New Haven Unified School District Budget and Finance Committee by - PowerPoint PPT Presentation

New Haven Unified School District Budget and Finance Committee by Isom Advisors, a Division of Urban Futures, Inc. April 13, 2020 1470 Maria Lane, Ste. 315 | Walnut Creek, CA 94596

Review from Last Meeting March 4, 2020 New Haven Unified School District Criteria / Factor Parcel Tax GO Bond “ Passability ” (Threshold) ✓ Parcel Tax = 66.7% GO Bond = 55.0% District Experience / History ✓ Use (flexibility) ✓ ✓ (GO Bond – Employee Housing / Lease Revenues as a component) Urgency / How soon can the District generate ✓ funds Long Term (On-going st r eam of revenues) ✓ Survey Results ✓ 2

March 2020 Election Results Alameda County New Haven Unified School District Measure / District Type Support Measure A – Alameda USD Parcel Tax 67.10% Measure B – Albany USD Parcel Tax (Renewal) 83.16% Measure E – Berkeley USD Parcel Tax 80.51% Measure G – Berkeley USD Bond Measure - $380 million 80.52% Measure H – Berkeley USD Parcel Tax (Renewal) – for building maintenance 83.74% Measure I – Castro Valley USD Parcel Tax 64.61% Measure J – Dublin USD Bond Measure - $290 million 57.83% Measure K – Emery USD Parcel Tax 75.25% Measure L – Fremont USD Parcel Tax 54.86% Measure M – Pleasanton USD Bond Measure - $323 million 52.40% Measure N – San Leandro USD Bond Measure - $198 million 63.90% Measure O – Sunol Glen USD Bond Measure - $9.5 million 50.56% Measure U – City of Union City Parcel Tax (Renewal) 62.51% * Green rows represent successful elections; gray rows represent unsuccessful elections. For Proposition 39 bond measures, 55.0% support is needed to pass. For parcel tax measures, two-thirds support is needed to pass. Source: Alameda County Registrar of Voters; Ballotpedia.org; smartvoter.org 3

March 2020 Election Results Statewide Results New Haven Unified School District Out of 121 school and community ❖ Election Year % of Successful college district bond measures on Bond Measures the ballot in March 2020, only 44 2020* 36% were successful. 2018 84% The success rate was 36.4%, ❖ notably lower than for past 2016 93% elections (as shown on the table to 2014 82% the right). 2012 81% The March 2020 election was also ❖ 2010 74% challenging for parcel taxes. Notably, in Santa Clara County – 2008 86% where voters have regularly supported parcel taxes – all six * 2020 data only represents primary election. parcel taxes for K-14 school and Source: County Election Results; Ballotpedia.org community college districts failed. 4

Difference in Success Rates Bonds have passed at a higher rate due to the lower threshold New Haven Unified School District Parcel Taxes General Obligation Bonds Since 2000, there have been 59 parcel Since 2001, there have been 40 ❖ ❖ tax elections in Alameda County for K-12 Proposition 39 bond elections in school districts. 78% have been Alameda County for K-12 school districts. successful. 92.5% have been successful. Parcel Tax Election in Alameda County Prop 39 Bond Election in Alameda County Fail 22.0% Fail 7.5% Pass 92.5% Pass 78.0% Source : California State Treasurer's Office; California Department of Education (Education Data Partnership) 5

Union City Parcel Tax Support levels have varied over time New Haven Unified School District Election Date Type Support March 2004 Parcel Tax – Public safety services tax for 5-years (adj for 68.9% Measure K inflation) June 2008 Parcel Tax (Renewal) – 20-year extension (adj for 62.07% Measure K inflation) November 2008 Parcel Tax (Renewal) – 8-year extension (adj for 73.25% Measure UU inflation) November 2016 Parcel Tax (Renewal) – 4-years (adj for inflation) 78.16% Measure QQ March 2020 Parcel Tax (Renewal) - $168 per parcel for 8-years (adj 62.51% Measure U for inflation) * Green rows represent successful elections; gray rows represent unsuccessful elections. For parcel tax measures, two-thirds support is needed to pass. Source: Alameda County Registrar of Voters; Ballotpedia.org; smartvoter.org 6

New Haven USD District voters have been very supportive of bond measures New Haven Unified School District Election Date Type Support November 1987 General Obligation Bonds – $11 million 66.7% (66.7% needed) June 1993 General Obligation Bonds – $55 million 75.3% (66.7% needed) June 1996 General Obligation Bonds – $35 million 70.8% Measure A (66.7% needed) November 2003 General Obligation Bonds – $120 million 68.4% Measure A (66.7% needed) May 2011 Parcel Tax – $180 per parcel for 4-years 66.4% Measure B (66.7% needed) June 2012 Parcel Tax – $180 per parcel for 4-years 62.9% Measure H (66.7% needed) November 2014 General Obligation Bonds – $125 million 68.7% Measure M (55.0% needed) * Green rows represent successful elections; gray rows represent unsuccessful elections. Source: Alameda County Registrar of Voters; Ballotpedia.org; smartvoter.org 7

Timeline – 2020 Election Dates Following these steps are key to District’s success New Haven Unified School District Task Responsible Party November 2020 Review Survey Results District Spring 2020 Decision of whether to pursue bond measure or parcel tax election District April 2020 Prepare Resolution for Calling Election* - Includes ballot language Consultant/ May 2020 - Authorization amount / tax rate statement (if bond) / parcel tax Bond Counsel rate (if parcel tax) - Bond project list (if bond) Board Meeting - Board action to adopt Resolution Calling Election District June 2020 Submit Resolution Calling Election District August 2020 Prepare Argument in Favor of Measure Consultant/District August 2020 Submit Argument in Favor of Measure Consultant/District August 2020 Form campaign committee and conduct campaign kick-off Campaign Committee August 2020 meeting August – Run Campaign Campaign Committee November 2020 Election Day November 3, 2020 8

Appendix: Parcel Tax vs. Bonds

Parcel Taxes and Bonds Bonds can be approved with a lower voter threshold New Haven Unified School District The two most common types of voter approved sources of funding are parcel taxes ❖ and general obligation bonds Parcel Tax General Obligation Bond (Proposition 39) Voter Threshold 66.7% (two-thirds) required 55.0% required Election Dates May generally be held on any Must be held on the same day Tuesday as a statewide primary, general or special election, or at a regularly scheduled local election Use of Proceeds Can be used for any purpose May be used only for the specified in the ballot construction, reconstruction, rehabilitation, or replacement of school facilities, including the furnishing and equipping of school facilities, or the acquisition or lease of real property Exemptions Can provide exemptions (such No exemptions allowed as to senior citizens) 10