PROPOSITION X ANALYSIS OF PROPOSITION X BY COUNTY COUNSEL

Approval of Proposition X would authorize the Santa Monica-Malibu Unified School District to issue up to $42 million in general obligation bonds for the acquisition or improvement of real property.

Funds received from the sale of the bonds would be used to acquire and construct facilities to accommodate smaller class size, science and computer labs and other programs, improve earthquake safety, remove asbestos, repair schools, improve school grounds and restrooms, provide disabled access to existing facilities, and bring high school facilities up to standard.

If approved, twenty-seven (27) percent of the total net proceeds will be spent on projects benefiting schools within the Malibu area, including the City of Malibu, and the unincorporated areas adjacent to the City of Malibu.

The bonds would be issued and sold at an interest rate not exceeding the legal maximum of twelve (12) percent per annum, and would be repaid over a period not to exceed forty (40) years by a property tax levied upon real property located within the District.

This measure requires a two-thirds (2/3) vote for passage.
   NOTICE TO VOTERS

Approval of Proposition X does not guarantee that the proposed project or projects in the Santa Monica-Malibu Unified School District that are the subject of bonds under Proposition X will be funded beyond the local revenues generated by Proposition X. The school district's proposal for the project or projects may assume the receipt of matching state funds, which could be subject to appropriation by the Legislature or approval of a statewide bond measure.

  TAX RATE STATEMENT

To: The voters voting in the November 3, 1998 election on the question of the issuance of $42,000,000 General Obligation Bonds of the Santa Monica-Malibu Unified School District:

You are hereby notified in accordance with Section 9401 of the Elections Code of California of the following:
 

1. The best estimate from official sources of the tax rate which would be required to be levied to fund principal and interest payments during the first fiscal year after the first sale of bonds (Fiscal Year 1999-2000), based on assessed valuations available at the time of the election and taking into account future growth, is the following:
   
   $.00205 per $100 of assessed valuation, which equates to $1.91 per $100,000 of assessed valuation, after taking into account the $7,000 homeowner's exemption.
   
   
2. The best estimate from official sources of the tax rate which would be required to be levied to fund principal and interest payments during the fiscal year after the last sale of bonds and an estimate of the year in which that rate will apply, based on assessed valuations available at the time of the election and taking into account future growth, is as follows:
   
   $.00416 per $100 of assessed valuation, which equates to $3.86 per $100,000 of assessed valuation, after taking into account the $7,000 homeowner's exemption. Year after last sale of bonds: Fiscal Year 2001-2002.
   
   
3. The best estimate from official sources of the highest tax rate which would be required to be levied to fund principal and interest payments on the bonds and the year in which such rate would apply, based on assessed valuations at the time of the election and taking into account future growth, is as follows:
   
   $.03990 per $100 of assessed valuation, which equates to $37.11 per $100,000 of assessed valuation, after taking into account the $7,000 homeowner's exemption, which rate is substantially equivalent to the rate being presently levied. Year of highest tax rate: Tax is projected from Fiscal Year 2018-2019 to Fiscal Year 2025-2026, during which fiscal years no tax will be levied for the existing school district general obligation bonds.

Submittal of the foregoing statement has been approved by the Santa Monica-Malibu Unified School District.

Dr. Neil Schmidt, Superintendent
Santa Monica-Malibu Unified School District
 

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