The second interim reflects the latest updates from state and local levels with estimates of the district’s best projections and is one of three annual financial reports.
She outlined details including cuts to ADA revenue, the close out of the district’s tax override fund, increase to state lottery funding, and reduction of special education encroachment on the general fund.
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After first interim, the projected net loss for district was $2.1 million, and now with the updates, the projected net loss for second is just over $1.5 million.
She said the district will be self-certifying itself as “qualified” status since “the district may not be able to meet its financial obligations for the current year or the subsequent two fiscal years.”
“We don’t know the future. We don’t know the status of the state budget. All we can do is base our budget on the best information provided by the state and through our county office and through School Services of California.”
The budget numbers presented Thursday included 86 Calexico Unified positions that have been pink-slipped as well as several retirees.
“The only reason why this budget really works is because of those cuts that are included in the budget,” she said. “We’re qualifying our budget because we’re negative cash and there’s the possibility that without those cuts we will not meet our obligation in the current year or two subsequent fiscal years.”
She said the district will be applying for a short-term loan in the form of a Tax Revenue Anticipation Note since it still is projected to be short on cash by June.
The first interim report was negative, and Randle said being qualified would likely get the district a better interest rate for the loan.
One of several budget issues discussed included the deferral of state revenue, which is about 40.64 percent for the district, Randle said. Calexico Unified receives 92 percent of its revenue from the state so that percentage of deferrals means a big chunk of revenue not received.
The vote was 4-1 with Calexico Unified board member Joong Kim voting “no, as always,” he said. The county has the power to and does make changes to the interim budgets, and Kim wanted to have those changes presented to the board once they were made.
Staff Writer Chelcey Adami can be reached at 760-337-3452 or firstname.lastname@example.org