Grim budget spurs schools to seek relief

Officials agreed the decision to pay 3 percent less than the required state budget amount to benefit the classroom was necessary to save the financially-pressed district further financial strife.

District spokesman Jorge Quintana said in an email the decision is part of the district’s financial planning, and officials will seek perspective from teachers, parents and school community members on the matter in coming months.

“The school district will begin its budget planning process this fall. RCSD will engage staff, parents and community members to seek their input and feedback as part of the process,” he said.

The decision marks the third time in as many years district officials have pursued such an exemption. Following the board’s action, the issue will go to the San Mateo County Office of Education for confirmation.

Quintana said representatives from the Redwood City Teachers Association were not consulted before the initiative was proposed. Representatives from the association did not respond to a request for comment on this article.

Board members approved the proposal as officials examine a significant budget shortfall for the current school year and those in the immediate future.

The proposed budget for the 2017-18 school year shows spending outpacing revenue to the tune of $5.6 million, requiring officials to pull from reserves to balance the budget.

By the 2019-20 school year, the budget struggles are expected to become so severe that officials will need to examine nearly $6 million in cuts to staff and programs.

Quintana said the requested exemption is sought by many school districts, due to technicalities surrounding expenditure limitations attached to some money issued by the state. He also indicated the 3 percent gap left by the exemption could be filled through donations from community partners.

The exemption is sought as part of the district’s requirement to have its budget approved by the county Office of Education due to ongoing financial hardship.

In the office’s review of the district’s financial plan, it finds much of the school system’s financial struggles are tied to loss of enrollment generated by students choosing charter options over comprehensive campuses or families leaving the area due to unaffordability.

As a result, the district is receiving $3.7 million less from the state this year than last, as enrollment dipped by nearly 500 students down to 7,455 in the current school year, according to a district report.

The district’s budget was trimmed in accordance with its funding limitations, as fewer teachers are needed to educate a dwindling amount of students.

“This is primarily due to the reduction in classroom teachers and other support staff positions consequent to the anticipated decline in student enrollment,” according to the county assessment of the district’s finances.

Though charter schools have traditionally been blamed for a portion of the district’s budget struggles, the county report suggests the alternative schools may be facing financial issues as well.

The Rocketship charter elementary school is suffering a nearly $300,000 deficit, according to the county report, generating fears about the school’s economic viability.

“The County Office is concerned about the financial status of Rocketship,” according to the county’s letter, encouraging district officials to assure the charter school does not end up insolvent. If the charter’s financial struggles begin to affect the district, the officials are encouraged in the letter to seek intervention from the county office.

Looking ahead, the county called for Redwood City officials to do as much as possible to right the district from following into deeper economic difficulties.

“The district is strongly encouraged to take immediate action to resolve the structural deficit to avoid the risk of insolvency,” according to the report.

austin@smdailyjournal.com

(650) 344-5200 ext. 105