San Leandro Unified School District

Measure N - 55% Approval Required

COUNTY COUNSEL'S IMPARTIAL ANALYSIS OF MEASURE N

ANALYSIS BY THE COUNTY COUNSEL FOR THE COUNTY OF ALAMEDA OF A
SAN LEANDRO UNIFIED SCHOOL DISTRICT BOND MEASURE

Measure N (“Measure”), a San Leandro Unified School District (“District”) bond measure, seeks voter approval to authorize the District to issue and sell bonds of up to $198,000,000 in aggregate principal amount at interest rates not to exceed the legal limits.

Pursuant to provisions of the California Constitution and the California Education Code, if 55% of those who vote on the Measure vote “yes,” the District will be authorized to issue bonds in the amount noted above. Approval of this Measure will authorize a levy on the assessed value of taxable property within the District by an amount needed to pay the principal and interest on these bonds in each year that the bonds are outstanding.

If approved, the District’s best estimates of the property tax rates required to be levied to fund the bond issue are as follows: the average annual tax rate estimate is $0.04487 per $100 ($44.87 per $100,000) of assessed valuation. The highest tax rate estimate is $0.057 per $100 ($57.00 per $100,000) of assessed valuation. The anticipated final fiscal year for collection of the tax is 2046/47, and the total debt service estimate to repay all of the bonds (including principal and interest) is $264,330,000.

California Education Code Section 15100 restricts the use of the proceeds from the bond sale to items such as building school buildings, improving school grounds, supplying school buildings and grounds with equipment, and the acquisition of real property for school facilities. In addition, proceeds may only be used for the projects listed in the Measure and not for any other purpose, such as teacher and administrator salaries.

This Measure, printed in full in this sample ballot, provides that its proceeds may be used at all District sites for certain types of projects. Those projects include, but are not limited to: constructing science, technology, engineering, arts, and math classrooms at San Leandro High School; replacing or repairing roofs, plumbing, sewer and gas lines, and electrical systems; and replacing portable classrooms.

Certain accountability measures apply, such as establishing a building fund to deposit the proceeds of the bonds. To ensure that the proceeds are expended only on the school facilities projects listed in the Measure, it provides for an Independent Citizens’ Oversight Committee, an annual independent performance audit, and an annual independent financial audit. Finally, the Superintendent shall file a report no later than January 1 of each year stating the amount of the bond funds collected and expended and the status of any projects listed in the Measure.

This Measure is placed on the ballot by the governing board of the District.

DONNA R. ZIEGLER County Counsel

The above statement is an impartial analysis of Measure N, which is printed in full in this sample ballot pamphlet. If you desire an additional copy of the Measure, please call the Elections Official's office at (510) 272-6933 and a copy will be mailed at no cost to you. You may also access the full text of the Measure on the Alameda County website at the following address: www.acvote.org. 

TAX RATE STATEMENT
REGARDING PROPOSED
SAN LEANDRO UNIFIED SCHOOL DISTRICT
GENERAL OBLIGATION BONDS

An election will be held in the San Leandro Unified School District (the "District") on March 3, 2020, to authorize the sale of up to $198,000,000 in bonds of the District to finance school facilities as described in the measure. If such bonds are authorized and sold, principal and interest on the bonds will be payable only from the proceeds of ad valorem tax levies made upon the taxable property in the District. The following information is provided in compliance with Sections 9400-9404 of the Elections Code of the State of California. Such information is based upon the best estimates and projections presently available from official sources, upon experience within the District, and other demonstrable factors.

Based upon the foregoing and projections of the District's assessed valuation, the following information is provided:

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 a projection of assessed valuations available at the time of filing of this statement, is $0.04487 per $100 of assessed valuation (or $44.87 per $100,000 of assessed value). The final fiscal year in which it is anticipated that the tax will be collected is 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 a projection of assessed valuations available at the time of filing of this statement, is $0.057 per $100 of assessed valuation (or $57.00 per $100,000 of assessed value). It is estimated that the year in which the highest tax rate would apply is in fiscal year 2026-27.

3. The best estimate of the total debt service, including the principal and interest, that would be required to be repaid if all the bonds are issued and sold is approximately $264,330,000.

Voters should note the estimated tax rate is based on the assessed value (not market value) of taxable property on the County's official tax rolls. 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. Property owners should consult their own property tax bills and tax advisors to determine their property's assessed value and any applicable tax exemptions.

The attention of all voters is directed to the fact that the foregoing information is based upon projections and estimates only, which amounts are not maximum amounts or durations and are not binding upon the. District. The actual debt service, tax rates and the years in which they will apply may vary from those used to provide the estimates set forth above, due to factors such as variations in the timing of bond sales, the par amount of bonds sold and market interest rates available at the time of each sale, actual assessed valuations over the term of the bonds, and other factors. The date and amount of bonds sold at any given time will be determined by the District based on the need for project funds and other considerations. The actual interest rates at which the bonds will be sold will depend on conditions in the bond market at the time of sale. Actual future assessed valuations will, depend upon the amount and value of taxable property within the District as determine by the County Assessor in the annual assessment and the equalization process.

INTRODUCTION

The following is the abbreviated form of the bond measure:

"To repair, construct, acquire and equip classrooms, science labs, career training, and school facilities that support college/career readiness in science, technology, engineering, arts, math and skilled trades; keep instructional technology current; and improve student safety/campus security, shall the San Leandro Unified School District measure authorizing $198,000,000 in bonds at legal rates be adopted, levying approximately 4 cents per $100 assessed value ($10,000,000 annually) while bonds are outstanding, with citizen oversight and all money benefitting San Leandro children?"

BOND AUTHORIZATION 

By approval of this measure by at least 55 percent of the registered voters voting on the measure, the San Leandro Unified School District will be authorized to issue and sell bonds of up to $198,000,000 in aggregate principal amount at interest rates not to exceed legal limits and to provide financing for the specific types of school facilities projects listed in the Bond Project List described below, subject to all the accountability requirements specified below.

ACCOUNTABILITY REQUIREMENTS

The provisions in this section are specifically included in this measure in order that the voters and taxpayers in the District may be assured that their money will be spent wisely. Expenditures to address specific facilities 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 School Board has identified detailed facilities needs of the District and has determined which projects to finance from a local bond. The School 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. Following approval of this measure, the Board of Education will establish an Independent Citizens' Oversight Committee, under Education Code Sections 15278 and following, to ensure bond proceeds are expended only on the types of 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 School Board.

Performance Audits. The School Board will conduct annual, independent performance audits to ensure that the bond proceeds have been expended only on the school facilities projects listed below.

Financial Audits. The School Board will conduct annual, independent financial audits of the bond proceeds until all of those proceeds have been spent for the school facilities projects listed below.

Government Code Accountability Requirements. As required by Section 53410 of the Government Code, (1) the specific purpose of the bonds is set forth in this Full Text of the Measure, (2) the proceeds from the sale of the bonds will be used only for the purposes specified in this measure, and not for any other purpose, (3) the proceeds of the bonds, when and if issued, will be deposited into a building fund to be held by the Alameda County Treasurer, as required by the California Education Code, and (4) the Superintendent of the District shall cause an annual report to be filed with the Board of Education 'of the District not later than January 1 of each year, which report shall 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 Sections 53410 and 53411 of the Government Code.

NO TEACHER OR ADMINISTRATOR SALARIES 

Proceeds from the sale of bonds authorized by this measure shall be used only for the purposes specified in Article XIII A, Section 1(b)(3), those being for the construction, reconstruction, rehabilitation, or replacement of school facilities, including the furnishing and equipping of school facilities, and the acquisition or lease of school facilities, and not for any other purpose, including teacher and administrator salaries and other school operating expenses.

STATE MATCHING FUNDS

The following statement is included in this measure pursuant to Education Code Section 15122.5: Approval of this measure does not guarantee that the proposed project or projects that are the subject of bonds under this measure will be funded beyond the local revenues generated by this measure. The District's proposal for the project or projects described below may assume the receipt of matching state funds, which, if available, could be subject to appropriation by the Legislature or approval of a statewide bond measure.