Wednesday, November 19, 2014

Capistrano Unified School District Welcomes 200 "Newcomers" - District LCAP Amended to Accommodate English Language Learners



California Ranks 50th in the Nation in Per Pupil Funding. 


When there is not enough money... should state and local policymakers put the interests of illegal residents ahead of legal residents?





At the October 22, 2014 Capistrano Unified School District Board Meeting, District Staff informed Trustees that CUSD had received 200 "Newcomers" aka "unaccompanied minors".  Children from many different countries that speak little or no English with many that were not fluent or literate in their own native language. Staff presented the Board with an up-dated Local Control Accountability Plan that made increasing the number of English learners who achieve English fluency and decreasing the number of long-term English learners a top priority.

Source: Board Audio: http://cusd.capousd.org/cusdweb/boardaudio/10-22-14/10-22-14RegularBdMtg.mp3 at 1 hour 5 minutes. Of note: 1 hour 7 minutes and Newcomer Discussion at 1 hour 13 minutes 20 seconds. My comments to the Board can be heard at 1 hour 24 minutes.

The change to the District's LCAP was made at the recommendation of the Orange County Department of Education without any in-put from parents or the public,  as required by California's New Local Control Funding Formula law.

Capistrano Unified is already one of the lowest funded Districts in the California (and therefore the United States) at $7,002 per student. The added financial burden that these students will place on the District's already insufficient funding is substantial, and will result in less services for current students.

When there is not enough money... should state and local policymakers put the interests of illegal residents ahead of legal residents?

For a Parents Perspective on California's new Local Control Funding Formula and CUSD funding see: http://disclosurecusd.blogspot.com/2014/11/re-research-brief-toward-grand-vision.html


Amended LCAP Plan presentation October 22, 2014 Board Meeting at page 5 http://capousd.ca.schoolloop.com/file/1229223560406/1218998864154/7348616572970870860.pdf

The Fiscal Burden of Illegal Immigration on California Taxpayers

Source: http://www.fairus.org/DocServer/research-pub/CaliforniaCostStudy_2014-v2.pdf

"Californians bear an enormous fiscal burden as a result of an illegal alien population estimated at almost 3 million residents. The annual expenditure of state and local tax dollars on services for that population is $25.3 billion. That total amounts to a yearly burden of about $2,370 for a household headed by a U.S. citizen. 
Nearly half of those expenditures ($12.3 billion) result from the costs of K-12 education for the children of illegal aliens — both those illegally in the country and those born in the United States. Another major outlay ($2.1 billion) results from the need to provide supplemental English language instruction to Limited English Proficient students, many of whom are children of illegal aliens. Together, these educational costs are 57.1 percent of total expenditures." 
Supplemental English Instruction 
The cost to California taxpayers for the K-12 education of the children of illegal aliens does not end with the regular operating expenses. Because most of those children are raised speaking a language other than English at home, they have difficulty learning in English in school. They are, therefore, put into supplemental English classes for Limited English Proficient students. Those classes are sometimes identified as English Language Learner classes or English as a Second Language classes. 
Under the state’s current public school funding formula, the state provides “…a supplemental grant equal to 20 percent of the adjusted [local] base grant for targeted disadvantaged students. Targeted students are those classified as English learners…[among others].” The base grant is $7,643 per pupil. The supplement, therefore, amounts to $1,529 per pupil. Additional funding comes from local sources. On average, the local funding of public school expenditures accounts for about one third of the state funding. Applying the same share to ELL program funding adds an additional $494, for a total of $2,023 per pupil. 
We include in the estimate, a declining enrollment in ELL instruction as the students have additional years of supplemental English instruction. We also provide for the fact that some students in ELL instruction will not be children of illegal aliens.  
According to a 2009 news account, “Nearly 70% of all students ever placed in the English language learning program were born in the United States. And, “Almost 30% of those placed early on in such programs in L.A. Unified were still in them when they started high school….” 
Supplemental public school expenditures on ELL instruction for the children of illegal aliens amounts to more than $2 billion per year. 

Despite Being Placed with Sponsors, "Newcomers" are being classified as "Homeless" to avoid School Enrollment Documentation which will also allow them to receive benefits under the McKinney-Vento Act


Source: http://www2.ed.gov/policy/rights/guid/unaccompanied-children.pdf

Theses children are not "homeless". They have been placed with a legal guardian or have a legal sponsor.  Allowing children who haven’t had required health screenings or immunizations to be enrolled in our public schools puts everyone at risk. Couple that fact with the high percentage of South Orange County parents that refuse to vaccinate their children create a potential health risk to our entire community

To meet the educational needs of the 200 Newcomers CUSD has entered into hundreds of contracts for private tutoring services from all over the United States.

See the November 12, 2014 Board Meeting Agenda Starting at Page 209


States across the nation are beginning to express concern about the “unfunded federal mandate” resulting from the resettled children, and are looking to the federal government to foot the bill for any resulting, local-tax-funded costs within the public school system or other public services. Capistrano Unified should seek financial relief as well.

See: http://www.washingtonpost.com/local/loudoun-will-seek-federal-reimbursement-for-cost-of-undocumented-children/2014/10/16/67e467f4-5558-11e4-892e-602188e70e9c_story.html

Monday, November 10, 2014

California's Local Control Funding Formula - A Parents Perspective

Re:      Research Brief
            Toward a Grand Vision:
            Early Implementation of California’s Local Control Funding Formula

A Parents Perspective
Capistrano Unified School District – Orange County California

I am the parent of a 7th grade student in the Capistrano Unified School District in Orange County California. Having been a long time advocate for students in the District, I would like to share my view of how California’s new education funding law has affected the 52,985 students in our District.

The State of California has a constitutional obligation to provide EVERY student in California with an “adequate” education.

“Adequacy” is defined as an educational system that provides all students with access to instructional programs and services consistent with the California content standards in all subject areas, including core subjects, visual and performance arts, and physical education.


California’s Local Control Funding Formula fails to meet that obligation

As part of the 2013-14 Budget, the State of California enacted a new system for funding education called the “Local Control Funding Formula”. The formula replaces revenue limits and most categorical programs with a universal “Base Grant”, and then provides significantly more funding for English learners and low-income students.

LCFF Base Grant Amount:
 2013-14:      $6,500 per student
 2014-15:      $7,643 per student
 2021:            $8,500 Projected by 2021

While the stated funding formula sounds like an improvement over California’s old system of education funding; it cannot meet its constitutional obligation to provide a basic education for EVERY student if the Base Funding Grant is set so low that it fails to cover the cost of an adequate education for EVERY student, irrespective of an individual students wealth, race or ethnicity.

California has done extensive studies to find what it actually costs to provide an “adequate” education for students.

Calculated Per Pupil Costs, including Base Costs with Special Needs Weightings are as follows:

Average:       $11,094 - $12,365
Urban:           $11,508 - $12,718 *CUSD
Suburban:     $10,726 - $12,077
Towns:           $  8,932 - $  9,896
Rural:             $10,615 - $11,881


To use Capistrano Unified School District as an example:

CUSD Funding Under the LCFF 2012-13

Base Grant: $ 6,500 per student (equal for every student in the State).

Supplemental Grant: $273.00

Additional funding that is based on the percentage of students in the District that are English Language Learners, Receiving Free and Reduced Lunch, or are in Foster Care.

English Language Learners in CUSD

10% of all Students in CUSD are English Language Learners. 81.7% of English Language Learners are socioeconomically disadvantaged:

Asian: 279 or 5.3%
Black or African American: 15 or .37%
Hispanic: 4,466 or 85%
White not Hispanic: 150 or 2.9%
Special Education: 15.6% or 816
Socioeconomically Disadvantaged: 4,265 or 81.7%

Socioeconomically Disadvantaged Students

24.1% (12,793 students) are Socioeconomically Disadvantaged Students


Concentration Grant: -0-

The Concentration Grant provides additional money for Districts that have “targeted” students that exceed 55% of a Districts student population. Targeted students are: English Language Learners, receiving Free and Reduced Lunch, or are in Foster Care.

CUSD % English Language Learners 10%
CUSD % Socioeconomically Disadvantaged: 24.1% < than 55% so CUSD does not qualify for any Concentration Grant funds.

Districts with low percentages of English Language Learners and poor are being funding by the Base Grant, therefore the Base Grant has to be increased to a level that is sufficient to provide an adequate education for all students. The law cannot discriminate against students simply because they happen to live in a wealthy suburban school district.

Under the Local Control Funding Formula, total Per Pupil Funding in the Capistrano Unified School District was $6,773 in 2012-13 and is currently  $7,002 per student with the expectation that funding will grow to $8,500 by 2021.

To put that number into perspective CUSD is receiving $2,499 per student less then California’s current average per pupil spending of $9,501 and $4,224 per student less than the current national average of $11,226.

CUSD has a student population of 52,985 students.

If CUSD were to be funded at the California State Average, CUSD would receive an additional $132 million dollars per year in revenue.

If CUSD were funded at the National average, CUSD would receive an additional $224 million dollars per year in revenue.

Sources:
http://www.cde.ca.gov/ds/fd/ec/currentexpense.asp Per Pupil Spending by District California as of Feb 18, 2014 http://capousd.ca.schoolloop.com/file/1229223560406/1218998864154/1331468026996732138.pdf Capistrano Unified School District Financial Report- Governor’s 2014-15 Proposed Budget and May Revise Update

By any measure- ALL students in the Capistrano Unified School District (irrespective of their individual wealth, race or ethnicity) are being deprived of the funding they need to have the education that is guaranteed to them under Article IX of the California constitution.  Further- a law that discriminates based on wealth, race and ethnicity is a violation of the Equal Protection clause of the 14th Amendment to the United States Constitution and will not withstand strict judicial scrutiny.

The Continued Lack of Adequate Funding Has Resulted in a Notable Decline in Student Performance Across all Demographics.

API

Capistrano Unified Promotes itself as the Highest Performing Large School District in the State. CUSD has dropped to #4 this year- API is down 9 points from last year.


Largest Class sizes in California- Largest in the Nation

Current “AVERAGE” Class sizes:
Kindergarten: 30.5 students to 1 teacher
Grades 1-5: 31.5 students to 1 teacher
Grades 6-8: 32.5 students to 1 teacher
Grades 9-12: 34.5 students to 1 teacher

Even with the passage of Prop 30 and new LCFF money, CUSD was forced to, once again, seek a waiver from the State for Class Size Reduction for 2014- 15. Approval of the 2014- 2015 waivers would eliminate financial penalties for increasing class sizes in:

Kindergarten: Average 33 students to 1 teacher with a maximum of 35 students to 1 teacher in an individual classroom
Grades 1- 3: Average 34 students to 1 teacher with a maximum of 35 students to 1 teacher in an individual classroom
 Grades 4-8: Averages above 29.9 – no maximum set for individual classrooms

Source: February 12, 2014 Board Meeting Agenda Item #1 and 2http://capousd.ca.schoolloop.com/file/1229223560406/1218998864154/7569031574149012313.pdf

LCAP DATA


  • 39% of the Students graduating from CUSD are ready for College level courses in English Language Arts. 99% of English Language Learners are unprepared for college level course-work in English Language Arts.
  • 23% of the Students graduating from CUSD are ready for College level courses in Mathematics. 22% of English Language Learners are prepared for college level course-work in Mathematics.
  • 54% of Students Complete A-G Requirements by Graduation
  • By Senior Year only 59% of Students are on Track to Graduate
  • CUSD has 4,035 High School Freshman - 81.5% are on track to graduate with that number dropping to 59% by 11th Grade
  • 50.2% of CUSD Graduates attend Community College. Only 39% of CUSD graduates enter a 4-year college or university. Of the 39% less than 10% are attending a selective 4- year private university or college.
  • Of those students who do attend College 61% need remedial coursework in English Language Arts before they can begin college level coursework. Only 1% of CUSD English Language Learners demonstrate a readiness for college-level course-work in English Language Arts.
  • Of those students who are attending college 77% need remedial coursework in Math before they can begin college level coursework.

Source: March 26, 2014 Board Meeting Agenda Item #4 “Data for the Local Control Accountability Plan” http://capousd.ca.schoolloop.com/file/1229223560406/1218998864154/1463621950735616281.pdf Agenda Item #4 - Exhibit 4

California is now ranked 50th in the Nation in Per Pupil Spending

The California Governor and the State’s Legislature, continue to use the needs of California students to increase State tax revenues, promising taxpayers that new revenues will make it to the classroom. However, once the State receives the additional revenue, the Governor and State Legislature choose to spend revenue mandated for education of students on other things such as High Speed Rail, Driver Licenses for illegal Immigrants, a 14th year of public education and most egregiously to appeal Vegara vs California (the Teacher Tenure Case).

PROP 30 




Taxpayers were promised that if they voted to pass Prop 30, the revenue would go to students! It is now settled that 80% of Prop 30 money is going to Public Employee salaries and benefits, not to students as promised.


Although the State has record high revenues, many school districts remain severely underfunded and continue to face deficits and budget cuts. The Capistrano Unified School District continues to use furlough days and class size increases to balance its budget and our District is currently operating without a Teachers contract for the current year.

Insufficient Funding Is Only Part Of The Problem

CUSD has cut $152 million from the District’s budget since 2008 – Restoring Budgets to 2008 levels will not begin to provide adequate funding for students now and certainly not in the year 2021

CUTS TO STAFF AND PROGRAMS SINCE 2006
2006-2007 & 2007-2008 - $10.5 million
·       Classified Support Reductions (CSEA) (Eliminated 94 positions)
·       Classified Support Reductions (Teamsters) (Eliminated 52 positions)
·       Program and Service Reductions
·       Reduced home-to-school transportation from 47 to 18 routes operated under a “parent pay” program
2008-2009 - $20.5 million
·       Management Reductions (Eliminated 26 District-level management and confidential positions and 5 site-level positions)
·       Classified Support Reductions (CSEA) (Eliminated 42 positions)
·       Classified Support Reductions (Teamsters) (Eliminated 2 positions)
2009-2010 (April 2009) - $25.6 million  

2009-2010 (September 2009) - $7.8 million

2009-2010 Reductions $33.4 million ($25.6 + $7.8)
·       Management Reductions: (Eliminated 21 management / confidential positions at the District level and 11 elementary assistant principals)
·       Classified Support Reductions (CSEA) (Eliminated 55 positions)
·       Increased Class Sizes: (Increased class sizes in 2nd and 3rd grade from 20 to 31.5 students)
·       Reduced Instructional support services: (Reduced Counselors, elementary music teachers, psychologists, and resource teachers on special assignment)
·       Program and Service Reductions: Eliminated or reduced many programs to utilize categorical flexibility including:
Adult Education·   
Summer School·  
PE Grants·  
Deferred maintenance·  
Cal-SAFE·   
Art & Music Block Grant·         
CAHSEE Instruction·   
PAR·               
Instructional Materials·   
Professional Development and School and library Block Grants
·       · Furlough Days
CUEA: 3 non-instructional days +1 instructional day
Management: 11 – 12 days

2010-2011 - $34.9 million
·       Salary Restorations                  $8.2 million
·       2010-2011 Reductions $26,709,000 ($34.9 - $8.2)
·       Program Reductions (5-11-10) $ 5,500,000
·       Eliminated Positions (6-29-10) $ 2,465,000
·       Management Reductions (2011-2012 Eliminated 2 middle school assistant principals)
·       Classified Support Reductions (CSEA) (Eliminated 28 positions and reduced calendar days and hours for 9.5 month employees)
·       Increased Class Sizes: (Increased class sizes in 1st grade from 20 to 31.5 students)
·       Furlough Days
CSEA: Up to 4.5 days 2010 - 2011
CUEA: 1.5 – 3 days
Teamster: 4 days since
Management: 6 days
·       Salary Consessions:
CUEA 1.2% = $ 19,700,000
Teamsters 1% =  $ 490,000
CSEA .7% = $ 5,334,000
CUMA 5.25% = $ 1,470,000
·       Salary Restorations - All Groups $ (8,250,000) (Students Still Had Furlough days - large class sizes - deferred maintenance - cuts to programs)
·       Total Reductions after $8,250 in restorations: $ 26,709,000

2011-2012 - $ 9.6 million
·       Classified Support Reductions (CSEA) (Reduced Calendar for 10 month employees)
·       Salary Rollback: (Management 3.7%)
·       Medical/Dental Benefits – (Effective January 2011, all employees pay a larger share of the monthly premium cost % not specified)

2012-2013 - $30 million
Even with the Passage of Prop 30, CUSD was forced to cut $30 million from its 2012- 2013 Budget
*Note- The District uses a "MULTI-PRONGED APPROACH" to Budget Cuts. Proposed Budget Cuts were based on the passage or failure of Prop 30. If Prop 30 passed CUSD would need to cut $30 million - if Prop 30 failed CUSD would need to cut $51 million. This approach assumes that cuts start with unilateral cuts to non-negotiated items and then only looks to negotiated cuts from employee groups if needed. This is a fundamentally flawed approach to addressing CUSD's budget shortfalls. Everything, ("unilateral reductions" and "negotiated concessions") should be on the table together. To force unilateral cuts first then back into negotiated cuts as a last resort, has resulted in a disproportionate amount of cuts to core education programs while shielding the 90+% of the budget that goes to employee compensation from the bulk of cuts CUSD has faced the past five years.
This can be illustrated by looking at the 2012- 2013 Collective Bargaining Agreements and the corresponding 2012-2013 Budget that was adopted June 27, 2013.
Source: The Community Budget Forum June 7, 2013 laid out the tools CUSD had to make $30 - $50 million in cuts (Depending on the passage or failure of Prop 30). See also CUSD 2013- 2014 Fiscal Year Budget Up-date June 12, 2013: http://capousd.ca.schoolloop.com/file/1229223560406/1218998864154/8712875548042173714.pdf

Unilateral- Non-Negotiated Reductions = $11 million
·       Management (CUMA):  $1.5 million
·       Classified (CSEA):  $3.5 million
·       Certificated (CUEA): $3.5 million
·       Redirect Categorical Funding: $1.1 million
·       Other area of savings: $1.4 million
Negotiated Employee Concessions: $39.7 million in identified cuts
Savings from Class Size increase: = $8.2 million
·       Increase Class Size by 1 all grades saves  $4.2 million
·       Increase Class Size by 1.5 all grades  $6.4 million
·       Increase Class Size by 2 all grades saves  $8.2 million
Savings from Freezing Salary Schedule: = $2.7 million
·       Management (CUMA)    $162,796 mid-year Jan 2013
·       Classified (CSEA)        $932,554 full-year
·       Certificated (CUEA)      $1,432,144 mid-year Jan 2013
·       Teamsters                $207,044 full-year
Savings from 8 Furlough Days all employees = $9 million
·       Management (CUMA):  $100,059 per day
·       Classified (CSEA):  $338,361 per day
·       Certificated (CUEA):   $1,191,788 per day
·       Teamsters:   $43,415 X 8 per day
Furlough Days from 2011-2012 contract + 2012-2013 contract
·       Management (CUMA)   6 current + 2 = Total 8 Furlough Days
·       Classified (CSEA)         0 current + 8 = Total 8 Furlough Days
·       Certificated (CUEA)     3 current + 5 = Total 8 Furlough Days
·       Teamsters                    4 current + 4 = Total 8 Furlough Days
Savings from each 1% Salary Rollback =  $19.8 million
·       Management (CUMA)   Each 1% = $194,030
·       Classified (CSEA)         Each 1% = $589,227
·       Certificated (CUEA)     Each 1% = $2,031,912
·       Teamsters                    Each 1% = $68,832

Total Identified Cuts $51 million
* When Prop 30 passed CUSD only needed to implement $30 million of the $51 million in identified cuts. CUSD chose not to implement the $19.8 million in identified Salary Rollbacks- preserving employee salaries.

2013-2014 Reductions $14 million

With the Passage of the States New LCFF the District received $8.42 million in new funding. However, because there was no LCAP in place to ensure accountability; CUSD passed a 2013- 2014 budget without having any employment contracts in place (over 92% of the budget). Execution of 2013- 2014 employment contracts were intentionally delayed so that new LCFF money could be added to revenues. WHY? So that the COLA + "New" LCFF moneys could be combined to trigger $5.622 million in salary restorations from the 2010 teachers strike.

By delaying contract negotiations CUSD paid employees $5.622 million in salary restorations then started the process of identifying $13,381 in budget cuts for 2013-2014- our current school year.

The result:
Protected Salaries- Pensions- Benefits- for employees
Cuts to student services- Increased class sizes- cuts to programs- deferred maintenance- 3 instructional furlough days

Students In CUSD Will Continue To See Cuts To Student Services For Years To Come Under California’s New LCFF

CUSD students are attending school in overcrowded classrooms, in facilities that are no longer safe, with staff to student ratios that are not safe.

Looming increased expenditures, and further decreases in Local Revenue will require drastic cuts to employee compensation and/or student services in order for the District to Balance it’s future budgets.

Under the new LCFF, CUSD received $7,002 per student this year. Per pupil spending is projected to increase to a paltry $8,500 by 2021. Looming Expenses will by far exceed the additional revenue projected under the new LCFF. If $7,002 in per pupil spending is insufficient now… $8,500 by 2021 will be devastating.

Deferred Maintenance

During the economic downturn, the State allowed Districts to use Deferred Maintenance Funds for General Fund purposes. According to the District’s Facilities Master Plan developed in 2009 and updated in 2013, CUSD facilities need $822 million in repairs and maintenance. CUSD currently has $44.9 million for facilities.

Source: Capistrano Unified Board Presentation "Facilities Funding Report" dated Nov 6th, 2013 at page 11

New Construction

CUSD will need to build a new K- 8 School for Rancho Mission Viejo development that is slated to be open in 2016 and have the capacity to serve between 1,200 and 1,600 students.

Where will that money come from?
The State is no longer matching funds for new construction.
The estimated cost of this new school is $30 million.

Unfunded Pension Liabilities

Capistrano Unified has $50 million in Unfunded Pension Liabilities

Source: 2013-2014 Second Interim Report at page 135 of 143 http://capousd.ca.schoolloop.com/file/1229223560406/1218998864154/8880828758283900707.pdf

Future Pension Contributions

Pension contributions are projected to climb to over 10% of the Districts budget by 2021

Governor Brown is forcing Districts to contribute substantially more money to CalSTRS and CalPERS in order to shore up the underfunded pension plans. CUSD pension contribution will increase from its current:

CalPERS:  11.442% to 20.4% by 2021
CalSTRS:   9.50% to 19.1% by 2021

Which will represent 9.6% of CUSD’s total unrestricted budget.

Source: Financial Report- Governor’s 2014-15 Proposed Budget and May Revise Up-date at Page 12 2j

Employee compensation is currently 92.7% of the Districts budget. That means that employee costs will exceed 100% of the District’s budget. CUSD will need to borrow money to offer any student services.


And listen to the Board Audio at: 29:20:


Increased Health Insurance Expenses

The Affordable Health Care Act will impact the District’s health insurance costs in an amount that is yet unknown.

Source: http://capousd.ca.schoolloop.com/file/1229223560406/1218998864154/3610802337093251551.pdf Slide 9

Increased Cost to Implement the New Common Core Standards

Full Implementation of CCSS will be in 2014- 2015 (next year).

The State provided CUSD with $10,148,614 in funding for the implementation of the new standards.

2012-2013    $  8,118,891
2013-2014    $  2,029,723
Total              $10,148,614

Source: California Department of Education Common Core State Standards Implementation Funds – see Schedule of 2013- 2014 Final Entitlements
 http://www.cde.ca.gov/fg/fo/r14/commoncore13result.asp

How was the money spent?

Professional Development: $5 million (3 days of Common Core Standards Training)
Instructional Materials: $500,000 (Bridge Materials Only)
Technology - $4 million

Source: Common Core Expenditure Plan for One-Time Funds
http://capousd.ca.schoolloop.com/file/1229223560406/1218998864154/8017553184990856676.pdf

CUSD is going to need to purchase new assessments, instructional materials and computers. Recommendations are 1 computer minimum for every 4 students or 13,250 computers. Spending $300 per Chrome book that is $4 million just for computers.

The District will also need more money for professional development, and technology support.

Where is CUSD going to get the funding to adequately implement the CCSS in the next six months?

Source: Pioneer Institute Estimates Cost of Transition to National Education Standards at $16 Billion. http://pioneerinstitute.org/education/study-estimates-cost-of-transition-to-national-education-standards-at-16-billion/

New Comers!

The District has received 200 new students who speak little or no English and are from many different Countries. Orange County Department of Education has directed CUSD to put resources towards assimilating these “New Comers”. CUSD gets about $273 per student in extra money for ELL and the poor. Assimilating these students will be a drain on resources and will have a negative effect on every student in the District.

The District is Deficit Spending

2013 – 14      1.3%
2014 – 15      1.9%
2015 – 16      2.6%

Source: 2013-2014 Second Interim Report http://capousd.ca.schoolloop.com/file/1229223560406/1218998864154/8880828758283900707.pdf at page 126 of 143

Employee Compensation

Every year employee compensation increases:

Automatic Step & Column Salary increases
COLA increases
Health and Welfare benefit increases.
Employment contracts for 2013- 2014 increased employee compensation by:
CSEA $10,883,750
Teamsters $1,251.373
CUEA $26,886,519
CUMA (not disclosed)

The Average compensation for a Teacher is now (2013-14), $105,000 per year (Salaries, Pensions and Benefits)



COSTLY EARLY RETIREMENT PLAN

In 2012-2013 the District budget projected the Ratio of Employee Compensation to General Fund Expenses to be 101% of the Districts Budget climbing to 114% of the General Fund Budget for the subsequent two years.

To bring the ratio down to the current 92.7%, the District implemented an early retirement plan. The cost of the plan was an additional expense of $2.44 million per year for 5 years. The first year was paid for with a class size increase of 1.5 students across all grades. The District did not identify how it would pay for the remaining four years?

* Note: It should be noted that in 2013- 2014 the average compensation (Salaries-Pensions-Benefits) for Certificated Employees increased by $10,000 on average per person.

2012-13 Average Teacher Compensation: $  95,673
2013-14 Average Teacher Compensation: $105,340

* A $10,000 average increase in Teacher compensation is outrageous given the fact that CUSD had to increase class sizes by 1.5 students in all grades, and had to use 3 instructional furlough days to balance its budget. Where is the accountability under the State’s new LCFF Law?

Source: June 27, 2012 Public Disclosure of Collective Bargaining Agreement 2012- 2013

Source: July 24, 2013 Public Disclosure of Collective Bargaining Agreement presented in a Memo from Clark Hampton, Deputy Superintendent, Business and Support Services to Trustees re: USE OF ADDITIONAL FUNDING FROM 2012-2013 TO 2013-2014 AND PUBLIC DISCLOSURE OF COLLECTIVE BARGAINING AGREEMENT 2013- 2014 http://capousd.ca.schoolloop.com/file/1343191429797/5667737573387975994.pdf at page 3

The Cost of Superintendent Contracts Continue to Increase

The District had to offer its latest Superintendent a $305,000 contract to come to CUSD- another increased expense to the District – about $30,000 more per year than the previous Superintendent made.

CUSD has had a revolving door of Superintendents. Each new superintendent comes at a higher cost to the District.


The Continued lack of funding has resulted in a great deal of illegal fundraising and questionable revenue sourcing.

FUNDRAISING

Parents in the District are now fundraising to pay for Teachers Salaries, Class Size Reductions, Programs like Art and Music. PTA and Booster Clubs are paying for Science and Math curriculum. Fundraising now pays for librarians, nurses and instructional aids and release time for teachers.

A school district cannot function long term hoping that sufficient funds will be raised through donations to pay for basic student services. While wealthy schools have the ability to fundraise for student services, poor schools in the District do not. The result has been a great inequity in the quality of education that poor students and English Language Learners receive within the District itself.

DONATIONS

The following is just a sample of donations- full list can be found at the links provided- donations for instructional materials are to numerous to list. CUSD is relying on fundraising to pay for basic student services for which the State of California is constitutionally obligated to pay- this is illegal under California Law AB 1575


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Bathgate Elementary Foundation donated $21,000 for Music Teachers Salaries for Bathgate Elementary School.

Moulton Elementary School PTA donated $16,290 for a Reading Intervention Teachers salary for Moulton Elementary School

Page 106

Education for Children donated $10,109.26 for Instructional Materials and Supplies to Las Flores Elementary School

Education for Children donated $11,560.52 for Instructional Materials and Supplies to Las Flores Middle School

Education for Children donated $19,732.37 for Instructional Materials and Supplies to Tesoro High School

Moulton Elementary School PTA donated $12,483 for a Classified Instructional Aid’s salary for Moulton Elementary School

San Juan Elementary School PTA donated $8,200 for a Classified Instructional Aid’s salary for San Juan Elementary School

Page 107

Forester Ranch Education Foundation donated $42,410.00 for *Pali Institute Camp to Truman Benedict Elementary School.
* The Pali Institute is a camp run by a for- profit company engaged in the Entertainment business. The Pali Institute is part of a family of companies under the Pali Entertainment Group umbrella. www.palientertainment.com

Mako Foundation donated $54,000 for Instructional Aids Salaries for Vista Del Mar Elementary School

Education for Children donated $10,284.84 for Instructional Materials and Supplies to Wagon Wheel Elementary School

February 12, 2014 Agenda Item #12


Page 59

City of Aliso Viejo donated $1,000.00 for Certificated Teachers Salaries at Aliso Viejo Middle School

Canyon Vista Elementary School PTA donated $6,750 for Student Supervisors at

Canyon Vista Elementary School.

Capistrano Valley High School PTSA donated $2,000 for STAP Stipends

Chaparral Elementary School PTA donated $37,078 for Instructional Materials and Supplies

Ladera Ranch Education Foundation donated $10,000 for Instructional Materials and Supplies

Page 60

*The Leonard Family Foundation donated $235,000 for Instructional materials and Supplies

*NOTE: This is really a donation for Class Size Reduction per previous Board Agendas. The Leonard Family has generously donated $225,000 per year for many years and until 2012-2013 it was always titled as a donation to reduce class size.

See:

2012: March 27, 2012 Agenda Item #21 Page 127 –Instructional Materials and Supplies http://capousd.ca.schoolloop.com/file/1229223560406/1218998864154/7912500800103396038.pdf

2011: March 8, 2011 Agenda Item #7 Page 84 –Class Size Reduction

City of Laguna Niguel $6,500.00 for After School Music Program and Radio Equipment for Niguel Hills Middle School

Page 61
Ladera Ranch Education Foundation donated $10,134 for Orange County Department of Education Training and Instructional Materials and Supplies for
Oso Grande Elementary School.

San Clemente High School PTSA donated $6,000 for Instructional Materials and Supplies to San Clemente High School

Various Vista del Mar Elementary School Parents donated $1,000 for Instructional Materials and Supplies to Vista Del Mar Elementary School

Vista del Mar Mako Foundation donated $2,712.96 for Instructional Materials and Supplies to Vista Del Mar Elementary School

February 26, 2014 Agenda Item #10

Source:

Page 285

City of Laguna Niguel donated $5,000 for hourly salaries for After School Programs at Aliso Niguel High School.

Bergeson Foundation donated $22,000 for RSN Aids for 2013-14 for Bergeson Elementary School

City of Laguna Niguel donated $5,000 for hourly salaries for After School Tutorial at Dana Hills High School.

Las Flores Elementary School Boosters donated $14,810 for 5th Grade Outdoor Science School for Las Flores Elementary School.
Page 286

Oso Grande Elementary School PTA donated $22,000 for Meet the Masters and Discovery Science Lessons for Oso Grande Elementary School.

March 12, 2014       Agenda Item #13

Source:

Page 203

Pacific Life Foundation donated $3,000 for Substitute Teachers Salaries and Technology to Aliso Viejo Middle School .

Las Flores Elementary School Booster Club donated $1,036.20 for outdoor Science School Teacher Stipends to Las FLores Elementary.

Assistance League of Capistrano Valley donated $7,000 for Accelerated Reader Program for Marco Forster
Page 204

Moulton Elementary School PTA donated $7,169.02 for a Primary Music Program for Moulton Elementary School.

Forster Ranch Education Foundation donated $1,308 for Outdoor Science School Teacher Stipends to Truman Benedict Elementary School.

March 26, 2014       Agenda Item #17

Source:

Page 53

Arroyo Vista Science Boosters donated $7,050 for Outdoor Science School Tuition, Transportation and Teacher Stipends for Arroyo Vista Elementary School

Bathgate Elementary School Foundation donated $39,800 for Outdoor Science School Tuition , Transportation and Teacher Stipends for Bathgate Elementary School

Capistrano Valley High School PTSA donated $10,000 for Teacher Grants for Capistrano Valley High School.

Concordia Elementary School donated $300 for substitute teachers for Concordia Elementary School.

OC Community Foundation donated $8,000 for Teacher release time for training for the CUSD District music program.

City of Aliso Viejo donated $2,500 for staffing of homework club at Don Juan Avila Middle School.

George White Elementary School PTA donated $25,000 for 5th grade Outside Science School at George White Elementary School
Ladera Ranch Foundation donated $4,300 to Save The Music at Ladera Ranch Elementary School.

Page 54

Laguna Niguel Elementary School Foundation donated $25,000 for an I-Pad Cart for Laguna Niguel Elementary School.

San Clemente High School PTSA donated $3,770 for SchoolLoop 2013-14 for San Clemente High

Pacific Life donated $3,000 for Common Core Standards Professional Development for San Clemente High School.

Tesoro High School PTSA donated $1,298.71 for Teacher Grants for Tesoro High School.

Forster Ranch Education Foundation donated $12,000 for SMART Boards for Kindergarten Class rooms at Truman Benedict.


Revenues From The Misuse of Mello Roos

CUSD has engaged is some questionable practices regarding its Mello Roos Districts. CUSD has been using these special taxes as an income stream for general fund purposes by generating substantially more revenue than is necessary to pay the bond obligations. Upon threat of lawsuits from residents- the District has reluctantly voted to end this practice further reducing local revenues to CUSD.

The District has been generating revenue streams from facilities funds. Revenues for 2013-2014 were $13,621,000. Revenues from facilities funds are projected to decline to $7,647,000 which means that CUSD will have less revenue generated each year than previously anticipated for facilities. CUSD may have to reduce potential revenues even farther; and may have to repay residents for any excess taxes collected beyond what was needed to service the bond.

Source: Facilities Funding Report November 6, 2013 http://capousd.ca.schoolloop.com/file/1229223560406/1218998864154/7695162819501468512.pdf at page 13

Source: May 22, 2013 Board Meeting Exhibit 2: CFD Refinancing Report: http://capousd.ca.schoolloop.com/file/1229223560406/1218998864154/5665548576433686348.pdf

Source: August 14, 2013 Board Meeting http://capousd.ca.schoolloop.com/file/1229223560406/1218998864154/7603813809991434121.pdf Agenda Items #5, 6, 20, 21, 22, 23, 24, 25, 26, 27, 28

Community Facilities District Annual Administration Reports for the Capistrano Unified School District Fiscal year 2013-2014:
Exhibit 6: CFD No. 92-1
Exhibit 20: CFD No. 87-1
Exhibit 21: CFD No. 88-1
Exhibit 23: CFD No.  90-2
Exhibit 24: CFD No. 94-1
Exhibit 25: CFD No. 98-1A
Exhibit 26: CFD No. 98-2
Exhibit 27: CFD No. 2004-1
Exhibit 28: CFD No. 2005-1



Source: https://docs.google.com/document/d/1WCSUA6CP4ofuy0hJhxKmE9Do0Psrb3ruwqKfsJO3LIY/edit?pli=1 March 26, 2014 letter to Governor Brown at Page 18

Rental Revenue from CUSD Administration Building.

The District also engaged in the questionable practice of using Mello Roos taxes inequitably to fund the construction of a state of the art administration building. Rental income from the District Administration building has been transferred to the general fund and was used to pay salaries, pensions and benefits of District employees rather than remain in the facilities budget for building maintenance and Capital Improvements.

Source: https://docs.google.com/document/d/1WCSUA6CP4ofuy0hJhxKmE9Do0Psrb3ruwqKfsJO3LIY/edit?pli=1 March 26, 2014 letter to Governor Brown at Page 19

Student’s Rights in California

It’s unfortunate that California students have to Sue the State of California to force the Legislature to carry out its constitutional obligations.

To date- all recent lawsuits fighting for the rights of students in California have been brought in State Court. Unfortunately the State of California’s legal system is no longer a viable venue for the adjudication of student rights issues. The power of public employee unions like the CTA, and its influence on State Legislators and activist Judges have resulted in long legal battles that are not resolved until long after the Plaintiffs have graduated from the very schools that they are seeking to remedy.

The latest example is the recent victory for students in Vergara v. California regarding teacher tenure. Rather than let the decision stand (a victory for students); Governor Brown, State Superintendent of Public Education Tom Torlakson and State Attorney General Kamala Harris have made the decision to use taxpayer money to appeal the ruling. The only rational basis for appealing Vegara is to repay the CTA, which has pumped millions into making sure that these three individuals were re-elected to office - even if that means trampling on students constitutional right to an adequate education as set forth in Article IX of the California Constitution and the State’s Education Code. The effort to overturn the Vergara ruling illustrates the fact that that the State of California, and its powerful public employee unions continue to steal valuable resources from students and taxpayers to help powerful public employee unions protect adult jobs at the expense of student services causing irreparable harm to students. Every furlough day, every missed instructional minute, every oversized classroom deprives students in California’s public education system of an adequate education.
Depriving students of an adequate education means that they will not acquire the basic minimal skills necessary for the enjoyment of the rights of speech and of full participation in the political process.

The only remedy for students’ is to ask the Federal courts to review the Constitutionality of California’s Local Control Funding Formula and to ask the Court to mandate that California increase the Base Grant to an amount that is sufficient to provide every student in California with an adequate education.

The Federal Government has a Substantial Interest in Student Outcomes in California

California education is critical to the entire nation’s future because more than one in eight public school students in the U.S. attends school in California.

According to the latest data available from NCES:

·      California had 6.3 million preK-12 students in 2011, and that is projected to increase to almost 7 million by 2023.
Source: http://nces.ed.gov/programs/digest/d13/tables/dt13_203.20.asp

·      54.1% percent were eligible for free/reduced lunch and
Source: http://nces.ed.gov/programs/digest/d13/tables/dt13_204.10.asp

·      23.2 percent were in English Language Learner programs
Source: http://nces.ed.gov/programs/digest/d13/tables/dt13_204.20.asp

California’s failure to educate its students will greatly impact how educated the Nation is as a whole; and how well prepared the Nation will be for jobs in the 21 century.

The Issue that must be decided:

Does California’s new Education Funding System (LCFF Law) violate the Equal Protection Clause of the 14th Amendment to the United States Constitution because it discriminates against students based on wealth, race and ethnicity? The answer – as a matter of law must be yes as long as the Base Grant is set so low that the Base Grant alone is insufficient to provide an adequate education to EVERY student in the state of California.

Equal Protection

The Fourteenth Amendment to the United States Constitution guarantees every citizen equal protection under the law and gives Federal Courts jurisdiction to review State laws that discriminate against an individual because of wealth, race or ethnicity using strict judicial scrutiny.

San Antonio Independent School District v. Rodriquez

The landmark Supreme Court Case San Antonio Independent School District v. Rodriquez, defined when it would be appropriate for a Federal Court to review an individual State’s Education Funding System to determine the constitutionality of that system. 


What the Court Held:

A Federal Court has proper jurisdiction to review an individual State’s Education funding laws under standards of strict judicial scrutiny, in cases involving laws that operate to the disadvantage of suspect classes or interfere with the exercise of fundamental rights and liberties explicitly or implicitly protected by the Constitution.  

Source: https://supreme.justia.com/cases/federal/us/411/1/ at Pp. 411 U. S. 18-44.

California’s LCFF determines funding based solely on the wealth, race and the ethnicity of students in a particular district. Wealth, Race and Ethnicity are all suspect classifications requiring strict judicial scrutiny.

In Rodriguez the Court specifically stated a law would be determined to Discriminate on the basis of wealth if all students who, irrespective of their personal incomes, received inadequate funding simply because of where they lived.

In Rodriquez the Court determined that the Texas System was constitutional because the System provided adequate funding for every student in Texas to receive a basic education and then allowed local districts to have control over taxation to increase funding above the base.  The Court also made note of the fact that funding for all student’s in Texas was within $100 of each other and on that basis the Court ruled that the Texas system did not violate the Equal Protection Clause of the 14th Amendment to the US Constitution.

California’s LCFF law does not do that.  

If the stated goal of the Local Control Funding Formula is to provide a base level of funding that will provide every student with an adequate education, and then to provide additional funding to students who have high needs such as ELL and socioeconomically disadvantaged- the system fails to achieve that stated goal.  Because the Base Grant is set so low, the reality is that every student that happens to live in a Basic Aid District or a District with a high percentage of ELL and poor will be adequately funded irrespective of their personal income, just as every student, irrespective of their personal income, who happens to live in districts that have a low percentage of English Language Learners and or poor will be deprived of their right to an adequate education simply because they happen to live in a District that has less than 55% of its students that are English Language Learners and/or poor.


2)         A Federal Court has proper jurisdiction to review an individual State’s Education funding laws in cases involving laws that interfere with the exercise of fundamental rights and liberties explicitly or implicitly protected by the Constitution.  

Source: https://supreme.justia.com/cases/federal/us/411/1/ at Pp. 411 U. S. 18-44.

The California LCFF impermissibly interferes with the "fundamental" right that every child living in the State of California has to a FREE and “Adequate” public education. Education is one of the most important services performed by the State. Although Education is not within the limited category of rights recognized by Federal Courts Court as guaranteed by the US Constitution, the Supreme Court has held that once a state decides to provide an education to its children, as California has (Article IX of the California Constitution), the provision of such education must be consistent with other federally guaranteed constitutional rights, such as the Fourteenth Amendment's right to equal protection under the law.

Rodriquez Decision “In Brown v. Board of Education, 347 U. S. 483 (1954), a unanimous Court recognized that "education is perhaps the most important function of state and local governments." Id. at 347 U. S. 493. What was said there in the context of racial discrimination has lost none of its vitality with the passage of time:

"Compulsory school attendance laws and the great expenditures for education both demonstrate our

Page 411 U. S. 30

recognition of the importance of education to our democratic society. It is required in the performance of our most basic public responsibilities, even service in the armed forces. It is the very foundation of good citizenship. Today it is a principal instrument in awakening the child to cultural values, in preparing him for later professional training, and in helping him to adjust normally to his environment. In these days, it is doubtful that any child may reasonably be expected to succeed in life if he is denied the opportunity of an education. Such an opportunity, where the state has undertaken to provide it, is a right which must be made available to all on equal terms.”

To be Constitutional the Base Grant would need to be increased to a sufficient amount to provide every student with an adequate education. A law that deprives students of their constitutional right to an adequate education simply because they happen to live in wealthy suburban school Districts defined as Districts that have a higher per capita average income and a low percentage of English Language Learners and/or students from low-income families is unconstitutional under Rodriguez.

3)         A Federal Court has proper jurisdiction to review an individual State’s Education funding laws to ensure that the law bears a rational relationship to a legitimate State Purpose. 

The formula creates inequities that are not rational and do not fulfill the State’s goal of providing an adequate education to every student.

The stated goal of the Local Control Funding Formula is to provide a base level of funding for every student (Base Grant) and then to provide additional funding to students who have high needs such as ELL and socioeconomically disadvantaged (Supplemental Grant and Concentration Grant). However the law does not achieve that result at all. The result is per pupil funding that varies from a low of $6,244 per student to a high of $177,829 per student.  The LCFF  intentionally underfunds wealthy suburban school districts which in effect deprives any student who happens to live in such a District of an adequate education irrespective of that students personal wealth or income.  Does $273 per student provide the Capistrano Unified School District with the funding they need to address the needs of the English Language Learners and Poor in the District?

The Court in Rodriguez found that while the Texas funding system was not perfect, the system provided a basic education for every child in the State.

The Texas system also allowed and encouraged local control over how local tax dollars were to be spent.

Pp. 411 U. S. 44-53

Unlike the Texas system, California’s tax system is structured such that the California Legislature determines the amount of property taxes used to fund schools. Local school boards do not have authority to raise any revenue for district instructional programs; and as such, individual school districts do not in fact have “local control”. In the Texas System all District per pupil funding was within $100 of each other. The Texas system did provide a basic education to every student and then not only allowed, but encouraged local control for funding above the base.

Despite it’s title- there is no real “local control” or the ability for Districts within the State of California to provide additional funding to their District without voting to tax themselves twice for the service that the State is already constitutionally obligated to provide. 

If there are any adults remaining in the State of California that truly understand how important a good public education is to the quality of life that we all will enjoy in the future, then they must find a way to stop California’s Corrupt Government from using students to steel tax money and their future. I am looking for someone to help me sue the State of California in Federal Court.

If you can help me help my child and my District join me.

Thank you for your time and consideration.

Dawn Urbanek
Parent and Student Advocate
Capistrano Unified School District
Orange County California