There’s a good reason the Poway Unified School District’s 2011 bond deal cost so much.
The district has consistently told the public that it borrowed $105 million last year to fund the final push in its 10-year effort to modernize Poway’s schools. That deal will cost taxpayers almost $1 billion to repay, thanks to an exotic loan called a capital appreciation bond, which won’t be paid off for 40 years.
But Poway didn’t really borrow $105 million. It actually borrowed $126 million.