Board debates using bond interest to expand campus alternates, schedules workshop request

Board members discussed how interest earned on unspent bond proceeds might be used to expand or enhance projects beyond the bond referendum’s base scope and asked administration to return with recommendations. District staff reminded the board that state regulations and bond documents restrict uses of bond proceeds and interest to costs that are bond-related and that operational salaries or unrelated maintenance generally cannot be paid from bond funds.

Several board members urged a transparent approach and proposed a workshop to consider community priorities for any bond interest the district might earn. One member suggested scheduling the workshop in August or September so the board could receive projected interest earnings, a recommended process for community input and draft regulations or policy language. Administration said it will provide projected cash-flow schedules and recommendations on allowable uses, and it flagged timing constraints: contractor price guarantees for alternates may be time-limited (one presenter said a contractor was guaranteeing a price for 30 days from approval).

Discussion included how to prioritize campus alternates that were already ranked by local campuses during outreach and whether remaining interest could help cover high-priority items such as blacktop repairs at a named campus. Staff recommended a workshop to review projected interest, legal constraints and community priorities before making any reallocations. The board agreed to direct staff to prepare materials and proposed that a workshop be scheduled in September to reach clearer guidance.