SB 164: School Construction Amendments - Utah

Substitute #2 → Enrolled · 8 edits · Mar 19, 2026

MODERATE

SB 164 shifts public school construction oversight from the State Board of Education to the Division of Facilities Construction and Management (DFCM), establishing the Division as the primary regulator for permits, inspections, and cost controls. The bill introduces strict new requirements for LEAs, including mandatory pre-construction cost matrix approvals, standardized design templates to reduce fees, and a unified roster of qualified inspectors. It also creates a formal appeals process and sets a January 1, 2027 deadline for full compliance with these new standards.

Scope change

The bill significantly expands the authority of the Division of Facilities Construction and Management over school construction while reducing the State Board of Education's role to coordination only. It applies to all school districts and charter schools undertaking public school construction projects.

REQUIREMENT

Establishes a mandatory pre-construction approval process where LEAs must prove project costs fit within Division-established cost matrices before construction begins.

Creates a unified roster of qualified inspectors and plan reviewers that LEAs must use, replacing the previous system where municipalities or districts could approve their own inspectors.

Mandates the use of standardized design prototypes and templates to reduce architectural fees and accelerate the approval process.

Requires LEAs to submit all construction documents to the Division for review and approval before any construction can start.

ENFORCEMENT

Establishes a formal appeals panel to resolve disputes between LEAs and the Division regarding permits, costs, and technical compliance.

SCOPE

Transfers primary oversight authority from the State Board of Education to the Division of Facilities Construction and Management.

TECHNICAL

Sets specific technical compliance standards for fire safety, accessibility, energy codes, and structural observation for high-risk buildings.

TIMELINE

Sets a hard deadline of January 1, 2027, for full compliance with the new oversight rules.

Introduced → Substitute #1 · 5 edits

MODERATE

The bill was amended to shift oversight from charter schools and micro-education entities to school districts only, while adding new provisions for the Division to delegate oversight to qualified school districts. The text was also updated to remove references to 'LEA' (Local Education Agency) in favor of 'school district' and to clarify that the Division may delegate authority rather than just providing services. Additionally, the appeals panel procedures were expanded to include expedited reviews and interim orders.

Scope change

The bill's scope was narrowed regarding who must comply with the new construction oversight rules; charter schools and micro-education entities are no longer subject to the Division's full oversight requirements, and the term 'LEA' was replaced with 'school district' to reflect this change.

SCOPE

Removed 'charter school' and 'micro-education entity' from the list of entities required to comply with the Division's construction oversight rules; these entities are now exempt or subject to alternative compliance.

DEFINITION

Replaced the term 'LEA' (Local Education Agency) with 'school district' throughout the bill to align with the narrowed scope of applicability.

REQUIREMENT

Added a new provision allowing the Division to delegate oversight authority to qualified school districts that demonstrate internal capacity, rather than just providing managed services.

Updated references to 'LEA' in sections regarding historical documentation, cost reporting, and training to specify 'school district' instead.

ENFORCEMENT

Expanded the appeals panel procedures to include expedited reviews for time-sensitive projects and the authority to issue interim orders to preserve the status quo during an appeal.

Substitute #1 → Substitute #2 · 6 edits

MODERATE

This bill shifts control of public school construction oversight from the State Board of Education to the Division of Facilities Construction and Management, giving the Division exclusive authority to issue permits, review plans, and inspect projects. It establishes strict cost controls, mandatory safety standards, and a new fee structure to fund these oversight activities, while also creating a registry for qualified contractors and a formal appeals process for disputes.

Scope change

The bill expands the Division's authority to cover all public school construction projects exceeding specific cost thresholds, replacing the previous State Board oversight. It also clarifies that micro-education entities are exempt from these specific construction oversight requirements.

SCOPE

Oversight authority was transferred from the State Board of Education to the Division of Facilities Construction and Management.

REQUIREMENT

New requirements mandate pre-construction cost matrix approval, standardized cost reporting, and mandatory facility condition assessments every five years.

ENFORCEMENT

Enforcement mechanisms now include administrative penalties up to $25,000 for serious violations and mandatory compliance audits.

TECHNICAL

A new appeals panel was created to resolve disputes between school districts and the Division regarding permits, costs, and enforcement actions.

DEFINITION

New definitions were added to clarify terms like 'division' and 'school construction liaison' within the context of the new oversight framework.

TIMELINE

Full compliance with the new construction oversight rules is required by January 1, 2027.

School Construction Amendments

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