Kern County Superintendent presents first interim budget; board impounds $860,000 in contested property taxes

John Medina presented the Kern County Office of Education's first interim budget report, covering fiscal activity from July 1 through Oct. 31, 2025, and the board voted to accept the report and adopt an associated impoundment resolution.

Medina outlined revenue sources and revisions: the Local Control Funding Formula (LCFF) projection at July 1 was $65,800,000 and was revised downward by about $250,000 because the office projects roughly 17 fewer student attendance days in alternative education programs. At the same time, the office recognized roughly $31,000,000 more in revenue since July 1 due to a combination of carryover, contracts and newly awarded grants.

Two state awards were highlighted as the single largest drivers of higher revenue and expenditures: a competitive $20,000,000 statewide math learning partnership grant and a $5,000,000 student teacher stipend grant awarded through the California Commission on Teacher Credentialing; Medina noted not all of the grant dollars will be expended in the current fiscal year.

On expenditures, Medina said negotiations and carryover costs are contributing to projected increases (he estimated about $36,600,000 more in expenditures since July 1). He detailed fund‑level changes: a projected $188,000 revenue increase for the Valley Oaks charter fund linked to a rise in unduplicated pupil percentage; a $15,000,000 increase in the child development fund tied to newly approved child‑care slots; and a $100,000 cafeteria revenue increase associated with expanded meal service.

Medina explained the annual impoundment resolution process and recommended the board impound $860,000 of contested property taxes while assessment appeals are pending. He said impounding protects the county office's cash flow because the state will backfill impounded amounts under the LCFF mechanism; if funds are not impounded and counties deduct later, the office could lose revenue without state backfill.

Trustees asked clarifying questions about the nature of contested assessments, timing, and whether updates will be provided; Medina said the county will update projections at second interim and as information becomes available. The board then moved and voted: it adopted the impoundment resolution (impound $860,000) and later took a separate voice vote to accept and file the first interim report. Both motions carried by voice vote with no recorded opposition.

What’s next: Staff will report updated projections at the second interim review and continue to track grant expenditures and assessment appeals. The impoundment is a procedural step common in years with contested assessments.