Laguna Beach : District Votes to Sell Unused School to County

The Laguna Beach Unified School District board Thursday gave final approval to the sale of an unused school site in South Laguna that is slated for conversion to low-cost senior housing.

In a unanimous vote, the five-member board ratified an agreement to sell Aliso School, closed several years ago because of declining enrollment, to the county for $2.6 million.

The agreement will come before the Orange County Board of Supervisors on Wednesday for approval. Clyde Lovelady, district business manager, said that escrow on the sale is expected to close within 30 to 40 days.

Under a plan worked out between the county Environmental Management Agency and a Laguna Beach-based private, nonprofit organization, part of the school will be converted to a 71-unit apartment complex that would be reserved for low-income senior citizens.

Using about $3.8 million in federal funds, the project is scheduled to begin before the end of September and is expected to be completed by mid-1986.

In other action, the board approved the district’s $8.1-million, 1985-86 budget, which virtually is the same as last year’s budget. Although there are few changes in this year’s budget, anticipated insurance expenditures increased sharply compared with 1984-85.

Workers’ compensation insurance spending is expected to top $151,000 during 1985-86, compared with $69,000 last year. Fire and liability coverage will cost $86,000 in 1985-86, up from $39,000 in 1984-85.

Lovelady blamed the increases partly on “deep-pocket” judgments, which have forced insurance companies to raise rates to recover losses.

“The insurance industry has been hit with very, very costly decisions by judges and juries,” he said. “They’re not going to sit there and not do anything to get it back.”