NEWHALL SCHOOL PACTS TO LAST.

Byline: Eugene Tong Staff Writer

NEWHALL- Besides taking over one of the largest housing developments ever approved by Los Angeles County government, buyers of Newhall Land and Farming are poised to pick up deals that could add eight new schools to the area.

In agreements with three local school districts - Newhall and Castaic elementary districts and William S. Hart Union High School District - the Newhall Land buyers will assume obligations to fund six elementary schools, a junior high and a high school for the Newhall Ranch project. With 21,000-homes planned there, Newhall Ranch is the crown jewel in the $990 million pending sale to Lennar Corp. and its spinoff LNR Property Corp.

``One thing Newhall has always brought to the table is that they reside here and work here, and their kids go to our schools,'' William S. Hart Union High School Superintendent Robert Lee said. ``They've always had that philosophy of giving back to the community. Hopefully, Lennar will continue with that.''

California law requires developers either to set aside property or contribute money for schools serving new subdivisions. Builders can choose to pay upfront and pass the costs along to buyers of new homes, or they arrange for school districts to collect the money through a Mello-Roos tax.

``I think we've had a very good track record in working with the local school districts to find a solution to serve the needs of a growing population,'' said Jon Jaffe, Lennar's western region president.

The Miami-based company is no stranger to Santa Clarita Valley educators. As the builder behind the Stevenson Ranch development west of the Golden State Freeway, Lennar provided the Hart district with sites for Rancho Pico Junior High and West Ranch High School. Both are scheduled to open in 2005.

The builder also is supplying a second elementary school site in the 6,000-home tract for the Newhall School District.

Pico Canyon School is scheduled to open this fall. In the meantime, the builder furnished a temporary campus for the overflow of students from Stevenson Ranch Elementary. Before reclaiming the land, it sold the buildings to the district for $150,000 cash and $75,000 credit toward developer requirements.

With its latest acquisition, Lennar will fulfill Newhall Land's obligations to local schools districts - some dating back to 1995, officials said.

``Whatever commitments we have in place with the local school districts will absolutely remain,'' Newhall Land spokeswoman Marlee Lauffer said. ``Lennar has a good reputation working with the local school districts.''

When the 21,000 homes proposed at Newhall Ranch have been completed, 60,000 people are expected to live in them. Construction won't begin until at least 2006, Lauffer said, but Newhall Land already agreed to the number of schools planned for the community.

The Newhall district will own and administer most of the proposed elementary schools. Castaic Union School District will own and operate one serving children in kindergarten through eighth grade in a slice of the subdivision north of the Santa Clarita River.

The Hart district will take charge of the proposed high school, while either Hart or Castaic will operate the proposed junior high.

``All we have is an agreement to agree,'' Marc Winger, Newhall district superintendent, said about Newhall Ranch plans.

More pressing for the Newhall district are funding negotiations for Oak Hills School scheduled to open in 2005 at the Westridge subdivision in Valencia. Building costs have outstripped the original budget. ``We're trying to figure out how to get the best kind of school there,'' Lauffer said.

Under a 1995 agreement, Newhall Land was to contribute $6 million. Even with built-in adjustments for inflation, the contribution was to rise only to $8 million. But changing state standards and a shortage of qualified contractors have driven up estimated costs to as high as $15 million per campus. For example, a state program calling for fewer students per teacher made schools with more classrooms a necessity. Also, busy builders were able to charge a premium since there was so much school construction in the state after California voters approved a series of bonds in the last three years.

``It's just really inadequate,'' said about funding. ``That's why we're at the table again talking about it. ... When you put the contract out to bid, you can't control the bidding environment. You've got to be able to cover the costs''

Jaffe said the ownership change won't affect the talks. ``They would carry forward as if they've never done the deal with us.''

Winger is optimistic talks will stay on track. ``When we come out of these negotiations, we hope to be set not only for Oak Hills, but for all the remaining schools in Newhall Ranch itself,'' he said. ``Even though it's an unknown, what we're trying to do is come up with a contract that could expand and contract and anticipate what could happen over 20 years.''

Eugene Tong, [phone]

eugene.tong(at)dailynews.com