another day another scam a day in the life of los angeles unified
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another day another scam a day in the life of los angeles unified

Los Angeles Unified, much like the innocent children given to its care, hasn't learned much since it last made the headlines with it's iPad scandal four years ago.

The Board of Supervisors Realty Show

The Los Angeles County Board of Supervisors Agenda Item for Tuesday, February 6, 2018 contains the sanitized details. A splendid time will be had by all, unless you get your two cents in. There's going to have to be a lot of two-cents to add up to the $1.4 BILLION rip-off.

Important Additional Materials

This article is broken out into a couple logical sections. Read them to get a fuller understanding of the lawlessness at Los Angeles Unified.

Establishment of Blue Ribbon Citizens Oversight Committee for April 1997 School Repair Bonds

LAUSD School Construction Bond Citizens' Oversight Committee Charter and Memorandum of Understanding

Suggested Letter to Five Kings and Other Public Crooks

Brief History of Borrowing

I apologize, that was a joke. Click here to skip past the long history of debt at Los Angeles Unified.

The district wants another $1.4 billion right now. The district is so confident that the Five Kings will approve it that it's already scheduled the sale of over $1 billion. (Light green rows.)

Los Angeles Unified Debt Issues
Green rows are bonds issued against voter-approved measures secured, like a mortgage, against all property in the district. Light green rows are part of the proposed $1.4 billion in new bonds and taxes.
Source: State Treasurer Office DebtWatch (January 22, 2017)
CDIAC Code Type Amount Sold Financial Advisor Bond Counsel Underwriter
2018-0074 GO Bond $153,095,000 18-02-21 Public Resources Orrick Herrington Merrill Lynch
2018-0073 GO Bond $916,905,000 18-02-21 Public Resources Orrick Herrington Merrill Lynch
2018-0072 GO Bond $18,600,000 18-02-21 Public Resources Orrick Herrington Merrill Lynch
2018-0071 GO Bond $111,400,000 18-02-21 Public Resources Orrick Herrington Merrill Lynch
2017-1354 COP $53,272 17-07-07      
2017-0805 Refunding $1,080,830,000 17-05-16 Public Resources Hawkins Delafield Morgan Stanley
2017-0272 Capital Lease $42,362 17-03-13      
2016-2441 Refunding $500,855,000 16-08-08 Fieldman Rolapp Hawkins Delafield Morgan Stanley
2016-0420 GO Bond $648,955,000 16-03-01 Public Resources Hawkins Delafield Citigroup Global
2016-0419 Refunding $577,400,000 16-03-01 Public Resources Hawkins Delafield Citigroup Global
2015-0976 Refunding $326,045,000 15-05-06 Public Resources Hawkins Delafield Morgan Stanley
2014-1315 GO Bond $32,195,000 14-08-05 Tamalpais Advisors Sidley Austin Raymond James
2014-1314 Refunding $103,635,000 14-08-05 Tamalpais Advisors Sidley Austin Raymond James
2014-0682 Refunding $1,622,200,000 14-06-12 Tamalpais Advisors Orrick Herrington Morgan Stanley
2013-1127 COP $24,780,000 13-05-08 Fieldman Rolapp Orrick Herrington  
2013-0014 Revenue $780,000,000 13-02-19 Tamalpais Advisors Hawkins Delafield Morgan Stanley
2012-1086 Revenue $360,000,000 12-06-12 Tamalpais Advisors Hawkins Delafield Morgan Stanley
2012-1085 Revenue $50,000,000 12-06-12 Tamalpais Advisors Hawkins Delafield Citigroup Global
2012-0493 Revenue $190,000,000 12-06-12 Tamalpais Advisors Hawkins Delafield Goldman Sachs
2012-0929 COP $72,345,000 12-05-03 Tamalpais Advisors Orrick Herrington RBC Capital
2012-0928 COP $87,845,000 12-05-03 Tamalpais Advisors Orrick Herrington RBC Capital
2012-0560 Refunding $156,000,000 12-04-18 Annette Yee & Company LLC Sidley Austin De La Rosa
2011-1232 Refunding $201,070,000 11-09-27 Tamalpais Advisors Orrick Herrington Citigroup Global
2011-1231 Refunding $206,735,000 11-09-27 Tamalpais Advisors Orrick Herrington Citigroup Global
2011-0460 Revenue $550,000,000 11-06-22 Tamalpais Advisors Hawkins Delafield Citigroup Global
2010-1640 COP $61,730,000 10-12-15 Fieldman Rolapp Hawkins Delafield De La Rosa
2010-1630 COP $21,615,000 10-12-15 Fieldman Rolapp Hawkins Delafield De La Rosa
2010-0716 Revenue $540,000,000 10-06-15 Tamalpais Advisors Sidley Austin Merrill Lynch
2010-0324 GO Bond $290,195,000 10-04-22 Tamalpais Advisors Sidley Austin Goldman Sachs
2010-0619 GO Bond $3,795,000 10-02-18 Tamalpais Advisors Sidley Austin Citigroup Global
2010-0618 Refunding $74,995,000 10-02-18 Tamalpais Advisors Sidley Austin Citigroup Global
2010-0617 GO Bond $1,250,585,000 10-02-18 Tamalpais Advisors Sidley Austin Citigroup Global
2010-0323 GO Bond $159,495,000 10-02-18 Tamalpais Advisors Sidley Austin Citigroup Global
2010-0104 GO Bond $478,575,000 10-02-18 Tamalpais Advisors Sidley Austin Citigroup Global
2009-1323 COP $69,685,000 10-01-13 First Southwest Company Sidley Austin Piper Jaffray
2009-1030 GO Bond $5,615,000 09-10-01 Tamalpais Advisors Hawkins Delafield Citigroup Global
2009-1029 GO Bond $205,785,000 09-10-01 Tamalpais Advisors Hawkins Delafield Citigroup Global
2009-1028 GO Bond $1,369,800,000 09-10-01 Tamalpais Advisors Hawkins Delafield Citigroup Global
2009-1027 GO Bond $318,800,000 09-10-01 Tamalpais Advisors Hawkins Delafield Goldman Sachs
2009-1026 Refunding $74,765,000 09-10-01 Tamalpais Advisors Hawkins Delafield Citigroup Global
2009-1023 COP $40,728,200 09-09-29 Public Financial Hawkins Delafield  
2009-0434 Revenue $750,000,000 09-08-06 Tamalpais Advisors Sidley Austin Barclays Capital
2009-0010 GO Bond $150,000,000 09-02-04 Tamalpais Advisors Sidley Austin Barclays Capital
2009-0009 GO Bond $550,000,000 09-02-04 Tamalpais Advisors Sidley Austin Barclays Capital
2009-0008 GO Bond $250,000,000 09-02-04 Tamalpais Advisors Sidley Austin Barclays Capital
2008-0800 COP $120,950,000 08-08-05 Tamalpais Advisors Sidley Austin Banc of America Securities
2008-0799 Revenue $500,000,000 08-07-23 Tamalpais Advisors Sidley Austin Banc of America Securities
2007-1714 Revenue $130,000,000 07-11-29 Tamalpais Advisors Sidley Austin Banc of America Securities
2007-1713 Revenue $100,000,000 07-11-29 Tamalpais Advisors Sidley Austin Morgan Stanley
2007-1712 Revenue $50,000,000 07-11-29 Tamalpais Advisors Sidley Austin Morgan Stanley
2007-1711 Revenue $20,000,000 07-11-29 Tamalpais Advisors Sidley Austin Goldman Sachs
2007-1710 Revenue $115,000,000 07-11-29 Tamalpais Advisors Sidley Austin Lehman Brothers
2007-1454 Revenue $185,000,000 07-11-29 Tamalpais Advisors Sidley Austin Citigroup Global
2007-1312 COP $99,660,000 07-11-01 First Southwest Company Sidley Austin Banc of America Securities
2007-0960 GO Bond $150,000,000 07-07-31 Tamalpais Advisors Hawkins Delafield Goldman Sachs
2007-0959 GO Bond $550,000,000 07-07-31 Tamalpais Advisors Hawkins Delafield Goldman Sachs
2007-0958 GO Bond $300,000,000 07-07-31 Tamalpais Advisors Hawkins Delafield Goldman Sachs
2007-0087 Refunding $524,845,000 07-02-22 Tamalpais Advisors Hawkins Delafield Lehman Brothers
2006-1591 Refunding $1,289,250,000 07-01-09 Tamalpais Advisors Hawkins Delafield Merrill Lynch
2007-0101 Revenue $65,000,000 06-11-01 Gardner Underwood Sidley Austin Wachovia Bank NA
2007-0100 Revenue $50,000,000 06-11-01 Gardner Underwood Sidley Austin Goldman Sachs
2007-0099 Revenue $50,000,000 06-11-01 Gardner Underwood Sidley Austin Morgan Stanley
2007-0098 Revenue $50,000,000 06-11-01 Gardner Underwood Sidley Austin Banc of America Securities
2007-0097 Revenue $50,000,000 06-11-01 Gardner Underwood Sidley Austin Citigroup Global
2007-0096 Revenue $10,000,000 06-11-01 Gardner Underwood Sidley Austin Morgan Stanley
2007-0095 Revenue $15,000,000 06-11-01 Gardner Underwood Sidley Austin UBS Securities LLC
2006-1142 Revenue $60,000,000 06-11-01 Gardner Underwood Sidley Austin Lehman Brothers
2006-1268 Refunding $574,905,000 06-10-26 Tamalpais Advisors Hawkins Delafield Banc of America Securities
2006-0842 GO Bond $400,000,000 06-08-02 Tamalpais Advisors Sidley Austin UBS Securities LLC
2006-0236 Refunding $47,400,000 06-02-08 Tamalpais Advisors Sidley Austin Banc of America Securities
2006-0091 Refunding $132,325,000 06-02-08 Tamalpais Advisors Sidley Austin Banc of America Securities
2005-2039 Refunding $346,985,000 06-02-08 Tamalpais Advisors Sidley Austin Banc of America Securities
2005-2041 GO Bond $500,000,000 06-01-31 Tamalpais Advisors Sidley Austin Merrill Lynch
2005-1632 COP $10,000,000 05-12-02 Gardner Underwood Sidley Austin Bank of America NA
2005-1179 Revenue $410,000,000 05-10-12 Public Resources Sidley Austin Banc of America Securities
2005-1341 GO Bond $400,000,000 05-07-26 KNN/Kelling Northcross & Nobriga Inc Sidley Austin UBS Financial Services
2005-1178 Refunding $467,675,000 05-07-20 Tamalpais Advisors Sidley Austin Goldman Sachs
2005-0653 COP $107,865,000 05-05-24 Gardner Underwood Sidley Austin Lehman Brothers
2005-0652 COP $44,225,000 05-05-24 Gardner Underwood Sidley Austin Lehman Brothers
2004-1975 Refunding $219,125,000 04-12-07 Tamalpais Advisors Sidley Austin Merrill Lynch
2004-1602 Refunding $16,895,000 04-09-22 Gardner Underwood Sidley Austin Banc of America Securities
2004-1936 GO Bond $50,000,000 04-09-15 Gardner Underwood Sidley Austin Citigroup Global
2004-1935 Refunding $60,475,000 04-09-15 Gardner Underwood Sidley Austin First Albany Capital Inc
2004-1525 Refunding $72,630,000 04-09-15 Gardner Underwood Sidley Austin Citigroup Global
2004-1524 Revenue $500,000,000 04-08-25 Public Resources Sidley Austin Lehman Brothers
2004-1339 COP $6,925,000 04-07-13 Tamalpais Advisors Sidley Austin Banc of America Securities
2004-1337 COP $50,700,000 04-07-13 Tamalpais Advisors Sidley Austin Banc of America Securities
2003-1339 COP $31,620,000 03-06-11 Tamalpais Advisors Sidley Austin Banc of America Securities
2003-0662 COP $100,215,000 03-06-11 Tamalpais Advisors Sidley Austin Banc of America Securities
2003-1331 Revenue $150,000,000 03-06-03 Tamalpais Advisors Sidley Austin Morgan Stanley
2003-1330 Revenue $195,000,000 03-06-03 Tamalpais Advisors Sidley Austin Citigroup Global
2003-1329 Revenue $100,000,000 03-06-03 Tamalpais Advisors Sidley Austin Citigroup Global
2003-1328 Revenue $100,000,000 03-06-03 Tamalpais Advisors Sidley Austin Citigroup Global
2003-1327 Revenue $75,000,000 03-06-03 Tamalpais Advisors Sidley Austin Banc of America Securities
2003-1326 Revenue $25,000,000 03-06-03 Tamalpais Advisors Sidley Austin UBS Financial Services
2003-0549 Revenue $25,000,000 03-06-03 Tamalpais Advisors Sidley Austin UBS Financial Services
2003-0028 GO Bond $507,345,000 03-03-04 Tamalpais Advisors Sidley Austin Morgan Stanley
2003-0029 GO Bond $2,100,000,000 03-02-20 Tamalpais Advisors Sidley Austin Merrill Lynch
2002-1930 COP $128,765,000 02-12-04 Tamalpais Advisors Sidley Austin Banc of America Securities
2002-1929 COP $9,490,000 02-12-04 Tamalpais Advisors Sidley Austin Banc of America Securities
2002-1417 Revenue $325,000,000 02-05-30 Sperry Capital Inc Sidley Austin Morgan Stanley
2002-1416 Revenue $100,000,000 02-05-30 Sperry Capital Inc Sidley Austin Banc of America Securities
2002-1414 Revenue $25,000,000 02-05-30 Sperry Capital Inc Sidley Austin Banc of America Securities
2002-1411 Revenue $25,000,000 02-05-30 Sperry Capital Inc Sidley Austin UBS PaineWebber Inc
2002-0529 Revenue $25,000,000 02-05-30 Sperry Capital Inc Sidley Austin UBS PaineWebber Inc
2002-0224 Refunding $258,375,000 02-03-28 Sperry Capital Inc Sidley Austin UBS PaineWebber Inc
2002-0223 GO Bond $500,000,000 02-03-27 Sperry Capital Inc Sidley Austin Merrill Lynch
2001-0297 COP $21,655,000 02-03-01 Sperry Capital Inc Sidley Austin UBS PaineWebber Inc
2001-2028 COP $32,000,000 01-12-12 Sperry Capital Inc Sidley Austin Lehman Brothers
2001-1729 COP $84,480,000 01-10-30 Sperry Capital Inc Sidley Austin Ambac Conduit Funding LLC
2001-1952 COP $68,890,000 01-10-25 Sperry Capital Inc Sidley Austin Lehman Brothers
2001-0493 Revenue $415,000,000 01-06-21 Sperry Capital Inc Curls Brown & Duran LLP Banc of America Securities
2001-0285 COP $35,000,000 01-04-10 Sperry Capital Inc Brown & Wood Merrill Lynch
2000-1468 COP $172,715,000 00-09-12 C M de Crinis & Co Inc Brown & Wood Lehman Brothers
2000-1375 GO Bond $386,655,000 00-07-20 C M de Crinis & Co Inc Brown & Wood Salomon Smith Barney
2000-0405 Revenue $280,500,000 00-06-07 C M de Crinis & Co Inc Marilyn L Garcia Law Offices Bear Stearns & Company
2000-0232 COP $30,446,700 00-05-23 C M de Crinis & Co Inc Orrick Herrington Bank of America NT & SA
1999-1415 GO Bond $300,000,000 99-07-22 C M de Crinis & Co Inc Brown & Wood PaineWebber Inc
1999-0639 Revenue $195,260,000 99-06-09 C M de Crinis & Co Inc Curls Brown & Duran LLP Lehman Brothers
1998-1477 GO Bond $350,000,000 98-08-13 C M de Crinis & Co Inc Curls Brown & Duran LLP PaineWebber Inc
1998-1115 Revenue $169,480,000 98-06-09 C M de Crinis & Co Inc Curls Brown & Duran LLP Lehman Brothers
1998-0398 COP $60,805,000 98-05-19 C M de Crinis & Co Inc Curls Brown & Roushon Bear Stearns & Company
1997-1401 COP $91,400,000 97-12-08 C M de Crinis & Co Inc Curls Brown & Duran LLP Merrill Lynch
1997-1151 GO Bond $356,000,000 97-07-15 C M de Crinis & Co Inc Curls Brown & Duran LLP BancAmerica Securities Inc
1997-0358 Revenue $270,000,000 97-06-04 C M de Crinis & Co Inc Curls Brown & Duran LLP Merrill Lynch
1996-1371 COP $94,370,000 96-10-02 C M de Crinis & Co Inc Curls Brown & Roushon Bear Stearns & Company
1996-0349 Revenue $280,000,000 96-06-04 Prager McCarthy & Sealy Curls Brown & Roushon Lehman Brothers
1995-0340 Revenue $300,000,000 95-06-08 Prager McCarthy & Sealy Curls Brown & Roushon Bear Stearns & Company
1994-1732 COP $21,710,000 94-11-10 Prager McCarthy & Sealy Curls Brown & Roushon Pryor McClendon Counts & Company
1994-1639 COP $39,515,000 94-11-10 Prager McCarthy & Sealy Curls Brown & Roushon Merrill Lynch
1994-0778 Revenue $290,000,000 94-06-08 Prager McCarthy & Sealy O'Melveny & Myers Bear Stearns & Company
1993-1755 COP $69,925,000 93-11-30 Prager McCarthy & Sealy Whitaker Curls Smith Barney Shearson Inc
1993-0337 Revenue $500,000,000 93-07-01 Prager McCarthy & Sealy O'Melveny & Myers Goldman Sachs
1992-0542 Revenue $450,000,000 92-07-01 Prager McCarthy & Lewis O'Melveny & Myers Bank of America NT & SA
1991-1273 COP $46,110,000 91-10-22 Prager McCarthy & Lewis O'Melveny & Myers Smith Barney Harris Upham & Co Inc
1991-1046 Revenue $70,000,000 91-07-09 Prager McCarthy & Lewis O'Melveny & Myers Morgan Stanley
1991-1045 Revenue $50,000,000 91-07-09 Prager McCarthy & Lewis O'Melveny & Myers Morgan Stanley
1991-0636 Revenue $120,000,000 91-07-09 Prager McCarthy & Lewis O'Melveny & Myers First Boston Corporation
1991-0251 COP $62,000,000 91-05-20 Prager McCarthy & Lewis Ochoa & Sillas Grigsby Brandford Powell Inc
1990-0990 COP $67,990,000 90-10-18   O'Melveny & Myers Bank of America NT & SA
1990-0850 COP $13,885,000 90-09-10   Ochoa & Sillas Grigsby Brandford Powell Inc
1989-1168 COP $22,000,000 89-12-21   O'Melveny & Myers Bank of America NT & SA
1988-0063 COP $43,830,000 88-05-18   Sanders & Dickerson Bank of America NT & SA
1987-0284 COP $13,365,000 87-05-07   O'Melveny & Myers Bank of America NT & SA
1986-0683 COP $17,955,000 86-08-21   O'Melveny & Myers Bank of America NT & SA
1986-0285 Revenue $110,000,000 86-07-01   O'Melveny & Myers Bank of America NT & SA
1985-0653 Revenue $115,000,000 85-07-02   O'Melveny & Myers Bank of America NT & SA
Grand Totals   $35,263,735,534   $3,580,064 $845,684 $16,102,679

What Did Voters Approve?

Voters have been very generous with a failing Los Angeles Unified, approving every Proposition 39 bond measure the district has put on the ballot.

 

Measures
MeasureElectionBond AmountOutcomeYes %
Q2008-11-04 $7,000,000,000Passed69.1%
Y2005-11-08 $3,985,000,000Passed66.0%
R2004-03-02 $3,870,000,000Passed63.7%
K2002-11-05 $3,350,000,000Passed68.0%

Totals: $18,205,000,000

Prior to the Proposition 39 bond era, voters even rejected a $2,400,000,000 bond in November 1996. In a bit of legal jujitsu, the district put the same measure back on the ballot and got it passed in a historically low-turnout election as Measure BB in April 1997.

Thirty years, $20 billion of debt ($40 billion in taxes), and two major scandals (remember Belmont Learning Center where a student accidentally discharged a gun on campus the other day) later, what do the students and parents of the district have to show for it. Oh, that's right, the most expensive school ever built in the entire country. But, it's for the kids, right?

Thank Goodness for the Oversight Committee, Right?

Unlike the debt history, the history of the actual oversight performed by all the committees going back to 1997 could be written on the head of pin.

Right after the Measure BB passed, the district was sued to establish some authority for an oversight committee of which it was in complete control.

Then after the 2002 Proposition 39 election, the district just ignored the Strict Accountability in Local School Construction Bonds Act of 2000 and went along its merry way with its own oversight.

Today, the oversight committee is populated with every special interest you can think of.

The so-called taxpayer member was allegedly "nominated" by a Sacramento lobbyist posing as the California Tax Reform Association. It's main purpose is to end Proposition 13, so the district can take more taxes out of your community.

You just can't make this stuff up.

For each of the four Proposition 39 bond measures (K, R, Y, and Q), the district promised, and the law requires, a new oversight committee. Keeping promises does not fit the district's agenda, so it just paid a lawyer to write a few words to add the newly approved bond to the pre-existing oversight committee.

The oversight committee adopts dozens of resolutions every year, rubber-stamping everything that the district wants to do. This gives the district cover for the hundreds of millions of bond funds it misuses. The oversight committee simply says it was all done legally.

You see, when there's this much money up for grabs, everybody wants their piece of the pie. And the best way to do that is to lie to your face and keep you in the dark.

Except for the public notice for meetings requirement, the district continues to ignore every other oversight mandate set out by the legislature. Just to keep the public in the dark, the oversight meets only at the Beaudry headquarters at 10:00 a.m. on a weekday. It wouldn't want to inconvenience all it's high-powered members, who are almost all public employees (and therefore compensated by your taxes -- another violation) when they meet.

Will the Board of Supervisors Do the District's Dirty Work?

The Vegas bookies have it 10-1 that the Five Kings, who have their own agent on the oversight committee will just rubber stamp it. It doesn't cost them anything after all.

If they can keep you from finding out, so much the better.

MORE TO COME

LAST UPDATED: 2018-02-03 6:00 PM

 


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