Residents here will be asked to give their approval for Measure L2012 (Measure L). The Santa Ynez Valley Union High School District is seeking to authorize the sale of $19,840,000 in general obligation bonds. Bond proceeds will go to retiring debt, instituting a new technology endowment, facilities maintenance and the replacement of portable classrooms with permanent ones.
“The bond is important for us because of our continued losses from the state,” says superintendent Paul Turnbull. Santa Barbara County has seen more than $1.3 billion in cuts to educational funding over the course of the last five years. The local district alone has coped with more than $2.1 million in losses, and expects to receive no state dollars whatsoever for the 2012-13 school year.
Marc Owens, a member of the school board, explains that the board is cognizant of the financial issues many local families are facing. But they have responsibility to both the school and the students, as well as local taxpayers.
Measure L constitutes a conservative program to maintain the school’s facilities, says Chris Burtness, a former science teacher at the school and current member of the school board. She and other board members point out that for more than 100 years, Valley residents have approved school measures and supported the high school. They hope they will step up to do so again.
The difficult reality is, says school board president Bruce Porter, that even if the bond doesn’t pass a significant number of the repairs which are sought to be funded will have to be completed nonetheless. Unfortunately, that would mean taking dollars out of the classroom.
The exact cost of the measure to any taxpayer cannot be said with certainty as the interest rates charged will fluctuate depending on the date the bonds are sold. The bonds will not be sold until actually needed, explains Owens.
But for purposes of determining the likely impact, he suggests that homes with an assessed value of $500,000 should anticipate an annual increase in taxes of $75-150, or approximately $12.50 a month on the high end. As the bonds will be sold most likely over the course of a three to five-year period, that amount is likely to ease in slowly.
Contrary to comments by the opposition, the bond will last for a period of 30 years – not 40, Owens explains. The tax is based on property assessed values, says Porter. Senior citizens on fixed incomes generally have lived locally for substantial periods of time and, therefore, under Proposition 13 have low-assessed home values. He expects few, if any, to pay more than a dollar or so a month in increased taxes.
Additionally, there is a possibility that the district will not sell all of the bonds that are authorized by law, but that is unlikely. Owens notes that the school’s pool is in poor shape and that fundraising efforts are likely to go to that project rather than those enumerated on the bond.
Replacement of the pool is not included in the bond measure as it was estimated to cost in the $4-5 million range, an amount the board believes the community was unwilling to fund. However, certain repair costs have been factored in.
Bond funds can only be used for the specific items on the project list, Owens explains. “But that in no way bars the board from seeking funding from other sources.” The school does intend to apply for any matching grants it may be entitled to and continues to look to the individual community members to help financially where they are able.
Two significant items on the list of projects covered by the bond represent prior existing financial obligations of the district, rather than new debt. About 1/3 of bond dollars – $6,302,944 – will be used to pay off the school’s Municipal Lease and its Certificates of Participation, allowing the school to meet its obligation by a means that does not take funds away from academics, says Turnbull.
“The district incurred debt several years ago, when it built a number of much-needed structures,” Porter explains. At that time, the plan was to pay off that debt from the District’s operational funds and not burden taxpayers. But the financial environment has changed considerably since then, and with drastic cuts in state funding, the sources to pay off those obligations have dried up.
“If the bond fails, we have to divert money from classrooms to pay that debt,” says Porter.
The district is currently in a situation where it is deficit spending, says Owens. Over the course of the last several years, the board has done its best to plan for a worst-case scenario, but that only works for so long. “There will be more cuts if the bond doesn’t pass.”
Owens notes that there are still 2 1/2 years of payments on past debt which amount to $295,000 per year, for which there are no current revenues from which the district can draw. “In the absence of the bond, there are no funds for deferred maintenance, either.”
Another large chunk of the bond will be applied to technology infrastructure upgrades and a technology endowment. The $3 million endowment will allow the district to use the income generated by the fund to keep the schools computer hardware and software up to speed, says Owens.
Once established, the fund should minimize the district’s need to ask taxpayers in the future for technology dollars. An additional $1 million of bond proceeds will be used for presently needed technology infrastructure upgrades.
The last of the large ticket items to be paid for by bond funds is the replacement of the current “P” buildings. The estimate for replacement was generated on the basis of reasonable professional estimates from members of the industry, says Owens. “We can’t pay out a quarter of a million dollars for an architect to draw up plans,” he explains. “It would be like putting the cart before the horse.”
The portable classrooms have not lived up to the quality or durability that was expected when they were purchased. Before choosing to replace the buildings, the board had extensive conversations with the school’s maintenance personnel, toured the facilities and reviewed alternatives.
“Some of our more outdated and dilapidated facilities are beyond their useful lifespan and are very expensive to maintain,” notes Porter. The highest single cost of the bond is to replace those old portable classrooms with modern structures that aren’t suffering from dry rot, leaking roofs or water damage.
“If the bond fails, we’ll be forced to throw good money after bad, to keep these forlorn buildings limping along,” Porter says. “There is only one place to find that money – by cutting teachers and staff and giving the next generation fewer opportunities.”
“With ongoing cuts to the school district, we are without the ability to take care of critical infrastructure needs like roofing, plumbing, electrical, technology and fire/safety repairs,” says Turnbull.
Some of the safety items to be upgraded or repaired are smoke detectors and the fire alarm system, along with replacement of the master clocks. Classroom locks will be replaced so that teachers can secure classrooms from inside, improving student safety in the event of an emergency. Security cameras, lighting and parking lot maintenance are in the bond budget as well.
Underground piping systems, which have been in place since the depression, will be replaced. “By applying bond funds to these needs, we will have the ability to provide the next generation of students with an educational environment that reflects the top-notch instruction they receive on a daily basis,” says Turnbull. struax@syvjournal.com