May 10, 2017 BOT Meeting CUSD Admits that Prop 39 Grant Funds Were Deposited into the General Fund

As a member of the Public, I pulled a BLUE CARD for both Agenda Item #2 and #29. CUSD received $ 8.9 million dollars - Prop 39 Energy Grant.

Schneider Electric performed Energy Audits on six High Schools at a Cost of to CUSD of $2,490,333.00 million from the General Fund, not Prop 39 funds. That money has already been spent. I questioned this Item because there does not appear to be an documentation that any companies bid on this project. Schneider Electric paid money to pass Prop 39 and is now receiving energy audit contracts from school districts who receive Prop 39 Grant Funds. Also troubling is the fact that the PO's showed that these PO's were paid for out of General Fund money and not Prop 39 Funds.

The Public Hearing was strange. The Matter was heard, I was the only Blue Card. The hearing was closed. Then when Agenda Item #29 was opened and I spoke Clark Hampton asked the Board to re-open the Public Hearing and read the required text into the Board Item BEFORE voting on Agenda Item #29. There was discussion with the attorney on how to proceed. Trustee Martha McNicholas read the text into the Agenda and despite PUBLIC comment the Board passed the Item.

It should also be noted that the Board Audio will reflect that Clark Hampton stated on the record that Prop 39 Funds were deposited into the General Fund so payments to Schneider Electric was paid out of General Fund money yet on agenda Item #5 CUSD specifically states that Prop 39 FUnds are paying for two contracts - $9,000 to Government Financial Strategies (a consulting firm that did much of CUSD's Measure M Bond Fund work) and $43,840 to ARC Alternatives for what appears to be the same type of work that Schneider Electric does?

This is very confusing to members of the Public who would like CUSD to provide basic educational services to every student such as District funded Art- Music and Science for every student (Core educational programs mandated by the State) - reasonable class sizes, and facilities that are properly maintained. Citing a lack of funding, CUSD continues to deny students their fundamental right to equality of educational opportunity while CUSD chooses to spend the limited resources it has to provide annual across the board compensation increases to all employee groups that have amounted to over $120 million dollars over the past four years.

I have stood before the Board since 2007-08 and asked how the State of California has resources to fund Energy Grants, Professional Development Grants and Ed Technology Grants that provide millions of California Tax Payer Dollars to For-Profit corporations, but students still continue to lack sufficient funding to have instruction in core educational programs.

I received no response from the District.

The Item was approved and

Pay to Play appears to continue without question; or even a pause, while CUSD students continue to do without and taxpayers are asked to increase their taxes by a record amount.

• $9,000.00 Government Financial Strategies to provide analysis review and evaluation of a Districtwide solar project. (This was one of CUSD's Bond Consultants?????)
• $43,840.00 ARC Alternatives to provide consulting analysis, evaluation and feasibility of potential solar projects at six high schools and District Offices, including RFP preparation and support.

May 10, 2017 CUSD Board of Trustees Meeting Agenda Item #2 PUBLIC HEARING: Resolution No. 1617-75, Approving Energy Services Contract with Schneider Electric Buildings Americas, Inc. for Approved Plan No 2 (Application No 1646) for the Districts Energy Conservation Program for Six High School Sites.

and campion Item #29 Vote to Adopt Resolution No. 1617-75, Approving Energy Services Contract with Schneider Electric Buildings Americas, Inc. for Approved Plan No 2 (Application No 1646) for the Districts Energy Conservation Program for Six High School Sites.

BLUE CARD - Dawn Urbanek THIS ITEM SHOULD BE PULLED UNTIL FULL DOCUMENTATION IS PROVIDED Where are the competitive proposals? They have never been made Public? They are Not on the Web Site now? Where is the August 22, 2017 Legal Memorandum referenced in this Agenda Item? It is not included in this Item or corresponding Agenda Item #29? PAY TO PLAY is draining millions of tax payers dollars away from California's Public Education System This appears to be another AFTER - THE - FACT CONTRACT that did not go through a competitive bid process, and it looks like that despite CUSD having received "Prop 39 Energy Grant Funds", CUSD spent General Fund money to do this and is now trying to cover it's tracks. May 10, 2017 Board Meeting Agenda Item #29 Approval of Resolution for Schneider Electrict. page 446. The following documents are the only documents available pertaining to this contract: 12-07-15 Energy Audit Services: Request for Proposals RFP No. 5-1516 http://purchasing-capousd-ca.schoolloop.com/file/1437932188288/1446976138052/2402252653890038902.pdf 12-14-15 Energy Audit Services: Advertisement http://purchasing-capousd-ca.schoolloop.com/file/1235192779493/1446976138052/8876703781360291820.pdf 01-08-16 Addendum I http://purchasing-capousd-ca.schoolloop.com/file/1235192779493/1446976138052/4927992963316283311.pdf 01-08-16 Addendum II http://purchasing-capousd-ca.schoolloop.com/file/1235192779493/1446976138052/4691246085109774469.pdf There is no other documentation... no competitive bids. CUSD makes reference to a Legal Memorandum dated August 22, 2016 that concludes that “the District’s RFP process conducted back in January 2016 was consistent with the California Energy Commission’s 2015 Program Implementation Guidelines, issued December 2014, and that the Board is authorized to award the implementation portion of the projects under the proposed Contract to Schneider Electric, Inc. as contemplated by the RFP.” "The required findings to be read aloud into the record are: 1. The Board adopts the findings and recommendations of staff as set forth in staff’s Report and Attachment A thereto as the Board’s findings; and 2. Schneider Electric was selected through a competitive Request for Proposal process consistent with the requirements set forth in the California Energy Commission’s 2015 Program Implementation Guidelines, has performed the needed evaluations and assessments required to receive approval for state funding of the projects, said funding has now been received as a result of the District’s and Schneider Electric’s efforts, and has guaranteed to implement those conservation measures for a price not to exceed the state funding received by the District for the projects. Therefore, by entering into the proposed Energy Services Contract with Schneider to implement the ECM recommendations the Board finds that it is in the best interests of the District, provides the best value to the District, and pursuant to California Government Code § 4217.10 et seq. the Board hereby approves the proposed Energy Services Contract with Schneider to implement the measures recommended in Approved Plan No. 2 for the Facilities as a design-builder and construction manager" PAY TO PLAY is draining millions of tax payers dollars away from California's Public Education System Prop 39 Energy Grant: CUSD Received $8,125,658 million dollars. February 22, 2017 page 7 of 479 Schneider Electric was paid $2,490,333.00 to do energy audits of 6 High Schools - PO #364862. Why was this paid from the General Fund and not the Special Fund - Prop 39 Energy Grant Fund? Schneider Electric Lobbied for the Passage of Prop 39 and became a direct beneficiary of their efforts. Schneider Electric Partners with Capistrano Unified School District to Secure $2.5 million in Prop 39 Funding News Releases 19/10/2016 Capistrano Unified School District Partners with Schneider Electric to Secure $2.5 Million in Prop 39 Funding Schneider Electric will implement energy efficiency upgrades across the district’s high schools to reduce energy costs and engage students in new learning opportunities. Read more (pdf, 189kb) ANDOVER, Mass. – October 19, 2016 – The Capistrano Unified School District (CUSD) today announced the California Energy Commission’s approval of $2.5 million in grant funding for energy efficiency improvements through the Proposition 39 Clean Energy Jobs Act (Prop 39). CUSD has selected Schneider Electric, the global specialist in energy management and automation, to implement efficiency projects that will save the district $227,000 in annual energy costs and secure $100,000 in energy rebates. Link to Source Press Release Link to Source Article ANDOVER, MASS. (PRWEB) OCTOBER 19, 2016 Schneider Electric, the global specialist in energy management and automation, along with the Capistrano Unified School District (CUSD) today announced the California Energy Commission’s approval of $2.5 million in grant funding for energy efficiency improvements through the Proposition 39 Clean Energy Jobs Act (Prop 39). CUSD has selected Schneider Electric to implement efficiency projects that will save the district $227,000 in annual energy costs and secure $100,000 in energy rebates. CUSD faced challenges with aging infrastructure and outdated lighting systems in its high school buildings, which led to mounting utility costs. Through the partnership with Schneider Electric, CUSD will execute an energy savings plan that will achieve more than 1 million kWh in annual energy savings and reduce its utility bills by 10 percent. The project involves installing high efficiency LED lighting in six of the district’s high school campuses. The Schneider Electric team helped CUSD navigate the complex system to secure Prop 39 grant funding and develop a plan to implement the funding to the fullest extent. Prop 39, which made $550 million available annually to improve schools’ energy efficiency and expand clean energy programs, is an important funding source in California. “The time was right for the Capistrano USD to embark on an energy savings plan because our energy costs were escalating and the advent of Prop 39 funding gave us the opportunity to pay for critical projects without taking resources from our classrooms,” said CUSD Board President, Amy Hanacek. “We’re delighted to kick off this project and create more energy efficient spaces that will also create compelling learning opportunities for students.” The energy efficiency project will offer CUSD students hands-on exposure to energy engineering and sustainable energy management, supporting the district’s commitment to STEM and STEAM curriculum. Students will be involved in the auditing, monitoring, and measurement and verification of electricity usage as an educational tool to establish innovation at every level within the school system. CUSD will also use Schneider Electric’s Resource Advisor software platform to measure and analyze energy spend, connecting energy data to analytics to guide decisions around energy use. Using Resource Advisor, district staff and students will be able to see energy use in real-time, determining where high energy use occurs and where energy reduction measures can be implemented. “We’re excited to help the Capistrano USD join many other California schools in leveraging Prop 39 funding to meet their energy savings goals,” said Tammy Fulop, Vice President, Schneider Electric. “At Schneider Electric, we take great pride in helping schools maximize their Prop 39 allocation to drive significant energy savings that can be reinvested into educational programs. The added component of involving students in learning about energy management is a unique and exciting part of the CUSD project which will help create the next generation of energy leaders.” In addition to annual energy savings, the project will also have a substantial environmental impact, removing 261 metric tons of CO2 from the atmosphere, which is equivalent to removing 56 cars from the road or planting 10,442 acres of trees. Over the past 23 years, Schneider Electric has successfully implemented more than 575 ESPC projects across the nation, savings its clients nearly $2 billion. This project delivery method helps publicly funded entities make capital improvements over longer payback periods and offers many long-term benefits such as improved facility efficiency, occupant comfort, financial management and environmental protection. For more information on Schneider Electric’s approach to performance contracting, please visit http://www.enable.schneider-electric.com. About Schneider Electric Schneider Electric is the global specialist in energy management and automation. With revenues of ~$30 billion in FY2015, our 160,000+ employees serve customers in over 100 countries, helping them to manage their energy and process in ways that are safe, reliable, efficient and sustainable. From the simplest of switches to complex operational systems, our technology, software and services improve the way our customers manage and automate their operations. Our connected technologies reshape industries, transform cities and enrich lives. At Schneider Electric, we call this Life Is On.