Based upon letters to the editor concerning Proposition E that I have read, and discussions with friends, I conclude that many are not well informed about financial issues related to funding of Coronado schools. The following is an attempt at providing clarifying information.
Until 2007 – 2008, the Coronado Unified School District (CUSD) operated within the budget funded by the State of California. In 2008. California reduced funding for all schools due to an economic slow down related to the recession. From 2008 to 2013-2014, CUSD maintained high standards by making up budget shortfalls through use of teacher/staff furlough days, application of federal grants received, and by depleting a reserve fund which had been created through judicious control of spending in earlier years. Based upon improving economic indicators, CUSD anticipated that California funding would increase to 2007-2008 levels over several years beginning in 2013-2014. Spending from the reserve fund was controlled accordingly.
In 2013, Governor Brown completely changed the formula for school funding for the first time in 40 years. The Local Control Funding Formula (LCFF) that the Governor initiated provides a new base funding (at less than 2008 levels) for all California school districts with supplementary funding for school districts having a high concentration of specific populations, including English Language Learners and students from low socio-economic communities.
Accordingly, due to Coronado’s low percentage of English Language Learner students, relatively prosperous economic situation, and high overall school performance, Sacramento did not completely restore financial cuts imposed on CUSD in 2008. As a result, CUSD will receive $1200 less per student than the schools of the San Diego Unified School District during 2014 2015. The funding gap as compared to San Diego Unified will increase as LCFF builds to its full funding in 2020 2021.
Money from the Proposition E bond in combination with assigned LCFF funding will allow CUSD to operate at its current excellent level until 2024. At that time, the City of Coronado will have retired its current redevelopment obligations, allowing the School District’s share of the local tax increment to increase, and eventually exceed LCFF funding for CUSD. At that point, CUSD will become a Basic Aid District. Basic Aid is an alternative education funding mechanism that school districts use when the local property tax increment exceeds their State Allotment. The Proposition E bond will essentially serve as a bridge to provide needed funds for CUSD until it can become a Basic Aid District.
The reserve fund that has carried CUSD through the 2008 to 2013-2014 period will be exhausted in the Spring of 2015. In order to maintain our school’s current excellent level of academic standards and performance, Coronado needs a locally generated and controlled revenue stream such as that which Proposition E will provide until CUSD can become a Basic Aid District. Approval of Proposition E is important to fulfill an urgent need our schools have now as well as to protect the long term future of our community.
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