Interim report reveals depth of LVUSD’s financial difficulties

Interim report reveals depth of LVUSD’s financial difficulties By Stephanie Bertholdo Acorn Staff Writer

"Dances With Wolves It Isn’t" was the title of the Las Virgenes Unified School District (LVUSD) first interim budget report, presented by Deputy Superintendent Donald Zimring at last week’s school board meeting.

To add a little humor to an otherwise sobering presentation, Zimring’s report depicted an alligator nipping at the heels of the district’s budget to illustrate how California’s ailing budget will take a bite out of education.

"Nipping" is putting it mildly. According to the interim budget report, LVUSD is threatened with crippling cutbacks projected to hungrily gnaw at budgets through 2006 and beyond.

Although no further cuts are being proposed for this school year, LVUSD had already trimmed $2 million off the budget over the past three years, leaving limited room for additional cutbacks, unless class sizes are increased and core programs and personnel get the axe.

Having anticipated how the state’s budget problems would hurt local schools, Zimring reported that Las Virgenes officials froze expenses last year, which helped preserve federal carryover funds totaling nearly $61,000.

The first interim report outlined expected shortfalls, including the inability of California to reimburse LVUSD for mandated funds. The estimated loss in revenue for this year is $400,000, but since the state indefinitely deferred payments to public schools, the total outstanding funding for LVUSD is $933,000—so far.

Zimring later explained that even though Gov. Arnold Schwarzenegger came through with an 11th hour approval to place a $15 billion bond on the March election ballot, the money––if the bond measure passes––is targeted to fill the budget gap for this year only. The ballot measure would also include spending caps, which are expected to undermine education funding by disallowing schools to share in revenues collected during an economic upswing.

The tax revenue from an economic boom would instead be placed in a "rainy day" reserve.

Prop. 98, a constitutional amendment passed in 1988 to maintain minimum education funding, continues to be jeopardy, said Zimring. Educators fear, he said, that politicians may siphon money from education funding to protect other programs.

For instance, Zimring said that mental health programs could be categorized with special education. On paper, Prop. 98 monies—thought to be untouchable—would be earmarked for other priorities and not even reach school districts.

The first interim budget report also outlined expenditures. Negotiations for teacher salaries have been settled—with no new increases, except for beginning teachers. Three new positions, including the home school teacher, were added.

"In an effort to contain non-public school placements, additional special education positions were added to enhance our on-site programs," the report said. Transportation for special education students and the cost of consultants for autistic children were adjusted, based on current contracts.

Medical allowances were capped for both certificated and classified employees. Although costs were reduced by an additional $55,000 more than originally budgeted, LVUSD’s share of medical costs increased by $137,000 more than initially budgeted.

The cost to place the parcel tax measure on the spring election ballot will cost about $100,000. However, LVUSD officials believe it’s worth the gamble.

The $2 million that the parcel tax would generate to help shore up next year’s $3 million budget gap justifies the cost of putting it on the ballot, supporters said.

Without the parcel tax of $98 per year, the district would be forced to cut $3 million off next year’s budget and an additional $1.7 million the following year to meet the district’s mandated reserve of 3 percent.

The parcel tax would expire after five years.

It requires a two-thirds majority on the March 2 ballot.