Commentary on Measure JJ

Are you sure you want vote to support this extravagant measure? It has no accountability.

This campaign was designed by a member of the school bonds cartel. We figured out just the right words to get you to you to open up your checkbook.

We'd also like to introduce you to our partners -- bond lawyers, brokers, wealthy investors, architects, management firms, construction companies, and trade unions. We all stand to make a ton of money on these bonds. Our profits come right off the top, before a penny is actually spent on improving the facilities.

We're not just doing it for the money. We like to show off our work in Architectural Digest and other places where the rich and famous congregate.

Remember, we've taken a lot of risk. We gave money to get your governing board members elected, so they'd be sure to remember us when we came around for a hand-out later.

It's just business-as-usual, here in sunny Corruptifornia.

Please don't read the fine print. That's just put in by the lawyers to make what we're going to do to for you legal.

When you see highlighting in the documents below, hover overCriticalExample commentary. it to see the commentary.

Measure JJ Question

To construct, renovate and equip classrooms, science labs, and school facilities that support college and career readiness in math, science, engineering, technology and skilled trades; improve school safety/security; repair deteriorating roofs, plumbing, and electrical systems, shall Mountain Empire Unified School District issue $15,000,000 of bonds at legal interest rates, with estimated repayment amounts averaging $840,967 annually for approximately 36 years at projected tax rates averaging 3.7 cents per $100 of assessed value, with annual audits and citizens' oversight?

To repair, renovate, construct and equip aging Mountain Empire classrooms, science labs and school facilities, including deteriorated roofs, plumbing, and electrical systems, improve school safety/security, and upgrade career-training facilities, labs, and technology infrastructure supporting college and career readiness in math, science, engineering, technology and skilled trades, shall Mountain Empire Unified School District issue $15,000,000 in bonds at legal interest rates, requiring annual audits, independent citizen oversight, no money for administrators' salaries/pensions, and all funds locally-controlled?

Full Text of Measure JJ

EXHIBIT A

FULL TEXT OF BOND PROPOSITION

MOUNTAIN EMPIRE UNIFIED SCHOOL DISTRICT
CLASSROOM SAFETY, RENOVATION AND CONSTRUCTION
MEASURE

This proposition may be known and referred to as the "Mountain Empire Unified School District Classroom Safety, Renovation and Construction Measure" or as "Measure _". [designation to be assigned by County Registrar of Voters]

BOND AUTHORIZATION

By approval of this proposition by at least 55% of the voters of the Mountain Empire Unified School District (the "District") voting on the proposition, the District shall be authorized to issue and sell bonds of up to $15,000,000 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"), and qualify to receive State of California matching grant funds, subject to all of the accountability safeguards specified below.

ACCOUNTABILITY SAFEGUARDS

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 school 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 Board of Education of the District (the "Board") has prepared a long range facility master plan with the assistance of the Office of Education of the County of San Diego in order to evaluate and address 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.

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Independent Citizens' Oversight Committee. The Board shall establish an independent citizens' oversight committee (pursuant to Education Code Section 15278 and following), to ensure bond proceeds are expended only for the school facilities projects listed in the Bond Project List. The committee shall be established within 60 days of the date that the Board enters the election results on its minutes pursuant to Section 15274 of the Education Code. In accordance with Section 15282 of the Education Code, the citizens' oversight committee shall consist 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 bona fide 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. In accordance with Section 15278(c) of the Education Code, as may be amended from time to time, the citizens' oversight committee may engage in receiving and reviewing copies of any deferred maintenance proposals or plans developed by the District.

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' 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' oversight committee in accordance with Section 15286 of the \3\1Education 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 Superintendent of the District shall cause a report to be filed with the Board no later than January 1 of each year, commencing on the first January 1 after the sale of the first series of bonds, stating (a) the amount of bond proceeds received and expended in that 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.

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Project Labor Agreements. In an effort to increase competition and maintain fairness among all potential contractors, reduce costs of construction, and efficiently apply taxpayer dollars, the District, to the extent doing so is not prohibited by law (including the doctrines of legislative entrenchment and the single subject rule) and does not eliminate any eligibility for potential State or federal funding or financial assistance, hereby declares that it shall not build and maintain bond-financed facilities under a project labor agreement.

State of California Matching Grant Funds. In order to maximize community benefit and efficiently apply taxpayer dollars, the District hereby declares its intention to seek, where practical and economical, State of California matching grant funds for eligible projects.

Other Accountability Safeguards. To the extent doing so is not prohibited by law (including the doctrines of legislative entrenchment and the single subject rule), the District shall structure the bonds to mature in compliance with Section 147(b) of the Internal Revenue Code (or any successor thereto).

FURTHER SPECIFICATIONS

Joint-Use Projects. In order to maximize community benefit and efficiently apply taxpayer dollars, the District will make a good faith effort, where practical and economical, to incorporate joint use elements into the specific projects the District proposes to finance with proceeds of the bonds. To this end, the District will contact local agencies with overlapping jurisdictions to develop and pursue, where practical and economical, the incorporation of such joint use elements into such bond projects. Accordingly, the District may enter into agreements with other public agencies or nonprofit organizations for joint use of school facilities financed with the proceeds of the bonds in accordance with Education Code Section 17077.42 (or any successor provision). The District may seek State grant funds for eligible joint-use projects as permitted by law, and this proposition hereby specifies and acknowledges that bond funds will or may be used to fund all or a portion of the local share for any eligible joint-use projects identified in the Bond Project List or as otherwise permitted by California State regulations, as the Board shall determine.

Single Purpose. 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 all the enumerated purposes shall constitute the specific single purpose of the bonds, and proceeds of the bonds shall be spent only for such purpose, pursuant to California 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 shall 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 the statutory maximum number of years from the date borne by that bond.

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ESTIMATED BALLOT INFORMATION

The District is required by law to include in the statement of the measure to be voted on estimates of the amount of money to be raised annually to repay the bonds and the rate and duration of the tax to be levied for the bonds. As of the time this proposition was placed on the ballot, the District estimated that amounts to be raised annually would average $840,967 for the repayment of the authorized bonds for approximately 36 years at projected tax rates averaging 3.7 cents per $100 of assessed valuation. Attention of all voters is directed to the fact that such information is based upon the District's projections and estimates only, which are not binding upon the District. The amount of money to be raised annually and the rate and duration of the tax to be levied for the bonds 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 1on need for construction funds and other factors. 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.

BOND PROJECT LIST

The Bond Project List below lists the specific projects the District proposes to finance with proceeds of the bonds. The Bond Project List shall be considered a part of the bond proposition and shall be reproduced in any official document required to contain the full statement of the bond proposition. Listed projects will be completed as needed at a particular school or facility site according to Board-established priorities, and the order in which such projects appear on the, Bond Project List is not an indication of priority for funding or completion. Any authorized repairs shall be capital expenditures. The Bond Project List does not authorize non-capital expenditures. Each project is assumed to include its share of costs of the election and bond issuance, construction-related costs, such as project and construction management, architectural, engineering, inspection and similar planning and testing costs, demolition and interim housing costs, legal, accounting and similar fees, costs related to the independent annual financial and performance audits, a contingency for unforeseen design and construction costs, and other costs incidental to or necessary for completion of the listed projects (whether the related work is performed by the District or third parties). 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 of California grant funds for eligible projects, have not yet been secured. Therefore, the Board cannot guarantee that the bonds will provide sufficient funds to allow completion of all listed projects. Alternatively, if the District obtains unexpected funds from non-bond sources with respect to listed projects, such projects may be enhanced, supplemented. or expanded to the extent of such funds. Some projects may be subject to further government approvals, including by State officials and boards 75
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4134-5679-1823.6 76 and/or local environmental or agency approval. Inclusion of a project on the Bond Project List is not a guarantee that the project will be completed (regardless of whether bond funds are available).

The specific projects authorized to be financed with proceeds of the bonds under this proposition are as follows:

MOUNTAIN EMPIRE HIGH SCHOOL

The following projects are authorized to be financed at Mountain Empire High School:

• 0 Modernize, upgrade, renovate, rehabilitate, re-configure, expand and/or upgrade classrooms, classroom buildings, science labs, restrooms, common areas and school support facilities (including library, multipurpose room/auditorium, food storage, preparation and service, cafeteria and office/staff support facilities), whether permanent, portable or modular, including interior and exterior (as applicable) doors, windows, door and window hardware, roofs, rain gutters and downspouts, walls, ceilings and floors and finishes, paint, siding, insulation, casework, surfaces, cabinets, secured storage, carpets, drapes, window coverings, infrastructure, lighting, sinks, drinking fountains, fixtures, signage, fencing, landscaping, furniture and equipment.
• 0 Renovate, replace, upgrade, acquire, install and/or integrate major site/building/utility systems, equipment and related infrastructure and housing, including lighting, electrical (including wiring and related infrastructure for modern technology), heating, refrigeration, cooling (including HVAC) and ventilation, water, sewer, gas, irrigation, drainage, and energy efficiency/management monitoring systems, networks, fixtures, equipment and controls.
• 0 Renovate, replace, upgrade, acquire, and/or install roofing and/or insulation.
• 0 Upgrade and/or acquire and install exterior lighting, fire detection and suppression, security alarm, video surveillance, emergency, master key and door lock.
• 0 Renovate, replace, upgrade, expand and/or install fencing.
• 0 Renovate, resurface, upgrade, expand, construct and/or install and improve paved and other hard surfaces, benches, walls, gates, fencing, play and outside instructional areas, playfields, including turf, p.e. fields and related facilities, and landscaping, and acquire, improve, replace and/or upgrade related equipment and fixtures.

All or portions of these projects may be used as joint-use projects within the meaning of Section 17077.42(c) of the Education Code or any successor provision).

CAMP LOCKETT MIDDLE SCHOOL

The following projects are authorized to be financed at Camp Lockett Middle School:

• 0 Modernize, upgrade, renovate, rehabilitate, re-configure, expand and/or upgrade classrooms, classroom buildings, restrooms, common areas and school support facilities (including library, multipurpose room/auditorium, food storage, preparation and service, cafeteria and office/staff support facilities), whether permanent, portable or modular, including interior and exterior (as applicable) doors, windows, door and window hardware, roofs, rain gutters and downspouts, 76
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  4134-5679-1823.6 77 walls, ceilings and floors and finishes, paint, siding, insulation, casework, surfaces, cabinets, secured storage, carpets, drapes, window coverings, infrastructure, lighting, sinks, drinking fountains, fixtures, signage, fencing, landscaping, furniture and equipment.
• 0 Renovate, replace, upgrade, acquire, install and/or integrate major site/building/utility systems, equipment and related infrastructure and housing, including lighting, electrical (including wiring and related infrastructure for modern technology), heating, refrigeration, cooling (including HVAC) and ventilation, water, sewer, gas, irrigation, drainage, and energy efficiency/management monitoring systems, networks, fixtures, equipment and controls.
• 0 Renovate, replace, upgrade, acquire, and/or install roofing and/or insulation.
• 0 Renovate, replace, upgrade, acquire, and/or install septic system.
• 0 Upgrade and/or acquire and install exterior lighting, fire detection and suppression, security alarm, video surveillance, emergency, master key and door lock.

All or portions of these projects may be used as joint-use projects within the meaning of Section 17077.42(c) of the Education Code (or any successor provision).

CAMPO ELEMENTARY SCHOOL

The following projects are authorized to be financed at Campo Elementary School:

• 0 Modernize, upgrade, renovate, rehabilitate, re-configure, expand and/or upgrade classrooms, classroom buildings, restrooms, common areas and school support facilities (including library, multipurpose room/auditorium, food storage, preparation and service, cafeteria and office/staff support facilities), whether permanent, portable or modular, including interior and exterior (as applicable) doors, windows, door and window hardware, roofs, rain gutters and downspouts, walls, ceilings and floors and finishes, paint, siding, insulation, casework, surfaces, cabinets, secured storage, carpets, drapes, window coverings, infrastructure, lighting, sinks, drinking fountains, fixtures, signage, fencing, landscaping, furniture and equipment.
• 0 Renovate, replace, upgrade, acquire, install and/or integrate major site/building/utility systems, equipment and related infrastructure and housing, including lighting, electrical (including wiring and related infrastructure for modern technology), heating, refrigeration, cooling (including HVAC) and ventilation, water, sewer, gas, irrigation, drainage, and energy efficiency/management monitoring systems, networks, fixtures, equipment and controls.
• 0 Renovate, replace, upgrade, acquire, and/or install roofing and/or insulation.
• 0 Upgrade and/or acquire and install exterior lighting, fire detection and suppression, security alarm, video surveillance, emergency, master key and door lock.
• 0 Renovate, replace, upgrade, expand, and/or install fencing.
• 0 Renovate, resurface, upgrade, expand, construct and/or install and improve paved and other hard surfaces (including playgrounds), benches, walls, gates, fencing, play and outside instructional areas, playfields, including turf, p.e. fields and related facilities, and landscaping, and acquire, improve, replace and/or upgrade playground equipment and fixtures.

All or portions of these projects may be used as joint-use projects within the meaning, of 77
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4134-5679-1823.6 78 Section 17077.42(c) of the Education Code (or any successor provision).

CLOVER FLAT ELEMENTARY SCHOOL

The following projects are authorized to be financed at Clover Flat Elementary School:

• 0 Modernize, upgrade, renovate, rehabilitate, re-configure, expand and/or upgrade classrooms, classroom buildings, restrooms, common areas and school support facilities (including library, multipurpose room/auditorium, food storage, preparation and service, cafeteria and office/staff support facilities), whether permanent, portable or modular, including interior and exterior (as applicable) doors, windows, door and window hardware, roofs, rain gutters and downspouts, walls, ceilings and floors and finishes, paint, siding, insulation, casework, surfaces, cabinets, secured storage, carpets, drapes, window coverings, infrastructure, lighting, sinks, drinking fountains, fixtures, signage, fencing, landscaping, furniture and equipment.
• 0 Renovate, replace, upgrade, acquire, install and/or integrate major site/building/utility systems, equipment and related infrastructure and housing, including lighting, electrical (including wiring and related infrastructure for modern technology), heating, refrigeration, cooling (including HVAC) and ventilation, water, sewer, gas, irrigation, drainage, and energy efficiency/management monitoring systems, networks, fixtures, equipment and controls.
• 0 Renovate, replace, upgrade, acquire, and/or install roofing and/or insulation.
• 0 Upgrade and/or acquire and install exterior lighting, fire detection and suppression, security alarm, video surveillance, emergency, master key and door lock.
• 0 Renovate, replace, upgrade, expand, and/or install fencing.
• 0 Renovate, resurface, upgrade, expand, construct and/or install and improve paved and other hard surfaces (including playgrounds), benches, walls, gates, fencing, play and outside instructional areas, playfields, including turf, p.e. fields and related facilities, and landscaping, and acquire, improve, replace and/or upgrade playground equipment and fixtures.

All or portions of these projects may be used as joint-use projects within the meaning of Section 17077.42(c) of the Education Code (or any successor provision).

DESCANSO ELEMENTARY SCHOOL

The following projects are authorized to be financed at Descanso Elementary School:

• 0 Modernize, upgrade, renovate, rehabilitate, re-configure, expand and/or upgrade classrooms, classroom buildings, restrooms, common areas and school support facilities (including library, multipurpose room/auditorium, food storage, preparation and service, cafeteria and office/staff support facilities), whether permanent, portable or modular, including interior and exterior (as applicable) doors, windows, door and window hardware, roofs, rain gutters and downspouts, walls, ceilings and floors and finishes, paint, siding, insulation, casework, surfaces, cabinets, secured storage, carpets, drapes, window coverings, infrastructure, lighting, sinks, drinking fountains, fixtures, signage, fencing, landscaping, furniture and equipment.
• 0 Renovate, replace, upgrade, acquire, install and/or integrate major 78
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  4134-5679-1823.6 79 site/building/utility systems, equipment and related infrastructure and housing, including lighting, electrical (including wiring and related infrastructure for modern technology), heating, refrigeration, cooling (including HVAC) and ventilation, water, sewer, gas, irrigation, drainage, and energy efficiency/management monitoring systems, networks, fixtures, equipment and controls.
• 0 Renovate, replace, upgrade, acquire, and/or install roofing and/or insulation.
• 0 Upgrade and/or acquire and install exterior lighting, fire detection and suppression, security alarm, video surveillance, emergency, master key and door lock.
• 0 Renovate, resurface, upgrade, expand, construct and/or install and improve paved and other hard surfaces (including playgrounds), benches, walls, gates, fencing, play and outside instructional areas, playfields, including turf, p.e. fields and related facilities, and landscaping, and acquire, improve, replace and/or upgrade playground equipment and fixtures.

All or portions of these projects may be used as joint-use projects within the meaning of Section 17077.42(c) of the Education Code (or any successor provision).

PINE VALLEY MIDDLE SCHOOL

The following projects are authorized to be financed at Pine Valley Middle School:

• 0 Modernize, upgrade, renovate, rehabilitate, re-configure, expand and/or upgrade classrooms, classroom buildings, restrooms, common areas and school support facilities (including library, multipurpose room/auditorium, food storage, preparation and service, cafeteria and office/staff support facilities), whether permanent, portable or modular, including interior and exterior (as applicable) doors, windows, door and window hardware, roofs, rain gutters and downspouts, walls, ceilings and floors and finishes, paint, siding, insulation, casework, surfaces, cabinets, secured storage, carpets, drapes, window coverings, infrastructure, lighting, sinks, drinking fountains, fixtures, signage, fencing, landscaping, furniture and equipment.
• 0 Renovate, replace, upgrade, acquire, install and/or integrate major site/building/utility systems, equipment and related infrastructure and housing, including lighting, electrical (including wiring and related infrastructure for modern technology), heating, refrigeration, cooling (including HVAC) and ventilation, water, sewer, gas, irrigation, drainage, and energy efficiency/management monitoring systems, networks, fixtures, equipment and controls.
• 0 Renovate, replace, upgrade, acquire, and/or install roofing and/or insulation.
• 0 Upgrade and/or acquire and install exterior lighting, fire detection and suppression, security alarm, video surveillance, emergency, master key and door lock.
• 0 Renovate, replace, upgrade, expand and/or install fencing.
• 0 Renovate, resurface, upgrade, expand, construct and/or install and improve paved and other hard surfaces (including playgrounds), benches, walls, gates, fencing, play and outside instructional areas, playfields, including turf, p.e. fields and related facilities, and landscaping, and acquire, improve, replace and/or upgrade related equipment and fixtures.

All or portions of these projects may be used as joint-use projects within the meaning of Section 17077.42(c) of the Education Code (or any successor provision).

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POTRERO ELEMENTARY SCHOOL

The following projects are authorized to be financed at Potrero Elementary School:

• 0 Modernize, upgrade, renovate, rehabilitate, re-configure, expand and/or upgrade classrooms, classroom buildings, restrooms, common areas and school support facilities (including library, multipurpose room/auditorium, food storage, preparation and service, cafeteria and office/staff support facilities), whether permanent, portable or modular, including interior and exterior (as applicable) doors, windows, door and window hardware, roofs, rain gutters and downspouts, walls, ceilings and floors and finishes, paint, siding, insulation, casework, surfaces, cabinets, secured storage, carpets, drapes, window coverings, infrastructure, lighting, sinks, drinking fountains, fixtures, signage, fencing, landscaping, furniture and equipment.
• 0 Renovate, replace, upgrade, acquire, install and/or integrate major site/building/utility systems, equipment and related infrastructure and housing, including lighting, electrical (including wiring and related infrastructure for modern technology), heating, refrigeration, cooling (including HVAC) and ventilation, water, sewer, gas, irrigation, drainage, and energy efficiency/management monitoring systems, networks, fixtures, equipment and controls.
• 0 Renovate, replace, upgrade, acquire, and/or install roofing and/or insulation.
• 0 Renovate, replace, upgrade, acquire, and/or install well storage tank.
• 0 Upgrade and/or acquire and install exterior lighting, fire detection and suppression, security alarm, video surveillance, emergency, master key and door lock.
• 0 Renovate, replace, upgrade, expand and/or install fencing.
• 0 Renovate, resurface, upgrade, expand, construct and/or install and improve paved and other hard surfaces (including playgrounds), benches, walls, gates, fencing, play and outside instructional areas, playfields, including turf, p.e. fields and related facilities, and landscaping, and acquire, improve, replace and/or upgrade playground equipment and fixtures.

All or portions of these projects may be used as joint-use projects within the meaning of Section 17077.42(c) of the Education Code (or any successor provision).

MISCELLANEOUS

All listed bond projects include the following as needed:

• 0 Removal of hazardous materials such as asbestos and lead paint as needed.
• 0 Construction and/or installation of access improvements for disabled persons, as required by state and federal law.
• 0 Planning, designing and providing temporary housing necessary for listed bond projects.
• 0 Acquisition of any rights-of-way, easements, and/or real property made necessary by listed bond projects, or lease of real property for the listed school facilities projects.
• 0 Necessary onsite and offsite preparation or restoration in connection with new construction, renovation or remodeling, or installation or removal of relocatable 80
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  4134-5679-1823.6 81 buildings, including demolition of structures; removing, replacing, or installing irrigation, drainage, utility lines (gas, water, sewer, electrical, data and voice, etc.), trees and landscaping; relocating fire access roads; and acquiring any necessary easements, licenses, land or rights of way made necessary by listed bond projects.
• 0 Address other unforeseen conditions revealed by construction, renovation or modernization (including plumbing or gas line breaks, dry rot, seismic and structural deficiencies, etc.).
• 0 Acquire or construct storage facilities and other space on an interim basis, as needed to accommodate construction materials, equipment, and personnel, and interim classrooms (including relocatables) for students and school functions or other storage for classroom materials displaced during construction.
• 0 For any project involving renovation, rehabilitation or renovation of a building or the major portion of a building, the District shall be authorized to proceed with new replacement construction/re-construction instead (including any necessary demolition), if the Board of Education of the District determines that replacement and new construction/re-construction is more practical than renovation and rehabilitation, considering the building's age, condition, expected remaining life, comparative cost and other relevant factors.
• 0 Furnishing and equipping of classrooms and other school facilities; furnishing and equipping shall include initial purchases, and scheduled and necessary replacements, upgrades and updating of technology.
• 0 All other costs and work necessary and incidental to the listed bond projects.

GENERAL PROVISIONS

Severability. If any provision of this bond proposition, or part thereof, is for any reason held by a court of competent jurisdiction to be invalid for any reason, the remaining provisions shall not be affected, but shall remain in full force and effect, and to this end the provisions of this bond proposition are severable.

Headings. The headings or titles of the sections of the bond proposition, including the headings or titles included in the bond project list, are solely for convenience of reference and shall not affect the meaning, construction or effect of the bond proposition.

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Measure JJ Tax Rate Statement

EXHIBIT B

TAX INFORMATION STATEMENT

An election will be held in the Mountain Empire Unified School District (the "District") on November 6, 2018, to authorize the sale of up to $15,000,000 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 9405 of the California Elections Code.

1. 1. The best estimate of the average annual tax rate that would be required to be levied to fund this bond issue over the entire duration of the bond debt service, based on assessed valuations available at the time of filing of this statement, is 3.699 cents per $100 ($36.99 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 2054-55.
2. 2. The best estimate of the highest tax rate that 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 4.222 cents per $100 ($42.22 per $100,000) of assessed valuation in fiscal year 2025-26.
3. 3. 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 approximately $30,274,822.

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 average annual tax rate, the highest tax rate and the year or years in which they will apply, and the actual total debt service, may vary from those presently estimated due to variations in the timing of bond sales, the amount of bonds sold, 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: _____, 2018.

Superintendent
Mountain Empire Unified School District

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Measure JJ Agenda Description

MOUNTAIN EMPIRE UNIFIED SCHOOL DISTRICT
Agenda for the Regular Meeting of the Board of Trustees
Mountain Empire District Office
3305 Buckman Springs Rd., Pine Valley CA 91962

Tuesday, July 10, 2018

5:00 pm. Open Session - Executive Board Room
5:01 pm. Closed Session - Executive Board Room
6:00 pm. Open Session - District Board Room

9. FINANCIAL & BUSINESS

9.09 Resolution #18/19-002: Ordering a School Bond Election 64-83

Motion Second Vote

Mountain Empire Unified School District

Agenda Item: 9.09 Date: July 10, 2018

Correspondence _ Consent Agenda

Reports

General Functions

Pupil Services

Personnel Services

X__Financia1 & Business Procedures

Curriculum and Instruction

Policy Development

Item Requires Board Action: __X Item is for Information Only:

Item: Resolution Number 18/19-002 - Ordering A School Bond Election

Background: The Board must adopt a resolution by August 12,2018 to call a General Obligation (GO) Bond Election for the November 6, 2018 ballot which if approved by a 55% of the votes cast, would permit the District to issue bonds. The resolution requests the Registrar of Voters of San Diego County to take all steps to hold the election. The resolution also contains the proposed ballot language, and Exhibit A containing the full text of the bond proposition, accountability safeguards including the Independent Citizen's Oversight Committee, Estimated Ballot Information and Bond Project List. Exhibit B is the Tax Information Statement.

Fiscal Impact: Approximately $15 million in General Obligation bond funds to be used for the projects listed in Exhibit A

Recommendation: Board Approval

Prepared for: K. Granger

Prepared by: G. Hobelman

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Board agenda,

Measure JJ Resolution

RESOLUTION NO. 18/19-002

RESOLUTION OF THE BOARD OF EDUCATION OF THE
MOUNTAIN EMPIRE UNIFIED SCHOOL DISTRICT
ORDERING A SCHOOL BOND ELECTION, AND
AUTHORIZING NECESSARY ACTIONS IN CONNECTION
THEREWITH

WHEREAS, the Mountain Empire Unified School District (the "District"), located in the County of San Diego (the "County"), last received voter authorization to issue general obligation bonds in the aggregate principal amount of $3.2 million in 1998 under Proposition N for the repair and modernization of campuses to accommodate new technology and for the construction and acquisition of new classrooms and facilities; and

WHEREAS, the average age of the schools in the District is over 49 years old, with the oldest campus built in 1935; and

WHEREAS, the District struggles with funding challenges to address its aging infrastructure and finding ways to modernize and upgrade its capital facilities; and

WHEREAS, in order to assess and understand the current facilities needs of the District, the District requested that the Office of Education of the County (the "County Office of Education") assist the District in preparing a long-range facilities master plan (the "Master Plan"); and

WHEREAS, the Master Plan details and prioritizes the capital projects of the District based on an in-depth campus-by-campus evaluation of each of the District's schools; and

WHEREAS, of the many capital projects and needs identified by the Master Plan, the Board of Education of the District (the "Board") has identified some of the most crucial capital projects to be funded through a potential general obligation bond measure proposed to voters by the District, with the acknowledgment that there may not be sufficient funds from such bond measure to accomplish all of such capital projects identified by the Board; and

WHEREAS, to limit the burden on taxpayers and maximize the funds available for capital projects at the District, the District also intends to pursue State of California matching grant funds as another source of funding for the certain of the capital projects proposed to be funded through a general obligation bond measure; and

WHEREAS, in order to maximize community benefit and efficiently apply taxpayer dollars, the District will make a good faith effort, where practical and economical, to incorporate joint use elements into the specific projects the District proposes to finance with proceeds of a proposed general obligation bond with the goal of maximizing the use of facilities to the broader community without adversely impacting operations or finances; and

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WHEREAS, in an effort to increase competition and maintain fairness among all potential contractors, reduce costs of construction, and efficiently apply taxpayer dollars, the Board, to the extent doing so is not prohibited by law (including the doctrines of legislative entrenchment and the single subject rule) and does not eliminate any eligibility for potential State or federal funding or financial assistance, as part of the bond proposition, desires to provide that the District will not build and maintain bond-financed facilities under a project labor agreement; and

WHEREAS, the Board is authorized to order elections within the District and to designate the specifications thereof, pursuant to Sections 5304 and 5322 of the California Education Code (the "Education Code"); and

WHEREAS, the Board is specifically authorized to order elections for the purpose of submitting to the electors the question of whether bonds of the District shall be issued and sold for the purpose of raising money for the purposes hereinafter specified, pursuant to Education Code Sections 15100 et seq; and

WHEREAS, pursuant to Section 18 of Article XVI and Section 1 of Article XIIIA of the California Constitution, and Section 15266 of the Education Code, school districts may seek approval of bonds and levy an ad valorem tax to repay those bonds upon a 55% vote of those voting on a proposition for the purposes hereinafter specified, provided certain accountability requirements are included in the proposition, including (a) that the proceeds from the sale of the bonds be used only for the purposes specified in Article XIIIA, Section 1(b)(3) of the Constitution, and not for any other purpose, including teacher and administrator salaries and other school operating expenses, (b) that a list of the specific school facilities projects to be funded be included, which the school district board has certified that it has evaluated safety, class size reduction and information technology needs in developing, and (c) that performance and financial audits be required and there be oversight by an independent citizens' oversight committee to ensure that all funds are spent properly and as promised to the voters; and

WHEREAS, the Board deems it necessary and advisable to submit such a bond proposition to the electors, which, if approved by 55% of the votes cast, would permit the District to issue its bonds; and

WHEREAS, such a bond election must be conducted concurrent with a statewide primary election, general election or special election, or at a regularly scheduled local election at which all of the electors of the District are entitled to vote, as required by Section 15266 of the Education Code; and

WHEREAS, on November 6, 2018, a statewide general election is scheduled to be conducted throughout the District; and

WHEREAS, subsection (c) of Section 15100 of the Education Code provides that, before the governing board of a school district may order an election pursuant to Education Code Sections 15100 et seq, it shall obtain reasonable and informed projections of assessed property valuations that take into consideration projections of assessed property valuations made by the county assessor; and

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WHEREAS, although the County Assessor does not make projections of assessed property valuations beyond next succeeding tax year, the Board has been presented with projections of assessed property valuations of the property within the boundaries of the District in connection with developing the bond proposition that take into consideration, among other things, the long-term historical average growth rates of assessed property valuations of the property within the boundaries of the District and the Board finds those projections to be reasonable and informed; and

WHEREAS, the Board has determined that, based upon such projections of assessed property valuation, if approved by voters, the tax rate levied to meet the debt service requirements of the bonds proposed to be issued will not exceed the maximum tax rate permitted by Section 15270 of the Education Code; and

WHEREAS, Section 9400 et seq. of the California Elections Code (the "Elections Code") requires that a tax information statement be contained in all official materials, including any voter information guide prepared, sponsored or distributed by the District, relating to the election; and

WHEREAS, the Board now desires to authorize the filing of a ballot argument in favor of the bond proposition to be submitted to the voters at the election; and

WHEREAS, if a project or projects to be funded by the bonds will require State of California matching grant funds for any phase, the sample ballot must contain a statement, in the form prescribed by law, advising the voters of that fact, and the Board finds that completion of all or a portion of certain of the projects listed in the bond proposition set forth herein will require State matching grant funds for any phase thereof;

NOW, THEREFORE, be it resolved, determined and ordered by the Board of Education of the Mountain Empire Unified School District as follows:

Section 1. Recitals. All of the above recitals are true and correct.

Section 2. Specifications of Election Order; Required Certification. Pursuant to Education Code Sections 5304, 5322, 15100 et seq., and 15266, and Section 18 of Article XVI and Section 1 of Article XIIIA of the California Constitution, a special election shall be held within the boundaries of the District on November 6, 2018, for the purpose of submitting to the registered voters of the District the bond proposition contained in Exhibit A attached hereto and incorporated herein. In accordance with Section 1 of Article XIIIA of the California Constitution, and as provided in the text of the bond proposition, the Board hereby certifies that it has evaluated safety, class size reduction and information technology needs in developing the bond project list set forth in the bond proposition.

Section 3. Conduct of Election.

1. (a) Request to County Officers. Pursuant to Section 5303 of the Education Code, the Registrar of Voters of the County (the "Registrar of Voters") is required to, and is hereby requested to, take all steps to hold the election in accordance with law and these specifications.

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2. (b) Abbreviation of Proposition. Pursuant to Sections 13119 and 13247 of the Elections Code and Sections 5322 and 15122 of the Education Code, the Board hereby directs the Registrar of Voters to use the following abbreviation of the bond proposition on the ballot:

"To construct, renovate and equip classrooms, science labs, and school facilities that support college and career readiness in math, science, engineering, technology and skilled trades; improve school safety/security; repair deteriorating roofs, plumbing, and electrical systems, shall Mountain Empire Unified School District issue $15,000,000 of bonds at legal interest rates, with estimated repayment amounts averaging $840,967 annually for approximately 36 years at projected tax rates averaging 3. 7 cents per $100 of assessed value, with annual audits and citizens' oversight?

3. (c) Voter Pamphlet. The Registrar of Voters is hereby requested to reprint the full text of the bond proposition as set forth in Exhibit A in its entirety in the voter information pamphlet to be distributed to voters pursuant to Section 13307 of the Elections Code. In the event the full text of the bond proposition is not reprinted in the voter information pamphlet in its entirety, the Registrar of Voters is hereby requested to print, immediately below the impartial analysis of the bond proposition, in no less than 10-point boldface type, a legend substantially as follows:

"The above statement is an impartial analysis of Measure _. If you desire a copy of the measure, please call the County Registrar of Voters at (858) 694-3900 or the Mountain Empire Unified School District at (619) 4 73-9022, and a copy will be mailed at no cost to you. Measure __ is also available on the Internet at http://www.meusd.k12.ca.us/."

4. (d) Accountability Safeguards. In the event the full text of the bond proposition is not reprinted in the voter information pamphlet in its entirety, the Registrar of Voters is hereby requested to include the following statement in the ballot in compliance with Section 15272 of the Education Code:

"If Measure _ is approved, the Board of Education of the Mountain Empire Unified School District will appoint a citizens' oversight committee and conduct annual independent audits to assure that bond funds are spent only on 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 for no other purposes.

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5. (e) State Matching Funds. The District hereby requests that the Registrar of Voters include the following statement in the ballot pamphlet, pursuant to Section 151225 of the Education Code:

"Approval of Measure __ does not guarantee that the proposed project or projects in the Mountain Empire Unified School District that are the subject of bonds under Measure __ will be funded beyond the local revenues generated by Measure _. The 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.

6. (f) Consolidation Requirement. Pursuant to Section 15266(a) of the Education Code, the election shall be consolidated with the statewide general election on November 6, 2018, and pursuant to Education Code Section 5342 and Part 3 (commencing with Section 10400) of Division 10 of the Elections Code, the Registrar of Voters and the Board of Supervisors of the County are hereby requested to order consolidation of the election with such other elections as may be held on the same day in the same territory or in territory that is in part the same. The District hereby acknowledges that the consolidated election will be held and conducted in the manner prescribed by Section 10418 of the Elections Code.
7. (g) Canvass of Results. The Board of Supervisors of the County is authorized and requested to canvass the returns of the election, pursuant to Section 1041 1 of the Elections Code.
8. (h) Required Vote. Pursuant to Section 18 of Article XVI and Section 1 of Article XIIIA of the California Constitution, the bond proposition shall become effective upon the affirmative vote of at least 55% of the voters of the District voting on the proposition.
9. (i) Election Costs. The District shall pay all costs of the election approved by the Board of Supervisors of the County pursuant to Education Code Section 5421.

Section 4. Delivery of Order of Election to County Officers. The Clerk of the Board of the District is hereby directed to cause to be filed as soon as practicable, and in any event no later than August 10, 2018 (which date is not fewer than 88 days prior to the date set for the election), one copy of this Resolution to the Registrar of Voters, including the tax information statement attached hereto as Exhibit B, containing the information required by Elections Code Section 9400 et seq., completed and signed by the Superintendent of the District, and shall file a copy of this Resolution with the Clerk of the Board of Supervisors of the County.

Section 5. Ballot Arguments. The President of the Board, or any member or members of the Board as the President shall designate, are hereby authorized, but not directed, to prepare and file with the Registrar of Voters a ballot argument in favor of the bond proposition, within the time established by the Registrar of Voters, which shall be considered the official ballot argument of the Board as sponsor of the bond proposition.

Section 6. Further Authorization.

1. (a) General. The members of the Board, the Superintendent of the District, and all other officers of the District are hereby authorized and 5 69
   4134-5679-1823.6 70 directed, individually and collectively, to do any and all things that they deem necessary or advisable in order to effectuate the purposes of this resolution in accordance with the terms hereof and of applicable provisions of law.
2. (b) Bond Proposition Exemption from Elections Code Section 13119. In the event that legislation is effective on or before August 10, 2018, subsequent to the adoption of this Resolution, that exempts or temporarily suspends the bond proposition from the requirements of subsection (b) of Elections Code Section 13119, then (i) the entire ballot statement contained in Section (3)(b) herein shall be deemed deleted and replaced with the following ballot statement:

   "To repair, renovate, construct and equip aging Mountain Empire classrooms, science labs and school facilities, including deteriorated roofs, plumbing, and electrical systems, improve school safety/security, and upgrade career-training facilities, labs, and technology infrastructure supporting college and career readiness in math, science, engineering, technology and skilled trades, shall Mountain Empire Unified School District issue $15,000,000 in bonds at legal interest rates, requiring annual audits, independent citizen oversight, no money for administrators' salaries/pensions, and all funds locally-controlled?"

   and (ii) the section entitled "Estimated Ballot Information" contained in the full text of the bond proposition in Exhibit A attached hereto shall be deemed deleted therefrom in its entirety. To the extent such exemption or suspension becomes effective, the members of the Board, the Superintendent of the District, and all other officers of the District are hereby authorized and directed, individually and collectively, to coordinate and effectuate such replacement of the ballot statement contained in Section (3)(b) and modification to the full text of the bond proposition contained in Exhibit A attached hereto with the Registrar of Voters.

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Section 7. Effective Date. This Resolution shall take effect upon its adoption by a two-thirds vote.

PASSED AND ADOPTED this day, July 10, 2018, by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT: APPROVED:

President of the Board of Education of the
Mountain Empire Unified School District

Attest:

Clerk of the Board of Education of the
Mountain Empire Unified School District

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CLERK'S CERTIFICATE

I, _____, Clerk of the Board of Education of the Mountain Empire Unified School District, County of San Diego, California, hereby certify as follows:

The attached is a full, true and correct copy of a resolution duly adopted at a regular meeting of the Board of Education of the District duly and regularly held at the regular meeting place thereof on July 10, 2018, and entered in the minutes thereof, of which meeting all of the members of the Board of Education had due notice and at which a quorum thereof was present. The resolution was adopted by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

An agenda of the meeting was posted at least 72 hours beforehand at 3291 Buckman Springs Road, Pine Valley, California, a location freely accessible to members of the public, and a brief description of the adopted resolution appeared on the agenda. A copy of the agenda is attached hereto. The resolution has not been amended, modified or rescinded since the date of its adoption, and the same is now in full force and effect.

WITNESS my hand this _____ day of _____, 2018.

Clerk of the Board of Education
Mountain Empire Unified School District

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