley Unified board's next meeting is March 7.
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