San José • Evergreen Community College District

Citizens’ Bond Oversight Committee

2013 - 2014 Annual Report

Letter from Committee Chair

To: The Board of Trustees and Citizens of the San José • Evergreen Community College District

The Citizens’ Bond Oversight Committee is pleased to present its 2013-2014 Annual Report on the District's two general obligation bond programs. In 2004, voters in the San José • Evergreen Community College District approved a $185M general obligation bond initiative, Measure G-2004. In November of 2010, the voters again demonstrated their confidence in the District and passed Measure G-2010, a $268M general obligation bond initiative. These bond measures, established under Proposition 39, have the common goal of improving and equipping the teaching environments to better serve our students' needs. The Committee and the District wish to thank the community for their continued support of our students.

The Citizens' Bond Oversight Committee has the responsibility of providing oversight on both Measures G-2004 and G-2010. In this report, the committee is recounting the activities of this fiscal year. Measure G-2004 has seen progress with the design of Evergreen Valley College’s Central Green/Arts Plaza, programming and planning of the Joint Use 21st Century Post-Secondary Education Center in Milpitas, and the design of San José City College’s Physical Education Gymnasium project. Project highlights for Measure G-2010 at Evergreen Valley College include the completion of the design phase for the development of South Campus, the construction of the Central Plant and Police Renovation project, and substantial completion of the planning and design for the new Automotive Technology building. San José City College continued its efforts on several small capital outlay and renovation projects. Renovations to the Career Technology spaces in buildings 100 and 200 were well underway in June 2014.

The District’s office building, located in downtown, saw the completion of design and was well into renovation by the end of the fiscal year. Technology infrastructure planning and upgrades were done throughout the District. The Committee wishes to report that, to the best of its knowledge, the San José • Evergreen Community College District is in full compliance with the responsibilities as described in Article XIIIA, Section 1 (b)(3) of the California State Constitution, which address bonded indebtedness incurred by a community college district. We encourage the community to visit the Measure G web site for additional information about the projects and expenditures, as well as our planned meeting dates and times for the coming year.

Respectfully submitted,

Jimmy Nguyen,
Committee Chair

Committee Meetings & Proceedings held during Fiscal Year 2013-2014

September 17, 2013

Communications received by Members
Review of Staff Reports
Review of Membership Terms
Review of Audit Update
Selection of Annual Report Working Group
Measure G-2004:

Review of Project Highlights
Review of Bond List Revisions
Review of Financial Reports

Measure G-2010:

Review of Project Highlights
Review of Bond List Revisions
Review of Financial Reports

January 21, 2014

Welcome New Committee Members
Communications received by Members
Review of Staff Reports
Review of Committee’s Bylaws
Review of Annual Financial & Performance Audits
Review of Annual Report Draft
Review of Website Analytics Report
Measure G-2004:

Review of Project Highlights
Review of Financial Reports
Review of Bond List Revisions

Measure G-2010:

Review of Project Highlights
Review of Financial Reports
Review of Bond List Revisions

March 18, 2014

Election of Chair and Vice Chair
Communications received by Members
Review of Staff Reports
Acknowledgement of Service
Review of Briefing on Board Presentation
Communications received on Audit Reports question
Review of Measure G Newsletter
Measure G-2004:

Review of Project Highlights
Review of Bond List Revisions
Review of Financial Reports

Measure G-2010:

Review of Project Highlights
Review of Bond List Revisions
Review of Financial Reports

June 17, 2014

Tour of San Jose City College Construction Highlights
Communications Received by Members
Review of Staff Reports
Review of Committee Members’ Terms
Review of Amendment to Bylaws
Review of Bond Sale Activity
Measure G-2010:

Review of Project Updates
Review of Bond List Revisions
Review of Financial Reports

Measure G-2004:

Review of Project Updates
Review of Bond List Revisions
Review of Financial Reports

Committee Members during FY13-14

Joseph Becker, Representing: Community-At-Large
Bob Nunez, Representing: Community-At-Large
Carol Lizak, Representing: Community-At-Large
Daniel Kojiro, Representing: Community-At-Large
Ann Mancuso-Engdahl, Representing: Community-At-Large
Jimmy Nguyen, Representing: Tax Payer’s Association
Johnny Lee, Representing: Business Community
Leo Cortez, Representing: Support Organization
Alex Ward, Representing: Student Representative SJCC

Measure G-2004 Ballot Language

"San José City College and Evergreen Valley College Improvement Measure: To prepare students for jobs and transfer to four-year universities by:

• Building art, science and math classrooms and labs
• Expanding healthcare job training facilities
• Upgrading, acquiring, constructing and equipping facilities sites and classrooms.

Shall San José Evergreen Community College District issue $185 million in bonds, at legal rates, with citizen’s oversight, guaranteed annual audits, and no money for administrators' salaries and with increasing existing tax rates?"

In November 2004 the voters of San José and Milpitas approved Measure G-2004, a local General Obligation Bond, in the amount of $185 million. Measure G-2004 passed with a 65.39% approval by the communities of greater San José and Milpitas.

Measure G-2004 Bond Overview as of June 30, 2014

Bond Authorization:	$185,000,000
Interest Earned:	$8,052,319
District Contribution	$1,270,202
Total Bond Funds:	$194,322,520

Total Bond Expenditures:	$155,107,218
Bond Funds Remaining:	$39,215,302

Measure G-2004 Budget by Location as of June 30, 2014

San Jose City College	$91,856,191
Evergreen Valley College	$61,495,102
District	$39,855,879
Program Contingency	$1,083,537
Unallocated Interest Earnings	$31,811
Total Budget	$194,322,520

Measure G-2004 Expenditures by Location as of June 30, 2014

San Jose City College	$70,183,118
Evergreen Valley College	$55,062,157
District	$29,861,943
Total Expenditures	$155,107,218

The G-2004 Budgets and Expenditures include $1,270,202 in District Contributions.
Note: Rounding factors may apply.

Annual Performance and Financial Audit

California Proposition 39, California Education Code Section 15278, and the Section 1(b)(3) of Article XIII A of the California Constitution requires annual performance and financial audits on use of general obligation bond proceeds. The performance and financial audits for the fiscal year ending June 30, 2014 were performed by an independent certified public accounting firm in accordance with generally accepted auditing standards and governmental auditing standards issued by the Comptroller General of the United States. The audits indicate that, in all significant respects, the District expended the general obligation bond proceeds for the year ended June 30, 2014 in accordance with the requirements of Proposition 39.

Measure G-2004 Project List as of June 30, 2014

San Jose City College	Budget	Expended	% Expended
Physical Education Gymnasium	$22,880,265	$1,540,263	6.73%
Modernization of Existing Facilities	$555,653	$461,255	83.01%
Multi-Disciplinary Building (Humanities/Art/ Math)	$28,850,211	$28,611,537	99.17%
Science and Math Educational Complex (Science Center)	$19,189,964	$19,189,964	100%
Multi-Use Athletic/Softball Field	$5,643,805	$5,643,805	100%
Cosmetology/Reprographics Remodel	$5,631,333	$5,631,333	100%
Utilities Infrastructure	$3,562,632	$3,562,632	100%
Site & Parking Improvements	$1,999,037	$1,999,037	100%
Career Technology (Applied Sciences)	$1,538,948	$1,538,948	100%
SJCC Facility Master Plan	$619,597	$619,597	100%
Voice Data Upgrades	$476,443	$476,443	100%
SJCC Campus Safety Upgrades	$296,687	$296,687	100%
Maintenance & Operations Renovations	$219,618	$219,618	100%
SJCC Furniture & Equipment	$199,326	$199,326	100%
Minor Facilities Modification	$192,672	$192,672	100%
San Jose City College Totals	$91,856,191	$70,183,118	76.40%

Evergreen Valley College	Budget	Expended	% Expended
Central Green/Arts Plaza	$6,266,591	$373,127	5.95%
EVC Modernization of Existing Facilities	$19,877,124	$19,337,645	97.29%
EVC Furniture and Equipment	$1,565,782	$1,565,780	100%
EVC Central Plant & Utilities Infrastructure Upgrades	$3,538,456	$3,538,456	100%
EVC Campus Safety Upgrades	$379,168	$379,168	100%
Classroom Complex for Visual and Performing Arts (Arts Complex)	$20,717,707	$20,717,707	100%
Site and Parking Improvements	$5,223,397	$5,223,397	100%
Health/Physical Educational Facilities	$1,928,261	$1,928,261	100%
Student Services Renovation	$919,275	$919,275	100%
Voice Data Upgrades	$768,544	$768,544	100%
EVC Facility Master Plan	$313,797	$313,797	100%
Evergreen Valley College Totals:	$61,495,102	$55,062,157	89.54%

District	Budget	Expended	% Expended
Joint Use 21st Century Post-Secondary Education Center	$10,028,186	$383,752	3.83%
DW Technology Upgrades	$7,956,351	$7,956,348	100%
General Safety Upgrades	$2,153,269	$2,153,269	100%
District Office Renovation	$3,045,712	$3,045,712	100%
DW Sustainability Plan	$1,288,469	$1,288,469	100%
DW Scheduled Maintenance - Local Match	$462,544	$462,544	100%
DW Master Plan - District Standards	$121,814	$121,814	100%
Restructure Lease Revenue	$10,400,000	$10,400,000	100%
DW Project Admin & Other Operating Expenses	$3,771,468	$3,435,280	91.09%
DW Legal Fees	$628,066	$614,756	97.88%
District Totals	$39,855,879	$29,861,943	74.92%

Program Contingency	$1,083,537	$0	0%

Measure G-2010 Bond Overview as of June 30, 2014

Bond Authorization:	$268,000,000
Interest Earned (includes Series A and B “Endowment”):	$1,126,704
Total Bond Funds:	$269,126,704

Total Bond Expenditures:	$76,000,036
Bond Funds Remaining:	$193,126,668

Measure G-2010 Budget by Location as of June 30, 2014

San Jose City College	$79,713,624
Evergreen Valley College	$146,817,000
District	$33,214,279
Program Contingency	$8,782,342
Unallocated Interest Earned	$599,459
Total Budget	$269,126,704

Measure G-2010 Expenditures by Location as of June 30, 2014

San Jose City College	$18,318,966
Evergreen Valley College	$45,491,445
District	$12,189,624
Total Expenditures	$76,000,036

Note: Rounding factors may apply

Annual Performance and Financial Audit

Measure G-2010 Project List as of June 30, 2014

San Jose City College	Budget	Expended
Campus Site Improvements	$1,452,988	$728,037
Group II Equipment - $200,000/year for 10 years	$2,061,005	$609,096
New Gym Sitework & Re-Purpose Racquetball Building	$6,144,215	$0
Scheduled Maintenance	$14,122,488	$4,121,041
IT and Tech Equipment	$6,847,792	$1,170,261
Career Technical Education and Media Arts Center	$33,264,556	$5,541,242
Utlility Extensions and Emergency Generator	$5,978,260	$4,116,725
Renovate Jaguar Gym	$3,870,667	$15,641
Physical Security	$865,975	$301,060
Repurpose Boiler Plant	$589,007	$589,292
Photo Lab Relocation	$755,161	$730,505
Campus Water System mapping and consolidation	$419,848	$396,067
100-200-Boiler Plant Demo and New Parking Lot	$0	$0
Exterior Lighting Phase II	$0	$0
Vehicular Circulation Entrances	$0	$0
Vocational Technology Bldg	$0	$0
Landscaping	$0	$0
Irrigation	$0	$0
Hardscape	$0	$0
Wayfinding	$0	$0
Energy Efficiency- Photovoltaic	$0	$0
Campus Generator Project	$0	$0
Renovate Building K	$0	$0
Renovate- General Education Building	$0	$0
Theater Demo and New Parking Lot	$0	$0
Parking Lot & Street Maintenance	$0	$0
Campus Contingency - San Jose City	$3,341,661	$0
San Jose City College Totals:	$79,713,624	$18,318,966

Note: Rounding factors may apply

Evergreen Valley College	Budget	Expended
Engineering & Applied Technology	$9,705,234	$62,550
Repurpose Gullo II	$50,000	$0
EVC Vehicles	$95,800	$35,414
Group II Equipment - $200,000/year for 10 years	$1,930,044	$198,536
South Campus Development	$56,063,274	$5,577,094
Admin and Student Services Remodel and Consolidation	$181,253	$93,222
Demolition - Roble/Acacia	$1,153,816	$68,361
Automotive Technology	$13,622,430	$1,206,460
Campus Site Improvements	$4,632,652	$1,306,089
Physical Security	$1,728,482	$350,844
IT and Tech Equipment	$5,030,819	$378,734
Scheduled Maintenance	$16,744,304	$8,442,992
Campus Water Service Replacement Project	$1,138,820	$341,835
Parking Lot and Street Maintenance	$1,472,036	$1,007,351
Central Plant and Police Renovation	$15,134,919	$14,626,983
Utilities Projects and Upgrades	$962,054	$953,552
Energy Efficiency - Photovoltaic	$10,841,425	$10,841,425
GED4	$0	$0
Hardscape- Circulation and Plazas	$0	$0
Landscaping	$0	$0
Irrigation	$0	$0
Wayfinding	$0	$0
Exterior Lighting Upgrade Phase II	$0	$0
Vehicular Circulation	$0	$0
New Campus Police Building	$0	$0
Campus Contingency	$6,329,637	$0
Evergreen Valley College Totals:	$146,817,000	$45,491,445

District	Budget	Expended
Vehicle Replacement	$1,276,784	$920,979
Enterprise Resource Planning Conversion	$4,899,155	$1,483,105
Infrastructure Upgrade	$4,892,892	$1,321,832
New District Office Building	$12,797,681	$6,903,138
MDF Relocation	$2,387,494	$193,053
Controls Extension Project (Energy Conservation)	$452,708	$92,270
Group II Equipment - Includes safety and security	$0	$0
Telecommunications Consolidation Antennas	$0	$0
District-Wide Contingency	$655,894	$0
Management and Related Costs (3% of const hard costs)	$2,819,743	$1,234,953
Election/Legal/EIR/DO Labor and Related (3% of const hard costs)	$3,031,927	$40,294
District Totals:	$33,214,279	$12,189,624
Program Contingency	$8,782,342	$0
Note: Rounding factors may apply

Featured Projects

SJCC: Physical Education Building Project

Funded by Measure G-2004 & G-2010

Project Description: The PE Building Project consists of Project 31125 - New Gym Sitework & Re-Purpose Racquetball Building (G-2010), and Project 122 - Physical Education Gymnasium (G-2004). It includes a new gymnasium, fitness center, team rooms and offices. Located adjacent to the track, football field and softball field, it will consolidate the athletics facilities and replace the auxiliary gym. The existing racquetball courts will be renovated into a Wellness Center for the department. The project is scheduled to be complete by Spring 2017.

EVC: South Campus Development

Funded by Measure G-2010

Project Description: The Mathematics, Science and Social Science (MS3) building will be 65,000 square feet and include 7 science laboratories, 14 classrooms, and offices for the Math/Science and Social Science faculty. The Fitness Center will be an 8,000 square foot physical health center designed to inspire a healthy life-style by encouraging fitness participation, student interaction, and will promote sustainability. This project is expected to be ready for occupancy by Summer 2016.

Joint Use 21st Century Post-Secondary Education Center

Funded by Measure G-2004

Project Description: San José • Evergreen Community College District is developing a Joint Use Education Center in partnership with Milpitas Unified School District, for the purpose of better serving the needs of the residents in Milpitas and surrounding areas. The facility will be located adjacent to Thomas Russell Middle School in Milpitas and provide a blend of secondary and post-secondary education that will allow high school students to access college level courses while completing their high school curriculum. Work Force Development courses will also be offered to the larger community. The project has completed the programming phase and the program document has been given to the design build team of McCarthy/Steinberg to initiate schematic design. Construction is expected to start in the Fall of 2015 and complete in the Fall of 2016.

SJCC: Career Technical Education and Media Arts Center

Funded by Measure G-2010

Project Description: Renovations of the Career Technical Education Building began in Spring 2014. The first phase took place on the east side of the two buildings and consisted of the construction of ADA accessible restrooms, modernizations of the classrooms and the build-out of temporary PE spaces. The second phase, beginning in Summer 2014, provided improvements to the two buildings lab spaces and classrooms including updated electrical systems, fans, paint and flooring as well as the installation of newer lab equipment.

EVC: Central Plant and Police Renovation

Funded by Measure G-2010

Project Description:
This project focused on upgrading existing major mechanical equipment and systems, providing all new electrical service and equipment (both within the college’s Central Energy Plant (CEP)), and expanding the District Police station adjacent to the plant. The Police station replaces the old 1,000 square foot station with a new 3,000 square foot facility that adds offices and workstations and adds functions not previously available in the old station (an interview room, a secure holding room and a central command & control station). The work completed in Summer 2014 with full occupancy in Fall 2014.

District: New District Office Building

Funded by Measures G-2010 and G-2004

Project Description:
This project consists of Project 39301 - New District Office Building (G-2010), and Project 304 - District Office Renovation (G-2004). The San José • Evergreen Community College District moved the District headquarters downtown to 40 S. Market St. This location provides cost savings compared to building on campus, and offers an opportunity for increased visibility and community involvement in the heart of downtown San Jose. Construction began in early March, with District occupancy set for Winter 2014.