Vote Yes for the Bond and Our Future!

The simplest way to think of a bond is like a mortgage. Bonds can only be used for real property that will be useful for years and years, much like a home. Bond funds are not used for supplies or salaries. The difference between a home mortgage and a government bond sale is the number of ‘notes’ being held.

Most homes will have one or two mortgage notes. Government bonds are sold in specific values over specific time periods. People can buy them just like bank certificates of deposit (CDs) for short or long terms and different interest rates. The taxes raised go to pay the note and the interest when it comes due. These payments are called “debt service.”

The Arizona legislature sets limits on the amount of bonds that can be issued or sold by a school district (depending on its type). The limit is based upon the total value of the property in the school district boundaries.

Districts with very valuable properties have high limits, and districts without a lot of valuable property have lower limits. Even if voters would approve more bonds or taxes, school districts cannot sell more than the legal capacity allowed by law.

In 1998, the Arizona state legislature passed, and the state governor approved, Senate Bill (SB110 I), a revised version of Students FIRST (Fair and Immediate Resources for Students Today). Students FIRST follows constitutional requirements by setting adequacy standards for school buildings and assigned the school facilities board, a state-level board, to develop a detailed standard.

The goal of the Students FIRST legislation is to provide enough funding to bring existing facilities up to adequate standards and maintain all capital facilities at adequate levels; however, the Arizona legislature has failed to provide the necessary funding for several years.

Arizona law also requires annual public reporting on bond expenditures. In addition, a citizen oversight committee will help ensure projects are completed on time, on budget, and as promised.