The Denair Unified School District Board of Trustees heard a presentation Thursday night regarding financing options for the next phase of Measure Z campus improvement projects.
Daisy Swearingen, DUSD’s Chief Business Official, and Khush Gheyara, of CFW Advisory Services, provided historical perspective on the bond measure, updates on completed and upcoming projects, and a look at future bond-issuance options.
Two years ago, Denair voters approved Measure Z, which authorized $34.3 million in general obligation bonds for campus improvements. The district issued its first series of those bonds in December 2024, generating $12.8 million to launch the first series of projects. The centerpiece of Phase 1 was the Denair Elementary Charter Academy cafeteria and gymnasium project, which transformed the west side of the existing gym into a modernized kitchen and multipurpose cafeteria. The new kitchen was ready to use on Day 1 of the 2026-27 school year.
Now, as the district prepares to move into Phase 2, trustees must address the next steps in the financing process even before the projects can go out to bid. Phase 2 calls for construction of two new classroom wings, along with the conversion of the school’s old cafeteria into administrative offices and a library.
It is estimated that the district could issue approximately $7 million at this time,
subject to favorable market forces. Gheyara presented the trustees with four options:
- Delay the bond issuance process until 2027
- Begin preparing for a bond issuance now, which could close as early as December but could be halted if market conditions falter
- Issue a Bond Anticipation Note, a short-term financing option that would be repaid through a future bond issuance; although not recommended, it was presented as one of the available financing alternatives.
- Take no action at this time
“In order to maintain momentum on the next phase of the project, we need to begin the process of securing additional funding,” said Swearingen. “Starting the bond issuance process does not obligate the district to complete the issuance if market conditions become unfavorable. Likewise, once funding is secured and the project goes out to bid, the district is not obligated to move forward if the bids come back higher than anticipated.”
The bond-issuance matter will be addressed again at the next Board of Trustees meeting, scheduled for Oct. 8 at 7 p.m.
Also on Thursday, the board unanimously accepted the Citizens’ Bond Oversight Committee’s 2024-25 annual report. The written report was developed following recommendations included in the 2025-26 Stanislaus County Civil Grand Jury report.
The CBOC oversees how the district spends Measure K and Measure Z bond proceeds. Following the Grand Jury review, the district has taken steps to strengthen the committee’s reporting and transparency, including completing a written annual report, improving access to CBOC information on the district website, and continuing efforts to recruit additional community members to serve on the committee.
The trustees welcomed and swore-in Anthony Zavala as the 2026-27 student board member. Zavala, who has attended Denair schools since he was in preschool, replaces the graduated Dakota Shaw.
