Special Notice / Hearing: None__
Vote Required: Majority
To: Honorable Board of Supervisors
From: John C. Beiers, County Counsel
Subject: Issuance and Sale by the Jefferson Union School District of its General Obligation Bonds, Election of 2020, Series A
RECOMMENDATION:
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Adopt a resolution authorizing the Jefferson Union High School District to issue and sell Election of 2020, Series A Bonds, through a negotiated sale, in an amount not-to-exceed $21,000,000 without further action of the County.
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BACKGROUND:
On March 2, 2020, an election was duly and regularly held in the Jefferson Union High School District (the “District”), for the purpose of submitting a bond measure (the “Bond Measure”) to the qualified electors of the District, authorizing the issuance of general obligation bonds in the aggregate principal amount of $28,390,000 (the “Bonds”), and more than 55% of the votes cast were in favor of the issuance of the Bonds.
On April 27, 2020, the Board of Trustees of the District, a school district under the jurisdiction of the Superintendent of Schools of the County of San Mateo, adopted, a District Resolution (the “Series A Resolution”) providing for the issuance and sale of Jefferson Union High School District (San Mateo County, California) General Obligation Bonds, 2020 Election, Series A, in an aggregate principal amount not-to-exceed $21,000,000 (“Series A Bonds”), and requests that this Board of Supervisors of the County of San Mateo (the “County”) authorize the District to issue and sell its proposed Series A Bonds on its own behalf at a negotiated sale pursuant to and subject to the Education Code or the Government Code and applicable law.
The District has represented and warranted to the County that it has not received a qualified or negative certification in its most recent interim report.
DISCUSSION:
State law generally provides that the County may issue and sell general obligation bonds on behalf of a school district, but California Government Code §§ 53506 et. seq. and Education Code § 15140(b) also allow the Board of Supervisors to authorize the District to sell and issue bonds directly on its own behalf without further action of the Board of Supervisors or officers of the County.
The District is being assisted by Jones Hall, A Professional Law Corp., as bond counsel, and Dale Scott & Company as financial advisor.
Authorizing the District to issue and sell its own bonds will contribute to the Shared
Vision 2025 outcome of Collaborative Community by supporting fiscal accountability.
FISCAL IMPACT:
These bonds are general obligations of the District, and do not constitute an obligation of the County. No County funds are pledged or obligated to the payment of the bonds.