There's a good reason the Poway Unified School District's 2011 bond deal cost so much.   The district has consistently told the public that it borrowed $105 million last year to fund the final push in its 10-year effort to modernize Poway's schools. That deal will cost taxpayers almost $1 billion to repay, thanks to an exotic loan called a capital appreciation bond, which won't be paid off for 40 years.    But Poway didn't really borrow $105 million. It actually borrowed $126 million.

     The district pushed the boundaries of state law to squeeze $21 million in extra upfront cash out of the deal. To get the extra money, Poway agreed to boost the interest on its bonds for investors. The result: The ultimate cost of the loan to taxpayers increased by almost $190 million. ...

     Poway Unified officials knew they needed legal backing to do their billion-dollar deal.   So in 2010 they took the preemptive step of bringing it before a San Diego Superior Court Judge. ...

     Poway's validation action, notice of which was published in The San Diego Union-Tribune, a local newspaper, caught the attention of state Attorney General Kamala Harris' office.   "It is our Office's view that this proposed use of premium for costs of issuance as described in the complaint is not authorized by the law," a deputy state attorney general wrote in a March 1, 2011 warning letter to the district.    "[B]y artificially inflating interest rates to generate premium, the School District is not acting consistent with statutory law, and is also incurring debt beyond what the voters authorized in violation of the California Constitution," the letter states.  Despite the stark warning, Harris' office never officially challenged Poway's bond. ... 

     District officials may choose not to define their extra $31 million as borrowing. But that money has been spent. And taxpayers will have to repay it - with interest. ...

voiceofsandiego.org/education/article_2dfa8c46-05cb-11e2-b3d5-001a4bcf887a.html

Sept. 25, 2012 | By Caroline Dipping |  www.utsandiego.com

Sweetwater Union High School District trustees met for hours Monday night to decide whether to name former interim Superintendent Edward Brand as permanent chief, despite discontent expressed by hundreds of parents, teachers and community activists who say Brand has not led with transparency, among other concerns.

      Board members, who spent nearly seven hours in a closed-door discussion, came out of the session at 1 a.m. Tuesday, convened the public board meeting that was to have begun at 6:30 p.m. Monday, and began listening to comments from about a dozen audience members. 

     Shortly after 3 a.m. Tuesday, the board voted 3 to 2 in favor of offering Brand a two-year contract. ...

By Wendy Fry |Sept. 25, 2012 | To see article and videos please visit;