Gilroy Unified's $295 Million Measure M School Bond: What Property Owners Should Know

Voters in the Gilroy Unified School District will decide on Measure M on November 3, 2026. It is a $295 million general obligation bond to repair, rebuild and modernize the district's school facilities. On October 29, the Mercury News editorial board published an endorsement asking voters to support it. The measure has been in the works since spring, and it matters to anyone who owns, or plans to buy, property inside the district's boundaries. Here is what we were able to confirm from the district and from local reporting.

What Measure M would do

The Gilroy Dispatch reported that the Gilroy Unified Board of Education voted unanimously on May 28, 2026, to put the bond on the November ballot. Before that vote, the district commissioned a voter survey and completed a Facilities Master Plan. According to district staff quoted by the Dispatch, the plan found about $958 million in facility needs over the next 10 years. Staff chose to ask for $295 million to cover the highest-priority projects.

The district says Gilroy Unified serves about 10,000 students, from transitional kindergarten through 12th grade, at 14 schools in Gilroy and the south Santa Clara Valley. In a message to the community, the district listed seven projects in priority order, with estimated costs:

1. El Roble Elementary: full campus reconstruction ($70–$85 million)
2. TK and kindergarten facilities at Eliot, Glen View, Las Animas, Luigi Aprea and Rucker elementary schools: restrooms, classrooms and play areas designed for young students, plus changes to drop-off areas and parking ($18–$28 million)
3. Gilroy High School: a new career technical education building for welding, HVAC and culinary arts ($20–$26 million)
4. Club Drive Athletic Fields, Phase I: multi-use natural turf fields, parking and restrooms on land the district already owns ($9–$11 million)
5. Rod Kelley Elementary: full campus reconstruction ($75–$92 million)
6. Gilroy Early College Academy (GECA): a move from its portable campus to two new permanent buildings on the Gavilan College campus ($50–$68 million)
7. Club Drive Athletic Fields, Phase II: permanent restrooms, concessions, paving, sports lighting and a playground ($14–$16 million)

The district estimates all seven projects at $256 million to $326 million combined. The high end is more than the $295 million authorization, so the ranking may decide which later projects go forward. The district's general list of needs also includes leaky roofs, aging plumbing and sewer lines, fire alarms, security cameras, and the replacement of portable classrooms with permanent ones.

What it would cost property owners

According to the ballot question approved by the board and published by the Gilroy Dispatch, Measure M would levy about $59 per $100,000 of assessed value for as long as the bonds are outstanding. That would raise about $18.3 million a year. The district's own FAQ gives a slightly different estimate of $60 per $100,000. Either way, the cost is roughly $0.06 for every $100 of assessed value.

Some simple examples using those figures:

• A home assessed at $500,000 would pay about $295–$300 a year.
• A home assessed at $900,000 would pay about $531–$540 a year.

The district points out that assessed value, the figure the county uses for taxes, is not the same as market value and is usually lower. Your current assessed value is shown on your property tax bill. The district says bonds like this are usually repaid over 25 to 30 years. The tax applies to all taxable property in the district: residential, commercial, agricultural and industrial.

Rules and oversight

Measure M needs at least 55% "yes" votes to pass, according to the Dispatch. The Santa Clara County Registrar of Voters is running the election for the district. The district says state law requires the money to be spent locally. It also requires annual audits and review by an independent citizens' oversight committee, and the bond money cannot be used for teacher or administrator salaries.

Gilroy voters have approved school bonds before. The Dispatch reports that Measure P ($150 million) passed in 2008 and Measure E ($170 million) passed in 2016. The district says those funds paid for work at South Valley and Brownell middle schools, the Gilroy High pool and student plaza, and the State Preschool.

The measure also has critics. Two readers commenting on the Dispatch's June story said they planned to vote no, citing the tax burden and questions about district spending. The arguments for and against Measure M are printed in the county voter guide.

What Gilroy-area homeowners, buyers and sellers may want to do

• Homeowners: Find your assessed value on your Santa Clara County property tax bill and multiply by about 0.06% to estimate your yearly cost if Measure M passes. While you have the bill out, look at the existing voter-approved charges already listed.
• Buyers: In California, a home's assessed value is generally reset to the purchase price when it sells. If you are buying in Gilroy, your share of any new bond tax will likely be based on what you pay, not on the seller's current assessed value. Ask your lender to include the full expected tax bill when estimating your monthly payment.
• Sellers: If the measure passes, buyers will see the new charge on future tax bills. Being ready to explain the existing bond lines on your bill can help keep escrow running smoothly.
• Landlords: Bond taxes add to the cost of owning a property. Ask a tax professional how these charges fit into your rental's expenses.

Results will be reported by the Santa Clara County Registrar of Voters after November 3. We will follow up when the outcome is clear. If you have questions about how a bond measure could affect a purchase or sale in Gilroy or elsewhere in South County, we're happy to help.

Sources

• Gilroy Unified School District: Measure M information and FAQ
• Gilroy Unified School District: "Measure M for GUSD schools on the November 3 ballot" (community message with priority project list)
• Gilroy Dispatch: "Gilroy Unified School Board will ask voters for $295m in bonds in Nov. 3 election" (June 10, 2026)
• The Mercury News: "Endorsement: Voters should support the Measure M bond to fix Gilroy schools" (October 29, 2026)

Thinking about buying or selling in the Bay Area? Chris Renois can walk you through how these changes affect your home and your plans. Call or text (650) 512-9817, email chrisrenois@therealexperts.com, or get a free home value estimate.

This article is general information for Bay Area homeowners and buyers, not legal, tax or financial advice. Laws, rates and deadlines change; please confirm details with the original sources linked above or a qualified professional. Chris Renois, California DRE #02030130.