Experts to check budget
Accountants tapped to make sure finances are on the mend
By Will Oremus / Daily News
A team of outside experts will scan the books of the San Mateo Union High School District to make sure it's on track to recover from its recent money crisis.
District Superintendent Sam Johnson and San Mateo County Superintendent of Schools Jean Holbrook announced Thursday they are inviting the state Fiscal Crisis and Management Team, known as FCMAT, to analyze the district's finances.
The agency was created by the state Legislature in 1991 to provide expert advice to school districts on finance and management structure. It doesn't tell districts what programs to prioritize or advise specific cuts, said its management analyst, Roberta Mayor.
Johnson described the request for outside evaluation as a "very positive step" on the road to solvency. "It's natural now that we have made some positive strides to have an outside entity come in and give some validation and hopefully confidence to the staff and to the public."
The district's money problems have been quietly piling up for years as it spent money it turned out not to have, but the magnitude of the problem has come to light only in the past six months.
The latest revelation came this month when the district learned that it may have to dip into its general fund for years to come to pay off construction debt.
Meanwhile, the district is deadlocked in negotiations with its teachers union and classified staff union.
The positive strides Johnson referred to include $3.5 million in budget cuts that the district made last fall and a recent decision to consolidate the construction debt, a move that is expected to save millions. The cuts came in large part from layoffs, putting the district on more solid long-term financial footing but the reductions are angering the unions and some students and parents.
Holbrook, who has worked closely with the district since learning of its budget shortfall last summer, said the request for the state's services doesn't indicate any lack of confidence in the district's administration. She described the district's money problems as the result of a "perfect storm" of circumstances that included unexpected property tax losses stemming from county lawsuits. The district and the county Office of Education have scheduled an interview with the state's fiscal management team for Feb. 27 to determine the scope of the team's analysis. The analysis is expected to take between four and six weeks.
Holbrook said a number of districts in the county have used the agency's services in recent years. Last year, Jefferson Elementary School District asked it to examine that district's special education expenditures.
Johnson said this is the first time in a decade that the San Mateo Union High School District has sought the state's help. The district has historically been wealthier than many of its neighbors.
Accountants tapped to make sure finances are on the mend
By Will Oremus / Daily News
A team of outside experts will scan the books of the San Mateo Union High School District to make sure it's on track to recover from its recent money crisis.
District Superintendent Sam Johnson and San Mateo County Superintendent of Schools Jean Holbrook announced Thursday they are inviting the state Fiscal Crisis and Management Team, known as FCMAT, to analyze the district's finances.
The agency was created by the state Legislature in 1991 to provide expert advice to school districts on finance and management structure. It doesn't tell districts what programs to prioritize or advise specific cuts, said its management analyst, Roberta Mayor.
Johnson described the request for outside evaluation as a "very positive step" on the road to solvency. "It's natural now that we have made some positive strides to have an outside entity come in and give some validation and hopefully confidence to the staff and to the public."
The district's money problems have been quietly piling up for years as it spent money it turned out not to have, but the magnitude of the problem has come to light only in the past six months.
The latest revelation came this month when the district learned that it may have to dip into its general fund for years to come to pay off construction debt.
Meanwhile, the district is deadlocked in negotiations with its teachers union and classified staff union.
The positive strides Johnson referred to include $3.5 million in budget cuts that the district made last fall and a recent decision to consolidate the construction debt, a move that is expected to save millions. The cuts came in large part from layoffs, putting the district on more solid long-term financial footing but the reductions are angering the unions and some students and parents.
Holbrook, who has worked closely with the district since learning of its budget shortfall last summer, said the request for the state's services doesn't indicate any lack of confidence in the district's administration. She described the district's money problems as the result of a "perfect storm" of circumstances that included unexpected property tax losses stemming from county lawsuits. The district and the county Office of Education have scheduled an interview with the state's fiscal management team for Feb. 27 to determine the scope of the team's analysis. The analysis is expected to take between four and six weeks.
Holbrook said a number of districts in the county have used the agency's services in recent years. Last year, Jefferson Elementary School District asked it to examine that district's special education expenditures.
Johnson said this is the first time in a decade that the San Mateo Union High School District has sought the state's help. The district has historically been wealthier than many of its neighbors.
- Written by JC
It's about time......
Posted by: | February 16, 2007 at 07:42 PM