December 16, 2009 2:41 PM

10 O.C. school districts may not meet financial obligations

By SCOTT MARTINDALE
THE ORANGE COUNTY REGISTER

"The superintendents and school board members have taken this proactive stance to address the long-term financial well-being of their districts," county schools Superintendent Bill Habermehl said in a statement. "School district budgets have already been cut to the bone, and districts that have experienced declining enrollment over the past few years, along with the enormous state reductions, have been thoroughly devastated."

Ten of Orange County’s 27 districts filed a "qualified" budget. Typically, only one or two Orange County districts submit "qualified" spending plans at this stage of the planning process, officials say. School districts' next interim budget plan is due to the county in March.

The 10 districts that have filed qualified budget plans this week are Anaheim City elementary, Capistrano Unified, Centralia elementary, Fullerton elementary, Garden Grove Unified, Huntington Beach City elementary, Irvine Unified, La Habra City elementary, Saddleback Valley Unified and Santa Ana Unified.

The total amount of budget cuts in O.C. school districts wasn't immediately known, but 12 of the county's districts alone are planning a combined $179 million in cuts.

(Click here to view our data section summarizing the budget cuts across O.C. school districts.)

State law requires school districts to submit by Dec. 15 of each year budget projections for the current school year, along with the following two years. Districts need to submit balanced budget projections to receive a "positive" certification from the county education office.

If a district submits a budget that doesn't include a clearly laid-out plan to close a projected deficit, the district receives a "qualified" or "negative" certification, meaning the district is unsure if it can meet – or is unable to meet – its financial obligations going forward.

"If we could utilize everything we are allowed to cut – every single program – we can't meet the budget," Capistrano Unified Trustee Larry Christensen said at a school board meeting Tuesday. "We're presented again with the best that staff can put together at this point."

Although Capistrano faces a projected $25.1 million deficit, it has identified just $10.3 million in possible budget cuts – painful cuts that would include wiping out elementary school block music, and slashing funding for sports, extracurricular activities and the college-level International Baccalaureate program at the district's high schools.

Similarly, in the Anaheim City School District, officials have identified just $9.7 million in possible cuts, but face a $19.3 million deficit. Already 136 district jobs have been targeted for elimination.

"We either push people out the door, or people we have will have to get paid less," Trustee Jerry Silverman said at a school board meeting Monday. "That's what our challenges are for the next few months."

Last June, the county's 27 districts cut about $300 million from their 2009-10 budgets. Hundreds of teachers and other staff lost their jobs, while scores of programs were slashed.

The state's independent Legislative Analyst's Office announced last month that California faces an estimated $21 billion deficit through June 2011.

Gov. Arnold Schwarzenegger will unveil in January his preliminary state budget for the 2010-11 fiscal year. Many experts predict the governor will propose significant cuts for all state agencies, including public education.

"Our office recognizes that these are the most severe economic times in the history of California schools," Habermehl said in a statement, "and the economic survival of public education is at stake."

http://www.ocregister.com/news/district ... udget.html