Part 3: $1 Billion Dollar Bond for Capistrano Unified School District Facilities-

9) Cities seemed to be unaware of CUSD's plan to float this bond. Yet CUSD, like every other school district in the State has been preparing for this since 2012.

In anticipation of the State-wide plan to have every school district in California fund facilities through "local" bond measures, the Orange County Department of Education provided school districts with General Obligation Bond Best Practices April 15, 2015. www.ocde.us/Documents/20150415_GeneralObligationBondsBestPractices.pdf

CUSD has not followed OCDE's Best Bond Practices. CUSD has used District Funds, including Mello Roos funds to hire Government Financial Strategies and and Richard Bernard, Fairbank, Maslin, Maullin, Metz & Associates, a consulting firm, to actively market a facilities bond to CUSD parents and taxpayers. A practice that the State Attorney General recently issued an opinion on, stating that such a practice is a mis-use of public funds. See: Attorney General Kamala Harris's Opinion https://oag.ca.gov/system/files/opinions/pdfs/13-304.pdf

The CUSD contract with Government Financial Strategies and Richard Bernard, Fairbank, Maslin, Maullin, Metz & Associates has been on-going since 2012. The District did not involve the community in this until the fall of 2015 when it put together a Community Committee on School Classrooms and Campus Facilities. The Committee was designed to reach a "consensus opinion" which a pre-determined result and constitutes a fraud upon the public. Trustees, the peoples elected representatives were not allowed to hear directly from the Committee. They were to receive a single report representing a "consensus". The report can be read here:

http://capousd.ca.schoolloop.com/file/1219972013237/1218998864154/5730646386178545052.pdf

CUSD used taxpayer funds to mail marketing materials to taxpayers that contained material errors that were intentionally designed to mis-lead the public. In particular CUSD represented that employee compensation was "over 80% of the budget" when in fact they know employee compensation is 89%- 92% of CUSD's budget. For documentation see: http://disclosurecusd.blogspot.com/2016/05/fact-checking-cusd-in-their-efforts-to.html?q=fact+checking

Despite the fact that this was planned since 2012, CUSD failed to include local cities in any discussions of the $1 billion dollar bond. This lack of transparency places many Cities in an awkward position regarding taxation of it's citizens and the $1 billion dollar bonds effect on property values.

For example:

• Mission Viejo serves two different school districts (CUSD and Saddleback),

• Trustee areas serve multiple cities:

Trustee Hanacek - San Clemente/Dana Point

Trustee Reardon - Ladera Ranch/San Juan Capistrano

• SDIC Bonds limit spending to specific schools within the SDIC area.

10) Taxpayers should say no to all new tax revenues. The State of California and the Public Employee Unions that fund the election of our representatives have engaged in collaboration that deprives our students of their fundamental rights to equality of educational opportunity. Together they use the California Public Education system to raise revenues, fund elections and promote political agendas rather than educate our students. They do so in violation of the State Constitution and Federal Equal Protection Laws.

The State Plan: CUSD has published this chart every year since 2012.

2015 - The Promise Kept

Every educational Institution in CA illegally "advocated" for the passage of Prop 30" while remaining silent on Prop 38. It is now established as fact that 80% of K-12 Prop 30 funds went to salaries, pensions and benefits. Prop 30 has funded the "Employee Recovery" shown above.

http://trackprop30.ca.gov/K12State.aspx

Nothing has improved for students.

Under the guise of "Local Control", student recovery will only happen if taxpayers now vote to fund new revenue streams for Public Education.

These revenue streams include:

1. Making Prop 30 Taxes permanent
2. Assembly Bill 464 which increased the cap on the maximum sales tax rate that can be levied by local governments from 2% to 3%.
3. Passing Facilities Bonds- Orange County Voters living within CUSD could be faced with the following bonds:

• State Facilities Bond $9 Billion
• County Department of Education Facilities Bond
• School District Bond- Saddleback Community College and CUSD and Saddleback

Plus continued Fundraising and Donations.

The total in new Bond indebtedness for CUSD taxpayers could be life changing after this November election since there has been no coordinated efforts between taxing agencies.

For all of these reasons "Just Say No" to any new Facilities bonds or tax increases.