By Peter Day
Senior Reporter
LUCERNE VALLEY — With an ending balance of $3.6 million, the Lucerne Valley Unified School District, which once was on the verge of collapse, today is in solid shape.
“We are in a great financial posture right now,” said Pearl Lizuka, the district’s interim business services manager.
With the help of a dynamic PowerPoint presentation, during Tuesday night’s special school board meeting, Lizuka walked the board through the bright spots, and future challenges.
While the LVUSD 2015-16 First Interim Financial Report showed a solid ending balance, there is a net deficit of $495,816, Lizuka said. But the district qualifies for a “positive certification” because its finances allow for a sizable ending balance through the next the school years. Lizuka projects an ending balance of $2.2 million for 2017-18.
Lizuka explained that the district is keenly dependent on state funds, namely Local Control Funding Formula and Revenue Limit monies. Next month, Gov. Jerry Brown will announce his annual budget, which could alter future projections for the district.
This year, the district will receive $7 million from the state, $1.1 million in federal funds and $1.2 in local revenue.
The largest expenditure is for district teachers, who will receive a total of $3.2 million of the district's $10.4 million in total expenditures.
Lizuka also talked about tougher times for the district several years ago, when teachers were furloughed to save money.
"Fortunately we're not in that situation now," she said.
Board president Jim Harvey credited the district's reserves as key to its solvency.
The board approved the district's First Interim Financial Report last Tuesday with a vote of 4-0. Trustee Dawn Turnbull was absent.