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June 5, 2018 — California Primary Election
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Special District

Stockton Unified School District
Measure C - 55% Approval Required

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Election Results

Passed

12,179 votes yes (63.26%)

7,074 votes no (36.74%)

100% of precincts reporting (112/112).

20,005 ballots counted.

Shall $156.38 million of Stockton Unified School District's bonds, approved in 2008, be reauthorized as new bonds, with legal rates, an average tax levy of 4.9 cents per $100 of assesse“To repair and improve our schools; upgrade fire alarms, repair leaky pipes and roofs and rehabilitate existing classrooms,

shall $156.38 million of Stockton Unified School District’s bonds, approved in 2008, be reauthorized as new bonds, with legal rates, an average tax levy of 4.9 cents per $100 of assessed valuation while bonds are outstanding (averaging $10.8 million per year), annual audits, independent taxpayer oversight and no increase in total authorized District debt or current tax rates?” d valuation while bonds are outstanding (averaging $10.8 million per year), annual audits, independent taxpayer oversight and no increase in total authorized District debt or current tax rates?

What is this proposal?

Pros & Cons — Unbiased explanation with arguments for and against

Information provided by Pros/Cons — League of Women Voters of California

The Question

The Situation

ARGUMENT IN FAVOR OF MEASURE C 

 

Vote Yes on Measure C! 

 In February 2008, Stockton Unified School District voters overwhelmingly passed a general obligation bond to improve our children’s schools. Since that time, tremendous improvements have been made in repairing and rehabilitating our schools and classrooms. But much remains to be done. 

 Measure C will let us continue the job of improving our public schools by reauthorizing $156.38 million of the previously approved bonds. This can be done without increasing the District’s total authorized debt and with no additional cost to taxpayers. In addition, Measure C will save taxpayers millions of dollars and come with ironclad taxpayer protections. 

 Measure C will allow the District to continue to upgrade fire alarm and emergency

 Measure C will allow the District to continue to replace relocatable buildings with permanent classrooms. Measure C will allow the District to continue to repair aging heating, ventilation and air conditioning systems. 

 Measure C makes financial sense by allowing the District to borrow at lower rates, saving taxpayers millions of dollars in interest without increasing total District debt and prohibiting funds from going to administrators’ salaries, pensions or benefits. 

 Measure C will protect taxpayers by requiring an independent citizens’ oversight committee, annual audits and prohibiting the State from taking our bond money and spending it in other districts.  

 To build better and safer schools, improve student achievement, and enhance your property values by improving local schools, please join teachers, parents, grandparents, families, neighbors and local business leaders in voting Yes on Measure C. 

 

/s/ Judith Buethe, Business Owner 

 /s/ Elbert H. Holman 

 

 

The Proposal

AGAINST MEASURE C 

 

Are you parents?  Do you hold your children accountable?  Supporting schools is good.  Supporting wasting your money on vague, unenforceable promises is bad. 

 Don’t be deceived by District’s campaign, funded by businesses that will likely benefit from bond money.  (Isn’t that called pay-to-play?)  Beware of high-priced marketers masquerading as “parents, teachers, and community leaders.” 

 How many bonds have you passed?  $934,500,000 – Measure G (2000) $80,000,000, Measure C (2005) $120,000,000, Measure Q (2008) $464,500,000, Measure E (2012) $156,000,000*, Measure E (2014) $114,000,000.  District already played *reauthorization trick on you once. 

 Why Vote No on Measure C?  It’s virtually, word-forword, identical to every other bond measure written by lawyers and advisors who’ve made $12,907,251 (payable by you, with interest) from facilities bonds issued since 2001. 

 What will Measure C buy?  Why isn’t a list of specific projects in Measure C?  Because it would restrict District to spend only on those things? 

 Can you trust District?  Why did it violate oversight laws over many years for previous measures? 

 Were you surveyed?  Did you get a campaign mailer from District?  You paid for it all.  Is that fair?  Using your money for campaign purposes? 

 Proposition 39 permits a bare majority of voters (55%) to approve these bonds.  “To ensure that before they vote, voters will be given a list of specific projects their bond money will be used for,” it requires that Measure C be a “list of the specific school facilities projects to be funded.”  (Source: Proposition 39 ballot measure.) 

 Measure C’s intentionally vague language gives District a blank check with no accountability. 

 Don’t waste your money on insincere promises.  Did District keep promises from previous measures?  It’s spent $510,903,706 since 2001 and still has “leaky roofs?” Where has all that money gone? 

 Bond money is like drugs.  Don’t give District another fix.  Just say no!  Want more evidence of District’s deception? http://bit.ly/NoSUSDBond 

 

/s/ Robert French 

 /s/ Roger T. Pervere 

 /s/ Patricia Karen Griggs 

 /s/ Helena E. Hutchins 

 /s/ William Gregory Mullally 

 

Measure Details — Official information about this measure

Impartial analysis / Proposal

IMPARTIAL ANALYSIS OF MEASURE C  

Stockton Unified School District 2018 Bond Reauthorization Measure  

Prepared by the San Joaquin County Counsel 

In 2008, voters approved Measure Q, which authorized the Stockton Unified School District (the “District”) to incur bond indebtedness up to four hundred sixty-four million five hundred thousand dollars and no cents ($464,500,000.00).  In 2012, the voters approved Measure E, which allowed the District to reauthorize bonded indebtedness up to a maximum amount of one hundred fifty-six million dollars and no cents ($156,000,000.00).  The District’s Board now desires to complete the school facilities projects that were previously approved by the voters in 2008 under Measure Q.  

Approval of Measure C would allow the District to reauthorize bond indebtedness up to a maximum amount of one hundred fifty-six million three hundred eighty thousand dollars and no cents ($156,380,000.00).  The issuance and sale of such reauthorized general obligation bonds, would not exceed the original authorized amount of Measure Q bonds.  Bond proceeds could also be used to qualify for State of California matching funds. 

Funds derived from bond sales could not be used for teacher and administrator salaries, school operating expenses or for any other purpose or project other than the school facilities projects expressly stated within the measure.  To assure that funds derived from bond sales authorized by Measure C are spent only for the purposes expressly stated within the measure, and for no other purpose, Measure C would require the District to: (1) appoint an independent citizens’ oversight committee and (2) conduct annual independent performance and financial audits. 

If Measure C is approved, and bonds are authorized and sold, the principal thereof and interest thereon shall be payable from the proceeds of tax levies made upon the taxable property in the District.  If Measure C is approved, the tax rate necessary for payment of principal and interest on any bonds sold will be largely dictated by the timing of the bond sales, the amount sold at a given sale, market interest rates at the time of each sale (although in no event greater than the maximum bond net interest rate allowed by law), as well as actual assessed valuation of taxable property in the District over the term of repayment.  A statement of the tax rate data required by Elections Code Section 9401 will be provided to all registered voters with the sample ballot for the bond election. 

 Approval of Measure C does not guarantee that the projects proposed by the District to be funded from the proceeds of bonds authorized and sold will be funded beyond the local revenues generated by the bond sales authorized by Measure C.  The District’s proposal for such projects assumes the receipt of matching State of California funds that could be subject to appropriation by the State Legislature or to approval by a statewide bond measure. 

Passage of Measure C requires approval by fifty-five percent (55%) of voters voting thereon. 

Published Arguments — Arguments for and against the ballot measure

Read the proposed legislation

Proposed legislation

 

 

 “To repair and improve our schools; upgrade fire alarms, repair leaky pipes and roofs and rehabilitate existing classrooms, shall $156.38 million of Stockton Unified School District’s bonds, approved in 2008, be reauthorized as new bonds, with legal rates, an average tax levy of 4.9 cents per $100 of assessed valuation while bonds are outstanding (averaging $10.8 million per year), annual audits, independent taxpayer oversight and no increase in total authorized District debt or current tax rates?” 

 

Bonds—Yes  Bonds—No 

 

 

BOND AUTHORIZATION 

 By approval of this Measure by at least 55 percent of the registered voters voting on the measure, the Stockton Unified School District (the “District”) will be authorized to issue and sell bonds of up to $156,380,000 in aggregated principal amount at interest rates not in excess of the legal limit, having a final estimated maturity in 2046-47, and to provide financing for the specific types of projects listed in the Bond Project List described below, subject to all the accountability requirements specified below. 

 

The Bonds may be issued under the provisions of the California Education Code (starting at Section 15100), under the provisions of the California Government Code (starting at Section 53506), or under any other provision of law authorizing the issuance of general obligation bonds by school districts. The Bonds may be issued in series by the District from time to time, and each series of 

Bonds shall mature within the legal limitations set forth in the applicable law under which the Bonds are issued. 

 

FINANCING PLAN 

 The District intends to use the Bonds to modernize, replace, renovate, acquire, construct, install, equip, furnish and otherwise improve the District facilities on the Bond Project List. 

 

The 2018 Reauthorization Bonds shall be issued as current interest bonds and shall not be issued as capital appreciation bonds. The 2018 Reauthorization Bonds may be issued and sold in several series. No series of Bonds shall be issued if such issuance would cause the tax rate levied to pay debt service on all of the outstanding 2018 Reauthorization Bonds to exceed $60 per year per $100,000 of taxable property (as defined in Education Code Section 15268), based on projections made by the District at the time of issuance of such series of 2018 Reauthorization Bonds. 

 

TAX RATE, ESTIMATED ANNUAL COLLECTION AMOUNT, AND DURATION OF TAX 

 Pursuant to California Elections Code Section 13119(b), (a) the rate of the ad valorem tax is estimated to be the rate disclosed in the Tax Rate Statement contained in the voter pamphlet and separately provided; (b) the estimated average amount of the ad valorem tax to be collected in each year is expected to average $10,800,00 per year, however, this amount shall vary from year to year (range from $2,620,000 to $17,446,713 per year) depending on the amount needed to pay debt service on the 2018 Reauthorization Bonds that are outstanding in any year; and (c) the final fiscal year in which the ad valorem tax to fund the 2018 Reauthorization Bonds is expected to be collected is fiscal year 2046-47. 

 

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, debt service, and the years in which they will apply 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 the need for construction funds and other factors, including the legal limitations on bonds approved by a 55% 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. 

 

In preparing this information, the district obtained reasonable and informed projections of assessed property valuations that took into consideration projections of assessed property valuations made by the County Assessor, if any, in accordance with Education Code Section 15100(c). 

 

ACCOUNTABILITY REQUIREMENTS 

 The provisions in this section are specifically included in this proposition in order that the voters and taxpayers in the District may be assured that their money will be spent wisely. Expenditures to address specific facility needs of the District will be in compliance with the requirements of Article XIIIA, Section 1(b)(3), of the State Constitution and the Strict Accountability in Local School Construction Bonds Act of 2000 (codified at Education Code Sections 15264 and following). 

 

Evaluation of Needs.  The Governing Board of the District (the “Board”) has identified detailed facility needs of the District and has determined which projects to finance from a local bond at this time.  The Board hereby certifies that it has evaluated safety, class size reduction, enrollment growth, and information technology needs in developing the Bond Project List shown below. 

 

Independent Citizens’ Oversight Committee.  The Board shall establish an Independent Citizens’ Oversight Committee under Education Code Section 15278 and following to ensure that bond proceeds are expended only on the school facilities projects listed below.  The committee will be established within 60 days of the date when the results of the election appear in the minutes of the Board. 

 

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 described in the Bond Project List below. 

 

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 described in the Bond Project List below. 

 

Annual Report.  The Chief Business Official of the District will cause an annual report to be filed with the Board, the first report to be filed not later than one year after the issuance of the first series of the bonds, which report will contain pertinent information regarding the amount of funds collected and expended, as well as the status of the projects listed in this measure, as required by applicable California law. 

 

Expenditure of Bond Proceeds.  The proceeds from the sale of the District’s bonds will be used only for the purposes specified in this measure, and not for any other purpose. Such proceeds will be deposited into a Project 

Fund to be held by the San Joaquin County Treasurer, as required by the California Education code.   FURTHER SPECIFICATIONS 

 No Administrator Salaries.  Proceeds from the sale of bonds authorized by this proposition shall be used only for the school facilities projects on the Bond Project List below, and not for any other purpose, including teacher and administrator salaries and other school operating expenses; provided, however, that bond proceeds may be used to pay for project administration by District personnel during the duration of such projects. 

 

BOND PROJECT LIST 

 Projects which are described below include all related and incidental costs, including their share of the costs of the election and bond issuance and costs of design, engineering, architect and other professional services, inspections, site preparation, utilities, and other planning, legal, accounting and similar costs, independent annual financial and performance audits, a customary contingency, and other costs incidental to and necessary for completion of the listed projects. 

 

The District may alter the scope and nature of any of the specific projects that are described below as required by conditions that arise over time. 

 

Whenever specific items are included in the following list, they are presented to provide examples and are not intended to limit the generality of the broader description of authorized projects. The order in which particular projects are listed is not intended to indicate priority for funding or completion. The itemization of projects in the list below does not guarantee that all such projects will be undertaken.  The ability of the District to undertake and complete the listed projects is subject to the adequacy and availability of sufficient funding sources. 

 

REPAIR AND REHABILITATION OF EXISTING FACILITIES 

 Bond proceeds will be expended to modernize, replace, renovate, acquire, construct, install, equip, furnish, and otherwise improve any or all of the following schools as well as educational and support facilities within the District: 

 John Adams Elementary School   Pulliam Elementary August Elementary    Rio Calaveras Elementary Bush Elementary    Roosevelt Elementary Cleveland Elementary    San Joaquin Elementary Commodore Stockton Skills Elementary  Spanos Elementary 

El Dorado Elementary    Taft Elementary/Montesorri Magnet Elmwood Elementary    Taylor Elementary Fillmore Elementary     Tyler Elementary Fremont-Lopez Elementary   Van Buren Elementary Grunsky Elementary    Victory Elementary Hamilton Elementary    Washington Elementary Harrison Elementary    Wilson Elementary Hazelton Elementary    Cesar Chavez High School Henry Elementary    Edison High School Hong Kingston Elementary    Franklin High School Hoover Elementary    Stagg High School Huerta Elementary    Jane Frederick High School Kennedy Elementary    Stockton High School King Elementary    Health Careers Academy Kohl Open Elementary   Merlo Institute of Environmental Technology Madison Elementary    Pacific Law Academy Marshall Elementary    Peyton Elementary McKinley Elementary    School For Adults Monroe Elementary    Stockton Early College Academy Montezuma Elementary   Walton Special Center Nightingale Charter    Weber Institute for Applied Sciences & Technology 

 Specific projects at these sites may include any or all of the following improvements: 

Modernization/Facility Upgrades 

  Upgrade of building infrastructure systems including repair and/or installation of roofs, plumbing, air conditioning, electrical, and lighting  Modernization of restrooms  Modernization of learning commons and food service facilities  Replacement of windows  Improvements and replacement to landscapes and fencing  Improvements for parking lots, service vehicle access, and pick-up/drop-off locations 

 Replace relocatable buildings with new construction 

In preparing this information, the district obtained reasonable and informed projections of assessed property valuations that took into consideration projections of assessed property valuations made by the County Assessor, if any, in accordance with Education Code Section 15100(c). 

 

ACCOUNTABILITY REQUIREMENTS 

 The provisions in this section are specifically included in this proposition in order that the voters and taxpayers in the District may be assured that their money will be spent wisely. Expenditures to address specific facility needs of the District will be in compliance with the requirements of Article XIIIA, Section 1(b)(3), of the State Constitution and the Strict Accountability in Local School Construction Bonds Act of 2000 (codified at Education Code Sections 15264 and following). 

 

Evaluation of Needs.  The Governing Board of the District (the “Board”) has identified detailed facility needs of the District and has determined which projects to finance from a local bond at this time.  The Board hereby certifies that it has evaluated safety, class size reduction, enrollment growth, and information technology needs in developing the Bond Project List shown below. 

 

Independent Citizens’ Oversight Committee.  The Board shall establish an Independent Citizens’ Oversight Committee under Education Code Section 15278 and following to ensure that bond proceeds are expended only on the school facilities projects listed below.  The committee will be established within 60 days of the date when the results of the election appear in the minutes of the Board. 

 

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 described in the Bond Project List below. 

 

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 described in the Bond Project List below. 

 

Annual Report.  The Chief Business Official of the District will cause an annual report to be filed with the Board, the first report to be filed not later than one year after the issuance of the first series of the bonds, which report will contain pertinent information regarding the amount of funds collected and expended, as well as the status of the projects listed in this measure, as required by applicable California law. 

 

Expenditure of Bond Proceeds.  The proceeds from the sale of the District’s bonds will be used only for the purposes specified in this measure, and not for any other purpose. Such proceeds will be deposited into a Project 

Fund to be held by the San Joaquin County Treasurer, as required by the California Education code.   FURTHER SPECIFICATIONS 

 No Administrator Salaries.  Proceeds from the sale of bonds authorized by this proposition shall be used only for the school facilities projects on the Bond Project List below, and not for any other purpose, including teacher and administrator salaries and other school operating expenses; provided, however, that bond proceeds may be used to pay for project administration by District personnel during the duration of such projects. 

 

BOND PROJECT LIST 

 Projects which are described below include all related and incidental costs, including their share of the costs of the election and bond issuance and costs of design, engineering, architect and other professional services, inspections, site preparation, utilities, and other planning, legal, accounting and similar costs, independent annual financial and performance audits, a customary contingency, and other costs incidental to and necessary for completion of the listed projects. 

 The District may alter the scope and nature of any of the specific projects that are described below as required by conditions that arise over time. 

 Whenever specific items are included in the following list, they are presented to provide examples and are not intended to limit the generality of the broader description of authorized projects. The order in which particular projects are listed is not intended to indicate priority for funding or completion. The itemization of projects in the list below does not guarantee that all such projects will be undertaken.  The ability of the District to undertake and complete the listed projects is subject to the adequacy and availability of sufficient funding sources. 

 REPAIR AND REHABILITATION OF EXISTING FACILITIES 

 Bond proceeds will be expended to modernize, replace, renovate, acquire, construct, install, equip, furnish, and otherwise improve any or all of the following schools as well as educational and support facilities within the District: 

 John Adams Elementary School   Pulliam Elementary August Elementary    Rio Calaveras Elementary Bush Elementary    Roosevelt Elementary Cleveland Elementary    San Joaquin Elementary Commodore Stockton Skills Elementary  Spanos Elementary  

El Dorado Elementary    Taft Elementary/Montesorri Magnet Elmwood Elementary    Taylor Elementary Fillmore Elementary     Tyler Elementary Fremont-Lopez Elementary   Van Buren Elementary Grunsky Elementary    Victory Elementary Hamilton Elementary    Washington Elementary Harrison Elementary    Wilson Elementary Hazelton Elementary    Cesar Chavez High School Henry Elementary    Edison High School Hong Kingston Elementary    Franklin High School Hoover Elementary    Stagg High School Huerta Elementary    Jane Frederick High School Kennedy Elementary    Stockton High School King Elementary    Health Careers Academy Kohl Open Elementary   Merlo Institute of Environmental Technology Madison Elementary    Pacific Law Academy Marshall Elementary    Peyton Elementary McKinley Elementary    School For Adults Monroe Elementary    Stockton Early College Academy Montezuma Elementary   Walton Special Center Nightingale Charter    Weber Institute for Applied Sciences & Technology 

 Specific projects at these sites may include any or all of the following improvements: 

 Modernization/Facility Upgrades 

  Upgrade of building infrastructure systems including repair and/or installation of roofs, plumbing, air conditioning, electrical, and lighting  Modernization of restrooms  Modernization of learning commons and food service facilities  Replacement of windows  Improvements and replacement to landscapes and fencing  Improvements for parking lots, service vehicle access, and pick-up/drop-off locations 

 Replace relocatable buildings with new construction 

Modernization/Facility Upgrades 

  Upgrade of building infrastructure systems including repair and/or installation of roofs, plumbing, air conditioning, electrical, and lighting  Modernization of restrooms  Modernization of learning commons and food service facilities  Replacement of windows  Improvements and replacement to landscapes and fencing  Improvements for parking lots, service vehicle access, and pick-up/drop-off locations 

 Replace relocatable buildings with new construction  Modernization of Performing Arts Center  Upgrades to Athletic Facilities  Improve Career Technical and Other Vocational Programs as adopted  Replace and repair roofing 

 

TAX RATE STATEMENT OF MEASURE C 

  An election will be held in the Stockton Unified School District (the “District”) on June 5, 2018, to authorize the sale of up to $156,380,000 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 9405 of the California Elections Code. 

1. The best estimate of the average annual tax rate which would be required to be levied to fund this bond issue over the entire duration of the bond debt service, based on estimated assessed valuations available at the time of filing of this statement, is $0.04993 cents per $100 ($49.93 per $100,000) of assessed valuation.  The final fiscal year in which the tax to be levied to fund this bond issue is anticipated to be collected is fiscal year 2046-47. 

2. 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 $0.06 cents per $100 ($60.00 per $100,000) of assessed valuation in fiscal year 2026-27. 

3. The best estimate of the total debt service, including principal and interest, that would be required to be repaid if all the bonds are issued and sold is approximately $301,112,115. 

Voters should note that the estimated tax rates are based on the ASSESSED VALUE of taxable property County’s official tax rolls, not on the property’s market value.  Taxpayers eligible for property tax exemption, such as the homeowner’s exemption will be taxed at a lower effective tax rate than described above, and certain taxpayers may be eligible for a postponement of their property taxes.  Property owners should consult their own property tax bills 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, debt service, and the years in which they will apply 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 the need for construction funds and other factors, including the legal limitations on bonds approved by a 55% 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: February 13, 2018 

/s/ Dan Wright, Acting Superintendent      Stockton Unified School District 

 

 

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