Shane Shifflett from Bay Citizen has reported on debt that local school districts have indebted the taxpayers with and it ain't pretty.
SBVC had to retrofit buildings that were built on fault lines back in the day and the campus looks very modern and professional.
If only Capital Appreciation Bonds can be renegotiated, leaving the taxpayers on the hook for half a billion dollars in debt just seems criminal. Just look at these interest payments!
We need to replace that caps that were in place pre-2009 as Shifflett reports:
"Ohio, for instance, prohibits the type of ballooning debt structures found in many California deals by requiring bonds to maintain a flat debt service. That means the annual payment amount must remain roughly the same each year.
California removed its flat debt service requirement on long-term bonds in 2009 with the passage of AB 1388. The bill was sponsored by the California Public Securities Association, which lobbies state lawmakers on behalf of financial consultants and underwriters. An association official declined to comment."
https://www.baycitizen.org/data/education/interactive-decade-of-debt-capital-appreciation-bo/
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