Superintendent Joseph Farley announced to the Board of Trustees on Wednesday that the finance expert the wished to whisk away from Pasadena Unified has declined CUSD's offer.
The news prompted an audible gasp in the trustees' chambers.
John Pappalardo currently serves as the chief financial officer for Pasadena Unified, and several publications in that area announced earlier this month his decision to leave his post and .
Capo itself issued a press release announcing the hire on March 15.
Farley told trustees salary was the primary concern.
Pappalardo had agreed to the district's initial offer, and even OK'd a requested revision, Farley said.
"But this afternoon, he had second thoughts," Farley said.
The school district is facing a severe financial crisis heading into the 2012-13 school year, .
Capo lost its deputy superintendent of business services when left the district in January to take a similar post with Fullerton Joint Union High School District.
Two employees, Robyn Phillips and Tim Holcomb, are carrying out the duties of the top financial executive on an interim basis while the district searches for a permanent replacement for Lebs.