- Mill Valley School District
- Measure G
- FAQ - Facilities and Bond
Facilities and Bond FAQs
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What were voters told the bond funds would be used for?
Below is the exact language used on the original ballot:
“To upgrade classrooms, science labs and learning technology in Mill Valley elementary and middle schools; repair/replace leaky roofs/windows, improve accessibility for students with disabilities; add solar and replace outdated/inefficient heating, ventilation, electrical/plumbing systems; shall Mill Valley School District’s measure to issue $194,000,000 in bonds at legal interest rates be adopted, raising approximately $9,300,000 annually while bonds are outstanding averaging 2.6¢ per $100 of assessed value, with oversight, annual audits and all funds improving local schools.”
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Has this changed?
No, ballot language cannot be retroactively changed. The actual numbers are always going to change based on the timing of bond sales, tax base growth, and interest costs. There is new legislation to remove the requirements in the 75 words, as it may be confusing.
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Has the Board of Trustees provided a financial analysis of bond funds?
Yes, the board contracted with a financial analyst and was presented information several times over the past 4 years.
- February 13, 2020 Special Workshop & Regular meeting - Presentation
- April 15, 2021 - Regular meeting - Presentation
- October 20, 2021 - Special meeting - Presentation
- March 9, 2023 - Regular meeting - Presentation
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How did the district determine the total bonding capacity of the district?
The district’s financial advisor calculates the district bonding capacity based on 1.25% of the district’s assessed valuation less any outstanding debt.
Bonding capacity is the term the State of California uses when determining how much debt a district can put its community into, which is the answer above. Some people refer to bonding capacity as how much a District can ask its voters to approve. The original $194 million election was based off of a potential issuance option the board selected, but school district’s do not need to follow the original plan that was presented. The reason for this is because the plan is always changing due to changes that no one has control over, i.e. assessed value growth or decline, and interest rate increases or decreases. The 2009 Mill Valley bond called for three bond sales, which ended up being two. With Measure G, the original bond plan called for five sales, which is now aimed at four. The original bond plan called for the sales spread out for 8 years, now the three revised plans presented call for six years. It was discussed years prior and is explained now, that the board does not need to follow the original issuance plan as things are always changing. When bonds are approved, the voters are approving the total amount, the maximum tax rate, and the list of projects. How the board goes about selling the bonds and priority of projects is up to them.
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What evidence is available that Mill Valley School District made prudent financial decisions in the past?
As of May 2022, Mill Valley School District was one of only 7 districts in the state of California to receive AAA bond ratings from both Standard & Poor's (S&P) and Moody's credit rating agency. S&P confirmed the District's AAA bond rating, one of only 84 school districts in the nation, as of May 2022. They cited the District's wise fiscal management and stewardship. S&P also provided feedback to the District that the local community's willingness to support its schools financially was a large contributing factor to the superior rating.
The District’s AAA rating will save the taxpayers approximately $2.7 million over the life of the bond, based off current interest rates as of February 2023.
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What is CFAC, and what value do they provide the district?
CFAC is the Community Financial Advisory Committee appointed by the Superintendent as a vital link between educational excellence and local funding and community support. The committee was established to:
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Review the Mill Valley School District’s budget on a periodic basis, to identify and analyze important long-term financial trends and issues for Board focus (e.g. Enrollment trends, facility costs and use, reserve requirements, dependence on local taxes).
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Collect, review and analyze important financial data, trends, community perceptions and "best practices" that may improve the Superintendent’s decision-making in the financial arena.
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Provide information and recommendations to the Superintendent in a timely manner, which relates to financial decisions before the Superintendent.
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Contribute to District communications/outreach efforts aimed at educating the community on financial matters (e.g. newsletters, speaking engagements to community groups).
CFAC will present to our public at the April 27, 2023 Board meeting.
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What is CBOC, and what value do they provide the district?
In accordance with Education Code §§ 15278 through 15282, the Board must establish and appoint members to an independent citizens’ bond oversight committee (“CBOC”) to inform the public concerning the expenditure of Measure G bond revenues. The CBOC will convene public meetings to provide oversight and report on the proper expenditure of bond revenues. As provided for in Section 17528, the Board shall establish and appoint members to the CBOC “within 60 days of the date that the governing board enters the election results on its minutes…”
The composition of the CBOC is governed by statute. Specifically, Education Code section 15282 provides that the CBOC shall consist of at least 7 members who shall service for a minimum of 2 years and for no more than 3 consecutive terms. Membership must consist of the following members:
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A business community member active in a business organization representing the business community within the District;
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A member of a senior citizen’s organization (Examples: AARP, Advocacy groups for senior citizens such as National Council on Aging, Retirement Centers such as various University of California Retirement Centers. Age generally established by groups; 55 is common however AARP is 50);
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A member of a bona fide taxpayer organization (Examples:county taxpayers’ organization, Howard Jarvis Taxpayers’ Assn, California Taxpayers Assn.)
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A parent or guardian of a child enrolled in the District;
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A parent or guardian of a child enrolled in the District and active in a parent-teacher organization (PTA, PTO); and
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At least 2 at large members
No CBOC member may be compensated and no District employee, official, contractor, vendor or consultant may be a member. Click here for more information.
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When will the board make their first issuance?
The board will bring forth a resolution to make the first issuance once the timeline is set. It will take approximately 70 days from start to finish. The board has not set a timeline to initiate this process.
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Who is AECOM?
In November 2022, MVSD posted a Request for Qualifications & Proposals (RFQ) for a construction management firm to partner the district in the Measure G Bond projects. After a careful selection process, the contract was awarded to AECOM, and the Board of Trustees approved the contract at the February 9, 2023 meeting. AECOM will be working closely with MVSD through the next important step of identifying, and contracting with, an Architect of Record.
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Why did the district choose to pay AECOM based on the total bond proceeds rather than based on Time and Materials?
The lump sum payment was included based on the District’s preferred payment schedule, the District’s best practices for its finances and accounting procedures, and based on industry standard and what works best for a not-to-exceed amount contract in order to maximize value and avoid additional services. T&M (Time and Materials) contracts can cost more over time and do not allow the District as much flexibility to forecast the expenses. If AECOM was contracted for T&M, designated staff would not be assigned to Mill Valley. Rather, the district would contact AECOM on an as-needed basis and work with available and various staff. Lump sum payment is typically the preferred financial set up for a Construction Management contract of this nature. The contract may be accessed here.
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Is the district eligible for additional funds?
Under the direction of our Program Management at AECOM, the district will be engaging Hancock Park & DeLong for the immediate task of determining eligibility under the state’s Modernization Program for the Mill Valley ESD. This cost ($5,700) is covered under an allowance in AECOM’s contract. Hancock Park & DeLong have already started the process to access our district’s documents on file at the Office of Public School Construction.
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How will we engage with our community?
Under the direction of our Program Management at AECOM, the district will be engaging a communications specialist in April. During the Facility Master Planning process, meetings were held with stakeholders across the district to identify a priority list for each site which can be found here. The communications specialist will assist the district in engaging the Mill Valley USD in design standards and guidelines. Communicate with leadership on “what they are hearing” from their engagement efforts with our community and assist with the prioritization of projects. This would include a well vetted solution for Mill Valley Middle School.
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When will the Architect be hired?
The contract(s) are projected to go to the Board for approval at its June 7, 2023 meeting.
- Monday, December 12, 2022 - Board Information Item - RFQ/RFP
- Thursday, March 9, 2023 - Board Update of RFQ/RFP Process
- Monday, March 13, 2023 - RFQ/RFP Advertisement (1)
- Monday, March 20, 2023 - RFQ/RFP Advertisement (2)
- Wednesday, March 29, 2023 - Middle School Site Walk (optional)
- Friday, March 31, 2023 - Deadline for Inquiries/Questions
- Friday, April 7, 2023 - District’s Answers to Inquiries/Questions Posted on Website
- Monday, April 17, 2023 - Proposal Deadline
- Monday, May 1, 2023 - Interviews (if any)
The contract(s) are projected to go to the Board for approval at its June 7, 2023 meeting.
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What is the AECOM structure for the next six weeks? 6 months?
Over the next 6 weeks, AECOM will be engaged in “building the chassis” for the district's capital expenditure program. Any build effort will include methods of communication, which will include up to date dashboarding for the district stakeholders to access. As well, careful documentation and processing of all record documents will be managed. Over the 6 weeks, AECOM will be engaging with the district to learn preferences on software and workflow. AECOM will also make sure that the district has a robust architectural selection process and begin the process for general contractor selection for the Middle School. Further, AECOM will begin the process of “budget validation” for the district's current master plan. Lastly, AECOM has begun the process of seeking available state funding for the district.
Over the next 6 months, the district should begin to see the results of the efforts of the first 6 weeks. That includes budget validation for the Middle School project, and a draft master schedule. With the master schedule, AECOM will begin to align the build efforts with the district's decision on issuances and develop a “cash flow” curve to monitor for the district. It is AECOM's belief that the general contractor entity should be on board within these 6 months and engage heavily with the selected architect. This effort would include a proposed method for interim financing, should the district choose to engage this method of delivery.
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How are schools in Mill Valley School District performing?
The Mill Valley School District continues to provide students with an exceptional education, preparing them for high school and beyond. Mill Valley schools have adapted to changing and challenging circumstances the past two years in order to continue providing a quality education to local students. We are focused on maintaining safe, in-person instruction for students, teachers, and staff. Our success is rooted in our dedicated teachers, staff, and parents’ commitment to developing well-rounded and globally-minded students. High-achieving schools that nurture successful students improve the quality of life in our community and protect the property value of our homes.
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What is the current state of our classrooms, labs and school facilities?
We’re proud of the high quality of education in Mill Valley schools, but most of the schools in the district are between 40 and 100 years old and need repairs and upgrades to meet modern academic, ADA and safety standards. Our District prides itself on providing our students with an outstanding education, and our facilities simply don’t match the excellence of teaching, particularly our facilities for science, technology, engineering and math. Currently, the outdated classrooms and facilities are costly and inefficient to operate. Upgrades to our local schools will meet the highest environmental standards with renewable energy systems, improved energy efficiency and water conservation that will be better for the environment, better for our students and less expensive to operate.
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Specifically, what are the needs at Mill Valley Middle School?
Mill Valley Middle School, which serves all students as they advance from elementary to middle school, was built in 1972 and its aging infrastructure is not designed for 21st century teaching and learning. Significant upgrades are needed to support science, technology, engineering and math classrooms and labs, and to enable collaboration, project-based learning and high levels of student support. Outdated electrical, plumbing, heating and ventilation systems need to be replaced, and upgrades are needed to improve accessibility, energy efficiency, and earthquake and fire safety.
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Are Mill Valley schools well maintained?
Our district maintenance team work hard to take care of our aging classrooms and school facilities by keeping up with necessary repairs and maintenance. Unfortunately, significant upgrades and capital improvements needed at our aging schools are beyond what can be accomplished by our maintenance team, and funded by our regular maintenance budget. The very limited state funding which might be available for facility upgrades generally requires local matching funds, usually provided by a local school improvement measure.
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What are the options for repairing and upgrading aging local school facilities?
MVSD has carefully assessed the needs at each school site, and worked with school architects to prioritize and plan improvements to provide students with the modern learning environment they need to be successful students and prepared for future 21st-century careers. In order to keep pace with academic standards and keep local students safe, on February 10, 2022, the Mill Valley School District Board of Trustees unanimously voted to place a local school improvement bond measure, Measure G, on the June 7, 2022 ballot. Measure G could generate up to $194 million to repair and improve local schools and would cost about $26 per $100,000 of a property’s assessed value (not market value) while bonds are outstanding. -
What would the Measure G school improvement bond measure do?
Measure G would:
- Repair and replace leaky roofs and windows and outdated electrical and plumbing systems
- Expand and upgrade science, technology, engineering and math classrooms, labs and learning technology to meet current instructional standards
- Improve accessibility for students with disabilities
- Add solar panels and improve energy efficiency throughout the District
- Replace outdated heating and ventilation systems to improve air filtration and indoor air quality at all schools
- Improve earthquake and fire safety
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What is the plan for upgrading the middle school? Will it be replaced or renovated?
While decisions are still being finalized, replacing the main buildings at the middle school is estimated to be more efficient and less costly than an extensive renovation. Plus, this will allow these facilities to be brought up to current academic and safety standards without the constraints of working within a facility designed to outdated standards.
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Are there other sources of funds for facilities projects?
The State and Federal Government do not provide dedicated funding for school facility improvements. The very limited state funding which might be available for facility upgrades generally requires local matching funds, usually provided by a local school improvement measure. Our District has, and will continue to, apply for funding from the state if it becomes available.
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Is this the right economic time to consider an investment in our school facilities?
It has been over a decade since Mill Valley last passed a bond measure to improve local schools. Waiting will likely make these repairs more expensive to complete and will mean local students must wait years for urgent upgrades for safety and improvements needed to support quality academic instruction. If approved by voters, Measure G would provide a dedicated source of funding for facility improvements without taking money away from classroom instruction. In addition, interest rates are at all-time lows and now is the time to invest in our schools at the lowest cost possible to taxpayers. Mill Valley recently conducted a survey of local residents which indicated strong (62%) support for a proposed bond measure, even while acknowledging the current state of our economy.
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Are fiscal accountability protections included in the bond measure?
Yes, if approved by voters, Measure G requires mandatory fiscal accountability, including:
- All funds raised by the measure would stay local to support Mill Valley students and could not be taken by the State
- A project list detailing how the funds would be used
- Funds can only be used for facilities, not salaries or benefits
- An independent citizens’ oversight committee and independent audits to ensure funds are spent as promised
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Could the State take away funding from Measure G?
No. If Measure G is approved by voters, all funds generated from the measure would stay local to support Mill Valley schools. The State would not be able to take any funds.
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How much would Measure G cost?
Measure G would generate approximately $194 million to upgrade local schools and would cost about $26 per $100,000 of a property’s assessed value (not market value) per year.
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How much time has the district and Board put into determining the needs of the district, developing the facility master plan, and considering options for funding those needs, including a potential bond measure?
District leadership and the Board of Trustees have engaged in an exhaustive multi-year process in order to determine the facilities needs of the district, develop a facility master plan, and investigate potential funding options for facilities needs. Please see this timeline of Board meetings, presentations and workshops where the district's facilities master plan and potential funding avenues have been discussed and developed.
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School districts have received additional state and federal funding as a result of the Covid pandemic. Has MVSD taken the opportunity to obtain these funds, and could they be used to complete the needed facilities projects?
There are a number of sources of one-time funds that have been made available to school districts in an effort to balance the negative financial and learning impacts of the Covid-19 pandemic. These grants vary in how restrictive they are in terms of how the money can be spent. MVSD has received a number of Covid-19 grants, and has applied these funds to a variety of uses, including some facilities projects, all with review and approval of our Board of Trustees. One of these facility projects is the construction of shade structures for our campuses. Due to restrictions on how the grants may be used, and the needs of the district due to the impacts of Covid, the funds are not sufficient to cover our extensive facilities needs. Some of the ways the funds have been spent include the purchase of protective equipment, additional staff for targeted instruction to address learning loss, and professional development for staff. For more detail on the Covid-19 grants received by the district and how those funds have been allocated, please review this presentation.
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What is the difference between assessed value and market value?
The cost of bond measures is based on the assessed value of properties. The assessed value of a property is based on the original purchase price and may not increase by more than 2% a year, while the market value tends to grow at a much faster rate based on market conditions. Thus, the assessed value is usually much lower than the market value, especially if a property was purchased long ago at a much lower price than it could be purchased for today. It is this lower assessed value upon which the cost of a bond measure is based.
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What is the average assessed value of properties in Mill Valley?
$1,150,858
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Do commercial properties pay the same as residential properties if Measure G is approved?
All properties subject to property taxes within District boundaries will be taxed to pay for the bonds. There is no differentiation between residential and commercial.
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When will Measure G appear on the ballot?
Measure G will be on the June 7, 2022 ballot.
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How can I be sure funds from Measure G will be spent properly if it is passed?
If Measure G passes, an independent citizens’ oversight committee comprised of local residents must review the use of all funds from the measure and report their findings to the public each year. Annual independent audits of all bond funds are mandatory.
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Don’t we already pay a parcel tax?
Yes, but parcel tax revenue funds teachers and academic programming in our schools and cannot be used for facilities needs. Bond funds, on the other hand, are used specifically for facilities, including repairing and upgrading our schools. By law, funds from Measure G, if approved by voters, could not be used for operating expenses and can only be used to improve classrooms, labs, facilities, technology and other school furnishings and equipment. Plus, MVSD recently allowed our supplemental parcel tax to expire, which reduced local taxes by $234.08 annually, offsetting most of the cost of this proposed bond measure.
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Can these funds be used in local high schools?
No, funds from Measure G may only be used to repair and improve local elementary and middle schools.
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May funds from Measure G be used for administrator salaries and pensions?
No. By law, if Measure G is approved by voters, no funds from the measure may be used for operating expenses, including administrator salaries and pensions. Funds may only be used to repair and upgrade local school facilities.
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I don’t have children attending local schools. How does this impact me?
Whether or not you have school-age children, the quality of local schools impacts the quality of life in a community and impacts local home values. Academic research has shown that good local schools create demand for homes and help keep property values strong.
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Are seniors eligible for an exemption?
By law, senior exemptions may not be offered for bond measures. However, since the cost of a bond measure is based on the assessed value of properties, those who have owned their homes the longest and have the lowest assessed values will pay the least for a bond measure. This helps ensure the cost is not a burden to those on fixed incomes.
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Why is there a senior exemption for parcel taxes and not bond measures?
The law does not provide public entities an option to offer exemptions from a bond tax to certain types of property owners such as seniors. Under the law, bonds are "evidence of indebtedness payable, both principal and interest, from the proceeds of ad valorem taxes that may be levied without limitation as to rate or amount upon property subject to taxation by the legislative body.” See EdC 15140.5 and GovC 53507. The County annually levies a tax for payment of bonds upon all taxable property in the District. See EdC. 15250. There is no legal provision permitting exemptions to be offered.
The senior exemption is largely known in the context of parcel taxes which typically finance academic programs (not facilities). That is because for K-12 school districts, the legislature expressly provided in the text of the parcel tax law the authority for districts to include the offer of certain exemptions, including for seniors and disabled. The rationale for the exemption in the parcel tax context based on legislative history was stated in the Alameda USD v Borikas case (2013): "Presumably in the case of school special [parcel] taxes in AB 1440, the rationale for allowing that exemption is that senior citizens receive less direct benefit from schools than other citizens.”
Because proceeds of bonds must be spent on long term capital improvements to schools facilities (mostly real property/immovables) in District boundaries that have long useful lives, and not on programs or salaries that are more short term and not tangible, arguably all properties are benefitted by bond projects. Thus, an allowance for exemptions has not been incorporated into the bond law.
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How can I register to vote or learn more about voting?
You can register to vote at www.registertovote.ca.gov. To find out more about voting in this election, please contact the Marin County Registrar of Voters at (415) 473-7000 or visit www.marincounty.org/depts/rv.
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Who gets to vote on Measure G? How many votes are needed to win?
All registered voters residing within Mill Valley School District are eligible to vote on Measure G. To be approved, a bond measure requires “yes” votes from 55% of the votes cast on the measure.
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Why is the district mailing flyers to my home? Wouldn’t it be cheaper and more environmentally friendly to contact me electronically?
The district is able to reach district parents electronically through its communication platform, which provides email and often text access to parents and families of students. However, periodically the district needs to provide updates and information to the entire Mill Valley community. As more than 80% of Mill Valley residents do not have students in the district, and we do not have the ability to contact residents without students electronically, we need to provide the information to the community by direct mail. The mailer was printed on recycled paper.
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How can I find out more?
To share your opinions, priorities, or to ask questions, please contact Beth Fogel at bfogel@mvschools.org.