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LWV League of Women Voters of California Education Fund
Smart Voter
Alameda County, CA June 6, 2006 Election
Measure B
School Facilities Improvement Bond of 2006
Oakland Unified School District

Bond Measure - 55% Approval Required

Pass: 62,512 / 78.0% Yes votes ...... 17,664 / 22.0% No votes

See Also: Index of all Measures

Results as of Jul 17 11:35am, 100.0% of Precincts Reporting (271/271)
Information shown below: Impartial Analysis | Arguments | Tax Rate Statement | Full Text

To repair and modernize elementary, middle and high schools and pre-schools, including renovating classrooms, restrooms and other facilities to meet current safety standards, and repairing electrical, plumbing and other building systems; and to build libraries, classrooms, and science and computer labs, shall Oakland Unified School District issue $435 million in bonds at interest rates within the legal limit and establish a Citizens' Oversight Committee to monitor expenditures, with no money for administrator salaries?

Impartial Analysis from Alameda County Counsel
Measure B, an Oakland Unified School District ("District") bond measure, seeks voter approval to authorize the governing board of the District to cause general obligation bonds to be sold in an aggregate principal amount not exceeding $435,000,000 at interest rates within the statutory limit. The purpose of the bonds is to finance the repair, modernization and construction projects specified in the measure's Bond Project List for the District elementary schools, middle schools, high schools and pre-schools. Proceeds from the sale of bonds authorized by Measure B may be used only for the listed projects consisting of 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; they may not be used for any other purpose, including teacher and administrator salaries and other school operating expenses.


Pursuant to Section 18 of Article XVI and Section 1 of Article XIIIA of the California Constitution and California Education Code Sections 15264 and following, this measure will become effective upon the affirmative vote of at least 55% of the qualified electors voting on this measure.


Approval of this measure will authorize Alameda County to levy an ad valorem tax on the assessed value of real 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. The Tax Rate Statement for Measure B in this Voter Pamphlet reflects the District's best estimates, based upon currently available data and projections, of the property tax rates required to service the bonds. The estimated tax rate required to be levied to fund the bonds in the first fiscal year (2007-2008) after the sale of the first series of bonds is $35.00 per $100,000 of assessed valuation; the highest tax rate is estimated to be $48.00 per $100,000 of assessed valuation, and the estimated tax rate in the first fiscal year (2011-2012) after the sale of the last series of bonds is $48.00 per $100,000 of assessed valuation, as is set forth more fully in the measure's Tax Rate Statement in this Voter Pamphlet. No bond may mature beyond 25 years from the date of that bond. The tax rate must be sufficient to pay all principal and interest coming due before the following year's tax levy and could exceed these estimated rates in future years if taxable property values do not meet District projections. Bonds may only be issued within the District's statutory bonding limit of 2.5% of the taxable property value in the District. However, if property values decline following the issuance of bonds, the amount of bonds already outstanding could exceed this limit.


If fifty-five percent of those voting on this measure do not vote for approval, the measure will fail and the Oakland Unified School District will not be authorized to issue the bonds.
s/RICHARD E. WINNIE
County Counsel
The above statement is an impartial analysis of Measure B, which measure 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.

  News and Analysis

The Montclarion

Oakland Tribune
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Arguments For Measure B
If there is one issue all Oakland can agree upon, it is the need to improve our public schools. Measure B has been placed on the ballot by a coalition of parents, educators, business leaders, elected officials, religious leaders and community members to provide funds to repair Oakland schools. Specifically, funds will go to improve school safety, relieve classroom overcrowding, and to address urgent information technology needs.
The following projects will be completed within a ten-year time frame:
Inadequate school bathrooms will be renovated.
Old portable classrooms will be replaced.
Student health care facilities will be repaired and new clinics constructed.
Science labs lacking basic equipment will be modernized and completed.
Early childhood development centers for preschool children will be repaired and modernized, and new preschool classrooms will be built.
School libraries will be improved.
Electrical systems in classrooms and libraries will be upgraded to improve access to technology.
Heating and ventilation systems will be upgraded.
Sewer and plumbing systems will be replaced.
Hazardous materials like lead and asbestos will be removed where necessary.


An independent oversight committee made up of parents, teachers, construction experts, finance professionals and taxpayers' organizations will be appointed and will serve without pay to ensure funds are spent properly.
By law, money from Measure B will be used only for school repair and improvements.
Passage of Measure B will allow our Oakland schools to qualify for state matching funds, thereby reducing costs to local taxpayers. Without passage of Measure B, these funds will be given to other school districts.
The average age of Oakland schools is over 50 years old. Funds generated by passage of the critically needed Measure B will allow Oakland citizens to make significant progress in renovating their public schools and ensuring a safe learning environment for Oakland's children.
s/David Kakishiba
President, Oakland Board of Education
s/Gene Zahas President,
Johnstone Supply
s/Robert L. Jackson
Bishop
s/Jody London
Parent
s/T. Gary Rogers
Chairman & CEO, Dreyer's Grand Ice Cream

(No arguments against Measure B were submitted)

Tax Rate Statement from State Administrator
An election will be held in the Oakland Unified School District (the "District") on June 6, 2006, to authorize the sale of up to $435,000,000 in bonds of the District to finance school facilities as described in the ballot measure. If the bonds are approved, the District expects to sell the bonds in three 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 information contained in numbered paragraphs 1 - 3 below is provided in compliance with Sections 9400-9404 of the Elections Code of the State of California.

1. The best estimate of the tax 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 three and five tenths cents per $100 ($35.00 per $100,000) of assessed valuation in fiscal year 2007-08.
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 four and eight tenths cents per $100 ($48.00 per $100,000) of assessed valuation in fiscal year 2011-12.
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 four and eight tenths cents per $100 ($48.00 per $100,000) of assessed valuation in fiscal year 2011-12.


Voters should note that the 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. 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 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 its 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: March 8, 2006.
s/Randolph E. Ward
State Administrator Oakland Unified School District


I attest that the historical assessed value data used as a basis of these estimates are accurate.
s/Ron Thomsen
Assessor Alameda County

Full Text of Measure B
This Proposition may be known and referred to as the "School Facilities Improvement Bond of 2006" or as "Measure B".


FINDINGS


On February 8, 2006, the State Administrator approved a comprehensive Facilities Master Plan that identifies current educational facilities needs at all elementary, middle and high schools in the District based upon an assessment of school safety, class size reduction and information technology needs.
The Facilities Master Plan, a copy of which is on file with the Secretary of the State Administrator and Board of Education and has been provided to the Oakland Public Library, includes approximately $900 million of school improvement projects such as classroom renovation and repair, auditorium and multipurpose room renovation and construction, playground and gymnasium rehabilitation and upgrades as well as construction of missing educational facilities such as libraries, media centers, science labs, computer labs, art and music classrooms and vocational shops and laboratories.
The Facilities Master Plan updates the original facilities plan completed by the District in 2000.
The District operates early childhood education centers ("CDCs") serving pre-school age children, and has identified repair, modernization and new construction needs at certain existing CDCs, as well as the need to construct new CDCs in response to future statutory requirements.
The State Administrator and the Board of Education now seek authorization to issue general obligation bonds to provide financing for the elementary school, middle school, high school and early childhood education center repair, modernization and construction projects identified by the District.


BOND AUTHORIZATION


By approval of this proposition by at least 55% of the registered voters voting on the proposition, the Oakland Unified School District shall be authorized to issue and sell bonds of up to $435,000,000 in aggregate principal amount to provide financing for the specific school facilities projects listed in the Bond Project List attached hereto as Exhibit A, and in order to qualify to receive State matching grant funds, subject to all of the accountability safeguards specified below.
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. Proceeds of the bonds may be used to pay or reimburse the District for the cost of District staff when performing work on or necessary or incidental to the bond projects.


ACCOUNTABILITY SAFEGUARDS


The provisions in this section are specifically included in this proposition in order that the Oakland Unified School District's voters and taxpayers may be assured that their money will be spent wisely to address specific facilities needs of the Oakland Unified School District, all in compliance with the requirements of Article XIII A, Section 1(b)(3) of the State Constitution, and the Strict Accountability in Local School Construction Bonds Act of 2000 (codified at Educational Code Sections 15264 and following).
Evaluation of Needs. The State Administrator has prepared a Facilities Master Plan in order to evaluate and address all of the facilities needs of the Oakland Unified School District at each campus and facility, and to determine which projects to finance from a local bond at this time. The State Administrator hereby certifies that he has evaluated safety, class size reduction and information technology needs in developing the Bond Project List contained in Exhibit A.


Independent Citizens' Oversight Committee. The State Administrator shall establish an independent Citizens' Oversight Committee (pursuant to Education Code Section 15278 and following), to ensure bond proceeds are spent only for the school facilities projects listed in Exhibit A. The committee shall be established within 60 days of the date when the results of the election appear in the minutes of the State Administrator.


Annual Performance Audits. The State Administrator or Board of Trustees shall conduct an annual, independent performance audit to ensure that the bond proceeds have been expended only on the school facilities projects listed in Exhibit A.


Annual Financial Audits. The State Administrator or Board of Trustees 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 Exhibit A.


Special Bond Proceeds Account; Annual Report. Upon approval of this proposition and the sale of any bonds approved, the State Administrator 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 State Administrator or the Superintendent of the District shall cause a report to be prepared no later than December 31 of each year, commencing December 31, 2006, stating (1) the amount of bond proceeds received and expended in that year, and (2) 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 State Administrator or the Superintendent shall determine, and may be incorporated into the annual budget, audit, or other appropriate routine report.


BOND PROJECT LIST


The Bond Project List attached to this resolution as Exhibit A shall be considered a part of this ballot proposition, and shall be reproduced in any official document required to contain the full statement of the bond proposition.
The Bond Project List describes the specific projects the Oakland Unified School District proposes to authorize for financing with proceeds of the bonds. Listed construction projects, repairs, rehabilitation projects and upgrades will be completed as needed at a particular school site according to District-established priorities. Projects included in the Facilities Master Plan will be completed without regard to current cost estimates or priority designations contained therein. Bond program expenditures will include items such as costs of the election and bond issuance, architectural, engineering, inspection and similar planning costs, construction management (whether performed by the District or by third parties), annual financial and performance audits, a customary contingency for unseen design and construction costs, and other costs incidental to and necessary for completion of the listed projects. The final cost of each project will be determined as plans are finalized, construction bids are awarded, and projects are completed. 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 State Administrator 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. Some projects may be subject to further government approvals by State officials and boards, and to local environmental review. For these reasons, inclusion of a project on the Bond Project List is not a guarantee that the project will be completed.
FURTHER SPECIFICATIONS


Specific Purposes. All of the purposes enumerated in this proposition shall be united and voted upon as one single proposition, pursuant to Education Code Section 15100, and shall constitute the specific purposes of the bonds, and proceeds of the bonds shall be spent only for such purposes, pursuant to Government Code Section 53410.
Other Terms of the Bonds. When sold, the bonds shall bear interest at an annual rate not exceeding the statutory maximum, and that interest will be made payable at the time or times permitted by law. The bonds may be issued and sold in several series, and no bond shall be made to mature more than 40 years from the date borne by that bond.


EXHIBIT A
OAKLAND UNIFIED SCHOOL DISTRICT BOND PROJECT LIST
Elementary, Middle and High School Projects
Repair, modernization and new construction projects identified in the District's Facilities Master Plan (the "Facilities Master Plan"), adopted by the State Administrator on February 8, 2006. The Facilities Master Plan is hereby incorporated by reference and made part hereof, but expressly excluding cost estimates and priority designations contained therein. (A copy of the Facilities Master Plan is on file with the Secretary of the State Administrator and Board of Education of the District and has been provided to the Oakland Public Library.)
Deferred maintenance projects identified in the Facilities Master Plan, including to fund the District's match under State law. Repair, rehabilitation and modernization of existing student- based health care service facilities, and construct new student-based health care service facilities.
Pre-School/Early Childhood Development Center Projects
Repair, rehabilitation and modernization of existing early childhood development centers ("CDCs") and construction of new classrooms at existing CDCs. Acquisition and construction of new CDC facilities to respond to future statutory requirements.
All District Sites
(at which Renovation, Major Repairs and/or New Construction to be Completed)
Repair, replace or install new information technology infrastructure (e.g., wiring, cabling, switches, etc.).
Remove hazardous materials, e.g., asbestos, lead, etc., where necessary.
Address unforeseen conditions revealed by construction/ modernization (e.g., plumbing or gas line breaks, dryrot, seismic, structural, etc.).
Other improvements required to comply with existing building codes, including the Field Act, and access requirements of the Americans with Disabilities Act.
Furnishing and equipping: + of newly constructed classrooms and facilities, + replace worn/broken/out of date furniture and equipment.
Necessary site preparation/restoration in connection with new construction, renovation or remodeling, or installation or removal of relocatable classrooms, including demolition of existing buildings, ingress and egress, removing, replacing, or installing irrigation, utility lines, trees and landscaping, relocating fire access roads, and acquiring any necessary easements, licenses, or rights of way to the property.
Rental or construction of temporary classrooms (including relocatables) as needed to house students displaced during construction.
Acquisition of any of the facilities on the Bond Project List through temporary lease or lease-purchase arrangements, or execute purchase option under a lease for any of these authorized facilities.

STATE MATCHING FUNDS
Approval of Measure B does not guarantee that the proposed project or projects in the Oakland Unified School District that are the subject of bonds under Measure B will be funded beyond the local revenues generated by Measure B. The District's proposal for the project or projects assumes the receipt of matching state funds, which could be subject to appropriation by the Legislature or approval of a statewide bond measure.


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Created: April 4, 2007 10:03 PDT
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