In Depth:
Measure Y would authorize the Oakland Unified School District (“District”) to issue and sell bonds of up to $735 million in an aggregate principal amount. Approval of this measure will authorize a levy on the assessed value of taxable real property within the District by an amount needed to pay the principal and interest on these bonds in each year that the bonds are outstanding.
California Education Code Section 1500 restricts the use of the proceeds from the bonds’ sale to construction, reconstruction, rehabilitation or replacement of school facilities, and the acquisition of real property for school facilities. In addition, proceeds may only be used for the projects listed in the measure. This measure provides that its proceeds will fund projects outlined in the Measure (full list on page 14 here) that include district-wide and site-specific projects. The district-wide projects include, among others, repairing existing school sites, seismic retrofits, upgrading school facilities, and improving energy efficiency. The site-specific projects include similar improvements at specific schools throughout the district. Proceeds may not be used for any other purpose, such as administrator salaries. An independent citizens’ oversight committee will monitor the bond expenditures.
The best estimate of the highest tax rate required to be levied to fund the bonds is six cents per $100 ($60 per $100,000) of the assessed valuation in fiscal year 2027-2028. The best estimate of the average tax rate required to be levied to fund the bonds over the entire duration of the bond debt service is 5.3 cents per $100 ($53 per $100,000) of the assessed valuation. The final fiscal year anticipated to collect the tax is 2049-50, and the total debt service estimate to repay all of the bonds (including principal and interest) is $1,400,000,000.
Source: County Counsel's Impartial Analysis of Measure Y