By Karen Billing
San Dieguito Union High School District (SDUHSD) Associate Superintendent Eric Dill provided an update to the district board regarding a new state bill that places restrictions on school bonds that could affect their Proposition AA program. On Jan. 25, California State Assembly member Ben Hueso and San Diego County Treasurer-Tax Collector Dan McAllister presented their school bond reform legislative measure that proposes all school bonds have a limited term of 25 years; requires all bonds with a term of 10 years or more to be callable; imposes a cap on debt service ratio of 4:1; and involves more oversight from the county level.
“We’re looking at what a 25-year term will do to the structure, issuance and overall program,” said Dill as SDUHSD’s bond currently fits into 32 years. Dill said he thinks there’s a very good chance the bill will pass although it has yet to hit the assembly floor. He said they are keeping an eye on its progress and staff will bring back a revised issuance at a future meeting.
“We think we will have solid instrument to issue and be able to keep on track at least in the short term,” Dill said.