Governing Board                     Action

Grossmont-Cuyamaca Community College District

Telephone: 644-7682

1.  PROPOSAL

Adopt Resolution 03-004—Place Local General Obligation Bond on November 5, 2002, Ballot, as recommended by the Chancellor, requesting the San Diego County Registrar of Voters to call an election under the provisions of Proposition 39, and submit to the electors of the Grossmont-Cuyamaca Community College District the question of whether bonds of the District in the aggregate principal amount not to exceed $207 million shall be issued and sold to finance a significant portion of the District’s facilities-related master plans.

2.  INFORMATION IN SUPPORT OF PROPOSAL

    a.  Summary of Issue

The Governing Board of the Grossmont-Cuyamaca Community College District has determined that certain properties and equipment within the District need to be repaired, renovated, acquired, constructed, and equipped to enable the District to maintain Grossmont College and Cuyamaca College as valuable community resources, to prepare local residents for transfer to four-year colleges and for higher paying and skilled jobs.

After considering all other funding possibilities, the District is considering placing

a general obligation bond on the November 2002 ballot.  The Governing Board is requested to approve Resolution 03-004 (Attachment A), which requests the San Diego County Registrar of Voters to call an election under the provisions of Proposition 39.

    b.  Background

The Grossmont-Cuyamaca Community College District is in desperate need of funding to maintain and expand its aging facilities.  The needs of the District have been documented in the Five-Year Scheduled Maintenance Plan, the Facilities Construction Master Plan, the Energy Reduction Plan prepared by Viron Energy Services, the Information Technology Plan, and the Facilities Condition Assessment Report prepared by 3D/International.

These extensive studies and plans can be very briefly summarized as follows:

The costs of major repairs, technological upgrades, and sorely needed new construction continue to climb and, adding to the pressures, student enrollment continues to grow, particularly during these lean economic years, as more working adults return to school in hopes of improving their employability.

The District has used a number of funding approaches to meet college needs and has made every effort to generate additional income to address facilities problems. These efforts have included lease revenue bonds, leases, certificates of participation, income-generating contracts, foundation fund-raising, and state general bond funds. Every possible funding alternative has been used prior to consideration of a general obligation bond.

The District is faced with the following situation:

      (1)  Aging classrooms and buildings need repair and renovation. Years of wear and tear have taken their toll. Deteriorated plumbing, heating and ventilation systems, and safety hazards like leaky pipes, frayed wiring, and damaged flooring now plague both campuses.

      (2)  Electrical and wiring systems predating the digital age can’t accommodate the overwhelming need for computer technology. The colleges cannot fulfill their fundamental missions of preparing students and community members for jobs, career advancement, and transfer to four-year colleges and universities without undertaking costly upgrades to meet today’s high-tech demands.

      (3)  Enrollment at both colleges has far exceeded capacity, and, unless the District finds a solution to its facilities crisis, the colleges may be forced to turn away students. Colleges built to accommodate 14,000 students now enroll more than 26,000 and are projected to serve 35,000 by 2015.

      (4)  The state’s budget crisis provides for little optimism in changing the underfunding that currently exists.

      (5)  The District has done a conscientious job of maintaining its facilities despite one of the lowest funding rates per student in the state.

      (6)  Despite being well maintained, the facilities are old, worn out, out of date, and totally inadequate to serve even the current level of students.

      (7)  All possible funding alternatives have been considered. A local general obligation bond is needed to repair and renovate older classrooms and labs, make technology available to meet local demands, and construct and equip facilities to enable current and future students access to the education for transfer and for jobs.

            To provide stringent taxpayer safeguards, the proposed ballot measure would include the following assurances:

      (1)  Every cent will be spent directly on the renovations, repairs, construction, equipment and infrastructure such as plumbing, wiring, sewers, and foundations, as specified in the bond.

      (2)  No money will be spent on administrator salaries.

      (3)  An Independent Citizens Oversight Committee will guarantee that all bond funds are spent exactly as promised.

      (4)  An independent audit of all bond expenditures will be conducted annually and the results will be publicized.