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About 45 people were present at Tuesday’s Measure P Forum where a panel spoke in favor of and against the proposed $39.6 million SPUSD bond. Seated on the panel were (left to right) SPUSD consultant John Isom, Assistant Superintendent of Finance Donna Rose, Superintendent Alfonso Gamino, and opponents Steve Smead and Maiya Herrera.
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Forum: Lively comment on property tax Measure P to benefit SPUSD
May 20, 2016
By Peggy Kelly
Santa Paula News
The forum on Measure P brought out a rare opponent on a school bond measure but provided plenty of lively comment on the property tax bond measure.
Tuesday’s forum, sponsored by the Chamber of Commerce, drew a sparse crowd of about 40 people many Santa Paula Unified School District board members and employees.
Chamber Board Chairman Zahid Shah who noted that David Maron of Camarillo would be the moderator, a job he handles on a regular basis for the League of Women Voters-Ventura County, greeted the attendees.
Fred Robinson, chamber president-CEO, noted that Mayor Martin Hernandez, Vice Mayor Jenny Crosswhite and Councilman John Procter were in the audience as well as SPUSD Board President Chris Wilson and members Michelle Kolbeck and Diana Ponce-Gomez.
Time Warner Cable Channel 10 broadcast the meeting, which will be repeated over the next several weeks.
Voters are asked to approve Measure P, a $39.6 million bond measure, when it is on the Primary Election ballot June 7. School bond measures require a 55 percent and one vote margin to pass.
During opening statements Superintendent Alfonso Gamino said SPUSD has “a long history of educating students, more than 100 years…”
The district has six elementary schools, one middle school, a high school and alternate high school; the bond measure would only be to benefit elementary school facilities.
There are 535 “certificated employees” and about 5,500 students served by the SPUSD.
Gamino said the district has been studying the bond measure for about three years and identified $58 million needed for critical needs. Of this $58 million, $1.5 million paid by developer fees, $10 million by SPUSD existing monies and grants of about $5 million will supplement the $39.6 bond.
Bonds, he added, are a common funding source for California schools with 653 districts out of 977 statewide school districts using general obligation bonds for financing since 2004, including 20 in Ventura County.
“Our goal,” said Gamino, “will be 21 out of 21…everyone knows the importance of having quality schools,” from educating students to rising property values.
The average age of SPUSD campuses is 70 years and the almost 50-page master plan details $58 million in “critical needs” for facilities.
Steve Smead, said he was educated in local schools and was a SPHS “Cardinal” but “I cannot stand by while a runaway school board tries to strap $66 million in debt,” on property owners, payments that renters would be required to supplement.
If Measure P passes Smead said it would add to the already $50 million in bond obligations being paid by Santa Paulans for area schools.
He said the district has already misrepresented spending to the residents: unification was supposed to save money when actually it let to hiring 40 more employees; $4 million in added revenue for unification that he said went for salaries; spending $1.2 million on three Palm Court houses to create parking for a cost of $20,000 to $30,000 per parking spot; a $48,000 traffic study that did not reveal anything not known by the district.
The Master Plan cost $150,00 and is “already obsolete” and Smead questioned campaign material that does not show the burden on homeowners — estimated at about $60 per $100,000 in valuation — as well as the total cost of the bond including commissions.
Audience questions centered on other possible tax measures such as the city’s projected public safety sales tax and Ventura County Transportation Commission sales tax.
“I can only afford one,” Maron read, “Why vote for yours?”
Investing in future generations has the highest return said Gamino: “We don’t want to send our kids to jail, we want to send them to the university…”
Consultant John Isom said “one unique feature” of the bond is that it is based on the “accessed value” of the property, often “much lower” than the resale value; in some local cases the accessed home value could be as little as $50,000.
“The reality is I have not seen an accessed value of $50,000,” said Smead, who noted “A young couple moving to Santa Paula” would face an $8,000 payment over the life of the bond.
On the issue of unification Gamino noted it did save the district money as the state is providing more funding to the SPUSD “for action and services” based on its demographics.
Smead questioned the need for air conditioning and suggested that the school year be adjusted but Donna Rose, assistant superintendent of business services, noted such schedule changes would not accommodate weather patterns.
Smead said he had contemplated purchasing the land now owned by the district for the FFA farm: “It’s a dead piece of property…and I think there was a relationship,” between a school board member and property owner.
On other matters homes valued at $400,000 will pay $240 a year said Gamino.
Smead noted that Santa Paula property owners are presently paying $70 per $100,000 on school bonds and “when you throw in the community college bond that’s another $20…”
In response to a question about spending oversight Isom noted a new law has strict guidelines including the formation of a committee of community members to green-light projects and annual audits.
“The college also had an oversight committee,” said Moran, referring to the $360 million bond voted for overwhelmingly by Santa Paulans who were promised — and then denied — a $25 million local campus.
He questioned how an oversight committee would be formed and Isom said there are parameters of who can serve and be appointed by board members.
Smead said, “The reality is three members of the board can move those funds around,” and unless the oversight committee is “aggressive” spending would be directed by the board and not the committee.
When asked about fees Isom said he has a SPUSD contract for the campaign itself and a separate contract as a financial advisor to package the bonds to sell to investor. Each sale will pay a $60,000 commission.
The total cost of this bond offering he noted is about $79 million with fees and interest over the 30 year life of the bond, much higher than Smead’s estimated $66 million. The interest rate on the bonds would be 3 to 4 percent.
During closing remarks Gamino said that rather than three board members having decision-making powers as Smead noted, when it comes to bond spending “I say all five members understand the needs of our kids and it will be a 5-0 vote in projects…we are united in what our children need. No money will be spent,” on salaries. “We have saved money, the state has given us money,” but more is needed to upgrade and modernize aging schools.
“It may be time for the general public to say enough is enough,” said Smead, seated with Maiya Herrera for part of the forum.
