Requires rules adopted by the superintendent of public instruction for determining eligibility for state assistance for new construction to exclude from the inventory of available educational space those spaces that have been vacated by new construction in lieu of modernization, and: (1) Used for purposes of supporting state-funded all-day kindergarten or class size reduction in kindergarten through third grade, if the lack of district facilities warrants such a use; or

(2) The district is experiencing a short-term special school housing burden due to enrollment growth and failed school construction bond elections within the prior five years.

Requires educational spaces with classrooms occupied by students specified above to meet the safety standards for public school facilities.