(1)Existing law authorizes the governing board of any school district or community college district to sell for cash any personal property belonging to the school district or community college district if the property is not required for school purposes, should be disposed of for the purpose of replacement, or is unsatisfactory or not suitable for school use, pursuant to certain requirements, including, among others, notice and bid requirements.

This bill, in addition to and notwithstanding those provisions, would separately authorize the governing board of a school district or community college district to declare district-owned technology, as defined, to be surplus technology property and would authorize the school district or community college district to dispose of that surplus technology property by (A) sale by public auction, (B) sale by sealed bid, (C) sale or transfer through a structured trade-in or buyback program with a vendor, manufacturer, or other third-party purchaser, as specified, (D) negotiated sale to a public agency, nonprofit organization, or private entity, as specified, or (E) donation to a public agency or nonprofit public benefit corporation.

The bill would require the governing board of a school district or community college district, before disposing of surplus technology property, to adopt policies and procedures that, at minimum, address specified items, including, among others, a process for determining that property is no longer required for school purposes, reasonable methods to ensure competition or market testing, and compliance with all applicable state and federal requirements for protecting pupil or student and employee data. The bill would require the school district or community college district, to the extent practicable, to structure the disposition of surplus technology property in a manner that maximizes net proceeds or value returned, minimizes electronic waste, and promotes environmentally responsible recycling, refurbishment, and reuse.

(2)Existing law prohibits a county superintendent of schools from disposing of any item of personal property worth over $25,000 that belongs to the county office of education without meeting specified conditions, including conditions relating to valuation, advertising, and county board of education approval. Existing law prohibits a county superintendent of schools from disposing of any item of personal property worth less than $25,000 that belongs to the county office of education unless they certify the value of the property in a quarterly report and submit that report to the county board of education for its review.

This bill, in addition to and notwithstanding those provisions, would separately authorize the county board of education to declare county office of education-owned technology, as defined, to be surplus technology property and would authorize the county superintendent of schools to dispose of that surplus technology property pursuant to the same above-described provisions that would apply to school districts and community college districts.

(1)Existing law authorizes the governing board of any school district or community college district to sell for cash any personal property belonging to the school district or community college district if the property is not required for school purposes, should be disposed of for the purpose of replacement, or is unsatisfactory or not suitable for school use, pursuant to certain requirements, including, among others, notice and bid requirements.

This bill, in addition to and notwithstanding those provisions, would separately authorize the governing board of a school district or community college district to declare district-owned technology, as defined, to be surplus technology property and would authorize the school district or community college district to dispose of that surplus technology property by (A) sale by public auction, (B) sale by sealed bid, (C) sale or transfer through a structured trade-in or buyback program with a vendor, manufacturer, or other third-party purchaser, as specified, (D) negotiated sale to a public agency, nonprofit organization, or private entity, as specified, or (E) donation to a public agency or nonprofit public benefit corporation.

The bill would require the governing board of a school district or community college district, before disposing of surplus technology property, to adopt policies and procedures that, at minimum, address specified items, including, among others, a process for determining that property is no longer required for school purposes, reasonable methods to ensure competition or market testing, and compliance with all applicable state and federal requirements for protecting pupil or student and employee data. The bill would require the school district or community college district, to the extent practicable, to structure the disposition of surplus technology property in a manner that maximizes net proceeds or value returned, minimizes electronic waste, and promotes environmentally responsible recycling, refurbishment, and reuse.

(2)Existing law prohibits a county superintendent of schools from disposing of any item of personal property worth over $25,000 that belongs to the county office of education without meeting specified conditions, including conditions relating to valuation, advertising, and county board of education approval. Existing law prohibits a county superintendent of schools from disposing of any item of personal property worth less than $25,000 that belongs to the county office of education unless they certify the value of the property in a quarterly report and submit that report to the county board of education for its review.

This bill, in addition to and notwithstanding those provisions, would separately authorize the county board of education to declare county office of education-owned technology, as defined, to be surplus technology property and would authorize the county superintendent of schools to dispose of that surplus technology property pursuant to the same above-described provisions that would apply to school districts and community college districts.

(1)Existing law authorizes the governing board of any school district or community college district to sell for cash any personal property belonging to the school district or community college district if the property is not required for school purposes, should be disposed of for the purpose of replacement, or is unsatisfactory or not suitable for school use, pursuant to certain requirements, including, among others, notice and bid requirements.

This bill, in addition to and notwithstanding those provisions, would separately authorize the governing board of a school district or community college district to declare district-owned technology, as defined, to be surplus technology property and would authorize the school district or community college district to dispose of that surplus technology property by (A) sale by public auction, (B) sale by sealed bid, (C) sale or transfer through a structured trade-in or buyback program with a vendor, manufacturer, or other third-party purchaser, as specified, or (D) negotiated sale to a public agency, nonprofit organization, or private entity, as specified. specified, or (E) donation to a public agency or nonprofit public benefit corporation.

The bill would require the governing board of a school district or community college district, before disposing of surplus technology property, to adopt policies and procedures that, at minimum, address specified items, including, among others, a process for determining that property is no longer required for school purposes, reasonable methods to ensure competition or market testing, and compliance with all applicable state and federal requirements for protecting pupil or student and employee data. The bill would require the school district or community college district, to the extent practicable, to structure the disposition of surplus technology property in a manner that maximizes net proceeds or value returned, minimizes electronic waste, and promotes environmentally responsible recycling, refurbishment, and reuse.

(2)Existing law prohibits a county superintendent of schools from disposing of any item of personal property worth over $25,000 that belongs to the county office of education without meeting specified conditions, including conditions relating to valuation, advertising, and county board of education approval. Existing law prohibits a county superintendent of schools from disposing of any item of personal property worth less than $25,000 that belongs to the county office of education unless they certify the value of the property in a quarterly report and submit that report to the county board of education for its review.

This bill, in addition to and notwithstanding those provisions, would separately authorize the county board of education to declare county office of education-owned technology, as defined, to be surplus technology property and would authorize the county superintendent of schools to dispose of that surplus technology property pursuant to the same above-described provisions that would apply to school districts and community college districts.

Existing law, the Local Agency Public Construction Act, sets forth procedures that a local agency is required to follow when procuring certain services or work. Existing law requires the governing board of any school district to let contracts for the purchase of, among other things, equipment, materials, or supplies to be furnished, sold, or leased to the district, involving an expenditure of more than $50,000, to the lowest responsible bidder that gives security as the board requires, or else reject all bids.

This bill would state the intent of the Legislature to enact legislation to authorize school districts to modernize the technology procurement process.

 CONSENT  

Bill No: AB 2726

Author: Fong (D)

Amended: 4/13/26 in Assembly

Vote: 21

SENATE EDUCATION COMMITTEE: 7-0, 6/3/26

AYES: Pérez, Ochoa Bogh, Cabaldon, Choi, Cortese, Gonzalez, Reyes

ASSEMBLY FLOOR: 73-0, 5/4/26 (Consent) - See last page for vote

SUBJECT: School facilities: disposal of surplus technology property

SOURCE: Foothill-De Anza Community College District

DIGEST:

This bill authorizes school districts, county offices of education (COEs), and community college districts to establish streamlined processes for disposing of surplus technology property, including through online auctions, trade-in or buyback programs, negotiated sales, and donations, while requiring governing boards to adopt policies addressing competition, data security, and environmentally responsible disposal practices.

ANALYSIS:

Existing law:

1. Authorizes the governing board of a school district or community college district to sell personal property that is no longer needed, is being replaced, or is unsuitable for school use, subject to specified notice and bidding requirements.
2. Authorizes school districts to conduct sales of personal property through public auction, including auctions conducted by private auction firms.
3. Authorizes school districts to sell low-value personal property through private sale or donate property that lacks sufficient value to justify sale costs.
4. Authorizes school districts to dispose of personal property for replacement purposes through bid processes that include trade-in credits toward replacement equipment.
5. Requires proceeds from the sale of school district personal property to be deposited into specified district funds.
6. Prohibits a county superintendent of schools from disposing of COE personal property valued over $25,000 without an independent valuation, public advertisement, county board review, and county board approval.
7. Requires county superintendents of schools to report dispositions of COE personal property valued under $25,000 to the county board of education through quarterly reports.
8. Requires school districts to maintain an inventory of equipment exceeding specified value thresholds, including information regarding acquisition, location, and disposal.

This bill:

1. Authorizes school districts, COEs, and community college districts to declare district-owned technology to be “surplus technology property.”
2. Authorizes surplus technology property to be disposed of through any of the following methods if authorized by locally adopted governing board policy:
   1. Public auction, including online auctions;
   2. Sealed bid sales;
   3. Structured trade-in or buyback programs with vendors or manufacturers;
   4. Negotiated sales to public agencies, nonprofit organizations, or private entities when determined to be in the best interest of the educational agency and reasonably calculated to yield fair market value; and
   5. Donations to public agencies or nonprofit public benefit corporations.
3. Requires governing boards, prior to disposing of surplus technology property, to adopt policies and procedures that address:
   1. Determinations that technology is no longer needed or suitable for use;
   2. Competition or market testing requirements;
   3. Compliance with state and federal student and employee data privacy requirements, including device wiping and data sanitization; and
   4. Compliance with restrictions attached to state or federal categorical funding sources.
4. Requires school districts, COEs, and community college districts, to the extent practicable, to structure technology disposal practices in ways that:
   1. Maximize financial return or value; and
   2. Minimize electronic waste while promoting recycling, refurbishment, and reuse.
5. Specifies that this bill does not limit any existing authority related to the disposal of personal property.
6. Defines “technology” broadly to include electronic, digital, or electromechanical equipment and associated software, licenses, or services used for instructional, administrative, operational, facilities, public safety, laboratory, or related purposes.

Comments

Need for this bill. According to the author, “Today’s students rely on technology to learn and teachers use multimedia channels for teaching. School districts that do not upgrade technology disadvantage teachers and students when equipment break down, operate inefficiently, or do not contain the most modern programs. Existing law establishes a process for disposing surplus real property such as school buildings or land, but does not provide a process for disposing surplus technology such as computers or laptops. AB 2627 establishes a process for school districts, county offices of education and California Community College Districts to dispose surplus technology, including the opportunity to participate in trade-in or buy back programs. These programs help reduce waste while allowing school districts to leverage surplus property to reduce costs for new equipment.”

Modern technology procurement cycles may not align neatly with traditional surplus property statutes. Existing law governing the disposal of school and community college personal property was largely developed around conventional surplus assets and traditional public sale processes. Educational technology, however, operates differently than many other forms of district property. Devices such as laptops, tablets, servers, networking equipment, and instructional technology systems often depreciate rapidly, are replaced on short refresh cycles, and may retain more value within vendor trade-in or buyback arrangements than through traditional auction processes.

As schools and colleges have become increasingly dependent on technology for instruction, administration, testing, communication, and campus operations, local educational agencies (LEAs) have begun using procurement practices that resemble those commonly used in the private sector and broader public procurement environments. This bill appears intended to clarify that LEAs may use more flexible and modern disposal methods for outdated technology equipment, while still requiring local governing board oversight and policy adoption.

The bill reflects the growing scale of technology management responsibilities within LEAs. LEAs now manage large inventories of devices and technology infrastructure that, in many cases, did not exist when California’s surplus property statutes were originally enacted. One-to-one student device programs, classroom technology integration, cybersecurity infrastructure, audiovisual systems, surveillance systems, and remote learning investments have significantly increased both the volume and complexity of technology assets maintained by schools and colleges.

Managing these assets involves more than simply disposing of obsolete equipment. LEAs must balance fiscal stewardship, data security, environmental considerations, and operational continuity when replacing technology systems. This bill attempts to create a more tailored statutory framework specifically for surplus technology property, rather than relying exclusively on broader personal property disposal statutes that may not fully contemplate the operational realities of modern educational technology management.

Data security considerations distinguish technology disposal from other forms of surplus property. Unlike many other forms of district property, surplus technology may contain sensitive student, employee, or operational data. Improper disposal practices can create cybersecurity and privacy risks, particularly when devices contain stored records, login credentials, communications, or access to cloud-based systems.

For this reason, this bill requires governing boards to adopt policies addressing secure data deletion, device wiping, and verification of sanitization prior to transfer to third parties. These provisions recognize that technology disposal is not solely a property management issue, but also a data governance and information security issue. As LEAs continue to experience increased cybersecurity threats and heightened responsibilities regarding student data privacy, these requirements may help ensure that more flexible disposal authority is accompanied by appropriate safeguards.

This bill raises broader questions regarding sustainability and lifecycle management of educational technology. California schools and colleges replace substantial quantities of electronic equipment on a recurring basis. As technology refresh cycles accelerate, educational agencies face increasing pressure to manage electronic waste responsibly while also maximizing the residual value of aging equipment.

This bill encourages recycling, refurbishment, reuse, and trade-in arrangements that may both reduce disposal costs and extend the useful life of technology equipment. In practice, some devices that no longer meet the operational needs of a school district or community college may still retain educational or charitable value elsewhere. This bill’s authorization for negotiated sales and donations may create additional pathways for reuse while also helping educational agencies recover value from outdated equipment.

At the same time, this bill maintains guardrails requiring competition or market testing and fair value considerations, reflecting the Legislature’s longstanding interest in ensuring public assets are disposed of transparently and in the public interest.

FISCAL EFFECT: Appropriation: No Fiscal Com.: No Local: No

SUPPORT: (Verified 6/4/26)

Foothill-De Anza Community College District (source)

OPPOSITION: (Verified 6/4/26)

None received

ASSEMBLY FLOOR: 73-0, 5/4/26

AYES: Addis, Aguiar-Curry, Ahrens, Alanis, Alvarez, Ávila Farías, Bains, Bauer-Kahan, Berman, Boerner, Bonta, Bryan, Calderon, Carrillo, Castillo, Connolly, Davies, DeMaio, Dixon, Elhawary, Ellis, Fong, Gabriel, Gallagher, Garcia, Gipson, Jeff Gonzalez, Mark González, Hadwick, Haney, Harabedian, Hart, Hoover, Irwin, Jackson, Johnson, Kalra, Krell, Lackey, Lee, Lowenthal, Macedo, McKinnor, Muratsuchi, Nguyen, Ortega, Pacheco, Papan, Patel, Patterson, Pellerin, Petrie-Norris, Quirk-Silva, Ramos, Ransom, Celeste Rodriguez, Michelle Rodriguez, Rogers, Blanca Rubio, Sanchez, Schiavo, Schultz, Sharp-Collins, Solache, Soria, Stefani, Ta, Tangipa, Valencia, Ward, Wicks, Zbur, Rivas

NO VOTE RECORDED: Arambula, Bennett, Caloza, Chen, Flora, Wallis, Wilson

Prepared by: Ian Johnson / ED. / (916) 651-4105

6/8/26 16:04:27

**** END ****

SENATE COMMITTEE ON EDUCATION

Senator Sasha Renée Pérez, Chair

2025 - 2026 Regular

Bill No: Hearing Date: June 3, 2026

Subject: .

SUMMARY

This bill authorizes school districts, county offices of education (COEs), and community college districts to establish streamlined processes for disposing of surplus technology property, including through online auctions, trade-in or buyback programs, negotiated sales, and donations, while requiring governing boards to adopt policies addressing competition, data security, and environmentally responsible disposal practices.

BACKGROUND

Existing law:

1. Authorizes the governing board of a school district or community college district to sell personal property that is no longer needed, is being replaced, or is unsuitable for school use, subject to specified notice and bidding requirements.
2. Authorizes school districts to conduct sales of personal property through public auction, including auctions conducted by private auction firms.
3. Authorizes school districts to sell low-value personal property through private sale or donate property that lacks sufficient value to justify sale costs.
4. Authorizes school districts to dispose of personal property for replacement purposes through bid processes that include trade-in credits toward replacement equipment.
5. Requires proceeds from the sale of school district personal property to be deposited into specified district funds.
6. Prohibits a county superintendent of schools from disposing of COE personal property valued over $25,000 without an independent valuation, public advertisement, county board review, and county board approval.
7. Requires county superintendents of schools to report dispositions of COE personal property valued under $25,000 to the county board of education through quarterly reports.
8. Requires school districts to maintain an inventory of equipment exceeding specified value thresholds, including information regarding acquisition, location, and disposal.

ANALYSIS

This bill:

1. Authorizes school districts, COEs, and community college districts to declare district-owned technology to be “surplus technology property.”
2. Authorizes surplus technology property to be disposed of through any of the following methods if authorized by locally adopted governing board policy:
   1. Public auction, including online auctions;
   2. Sealed bid sales;
   3. Structured trade-in or buyback programs with vendors or manufacturers;
   4. Negotiated sales to public agencies, nonprofit organizations, or private entities when determined to be in the best interest of the educational agency and reasonably calculated to yield fair market value; and
   5. Donations to public agencies or nonprofit public benefit corporations.
3. Requires governing boards, prior to disposing of surplus technology property, to adopt policies and procedures that address:
   1. Determinations that technology is no longer needed or suitable for use;
   2. Competition or market testing requirements;
   3. Compliance with state and federal student and employee data privacy requirements, including device wiping and data sanitization; and
   4. Compliance with restrictions attached to state or federal categorical funding sources.
4. Requires school districts, COEs, and community college districts, to the extent practicable, to structure technology disposal practices in ways that:
   1. Maximize financial return or value; and
   2. Minimize electronic waste while promoting recycling, refurbishment, and reuse.
5. Specifies that the bill does not limit any existing authority related to the disposal of personal property.
6. Defines “technology” broadly to include electronic, digital, or electromechanical equipment and associated software, licenses, or services used for instructional, administrative, operational, facilities, public safety, laboratory, or related purposes.

STAFF COMMENTS

1. Need for the bill. According to the author, “Today’s students rely on technology to learn and teachers use multimedia channels for teaching. School districts that do not upgrade technology disadvantage teachers and students when equipment break down, operate inefficiently, or do not contain the most modern programs. Existing law establishes a process for disposing surplus real property such as school buildings or land, but does not provide a process for disposing surplus technology such as computers or laptops. AB 2627 establishes a process for school districts, county offices of education and California Community College Districts to dispose surplus technology, including the opportunity to participate in trade-in or buy back programs. These programs help reduce waste while allowing school districts to leverage surplus property to reduce costs for new equipment.”
2. Modern technology procurement cycles may not align neatly with traditional surplus property statutes. Existing law governing the disposal of school and community college personal property was largely developed around conventional surplus assets and traditional public sale processes. Educational technology, however, operates differently than many other forms of district property. Devices such as laptops, tablets, servers, networking equipment, and instructional technology systems often depreciate rapidly, are replaced on short refresh cycles, and may retain more value within vendor trade-in or buyback arrangements than through traditional auction processes.

As schools and colleges have become increasingly dependent on technology for instruction, administration, testing, communication, and campus operations, local educational agencies (LEAs) have begun using procurement practices that resemble those commonly used in the private sector and broader public procurement environments. This bill appears intended to clarify that LEAs may use more flexible and modern disposal methods for outdated technology equipment, while still requiring local governing board oversight and policy adoption.

1. The bill reflects the growing scale of technology management responsibilities within LEAs. LEAs now manage large inventories of devices and technology infrastructure that, in many cases, did not exist when California’s surplus property statutes were originally enacted. One-to-one student device programs, classroom technology integration, cybersecurity infrastructure, audiovisual systems, surveillance systems, and remote learning investments have significantly increased both the volume and complexity of technology assets maintained by schools and colleges.

Managing these assets involves more than simply disposing of obsolete equipment. LEAs must balance fiscal stewardship, data security, environmental considerations, and operational continuity when replacing technology systems. This bill attempts to create a more tailored statutory framework specifically for surplus technology property, rather than relying exclusively on broader personal property disposal statutes that may not fully contemplate the operational realities of modern educational technology management.

1. Data security considerations distinguish technology disposal from other forms of surplus property. Unlike many other forms of district property, surplus technology may contain sensitive student, employee, or operational data. Improper disposal practices can create cybersecurity and privacy risks, particularly when devices contain stored records, login credentials, communications, or access to cloud-based systems.

For this reason, the bill requires governing boards to adopt policies addressing secure data deletion, device wiping, and verification of sanitization prior to transfer to third parties. These provisions recognize that technology disposal is not solely a property management issue, but also a data governance and information security issue. As LEAs continue to experience increased cybersecurity threats and heightened responsibilities regarding student data privacy, these requirements may help ensure that more flexible disposal authority is accompanied by appropriate safeguards.

1. This bill raises broader questions regarding sustainability and lifecycle management of educational technology. California schools and colleges replace substantial quantities of electronic equipment on a recurring basis. As technology refresh cycles accelerate, educational agencies face increasing pressure to manage electronic waste responsibly while also maximizing the residual value of aging equipment.

This bill encourages recycling, refurbishment, reuse, and trade-in arrangements that may both reduce disposal costs and extend the useful life of technology equipment. In practice, some devices that no longer meet the operational needs of a school district or community college may still retain educational or charitable value elsewhere. The bill’s authorization for negotiated sales and donations may create additional pathways for reuse while also helping educational agencies recover value from outdated equipment.

At the same time, the bill maintains guardrails requiring competition or market testing and fair value considerations, reflecting the Legislature’s longstanding interest in ensuring public assets are disposed of transparently and in the public interest.

SUPPORT

Foothill-De Anza Community College District (sponsor)

OPPOSITION

None received

-- END --

Date of Hearing: April 21, 2026

ASSEMBLY COMMITTEE ON HIGHER EDUCATION

Mike Fong, Chair

ABPCA Bill Id:AB 2726 (

Author:Fong) – As Amended Ver:April 13, 2026

SUBJECT: School facilities: disposal of surplus technology property.

SUMMARY: Authorizes school districts, California Community Colleges (CCC) districts (CCD), and county offices of education to establish streamlined processes for declaring and disposing of surplus technology property, including expanded methods such as trade-ins, negotiated sales, and donations, while requiring safeguards for data protection and fiscal responsibility. Specifically, this bill:

1. Authorizes governing boards of school districts, CCDs, and county offices of education to declare district-owned technology as “surplus technology property.”
2. Allows disposal of surplus technology through multiple methods, including:
   1. Public auction (including online);
   2. Sealed bid;
   3. Trade-in or buyback programs;
   4. Negotiated sale to public agencies, nonprofits, or private entities; and,
   5. Donation to public agencies or nonprofit public benefit corporations.
3. Requires governing boards to adopt policies and procedures that include:
   1. Criteria for determining when technology is no longer needed;
   2. Methods to ensure competition or market testing;
   3. Compliance with data protection requirements, including device wiping and verification of data destruction; and,
   4. Compliance with restrictions tied to state or federal funding sources.
4. Requires, to the extent practicable, that disposal processes:
   1. Maximize financial return or value; and,
   2. Minimize electronic waste and promote recycling, refurbishment, and reuse.
5. Expands and standardizes the definition of “technology” to include a broad range of equipment such as:
   1. Computers, servers, and network equipment;
   2. Mobile devices and audiovisual systems;
   3. Security and surveillance systems; and,
   4. Instructional, simulation, medical, and laboratory devices.

EXISTING LAW:

1. Establishes the CCC, a postsecondary education system in this State, under the administration of the CCC Board of Governors; and, specifies that the CCC consist of CCDs (Education Code (EC) Section 70900).
2. Establishes that CCDs are under the control of a board of trustees, known as the local governing board, who has the authority to establish, maintain, operate, and govern one or more community colleges, within its district as specified. Permits districts to establish policies for and the approval of courses of instruction and educational programs (EC Section 70902).
3. Authorizes the governing board of CCDs to sell, for less than fair market value, any site that is deemed to be surplus property of the district, to any park district, city, or county in which the community college district is wholly or partially situated for use or partial use as park or recreational purposes or open-space purposes if the governing board adopts a resolution specifying that it will sell or transfer such property for less than fair market value to such an entity for such a purpose. The sale or transfer may be made for cash and other valuable consideration, or for other valuable consideration, as deemed appropriate by the governing board of the CCDs (EC Section 81190, et seq.).
4. Authorizes the governing board of any CCDs to sell for cash any personal property belonging to the CCD if the property is not required for school purposes, or if it should be disposed of for the purpose of replacement, or if it is unsatisfactory or not suitable for school use. Stipulates that there cannot be a sale until notice has been given by posting in at least three public places in the district for not less than two weeks, or by publication for at least once a week for a period of not less than two weeks in a newspaper published in the district and having a general circulation there; or if there is no such newspaper, then in a newspaper having a general circulation in the district; or if there is no such newspaper, then in a newspaper having a general circulation in a county in which the district or any part thereof is situated. The CCD board must sell the property to the highest responsible bidder or reject all bids. Allows the governing board to choose to conduct any sale of personal property authorized under this section by means of a public auction conducted by employees of the district or other public agencies, or by contract with a private auction firm. The CCD board may delegate to the district employee responsible for conducting the auction the authority to transfer the personal property to the highest responsible bidder upon completion of the auction and after payment has been received by the district (EC Section 81450, et seq.).

FISCAL EFFECT: Unknown. This measure is keyed non-fiscal by the Legislative Counsel.

COMMENTS: Double referral. This measure was heard by the Assembly Committee on Education on April 08, 2026, where it passed on consent with a vote of 9 – 0. A review of the issues germane to K-12 education are addressed in that Committee’s analysis.

Need for the measure. According to the author, “today’s students rely on technology to learn and teachers use multimedia channels for teaching. School districts that do not upgrade technology disadvantage teachers and students when equipment break down, operate inefficiently, or do not contain the most modern programs. Existing law establishes a process for disposing surplus real property such as school sites, but does not provide a process for disposing surplus technology such as computers or laptops.”

The author further states that, “disadvantaged students suffer by not having access to sufficient or updated technology. By encouraging school districts, county offices of education, and community college districts to maximize surplus technology to acquire new and updated technology through trade-ins, students and faculty will benefit from equipment that work properly and have modern features and programs.”

Key inclusions in the measure. Community colleges increasingly rely on technology refresh cycles, leasing models, and vendor trade-in programs. By aligning policy with modern procurement practices, this measure allows CCDs to use industry-standard practices, which tend to be more efficient than public auctions alone. Additionally, the measure requires secure data deletion and verification prior to disposal; ensuring data security is safeguarded. Cognizant of environmental considerations, this measure explicitly encourages minimizing electronic waste and promoting responsible recycling and reuse.

Further, while the measure seeks to expand disposal methods, it authorizes CCD governing boards to adopt formal policies ensuring the following:

1. Competitive practices or market testing;
2. Fair market value considerations; and,
3. Compliance with funding restrictions.

These policies seek to provide flexibility with accountability and oversight.

Lastly, this measure creates a uniform framework across school districts, CCDs, and county offices of education. This should improve consistency in how public education entities manage surplus technology.

Committee comments. Many CCDs have grappled with outdated surplus property laws that were based on traditional disposal frameworks, designed for general property, not high-volume, rapidly depreciating technology assets. With technology rapidly changing, this measure seeks to modernize how community colleges dispose of outdated technology by allowing flexible methods such as trade-ins, negotiated sales, and donations, while requiring strong safeguards for data privacy and fiscal accountability. This measure also helps colleges recover value from obsolete equipment, reduce electronic waste, and align technology disposal practices with the State’s procurement and sustainability standards.

In fact, the author states that “these programs help reduce waste while allowing districts to leverage surplus property to reduce costs for new equipment.”

Arguments in support. According to Foothill-De Anza CCD, sponsors of this measure, “under current law state, there are specified procedures for schools and community college districts to dispose of surplus real property. However, these specific procedures relate to school buildings or land. Existing law also delineates how the funds from these sales of surplus property may be used. There are not, under current law, processes and procedures for disposal of surplus technology.”

Foothill-De Anza CCD further states that, “increasingly, technology is becoming a critical component of learning in the classroom and is a keystone of modern instruction. From tablets or laptops school districts assign to students, teachers and staff for academic and administrative uses, to hardware or software used in the classroom for instructional purposes. School districts and CCDs dispose of technology when the technology is no longer operating or operating efficiently or when upgrading to more modern technology.”

Lastly, the sponsors of the measure state that, “school districts, county offices of education, and CCDs need a process to efficiently and effectively dispose of electronic equipment in a way that is also environmentally friendly. The bill is consistent with the state’s goals to promote green initiatives, help school districts with higher financial returns in disposal, and will benefit teachers, students, and staff through access to updated technology.”

Related legislation. AB 296 (Davies) of the 2025-26 Session, which was held on suspense in the Assembly Committee on Appropriations, would have required the California Department of Education (CDE) to develop and maintain, until January 1, 2032, a registry of career technical education (CTE) equipment listed for sale accessible to local educational agencies (LEAs) via an internet website and authorizes an LEA to list CTE equipment for sale on the registry.

Prior legislation. AB 629 (Ward), Chapter 62, Statutes of 2025, raises the threshold value for including equipment in a school district’s inventory system from $500 to $1,500 and requires the Superintendent of Public Instruction to biennially adjust the threshold for inflation and post the adjusted amount on the CDE’s website.

AB 857 (Rod Pacheco), Chapter 838, Statutes of 1999 restricts a county superintendent of schools in the areas of salary increases, financial compensation, benefits, budget revisions, and the hiring of consultants. Specified processes for the disposal of COE personal property.

AB 3757 (Hughes), Chapter 482, Statutes of 1984, requires the governing board of each school district, to establish and maintain a historical inventory, or an audit trace inventory system, or any other inventory system authorized by the SBE, to contain the description, name, identification numbers, and original cost of all items of equipment acquired by it whose current market value exceeds $500 per item, the date of acquisition, the location of use, and the time and mode of disposal. Authorizes a reasonable estimate of the original cost to be used if the actual original cost is unknown.

REGISTERED SUPPORT / OPPOSITION:

Support

Foothill-De Anza Community College District (Sponsor)

Opposition

None on file.

Analysis Prepared by: Jeanice Warden / HIGHER ED. / (916) 319-3960

Date of Hearing: April 8, 2026

ASSEMBLY COMMITTEE ON EDUCATION

Darshana R. Patel, Chair

ABPCA Bill Id:AB 2726 (

Author:Fong) – As Amended Ver:March 16, 2026

[Note: This bill is double referred to the Assembly Higher Education Committee and will be heard by that Committee as it relates to issues under its jurisdiction.]

SUBJECT: School facilities: disposal of surplus technology property

SUMMARY: Authorizes the governing board of a school district, county office of education (COE), and community college to declare technology to be surplus technology property and the school district, county superintendent of schools, or community college district to dispose of that surplus technology property by specified methods, if authorized by a policy adopted by the governing board of the school district, county board of education, or community college. Specifically, this bill:

1. Authorizes the governing board of a school district, COE, and community college to declare school district, COE, or community college-owned technology to be surplus technology property and the school district, county superintendent of schools, or community college district to dispose of that surplus technology property by any of the following methods, if authorized by a policy adopted by the governing board of the school district, county board of education, or community college:
2. Sale by public auction, including online auction;
3. Sale by sealed bid;
4. Sale or transfer through a structured trade-in or buyback program with a vendor, manufacturer, or other third-party purchaser, including where the value of the surplus technology is applied as a credit against the purchase price or lease payments for replacement technology; and
5. Negotiated sale to a public agency, nonprofit organization, or private entity, if the governing board of the school district, county board of education, or the governing board of the community college determines that the negotiated sale is in the best interest of the school district, COE, or community college and is reasonably calculated to yield fair market value under the circumstances.
6. Requires, before disposing of surplus technology property as specified, the governing board of the school district, county board of education, or the governing board of the community college district to adopt policies and procedures that, at minimum, address all of the following:
7. A process for determining that technology is no longer required for school purposes, is to be disposed of for the purpose of replacement, or is unsatisfactory or not suitable for school or community college use;
8. Reasonable methods to ensure competition or market testing;
9. Compliance with all applicable state and federal requirements for the protection of pupil and employee data, including secure data deletion, device wiping, and verification of destruction or sanitization before transferring technology to a third party; and
10. Procedures to ensure that technology acquired in whole or in part with state or federal categorical funds is disposed of in a manner consistent with conditions attached to those funds.

1. Requires, to the extent practicable, a school district, county superintendent of schools, or community college district to structure the disposition of surplus technology in a manner that does both of the following:
   1. Maximizes the net proceeds or value returned to the school district, COE, or community college, including through trade-in or buyback arrangements;
   2. Minimizes electronic waste and promotes environmentally responsible recycling, refurbishment, and reuse.
2. States that this authorization does not limit any existing authority for the disposition of personal property, as specified.
3. Defines “technology” to mean any device, computer, tablet, laptop, desktop, server, network hardware, peripheral equipment, operating system, application or instructional software, mobile device, or related accessory, service, or license acquired primarily for instructional, administrative, or operational use by a school district, COE, or community college.

EXISTING LAW:

1. Authorizes the governing board of any school district to sell for cash any personal property belonging to the district if the property is not required for school purposes, or if it should be disposed of for the purpose of replacement, or if it is unsatisfactory or not suitable for school use. Prohibits a sale until notice has been given by posting in at least three public places in the district for not less than two weeks, or by publication for at least once a week for a period of not less than two weeks in a newspaper published in the district and having a general circulation there. Requires, if there is no such newspaper, then in a newspaper having a general circulation in the district; or if there is no newspaper, then in a newspaper having a general circulation in a county in which the district or any part thereof is situated. Requires the board to sell the property to the highest responsible bidder, or to reject all bids. (Education Code (EC) 17545)
2. Authorizes the governing board to choose to conduct any sale of personal property authorized under this section by means of a public auction conducted by employees of the district or other public agencies, or by contract with a private auction firm. Authorizes the board to delegate to the district employee responsible for conducting the auction the authority to transfer the personal property to the highest responsible bidder upon completion of the auction and after payment has been received by the district. (EC 17545)
3. Authorizes, if the governing board of a school district, by a unanimous vote of those members present, finds that the property, whether one or more items, does not exceed in value the sum of $2,500, it to be sold at private sale without advertising, by any employee of the district empowered for that purpose by the board. Authorizes any item or items of property having previously been offered for sale pursuant to 1) and 2), but for which no qualified bid was received, to be sold at private sale without advertising by any employee of the district empowered for that purpose by the board. Authorizes, if the board, by a unanimous vote of those members present, finds that the property is of insufficient value to defray the costs of arranging a sale, the property to be donated to a charitable organization deemed appropriate by the board, or to be disposed of in the local public dump on order of any employee of the district empowered for that purpose by the board. (EC 17546)
4. Requires the money received from the sale of personal property to be placed to the credit of the fund from which the original expenditure for the purchase of the property was made or in the general or reserve fund of the district. (EC 17547)
5. Authorizes the governing board of any school district to dispose of personal property belonging to the district for the purpose of replacement by providing in the notice calling for bids for furnishing new materials, articles, or supplies that each bidder to agree in their bid to purchase the property being replaced and to remove it from the school grounds and requires in bid the stated amount which they will deduct from the price bid for furnishing new materials, articles, or supplies as the purchase price for the personal property being purchased from the district. Requires the board to let the contract to any responsible bidder whose net bid is the lowest, or to reject all bids. (EC 17548)
6. Requires the county superintendent of schools not to dispose of any item of personal property worth over $25,000 that belongs to the COE in any manner without meeting the following conditions:
7. Obtaining an independent valuation of the property;
8. Advertising the property for sale in a newspaper of general circulation within the district, or, if there is no newspaper of general circulation within the district, in any newspaper of general circulation that is regularly circulated in the district. The advertisement shall be published for a period of time in accordance with the policy of the county board of education;
9. Bringing the matter to the attention of the county board of education for its discussion at a regularly scheduled public meeting and
10. Obtaining the approval of the county board of education. (EC 1279)
11. Prohibits the county superintendent of schools from disposing of any personal property worth less than $25,000 that belongs to the COE unless they certify the value of the property in a quarterly report and submits that report to the county board of education for its review. (EC 1279)
12. Requires the governing board of each school district, to establish and maintain a historical inventory, an audit trace inventory system, or any other inventory system authorized by the State Board of Education (SBE), to contain the description, name, identification numbers, and original cost of all items of equipment acquired by it whose current market value exceeds $500 per item, the date of acquisition, the location of use, and the time and mode of disposal. Authorizes a reasonable estimate of the original cost to be used if the actual original cost is unknown. (Education Code 35168)

FISCAL EFFECT: Unknown

COMMENTS:

Need for the bill. According to the author, “Today’s students rely on technology to learn and teachers use multimedia channels for teaching. School districts that do not upgrade technology disadvantage teachers and students when equipment break down, operate inefficiently, or do not contain the most modern programs. Existing law establishes a process for disposing surplus real property such as school buildings or land, but does not provide a process for disposing surplus technology such as computers or laptops. AB 2627 establishes a process for school districts, county offices of education and California Community College Districts to dispose surplus technology, including the opportunity to participate in trade-in or buy back programs. These programs help reduce waste while allowing school districts to leverage surplus property to reduce costs for new equipment.”

Key provisions of the bill. This bill would clarify an authorization and process for school districts, COEs, and community college districts to sell surplus technology property. There appears to be confusion in the field regarding the authorization to sell surplus technology property, specifically if a structured trade in or buyback program with a third-party vendor is permissible.

This bill would authorize, if a school district, COE, or community college district wanted to sell the surplus technology property, the governing board would first need to adopt a policy authorizing the disposal by the following methods:

• Sale by public auction, including online auction;
• Sale by sealed bid;
• Sale or transfer through a structured trade-in or buyback program with a vendor, manufacturer, or other third-party purchaser, including where the value of the surplus technology is applied as a credit against the purchase price or lease payments for replacement technology; or
• Negotiated sale to a public agency, nonprofit organization, or private entity, if the governing board of the school district, county board of education, or the governing board of the community college determines that the negotiated sale is in the best interest of the school district, COE, or community college and is reasonably calculated to yield fair market value under the circumstances.

The board adopted policy and related procedures would be required to include a process for determining that technology is no longer required for school purposes, reasonable methods to ensure competition or market testing, compliance with all applicable state and federal requirements for the protection of pupil and employee data, including secure data deletion, device wiping, and verification of destruction or sanitization before transferring technology to a third party and procedures to ensure that technology acquired in whole or in part with state or federal categorical funds is disposed of in a manner consistent with conditions attached to those funds.

The bill would require a school district, county superintendent of schools, or community college district to structure the disposition of surplus technology in a manner that both maximizes the net proceeds or value returned to the school district, COE, or community college (including through trade-in or buyback arrangements), and minimizes electronic waste and promotes environmentally responsible recycling, refurbishment, and reuse.

The bill defines “technology” to mean any device, computer, tablet, laptop, desktop, server, network hardware, peripheral equipment, operating system, application or instructional software, mobile device, or related accessory, service, or license acquired primarily for instructional, administrative, or operational use by a school district, COE, or community college.

School districts are authorized to sell personal property. Current law authorizes the governing board of any school district to sell for cash to the highest responsible bidder any personal property, including technology property, belonging to the district if the property is not required for school purposes, or if it should be disposed of for the purpose of replacement, or if it is unsatisfactory or not suitable for school use. Current law requires specified posting notices of the sale.

School district sales of personal property may also take place via a public auction conducted by employees of the district or other public agencies, or by contract with a private auction firm. Sale of property with a value of less than $2,500 may be sold at a private sale without advertising. Money received from the sale of personal property is required to be placed to the credit of the fund from which the original expenditure for the purchase of the property was made or in the general or reserve fund of the district.

Current law further authorizes the governing boards of school districts to dispose of personal property belonging to the district for the purpose of replacement by providing in the notice calling for bids for furnishing new materials, articles, or supplies that each bidder to agree in their bid to purchase the property being replaced and to remove it from the school grounds and requires in bid the stated amount which they will deduct from the price bid for furnishing new materials, articles, or supplies as the purchase price for the personal property being purchased from the district. In this instance, the school district is required to select the lowest responsible bidder, or to reject all bids.

COEs are authorized to sell personal property. Current law prohibits a county superintendent of schools from disposing of any item of personal property worth over $25,000, including technology property, that belongs to the COE without meeting the following conditions:

• Obtaining an independent valuation of the property;
• Advertising the property for sale in a newspaper of general circulation within the district, or, if there is no newspaper of general circulation within the district, in any newspaper of general circulation that is regularly circulated in the district. The advertisement shall be published for a period of time in accordance with the policy of the county board of education;
• Bringing the matter to the attention of the county board of education for its discussion at a regularly scheduled public meeting; and
• Obtaining the approval of the county board of education.

Further, county superintendents of schools are prohibited from disposing of any personal property valued at less than $25,000 that belongs to the COE unless they certify the property’s value in a quarterly report and submit the report to the county board of education for its review.

School districts are required to keep an equipment inventory. EC 35168 requires school districts to establish and maintain a historical inventory that includes specified information, including original cost, of all items of equipment whose current market value exceeds $1,500 per item. AB 629 (Ward), Chapter 62, Statutes of 2025, updated the current market value threshold from $500, established in 1984, to $1,500 with an annual inflation adjustment.

Prior to the adoption of AB 629 (Ward), school districts reported that, over time, the inventory had grown to a point where tens of thousands of items were required to be included. Many large school districts and COEs have a full-time staff member simply to track assets, and apart from them, other units collectively spend hundreds of hours tracking and verifying their assets each year. San Diego USD, one of the sponsors of AB 629 (Ward), reported that with the cost of student devices (such as tablets and laptops) increasing year-over-year, the district expected them to exceed the (prior) $500 threshold in the near future. Without the requirements of AB 629 (Ward), the number of items in San Diego USD’s inventory was projected to increase to more than 30,000, significantly increasing the cost and workload of inventory maintenance.

Capitalization threshold. Property is capitalized for accounting purposes when certain conditions are met. A capitalization threshold is the minimum value of assets that are treated as capital expenditures and included in financial statements. School districts have a capitalization threshold of $10,000 ($5,000 for federal purposes); the discrepancy between the asset inventory requirement value and the capitalization threshold is currently significant.

The cost, time, and effort of inventorying and maintaining inventory on items that are so low-cost are burdensome for staff and administrators. School districts provide inventory lists to school sites each year, which they must reconcile. A single high school may have an inventory list hundreds of pages long.

State surplus property available online. The Department of General Services (DGS) operates a website including an auction to dispose of surplus state items. Individuals or organizations interested in purchasing items are required to register as an official bidder online and agree to specified terms and conditions.

Related legislation. AB 296 (Davies) of the 2025-26 Session would have required the California Department of Education (CDE) to develop and maintain, until January 1, 2032, a registry of career technical education (CTE) equipment listed for sale accessible to local educational agencies (LEAs) via an internet website and authorizes an LEA to list CTE equipment for sale on the registry. This bill was held in the Assembly Appropriations Committee.

AB 629 (Ward), Chapter 62, Statutes of 2025, raises the threshold value for including equipment in a school district’s inventory system from $500 to $1,500 and requires the Superintendent of Public Instruction to biennially adjust the threshold for inflation and post the adjusted amount on the CDE’s website.

AB 857 (Rod Pacheco), Chapter 838, Statutes of 1999 restricts a county superintendent of schools in the areas of salary increases, financial compensation, benefits, budget revisions, and the hiring of consultants. Specified processes for the disposal of COE personal property.

AB 3757 (Hughes), Chapter 482, Statutes of 1984, requires the governing board of each school district, to establish and maintain a historical inventory, or an audit trace inventory system, or any other inventory system authorized by the SBE, to contain the description, name, identification numbers, and original cost of all items of equipment acquired by it whose current market value exceeds $500 per item, the date of acquisition, the location of use, and the time and mode of disposal. Authorizes a reasonable estimate of the original cost to be used if the actual original cost is unknown.

REGISTERED SUPPORT / OPPOSITION:

Support

None on file

Opposition

None on file

Analysis Prepared by: Marguerite Ries / ED. / (916) 319-2087