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TAMALPAIS UNION HIGH SCHOOL DISTRICTCITIZENS’ FISCAL2001 BONDOVERSIGHT COMMITTEEFINAL REPORTFebruary 10, 2015

TABLE OF CONTENTSCitizens’ Fiscal Oversight Committee Final Report . 3Citizens’ Fiscal Oversight Committee Overview . 72001 General Obligation Bond Summary. 102001 General Obligation Bond Projects - Inception Through June 30, 2014 . 11

Tamalpais Union High School District 2001 BondFiscal Citizens' Oversight Committee Final ReportBackgroundThe Tamalpais Union High School District ( District) has undergone major renovations as part ofa modernization program that began with the passing of Bond Measure A on March 6, 2001 inthe amount of 121, 000,000. Three series of bonds were issued:1. 20, 820, 000 ( Series 2001)2. 49, 580, 000 ( Series 2002),and3. 50, 600, 000 ( Series 2004)The three comprehensive high schools, as well as the alternative and continuation high schools,have benefited from the generosity of the public and the energy and foresight of the schoolcommunity. After the passing of the bond a decision making process was established and aprogramteamwasdetermined.District oversight, fiscal oversight, and site modernizationcommittees were established. Critical facilities needs were identified through extensive sitereview, and programmatic needs were formulated into educational specifications. From thisinformation and the additional information outlined in the-facilities Master Plan-of-2000, designprofessionals began to develop projects. All sites had numerous projects successfullycompleted including but not limited to infrastructure and utility upgrades, heating systemreplacement, and classroom renovations. The projects also included accessibility upgradesincluding elevators, lifts, and restrooms. More visible improvements came in the form of newsynthetic turf athletic facilities, a complete and separate campus for Tamiscal alternativeeducation, new theater building at Tamalpais High School, new art building at Redwood HighSchool, new canteen at Sir Francis Drake High School and site reconfiguration and buildingreplacement at San Andreas Continuation High School. These are but a few of the benefits andprojects created by the generosity of the public and the hard work and determination of theschool community. These improvements will continue to support and enhance the educationalexperience for all students far into the future.On November 28, 2000 the Board of Trustees of the Tamalpais Union High School Districtadopted Resolution No. 11 which, upon passage of the 2001 Bond election, called for theestablishmentbythe Districtof aCitizens' Fiscal Oversight Committee ( CFOC). The duties ofthe CFOC include the review and approval of a performance and financial audit; evaluation ofthe performance of the audit firm contracted to perform both financial and performance audits;and preparation of a final report to the Board of Trustees at the completion of the modernizationeffort.The first meeting of the CFOC took place on September 5, 2001 and was attended by thecommittee members, District staff and consultants, legal counsel, bond counsel, and fiscaladvisor. Meetings have taken place each year in the fall and some springs. Audits have beenpresented annually except during the past few years when there have been 18 month and twoyear audits as a result of minimal expenditures. The financial and performance audits testedthe 2001 General Obligation BondBuilding Fund of the District ". in accordance with auditingstandards generally accepted in the United States of America and the standards applicable tofinancial and performance audits contained in Government Auditing Standards, issued by the3-

Comptroller Generalofthe United StatesofAmerica." The opinions have always indicated thatthe financial statements have been stated fairly.Basedontheaudit reports providedbyfirst Vavrinek, Trine,Day & Co. LLP and more recentlyNigro & Nigro PC, and the applicable audit standards adhered to there in, it is also theCFOC' s opinion the District spent 2001 Bond funds as authorized by voters. Nigro & Nigro PCbyhas performed a 30 month audit which was presented at our Board meeting on November 18,2014.In addition, market conditions have provided the District two opportunities to lowertaxpayers' debt service costs. In June 2010 and December 2011 the District refundedrefinanced) the three series of bonds. Combined taxpayer savings from both refundingstotaled 11. 4There may be additional refunding opportunities in the future tomillion.further reduce debt service costs.The aggregate borrowing was for 121, 000, 000. As of August 31, 2014, approximately95, 729, 000about 54,ofdebtservicehas beenpaidbytaxpayers of whichapproximately 56% is interest000, 000).On June 6, 2006 the community passed a separate " completion" bond authorization in theamount of 79, 920, 000. This funding provided major technology infrastructure upgradesdistrictwide, pools at all three comprehensive sites additional classroom renovations includingthe a new Keyser Building on the Tamalpais High School campus, and new and renovatedathletic facilities.ConclusionAt June 30, 2014 the 2001 Bond fund balancewas 308, 906.On October 28, 2014 the Boardapproved a budget revision including the following:DescriptionField Replacement Restroom ProjectBandroom Acoustical ImprovementsAmountatatRedwoodDrake223, 74331, 213DistrictExpenses/ Contingency53, 950Total Revised Budget308, 906Modernization has been a lengthy and remarkable process, but the community will be rewardedwith the successful results for many years into the future. With the proper care andmaintenance the new and renovated facilities will provide a positive learning environment formany years.Respectfully submitted on behalf of 2001 General Obligation Bond Fiscal Citizens' OversightCommittee.4-

TAMALPAIS UNION HIGH SCHOOL DISTRICT2001 General Obligation Bond Authorization and Related Funding SourcesAggregate Sources and Uses of FundsSources:Deposits toBuildingFund for 2001 Bond Authorization121, 000, 000Additional Sources:Interest EarnedonBuildingLegal Settlement in favorStateMatchingofFund deposits beforeusein5,778, 212modernizationDistrict( involving Tamalpais' Caldwell Hall)Funds for qualifying modernizationFederal matching grants for qualifyingTotal Additional Sources of Funds462, 04615, 797, 224projects149, 584modernization projects22, 187, 066Total Sources( Building Fund DepositsplusAdditional Sources):143, 187, 066Uses:Modernization of Tamalpais High School DistrictTamalpais High School54, 578, 681Redwood High School42, 185, 507Drake High School28, 381, 233San Andreas Continuation High School- -3, 232, 589Tamiscal Independent High School1, 541, 332Corporation Yard908, 310District Office437, 371Districtwide—1- n61-27196Identified but Unspent@6- 30- 2014309, 847143, 187, 066143, 1 87, 066DEBT SERVICE PAID AND TO BE PAID BY TAXPAYERSOriginal Debt Service( Principal and interest)Series 200135, 615,946. 92Series 200285, 974,434.9888, 678,406. 11Series 2004210,268,788. 01210, 268,788.01Revised Debt Service due to Refundings( Principal and Interest)Series 200114, 295, 982.48Series 200228, 419,754.9829, 964, 756. 11Series 20042010Refunding(2011 Refundingnet of 1, 271, 251. 88 transfered from debtservicefund heldby County)72, 861, 939. 5253, 337,466. 11198, 879, 899.20198, 879, 899. 2011, 388, 888. 81Debt Service Savings due to Refundings to date:Memorandum:Total Debt Service Paid Through August 31, 2014:Principal41, 685, 000. 00Interest54, 044, 047.3295, 729,047. 32Remaining Debt Service( assuming no additional refundings)PrincipalInterest(74,470, 000. 00including 1, 271, 251. 88 transfered from debtservicefund heldby County)28, 680, 851. 88103, 150, 851. 88 .Total Debt Service Through Final198, 879, 899. 20Maturity5-

Summary of Citizens' Fiscal Oversight Committee Meeting Dates and Audits ApprovedMeetingDateOctober 29, 2014October 29,2013March 28, 2012AuditApproved Independent Auditor Report June 30, 2014No report presentedOctober 13, 2010Approved Independent Auditor Report December 31, 2011Approved Independent Auditor Report June 30, 2010October 28, 2009No report presentedApril 1, 2009No report presentedOctober 15, 2008Approved Independent Auditor Report June 30, 2008October 24, 2007No report presentedMarch 28, 2007Approved Independent Auditor Report December 31, 2006October 18, 2006Approved Independent Auditor Report June 30, 2006March 29, 2006Approved Independent Auditor Report December 31, 2005November 2, 2005Approved Independent Auditor Report June 30, 2005March 30, 2005Approved Independent Auditor Report December 31, 2004October 20, 2004Approved Independent Auditor Report June 30, 2004March 10, 2004Approved Independent Auditor Report December 31, 2003October 22, 2003A-pproved Independent Auditor Report June 30, 2003March 19, 2003Approved Independent Auditor Report December 31, 2002November 6, 2002Approved Independent Auditor Report June 30, 2002June 19, 2002No report presentedMarch 20, 2002No report presentedDecember 5, 2001No report presentedNovember 7, 2001No report presentedSeptember 5, 2001No report presented6-

TAM DISTRICTCITIZENS' FISCAL (BOND) OVERSIGHT COMMITTEEApril 24, 2001Overview: Board Resolution# 11 of November 28, 2000 established a Citizens' OversightCommittee to monitor and audit the expenditure of bond proceeds. Hereafter, the Committeeshall be known as the Citizens' Fiscal ( Bond) Oversight Committee. The Committee reportsdirectly to the Board of Trustees The Board shall appoint all members. The Committee shall beestablished within sixty( 60) days of the passage of the bond measure.Jndividuals appointed to serve on the Committee must be aware of the duties and responsibilitiesof the Committee. Committee members shall be available to attend the Board meeting(s) whenthe performance and financial audits are presented. The Committee shall schedule a meeting withthe District' s auditor within ninety( 90) days after the formation of the Committee to identify theoperating procedures of the Committee. Thereafter, the Committees shall schedule at least oneannual meeting to complete its duties.Duties: Duties of the Citizens' Oversight Committee will include, but may not be limited to thefollowing:1. Performance Audit- Review the annual performance audit of Ole Bond funds, prepared by the District' s Auditor to ensure that bond fund are expended inaccordance with the Bond measure- With the Auditor, report to the Board of Trusteeson the findings of the performance audit, including recommendations as needed.7-

2. Financial Audit- Review the annual financial audit on the sale and expenditure ofbonds prepared by the District' s Auditor to ensure that the allocation of funds are inlinewiththeoverallFacilities Master Plan.With the Auditor, report to the Board ofTrustees on the financial audit, including recommendations as needed.3. Audit Firm-Evaluate the performance of the auditor firm contracted to perform boththe financial and performance audits, including recommendations to the firm and theBoard of Trustees as needed.4. Final Report-Prepare a final report to the Board of Trustees at the completion of themodernization effort.Membership: The committee membership shall include, but not be limited to:1. A representative of the District Board of Trustees2. A representative from a taxpayers group appointed by the Board of Trustees3. A representative from a senior citizens group appointed by the Board of Trustees4. Two representatives from the community appointed by the Board of Trustees5. A parent/community member from Drake High School selected by the Drake SiteModernization Committee6. A parent/community member from Redwood, San Andreas or Tamiscal High Schoolsselected by the Redwood Site Modernization Committee7. A parent/community member from Tam High School selected by the Tam SiteModernization Committee8. Tam District Director of Fiscal Services8-