With Passage Of AB 80, School Districts Have One Less Bite At The Prop 39 Bond Apple
August 2011
Number 43
On July 29, 2011, Governor Brown signed into law Assembly Bill (AB) 80, which eliminates the stand-alone February presidential primary election and consolidates it with the statewide direct primary election in June.
Proposition 39 (Prop. 39), passed by the voters in 2000, reduces the electorate approval threshold for school district and community college district general obligation bond measures from two-thirds to 55%. However, among other restrictions, Prop. 39 limits the dates on which a general obligation bond election may be held. Prop. 39 general obligation bond elections may only be held in conjunction with a statewide regular or special election, or a regularly-scheduled local election in which all of the district's voters are already entitled to vote. The stand-alone February presidential primary election would have qualified as a regular statewide election on which school districts and community college districts might have placed a Prop. 39 general obligation bond measure. AB 80 eliminates that opportunity.
Accordingly, the remaining regular statewide elections for 2012 on which school districts and community college districts may place a Prop. 39 general obligation bond measure are:
? June 5, 2012
? November 6, 2012
LOZANO SMITH provides bond and special financing counsel services and advice regarding various alternative mechanisms for financing capital projects. If you have any questions, please contact Jerry Behrens or Daniel Maruccia in ourSacramento Office, Jeff Kuhn or Dale Bacigalupi in ourFresnoOffice, or Trevin Sims in our Los Angeles Office, all of whom are municipal bond counsel listed in The Bond Buyer's Municipal Marketplace (the "Red Book").
If you have any further questions, please contact one of our eight offices located statewide or consult our website.
Jeffrey Kuhn
Shareholder
Fresno Office
jkuhn@lozanosmith.com
Daniel Maruccia
Associate
Sacramento Office
dmaruccia@lozanosmith.com
2011 Lozano Smith
Number 43
On July 29, 2011, Governor Brown signed into law Assembly Bill (AB) 80, which eliminates the stand-alone February presidential primary election and consolidates it with the statewide direct primary election in June.
Proposition 39 (Prop. 39), passed by the voters in 2000, reduces the electorate approval threshold for school district and community college district general obligation bond measures from two-thirds to 55%. However, among other restrictions, Prop. 39 limits the dates on which a general obligation bond election may be held. Prop. 39 general obligation bond elections may only be held in conjunction with a statewide regular or special election, or a regularly-scheduled local election in which all of the district's voters are already entitled to vote. The stand-alone February presidential primary election would have qualified as a regular statewide election on which school districts and community college districts might have placed a Prop. 39 general obligation bond measure. AB 80 eliminates that opportunity.
Accordingly, the remaining regular statewide elections for 2012 on which school districts and community college districts may place a Prop. 39 general obligation bond measure are:
? June 5, 2012
? November 6, 2012
LOZANO SMITH provides bond and special financing counsel services and advice regarding various alternative mechanisms for financing capital projects. If you have any questions, please contact Jerry Behrens or Daniel Maruccia in ourSacramento Office, Jeff Kuhn or Dale Bacigalupi in ourFresnoOffice, or Trevin Sims in our Los Angeles Office, all of whom are municipal bond counsel listed in The Bond Buyer's Municipal Marketplace (the "Red Book").
If you have any further questions, please contact one of our eight offices located statewide or consult our website.
Jeffrey Kuhn
Shareholder
Fresno Office
jkuhn@lozanosmith.com
Daniel Maruccia
Associate
Sacramento Office
dmaruccia@lozanosmith.com
2011 Lozano Smith
As the information contained herein is necessarily general, its application to a particular set of facts and circumstances may vary. For this reason, this News Brief does not constitute legal advice. We recommend that you consult with your counsel prior to acting on the information contained herein.
