SAN LEANDRO -- City Council members voted unanimously Monday night to loan the school district $1.25 million to help it acquire property for a student health clinic.

Currently the home of nonprofit Girls Inc. of Alameda County, the building at 13666 East 14th Street one block from San Leandro High School will be vacated later this year when the organization relocates to a larger building in downtown Oakland, which is being renovated.

The San Leandro Unified School District was awarded a $500,000 grant, the maximum possible, last year from the Affordable Care Act's School-based Health Center Capital Program to aid in the creation of a student health center.

Superintendent Cindy Cathey, speaking to the council before their vote Monday, said plans for the center include medical and dental services, social and emotional support services and parent education and training. Alameda County Medical Center will serve as the primary medical provider, and a coordinator from County Supervisor Wilma Chan's office paid with grant funds will help run the program, Cathey said. Funds from developer fees not used for student programs will be used to repay the loan, she said.

Cathey said anticipated benefits of the center include "improved attendance, improved academic performance, increased graduation rates, healthier kids, more physically active children, these are all research based facts that have been proven from school based health centers that have been in place." The San Leandro school board was scheduled to further discuss acquiring the Girls, Inc. property in closed session Tuesday.


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The city will use reserve funds, usually invested at 0.3 percent interest, to fund the 15-year, $1.25 million loan, city staff said. The district's interest rate on the loan will increase from 1.5 percent for the first three years, to 3 percent for the next seven years, to 5 percent in the final five years of the loan. If the district fails to make a payment, is late on a payment or otherwise defaults on the loan, payment dates for outstanding loan money would accelerate, city staff said. There are no prepayment penalties.

Mayor Stephen Cassidy said of the loan approval, "A sound mind and body are fundamental to academic success, and we all benefit when our students succeed. The City is pleased to support the school district in bringing a student health center to San Leandro."

Ashly McGlone covers San Leandro, San Lorenzo and the Washington Township Health Care District. Contact her at 510-293-2463. Follow her at Twitter.com/AshlyReports.