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To renovate, upgrade, construct and rebuild aging classrooms and school facilities including deteriorating electrical, plumbing, heating and air conditioning systems; renovate restrooms; upgrade fire alarms; and install wiring to support modern technology, shall San Ardo Union Elementary School District be authorized to issue $6.8 million of bonds with rates below legal limits, independent citizen oversight, financial audits, no funds for administrator salaries, and all funds spent on San Ardo School and not taken by the State and spent elsewhere?
Bonds—Yes                                                  Bonds—No  
By approval of this proposition by at least two-thirds of the registered voters voting on the measure, the San Ardo Union Elementary School District (the "District") will be authorized to issue and sell bonds of up to $6,800,000 in aggregated principal at interest rates not in excess of the legal limit and to provide financing for the specific projects listed in the Bond Project List described below, subject to all the accountability requirements specified below.

The Bonds may be issued under the provisions of the California Education Code (starting at Section 15100), under the provisions of the California Government Code (starting at Section 53506), or under any other provision of law authorizing the issuance of general obligation bonds by school districts. The Bonds may be issued in series by the District from time to time, and each series of Bonds shall mature within the legal limitations set forth in the applicable law under which the Bonds are issued.

The District intends to use the Bonds to modernize, replace, renovate, construct and rebuild the District facilities on the Bond Project List.
All Bonds will be sold as current interest bonds and the use of capital appreciation bonds will not be permitted. The Board intends that the term of the tax levied for any series of Bonds will not exceed fifteen (15) years.
The Board intends to issue the Bonds only if the assessed value of the taxable property in the District is sufficient to support the debt service on the Bonds. Should the initiative on the November 2016 ballot limiting methods of oil and gas extraction pass, and it causes the assessed value of the District to fall below what is required to support the debt service on the Bonds, the Board will not authorize the issuance of the Bonds.

The provisions in this section are specifically included in this proposition in order that the voters and taxpayers in the District may be assured that their money will be spent wisely.
Evaluation of Needs.
The Board of Trustees of the District (the “Board of Trustees”) has identified detailed facility needs of the District and has determined which projects to finance from a local bond at this time. The Board of Trustees hereby certifies that it has evaluated safety, class size reduction, enrollment growth, and information technology needs in developing the Bond Project List shown below.

Independent Citizens’ Oversight Committee.
The Board of Trustees shall establish an Independent Citizens’ Oversight Committee to ensure that bond proceeds are expended only on the school facilities projects listed below. 

Performance Audits.
The 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 described in the Bond Project List below.

Financial Audits.
The 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 described in the Bond Project List below.

Annual Report.
The Superintendent of the District will cause an annual report to be filed with the Board of Trustees, the first report to be filed not later than one year after the issuance of the first series of the bonds, which report will contain pertinent information regarding the amount of funds collected and expended, as well as the status of the projects listed in this measure, as required by applicable California law.
Expenditure of Bond Proceeds. The proceeds from the sale of the District’s bonds will be used only for the purposes specified in this measure, and not for any other purpose. Such proceeds will be deposited into a Project Fund to be held by the Monterey County Treasurer, as required by the California Education Code.

No Administrator Salaries. Proceeds from the sale of bonds authorized by this proposition shall be used only for the school facilities projects on the Bond Project List below, and not for any other purpose, including teacher and administrator salaries and other school operating expenses.

Scope of Projects. The Bond Project List shown below is a part of the ballot measure and must be reproduced in any official document required to contain the full statement of the bond measure.
Bond proceeds will be expended to modernize, replace, renovate, construct and rebuild San Ardo School as described in the following list. Whenever specific items are included in the following list, they are presented to provide an example and are not intended to limit the generality of the broader description of the types of authorized projects.

Proceeds of the Bonds will be used to renovate, upgrade and equip San Ardo School. Such projects shall include but shall not be limited to:
•       Renovate classrooms and classroom buildings
•       Acquire, replace and install heating, ventilation and air conditioning systems in classroom buildings
•       Replace or refinish classroom flooring, ceilings and walls
•       Upgrade and replace building systems such as plumbing, electrical, communications and fire alarms
•       Refurbish all restrooms including plumbing, fixtures, lighting and flooring
•       Improve energy efficiency with new doors, windows, lighting, and insulation
•       Install access ramps to meet Americans with Disability Act requirements
•       Refurbish pool house restrooms and locker rooms
•       Install heating, ventilation and air conditioning system in the auditorium
•       Resurface school playground
•       Address any unforeseen conditions as a result of renovation including termite damage, dry rot, asbestos removal, etc.

Projects which are described above include all related and incidental costs, including their share of the costs of the election and bond issuance and costs of design, engineering, architect and other professional services, inspections, site preparation, utilities, and other planning, legal, accounting and similar costs, independent annual financial and performance audits, a customary contingency, and other costs incidental to and necessary for completion of the listed projects.

In the event that a renovation project will result in higher costs than reconstruction, this bond measure authorizes reconstruction, and all costs relating thereto, for said reasons or based on other considerations deemed in the best interest of the District by the Governing Board. 

Approval of the District’s bond measure does not guarantee that all of the identified projects within this Bond Project List will be funded beyond what can be completed with local funds generated by the bond measure. The District plans to pursue funds from the State of California, if available, to complete certain of the identified facilities projects.

Projects Subject to Available Funding. The foregoing list of projects is subject to the availability of adequate funding to the District. Approval of the bond measure does not guarantee that the proposed projects in the District that are the subject of bonds under the measure will be funded beyond the local revenues generated by the bond measure. The District's proposal for the 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.




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