Governor Proposes Some Additional Education Funds For Enormous "Wall of Debt"

 

 

This is the time when our District builds its budget, in detail, for the following school year.  CUSD continues to face fiscal challenges, largely due to the State of California taking over 22% off the top of our main source of funds.  This cost the District approximately $4.5 million in 2012-13 alone.  Due to the fiscal prudence of our Boards of Directors through the years, CUSD has been able to use reserve funds to maintain its excellent educational program through these challenging times.

 

However, the reserves are being depleted rapidly.  Information provided at the May 16, 2013, Board meeting indicated that, given current projections, budget solutions of $2.5 million will be needed by June 30, 2015, to maintain the absolute minimum reserves required by the State of California (3% of operating expenses).  Budget solutions will likely include a combination of revenue increases and expenditure decreases, but we simply can't cut our way to solvency and maintain an excellent education for our students.

 

The Governor recently released his May Revision to the originally proposed 2013-14 State budget.  While this Revision included a small glimmer of good news for CUSD, proposing to give some funding to help with implementing the new Common Core Standards for school curricula, the main news in not good for us.  Under the proposed Local Control Funding Formula, increased funding will be entirely insufficient to eliminate our yearly deficits, let alone account for future required salary adjustments, expenditure increases due to inflation, or salary increases.  Something significantly more in terms of increased revenues and/or decreased expenditures will be needed.

 

We will keep you advised as the Legislature actually adopts the 2013-14 State budget.

 

 

 

Source: Jeffrey P. Felix, Ed.D., Superintendent

Coronado Unified School District

Superintendent's Weekly Communication