San Ysidro schools face budget cuts up to $2M

SOUTH COUNTY

SAN YSIDRO

The San Ysidro School District may need to cut between $1.5 million and $2 million from next year’s budget to address deficit spending.

According to recent budget projections, deficit spending in the current school year will result in an ending balance of $1.7 million. The anticipated balance is less than the amount the district is required to set aside for economic uncertainties: $1.8 million, or 3 percent of its $60 million budget.

The district, which serves about 4,200 students, plans to report a “qualified certification” to the County Office of Education by the March deadline. A “qualified” status indicates that the district may not meet its fiscal obligations for the current or subsequent two years.

However, the district will plan for budget cuts and likely approve a balanced 2020-21 budget in June, chief business official Marilyn Adrianzen said.

The budget projections, discussed during a Dec. 19 school board meeting, show that deficit spending in the next two years, without cuts, will lead to a balance of $239,000 at the end of 2021-22. The calculations signal that in the coming years the district will not meet the minimum-reserve requirement and will need to continue to cut from its budgets.

Before the current school year, the district cut roughly $5 million from its budget to shrink deficit spending. The school board laid off more than a dozen employees and approved an early-retirement plan for two dozen employees.

Like other school districts, San Ysidro’s budget is greatly impacted by declining enrollment and increasing special education and pension costs. San Ysidro also faces debt from school renovations and an obligation to repay $3.9 million in state funds for overstating student attendance in 2015-16 and 2016-17.

Most of its expenses — about 80 percent — are tied to employee salary and benefits.

The district plans to put on a budget forum for the community in January and February before drafting a plan to reduce spending for 2020-21. The school board may consider layoffs in February, March and April before adopting a 2020-21 budget in June.

david.hernandez@sduniontribune.com