Grossmont Union High School District

Ballot Statement

Ballot Statement iconBallot Statementtitle

To upgrade East County high school classrooms/labs/facilities; repair aging roofs, plumbing/electrical systems; modernize technology infrastructure; improve student safety/security; replace deteriorated portables; construct new school facilities to accommodate growth; and renovate career-training facilities for instruction in science, technology, engineering, math and skilled trades; shall Grossmont Union High School District issue $128,000,000 in bonds at legal interest rates, with independent citizen oversight, annual audits, no funding for administrator salaries, and all money benefiting East County high schools?
County Counsel Impartial Analysis

County Counsel Impartial Analysis iconCounty Counsel Impartial Analysistitle

This measure requires approval by 55% of the voters voting on the measure. Full text of this measure follows the arguments and rebuttals.
 
This measure was placed on the ballot by the governing board of the Grossmont Union High School District (“District”). This measure, if approved by 55% of the votes cast on the measure, will authorize the District to issue and sell $128,000,000 in general obligation bonds. The sale of these bonds by the District is for the purpose of raising money for the District, and represents a debt of the District. In exchange for the money received from the bond holders, the District promises to pay the holders an amount of interest for a certain period of time, and to repay the bonds on the expiration date.
 
Voter approval of this measure will also authorize an annual tax to be levied upon the taxable property within the District. The purpose of this tax is to generate sufficient revenue to pay interest on the bonds as it becomes due and to provide a fund for payment of the principal on or before maturity.
 
Proceeds from the sale of bonds authorized by this measure may be used by the District for the construction, reconstruction, rehabilitation or replacement of school facilities, including the furnishing and equipping of school facilities, or the acquisition or lease of real property for school facilities.
 
The interest rate on any bond, which is established at the time of bond issuance, could not exceed 12% per annum. The final maturity date of any bond could be no later than 40 years after the date the bonds are issued as determined by the District.
 
The tax authorized by this measure is consistent with the requirements of the California Constitution. The California Constitution permits property taxes, above the standard one percent (1%) limitation, to be levied upon real property to pay the interest and redemption charges on any bonded indebtedness for, among other things, the construction, reconstruction, rehabilitation, or replacement of school facilities, including the furnishing and equipping of school facilities, when approved by 55% of the voters if:
(1) the proceeds from the sale of the bonds are used only for the purposes specified,
(2) the District, by evaluating safety, class size reduction, and information technology needs, has approved a list of specific projects to be funded,
(3) the District will conduct an annual, independent performance audit, and
(4) the District will conduct an annual, independent financial audit.
 
If a bond measure is approved, state law requires the District to establish an independent citizens’ oversight committee. The District has made this ballot measure subject to
these requirements.
 
Approval of this measure does not guarantee that the proposed projects in the District that are the subject of these bonds will be funded beyond the local revenues generated by this
measure.
 
A “YES” vote is a vote in favor of authorizing the District to issue and sell $128,000,000 in general obligation bonds.

A “NO” vote is a vote against authorizing the District to issue and sell $128,000,000 in general obligation bonds.
 
 
Tax Rate Statement

Tax Rate Statement iconTax Rate Statementtitle

An election will be held in the Grossmont Union High School District (the “District”) on November 8, 2016, to authorize the sale of up to $128,000,000 in bonds of the District to finance school facilities as described in the proposition. If the bonds are approved, the District expects to issue the Bonds in multiple series over time. Principal and interest on the bonds will be payable from the proceeds of tax levies made upon the taxable property in the District. The following information is provided in compliance with Sections 9400 through 9404 of the California Elections Code.
 
1. The best estimate of the tax rate which would be required to be levied to fund this bond issue during the first fiscal year after the sale of the first series of bonds, based on estimated assessed valuations available at the time of filing of this statement, is $0.01085 per $100 ($10.85 per $100,000) of assessed valuation in fiscal year 2017-18.
 
2. The best estimate of the tax rate which would be required to be levied to fund this bond issue during the first fiscal year after the sale of the last series of bonds, based on estimated assessed valuations available at the time of filing of this statement, is $0.01085 per $100 ($10.85 per $100,000) of assessed valuation in fiscal year 2020-21.
 
3. The best estimate of the highest tax rate which would be required to be levied to fund this bond issue, based on estimated assessed valuations available at the time of filing of this statement, is $0.01085 per $100 ($10.85 per $100,000) of assessed valuation in fiscal year 2020-21.
 
4. The best estimate of the total debt service, including the principal and interest, that would be required to be repaid if all of the bonds are issued and sold is $256,162,445.
 
The estimated rates presented above apply only to the taxes levied to pay bonds authorized by this measure. Additional taxes will be levied to pay bonds issued pursuant to prior and future authorizations. Voters should note that estimated tax rates are based on the ASSESSED VALUE of taxable property on the County’s official tax rolls, not on the property’s market value, which could be more or less than the assessed value. In addition, taxpayers eligible for a property tax exemption, such as the homeowner’s exemption, will be taxed at a lower effective tax rate than described above. Certain taxpayers may also be eligible to postpone payment of taxes. Property owners should consult their own property tax bills and tax advisors to determine their property’s assessed value and any applicable tax exemptions.
 
Attention of all voters is directed to the fact that the foregoing information is based upon the District’s projections and estimates only, which are not binding upon the District. The actual tax rates and the years in which they will apply, and the actual total debt service, may vary from those presently estimated, due to variations from these estimates in the timing of bond sales, the amount of bonds sold and market interest rates at the time of each sale, and actual assessed valuations over the term of repayment of the bonds. The dates of sale and the amount of bonds sold at any given time will be determined by the District based on need for construction funds and other factors, including the legal limitations on bonds approved by a 55% affirmative vote. The actual interest rates at which the bonds will be sold will depend on the bond market at the time of each sale. Actual future assessed valuation will depend upon the amount and value of taxable property within the District as determined by the County Assessor in the annual assessment and the equalization process.
 
Dated: August 4, 2016.
 
Timothy Glover
Superintendent of Grossmont
Union High School District
 
STATEMENT REQUIRED BY EDUCATION CODE SECTION 15122.5
Approval of Measure BB does not guarantee that the proposed project or projects in the Grossmont Union High School District that are the subject of bonds under Measure BB will be funded beyond the local revenues generated by Measure BB. The school district’s proposal for the project or projects may assume the receipt of matching state funds, which could be subject to appropriation by the Legislature or approval of a statewide bond measure.
 
 
 
Bond Authorization

Bond Authorization iconBond Authorizationtitle

By approval of this proposition by at least 55% of the registered voters voting on the proposition, the Grossmont Union High School District (the “District”) shall be authorized to issue and sell bonds of up to
$128,000,000 in aggregate principal amount to provide financing for the specific school facilities projects listed under the heading entitled “BOND PROJECT LIST” below (the “Bond Project List”), subject to all of the accountability safeguards specified below.
 
 
Accountability Safeguards

Accountability Safeguards iconAccountability Safeguardstitle

The provisions in this section are specifically included in this proposition in order that the voters and taxpayers of the District may be assured that their money will be spent to address specific facilities needs of the District, all in compliance with the requirements of Article XIIIA, Section 1(b)(3) of the California Constitution, and the Strict Accountability in Local School Construction Bonds Act of 2000 (codified at Sections 15264 and following of the California Education Code (the “Education Code”).
 
Evaluation of Needs. The Governing Board of the District (the “Board”) adopted a 2009 Long Range Facilities Master Plan in July 2010 and Bond Program Review Recommendations in November 2012 and February 2015 which was further updated with a 2016 Facilities Needs Assessment that evaluates and addresses all of the facilities needs of the District at each campus and facility, and to determine which projects to finance from a local bond at this time. The Board hereby certifies that it has evaluated safety, class size reduction and information technology needs in developing the Bond Project List.
 
Limitations on Use of Bonds. Proceeds from the sale of bonds authorized by this proposition shall be used only for the construction, reconstruction, rehabilitation, or replacement of school facilities, including the furnishing and equipping of school facilities, or the acquisition or lease of real property for school facilities, and not for any other purpose, including teacher and administrator salaries and other school operating expenses.
 
Independent Citizens’ Bond Oversight Committee. In connection with Proposition H and Proposition U, the Board established an independent Citizens’ Bond Oversight Committee (pursuant to Education
Code Section 15278 and following), to ensure bond proceeds are spent only for the school facilities projects approved by such propositions. Upon approval of this measure, the Governing Board shall designate the District’s existing Citizens’ Bond Oversight Committee to ensure bond proceeds from
this measure are spent only for the school facilities projects listed in the Bond Project List incorporated in this measure. In accordance with Section 15282 of the Education Code, the Citizens’ Bond Oversight Committee consists of at least seven members and shall include a member active in a business organization representing the business community located within the District, a member active in a senior citizens’ organization, a member active in a bonafide taxpayers’ organization, a member that is a parent or guardian of a child enrolled in the District, and a member that is both a
parent or guardian of a child enrolled in the District and active in a parent teacher organization. No employee or official of the District and no vendor, contractor or consultant of the District shall be appointed to the citizens’ oversight committee.
 
Annual Performance Audits. The Board shall conduct an annual, independent performance audit to ensure that the bond proceeds have been expended only on the school facilities projects listed in the Bond Project List. These audits shall be conducted in accordance with the Government Auditing Standards issued by the Comptroller General of the United States for performance audits. The results of these audits shall be made publicly available and shall be submitted to the Citizens’ Bond Oversight Committee in accordance with Section 15286 of the Education Code.
 
Annual Financial Audits. The Board shall conduct an annual, independent financial audit of the bond proceeds until all of those proceeds have been spent for the school facilities projects listed in the Bond Project List. These audits shall be conducted in accordance with the Government Auditing Standards issued by the Comptroller General of the United States for financial audits. The results of these audits shall be made publicly available and shall be submitted to the Citizens’ Bond Oversight Committee in accordance with Section 15286 of the Education Code.
 
Special Bond Proceeds Account; Annual Report to Board. Upon approval of this proposition and the sale of any bonds approved, the Board shall take actions necessary to establish an account in which
proceeds of the sale of bonds will be deposited. As long as any proceeds of the bonds remain unexpended, the Deputy Superintendent, Business Services of the District shall cause a report to be filed with the Board no later than December 31 of each year, commencing December 31, 2017, stating (a) the amount of bond proceeds received and expended in the immediately preceding fiscal year, and (b) the status of any project funded or to be funded from bond proceeds. The report may relate to the calendar year, fiscal year, or other appropriate annual period as the Superintendent of the District shall determine, and may be incorporated into the annual budget, audit, or other appropriate routine report to the Board.
 
 
 
Project List

Project List iconProject Listtitle

The Bond Project List below describes the specific projects the Grossmont Union High School District is authorized to finance with proceeds of the bonds. The inclusion of a project on the Bond Project List is not a guarantee that a project will be funded or completed. Listed projects will be funded and completed at the Board’s discretion and according to Board established priorities. In considering whether a project will be funded and completed the Board shall consider factors, including whether enrollment justifies a project, whether the funding and completion of a project is in the best interest of the District, and the ability of the District to support the project financially when completed. Thus, neither the order in which such projects appear on the Bond Project List nor the fact that a project is listed is an indication that a project will be funded or completed. The final cost of each project will be determined as plans are finalized, construction bids are awarded, and projects are completed. In addition, certain construction funds expected from non-bond sources, including State grant funds for eligible projects, have not yet been secured. Until all project costs and funding sources are known, the Board cannot determine the amount of bond proceeds available to be spent on each project, nor guarantee that the bonds will provide sufficient funds to allow completion of all listed projects. Completion of some projects may be subject to further government approvals by State officials
and boards, to local environmental review, and to input from the public. All authorized repairs shall be capital expenditures. The Bond Project List does not authorize non-capital repairs. The Board may make changes to the Bond Project List in the future consistent with the projects specified in the proposition.
 
PART ONE:
Site Discretionary Funds. Each existing comprehensive high school, Chaparral High School/IDEA, and Special Education Academies will be allocated $100 per student (based upon fiscal year 2016-17 enrollment) of bond proceeds (as “site discretionary funds”) to be spent on qualified, permitted projects listed in this Part One of the Bond Project List.
 
Specific Projects. Unless otherwise noted, the following projects are authorized to be completed at each of the District’s school sites:
 
School Improvements to Support Student Health, Safety & Security
  • Improve safety of student drop-off and pick-up areas, parking, and pedestrian and
    vehicular circulation
  • Provide school site security improvements, including increased lighting, and
    vandalism and intrusion safeguards
  • Upgrade and install classroom ventilation or air conditioning
  • Improve and install student physical education and instructional support areas, including tracks, fields, courts, pools, gyms and spectator facilities
  • Construct or improve shade structures
  • Improve school site front entrance
Projects to Improve School Accessibility; Code Compliance Upgrades
  • Repair and renovate or expand student restrooms
  • Upgrade and expand student food service areas and kitchens to meet increased standards
  • Repair and renovate physical education facilities and fields for accessibility and safety
  • Repair and replace aging and obsolete portable classrooms
  • Improve accessibility for people with disabilities and comply with Americans with Disabilities (ADA) and Title 24
  • Improve school site signage
  • Improve facilities to comply with Title IX requirements
School Improvements to Support Student Learning & Instruction
  • Provide up-to-date classroom and instructional technology required for 21st century student learning and teaching
  • Provide facilities for one-stop student support and college prep
  • Upgrade and expand classrooms, labs, and specialized facilities for career and
    vocational technology programs
  • Provide and improve classrooms, labs, and specialized facilities for career technical education programs
Major Building Systems Repair and Replacement
  • Complete major repair and renovation projects as indicated:
    • Repair and replace deteriorating plumbing and underground sewer systems
    • Repair and replace aging, leaky roofs and drains
    • Repair and replace outdated, inefficient heating, ventilation and air cooling systems
    • Upgrade electrical capacity and repair aging wiring to support instructional technology
    • Repair and restore classroom and building interior and exterior finishes and fixtures
    • Repair and replace inadequate temporary classrooms, school buildings or sites with cost-effective permanent construction
Part Two