Capo Budget Outlook Continually Bleak

Gov. Brown may have revised his numbers for the 2012-13 fiscal year earlier this month, but the situation is unchanged for Capo Unified.

’s worst-case budget scenario remains $51 million short next school year, a gap that will have to be plugged by the end of next month.

The Board of Trustees heard a financial report Wednesday from , deputy superintendent of business services. Despite , which show the state is facing its own budget crisis more harrowing than previous expected, CUSD’s financial crunch pretty much remains the same: The district needs to make $30 million in cuts should a November tax measure pass; $51 million if it doesn’t.

“We’re looking between the cushions of the couch at this point,”  Trustee John Alpay said later in the meeting in response to a $21,000 expenditure the board ultimately did not approve.

The governor’s May revision to the budget proposal he made in January is “not good news,” Hampton said. In January, the state expected to be $9.2 billion in the hole, but actual tax receipts have come in way short. Brown believes the state now faces a $15.7 billion defecit, while a state analyst said the governor may be a “few billion dollars” off.

Even if the November initiative passes to increase taxes temporarily, the school district would receive flat funding, Hampton said.

“There’s actually no new money for schools,” he said.

If the taxes don’t pass, the school district will receive $441 less per student, which totals $21.8 million, Hampton said. The rest of the school district’s shortfall comes from declining enrollment – school districts receive money based on how many students show up to class – and the exhaustion of one-time federal stimulus and jobs moneys.

Hampton said ultimately, funding for education is tied to the economy at large, which is experiencing the most fragile of recoveries in California.

“It doesn’t look like there’s much end in sight to this depressing news,” Hampton said.

In other financial news, the board heard from a consultant about the possibility of refinancing several debts, including a financial vehicle called “certificates of participation” it used to pay for the district’s headquarters. Of the $31.9 million the district borrowed in 2002, it still owes $22.8 million, according to the report.

Refinancing the debt could save the district $180,000 annually, and $2.12 million in total, said Lori Raineri, president of Government Financial Strategies of Sacramento.

“We’re managing it to the lowest cost. That’s the stewardship we are trying to achieve,” Raineri said.

The item will come back for board approval likely in the summer.

Capo Parent May 25, 2012 at 08:00 PM
Many who post here keep forgetting that CTA is not a benevolent organization, nor is it an advocate for parents and/or students. It has one core mission, to solely represent its members and get the best deal it can for them. Period. That's why CTA and CUEA, its affiliate in CUSD, sat on the sidelines and did nothing while students and teachers worked in abysmal conditions, e.g. Newhart. One CUSD parent reached out to Vicki Soderberg for help from the teachers union regarding the terrible conditions at Newhart, and Soderberg refused. CTA financed the takeover of CUSD to send a message to all the other school districts in the state and to control the entity that is responsible for paying its members. The teachers union and its allies used the mantra that the recall and the election for changing how trustees are elected was all about the kids. They were right, it was all about the kids, it was about using the fiction of trying to make things better for our kids as cover for the real goal, control of CUSD. Remember, the current board voted (in secret) at its very 1st meeting to give back to the teachers union. They haven't stopped giving back ever since even in the face of a multi-million dollar deficit that keeps growing.
Pam Sunderman May 25, 2012 at 08:11 PM
Capo Parent, Here are the clarifications to your post... CTA's Mission Statement: "The California Teachers Association exists to protect and promote the well-being of its members; to improve the conditions of teaching and learning; to advance the cause of free, universal, and quality public education; to ensure that the human dignity and civil rights of all children and youth are protected; and to secure a more just, equitable, and democratic society." More detail can be found at http://www.cta.org/About-CTA/Who-We-Are/Mission-Statement.aspx There is a system set up within CUSD for teachers to report maintenance and other issues involving school sites which they can and do (I did it whenever I noticed a hazard or "abysmal condition")access when needed and every year at the end of the school year a report on any issues that need to be addressed is part of the check out process as teachers clean and pack. Whether these issues are addressed is another thing..often times they were but sometimes they weren't. So I reported them again. If that didn't work I asked a parent to report them (this is usually more effective). Neither CTA or CUEA "control" the district. There is no evidence of that and no matter how many times you say it it will not be any truer.
Pam Sunderman May 25, 2012 at 08:16 PM
So much misinformation in your post that this is a 2 parter. The board voted to adhere to the constraints set out in the contract signed by your friends the former "reform" board. Only 3 new board members (a minority) were seated after the election. 4 "reformers" are left. The "secret" information was released immediately and this little issue of procedure was corrected. No malfeasance was found...although you looked for it really hard and a law suit was filed and then withdrawn for lack of any proof. The multimillion dollars are reduced revenues...a lot less money will be coming into the district to pay the bills.
Pam Sunderman May 25, 2012 at 08:17 PM
Yep..."blah, blah, blah?"...what does that mean?
randy May 25, 2012 at 08:26 PM
<yawns> teachers don't really need the CTA because they are still working with kids. I have learned something about Scott Walker and current agreement with teachers. Teachers have mixed views of the union representing them in the state. The teachers and admin can solve their problems when many federal/state labor laws are already in place. Kids are probably benefitted the most.
Capo Parent May 25, 2012 at 08:33 PM
Talk and words are cheap Pam aka Jollygirl (can't you stick with 1 moniker, or is your split personality just too hard to control) and actions speaks louder than words. Repeating the company line regarding CTA's mission statement means nothing. Did you really think it was going to post the truth, that its sole concern is its members? You're great at deflecting away from points made. I didn't mention anything about teachers reporting maintenance and other issues. I specifically address the teachers union's refusal to help and assist in getting deplorable conditions at a school corrected when it was asked to do so. The teachers union does control CUSD, and there are numerous examples, starting with the $20 million it got back. Just because you don't believe facts are evidence (funny, in a court of law they are) means nothing. I wouldn't expect a union shrill (with a split personality to boot) like you to acknowledge the facts or reality. There is someone who post on here who apparently is from New Orleans. He or she will appreciate this piece of Southern wisdom. "You can't make chicken salad out of chicken sh*t," yet that's what CUSD and the teachers union are trying to do.
Moving On May 25, 2012 at 08:57 PM
Let me get this straight, the first line of the CTA's Mission Statement states: "exists to protect and promote the well-being of its members; The only mention of kids (nothing about promoting THEIR education): "to ensure that the human dignity and civil rights of all children and youth are protected;" I can see it clearly now. And I asked before to the teachers posting on here a question and it seems that you may have missed it or ignored it because you do not want to look for other viable solutions, start using some of the critical thinking skills that you taught children during your career - I would like to see solutions put on the table: If you could ask your union to make a change - what would it be? What do you think could be done better? How can we provide education that is top notch with the money we have?
Moving On May 25, 2012 at 09:11 PM
@Pam - I certainly hope that as a teacher you were more respectful to parents when they were trying to have a discussion with you. I instill in my children to respect all people, even if they do not agree with them and to listen to what others are saying because you have to have an open mind to succeed in this world - being narrow minded is a weakness. I as a parent of children that went to CUSD - I took them out of CUSD and moved them to another district in another state - would like to see CUSD succeed (I do, I really do) and it is a bummer that the state is in financial crisis, however, the antics of the people running CUSD are deplorable and the children are suffering and there was no reason what so ever for the BoT to give back 20 million dollars - it just was not good common sense and parents/taxpayers are saying enough and finally standing up in which the union does not like us to rise up against this madness, but we are and hopefully some how, some way there will be reform and through it all, I hope the kids do not suffer anymore than they already are suffering.
OC Mom May 25, 2012 at 09:15 PM
So Jolly/Pam, If you receive bad service at a restaurant do you return again? How many chances do you give that restaurant to serve you well and give you a quality meal that is of good value for the price you paid? Why should it be any different with a school? Once we have a choice of schools parents and students don't have to settle for poor service. Is this the reason you are against Charters and school choice? You'd rather have a Government Monopoly on education so that they can continue turning out a mediocre product created by complacent government employees. The fact that the newest teachers are riffed and the longest employed kept, doesn't encourage continuous quality improvement.
Moving On May 25, 2012 at 09:28 PM
What does this mean? No disrespect, but I do not read Spanish. Thanks.
OC Mom May 25, 2012 at 09:53 PM
This is not sustainable. I'm sure this teacher is lovely, but I'm guessing she'll be collecting about the same pension as Jolly based on her wages. Of course this is 2009/2010 database so she may likely be "at" six figures now for 9 months of work. Maybe this is the reason music programs are cut. http://www.ocregister.com/articles/-280839--.html?data=1&appSession=74095100095739&RecordID=6529&PageID=3&PrevPageID=2&cpipage=1&CPIsortType=&CPIorderBy=&cbCurrentRecordPosition=2#article-data
Moving On May 25, 2012 at 10:43 PM
Just for kicks - please read the article on the Worst Union in the Nation - CTA: http://www.city-journal.org/2012/22_2_california-teachers-association.html Very interesting history on the CTA and what they have done to the Education in the state of CA. Folks, I think that more and more parents are starting to wake up and more and more people are standing up - we are not alone. I hope that someday when History is written about what we are facing today, I hope that the children of today understand and know how hard the PARENTS and Tax Payers fought for them!!!
Penny Arévalo (Editor) May 25, 2012 at 11:48 PM
I welcomed him/her to Patch and asked that he/she discuss the issues in the articles, not the personalities of the commentators. :-) Kind of my same ol', same ol' but in Spanish.
Penny Arévalo (Editor) May 25, 2012 at 11:49 PM
Oh, and he/she is claiming you're not a physician. Please take the higher road and don't go there. Thanks.
Capo Parent May 26, 2012 at 12:34 AM
CTA has a long and sordid history of opposing and thwarting school choice for families in CA. It is currently and actively trying to eliminate charter schools in CA by sponsoring and backing AB 1172. CTA arrogantly believes that it and its allies, and they alone, know what's best for public education, parents be dam. CTA has now turned its attention and ire to the "Stop Special Interest Money Now Act" because this proposition seeks to reduce the influence of special interest groups (private and public) in CA, and CTA is the largest special interest group in CA. It would be hard for CTA to control education in CA to the extent it currently does if school choice is allowed to flourish, unions can't spend its members money on political matters without the approval of the members, and unions need their members consent before deducting dues from their paychecks. http://unionwatch.org/cta-encourages-teachers-to-use-classrooms-to-promote-political-agenda/ I guess we will have to see how many teachers put the CTA designated poster against the "Stop Special Interest Money Now Act" in their classroom as urged by CTA. Just what I want, one of my kids becoming a pawn in CTA's political shenanigans.
OC Mom May 26, 2012 at 06:57 AM
Hola Senior Brown, No tiene dinero mas para usted. Mi familia es muy importante. Mis hijos tengo mucho hambre y necessito education para la vida mejor.
Pam Sunderman May 26, 2012 at 07:04 AM
Sorry about the jollygirl posts. I changed computers and it defaulted to that account. There will be no further posts from jollygirl.
OC Mom May 26, 2012 at 06:29 PM
SCN, I think a lot of Private schools are hurting right now because of the economy. They need to get more students to enroll. A lot of families have pulled their kids from private and have them in the regular CUSD schools. This was a real shock to an acquaintaince of mine who went into the experience with high hopes since her other friend is a big fan of CUSD schools. Unfortuately, it hasn't worked out to their liking. I don't know all of the details, I need to ask the next time I see her but I go back to my default position of CUSD schools don't meet the needs of every student. Families who've had their children in Private schools or schools in other districts or states may be very unsatisfied with what they receive in CUSD by comparison. That's not bashing CUSD, but living in reality. I'd love to see the CUSD schools offer everything that my nieces receive in AZ. SCN, I think that any further erosion of quality will only cause a further decline in enrollment which will further decrease school funding. Kind of a viscious circle.
OC Mom May 26, 2012 at 06:54 PM
SCN, I agree about the time kids spend on schoolwork. My friends who homeschool enjoy a lot of extracurricular activities that they would be hard pressed to find the time for in a regular school environment. It's nice to have some time to be a kid rather than school all day and homework all night. Perhaps this will do something to improve the quality of education in our state. http://www.dailynews.com/ci_20631040/8-students-file-suit-against-lausd-governor-alleging?source=most_viewed
Check the Facts! May 27, 2012 at 12:13 AM
I just love the idea of innovation and that OPA has a chef and nutrionist. Bravo! I hear they also have a fashion designer and body builder. Let's ask the chef what he is serving next week. This is just an example of why nothing that is read on this blog can be believed. If I were any of you I would enjoy my weekend and spend time with family rather than read this rag. What a joke! Too bad people lie to try to get an invalid and useless point across. Cyberbullying at it's best. Isn't that what they are teaching the 7th and 8th graders at OPA NOT to do???? Maybe some of you should enroll and learn something! Embarassing for the Patch that they have stooped to this low level of journalism. Not checking facts and printing blogs. Ridiculous!!!! See ya!
JUST THE FACTS! May 27, 2012 at 12:14 AM
I just love the idea of innovation and that OPA has a chef and nutrionist. Bravo! I hear they also have a fashion designer and body builder. Let's ask the chef what he is serving next week. This is just an example of why nothing that is read on this blog can be believed. If I were any of you I would enjoy my weekend and spend time with family rather than read this rag. What a joke! Too bad people lie to try to get an invalid and useless point across. Cyberbullying at it's best. Isn't that what they are teaching the 7th and 8th graders at OPA NOT to do???? Maybe some of you should enroll and learn something! Embarassing for the Patch that they have stooped to this low level of journalism. Not checking facts and printing blogs. Ridiculous!!!! See ya!
Penny Arévalo (Editor) May 27, 2012 at 12:46 AM
You would think someone who chooses the moniker JUST (or CHECK) THE FACTS! (weird that two posters would have the exact same comments) would not appreciate a factual retelling of Wednesday's Board of Trustee meeting and specifically the third interim report. Every fact, figure and quote is accurate and factual. (Feel free to listen to the meeting's audio recording here: http://cusd.capousd.org/cusdweb/bmaudio.htm). Patch welcomes people of all opinions to come and discuss the issues. We work hard to make it a place where all sides can be heard, yes, even those who disagree with you. BTW, this article has nothing to do with OPA, and I'm not sure why some critics went there. For your edification, the Terms of Use are found here: http://sanjuancapistrano.patch.com/terms. The comments after a story are not blogs (which are clearly labeled at the SJC Patch), but merely that, comments. As long as people abide by our terms of use, we do not stifle their right to free speech.
bbq May 27, 2012 at 01:52 AM
Just the Facts, Why are YOU reading this "rag" rather than enjoying your weekend and spending time with family? Who is lying and cyberbullying? What exactly are you referring to? There are people here that have been debating on either side of an issue regarding whether to vote for more taxes. Some people like the idea of vouchers and / or charter and private schools, some just want the status quo with more taxes.
Pam Sunderman May 27, 2012 at 01:58 AM
And some people are simply trying to correct misinformation.
Capo Parent May 28, 2012 at 06:18 PM
You mean like Jollygirl.
Pam Sunderman May 28, 2012 at 11:35 PM
One and the same Capo Parent...you're a little behind the times.
Yeparoo May 29, 2012 at 12:14 AM
Bloomberg: Public Pensions = Madoff The Public Union Chiefs are in denial !!! “The actuary is supposedly going to lower the assumed reinvestment rate from an absolutely hysterical, laughable 8 percent to a totally indefensible 7 or 7.5 percent,” Mr. Bloomberg said during a trip to Albany in late February. “If I can give you one piece of financial advice: If somebody offers you a guaranteed 7 percent on your money for the rest of your life, you take it and just make sure the guy’s name is not Madoff.” ... Worse, many economists say, is that states and cities have special accounting rules that have been criticized for greatly understating pension costs. Governments do not just use their investment assumptions to project future asset growth. They also use them to measure what they will owe retirees in the future in today’s dollars, something companies (AKA - Evil Corporations) have not been permitted to do since 1993. ... Mr. Dunmoyer, who represents the insurance industry on the board, sounded shocked. “To me, as a fiduciary, you want to have more than a 50 percent chance of success.” If Calpers kept setting high targets and missing them, “the impact on the counties won’t be bigger numbers,” he said. “It will be bankruptcy.” http://www.nytimes.com/2012/05/28/nyregion/fragile-calculus-in-plans-to-fix-pension-systems.html?_r=1&ref=marywilliamswalsh
bbq May 29, 2012 at 02:23 AM
Capo Parent, You didn't hear the news? Pam laid Jollygirl to rest a few days ago (God rest JG's soul). Not sure if it was murder or suicide, but apparently JG's gone for good.
Pam Sunderman May 29, 2012 at 02:38 AM
Same person, same passion, same goal.
Jane Lambson May 29, 2012 at 10:23 PM
I think the irony was lost in Capo Parent's reply. To CP, I must say, "Well played."


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