|
|
|
State Moves to Block 'High-Cost' Capital Appreciation Bonds
EXCERPT: State Treasurer Bill Lockyer and State Schools Superintendent Tom Torlakson asked California school districts and county education offices Thursday to impose a moratorium on issuing capital appreciation bonds. In a letter, they asked school officials to wait until lawmakers pass legislation tightening up the rules on school district borrowing.
Capital appreciation bonds, or CABs as they have become known, have become highly controversial since a Voice of San Diego story outlined a deal at the Poway Unified School District, where taxpayers will eventually pay almost $1 billion to pay off a loan of $126 million. ...
... Here's a snippet from the letter that went out to districts...
(Lockner & Torlakson):
In too many cases, CAB deals have forced taxpayers to pay more than 10 times the principal to retire the bonds. Also, the transactions have been structured with 40-year terms that delay interest and principal payments for decades, resulting in huge balloon payments and burdens on future taxpayers that cannot be justified. Too frequently, board members and the public have not been fully informed about the costs and risks associated with CABs. In some cases, board members have reported they were not even aware they approved the sale of CABs. ...
... Local state Assemblyman Ben Hueso has pledged to introduce legislation shortly on school bond borrowing.
|
CaLBOC Online CBOC Training & Best Practices
CaLBOC is producing 16 new CBOC Training modules to be presented at our May 2013 Conference. To access current training materials please visit:
Training seminar on the parts of education code that are pertinent to bond oversight committees. Includes Informing the public on bond expenditures. Approximately: 9 minutes
Lesson 1: Proposition 39 School Bond Measures overview. Requirements of Prop 39 - the purpose of bond oversight committees (CBOCs) - CBOC meeting procedures requirements. Approximately: 8 minutes.
|
|
|
|
|
CaLBOC Board Meeting Schedule:
February 8, 2013
10am - 3 pm
Sacramento Chamber of Commerce, 1 Capitol Mall
Conference call access will be available
May 10, 2013
August 9, 2013
November 15, 2013
|
|
Mission Statement
To promote school district accountability by improving the training and resources available to California's Proposition 39 School Bond Oversight Committees and educating the state legislature, local school boards and the public about the oversight and reporting powers these Citizens' Bond Oversight Committees (CBOCs) have, and to advocate on a state level, where appropriate, on issues of common concern to all CBOCs.
|
|
Archived CaLBOC Newsletters
To view with topics visit:
|
|
Operation Standards
CBOC Best Practices
This 9 page document provides a basis for CBOCs to do a self-assessment of their operations and identify training needs.
1. Legally Required
2. Best Practices
3. Local Requirements
|
|
Reviewing Financial &
Performance Audits
It is the responsibility of
members of CBOCs to alert the public to any waste or improper expenditure of bond money. 3 page PDf covers:
1. Accountability requirements
2. Understanding the audit
3. Sample questions to ask
PerformanceAudits.pdf
|
|
