Pacifica board confronts county 'lack of going concern,' accepts audit and hires consultant to advise on parcel-tax renewal

The Pacifica School District Board of Trustees on May 1 reviewed a county letter that flagged a "lack of going concern" for the district, accepted the district—9s fiscal year 2024'025 audit and voted to hire a consultant to help design and time a parcel-tax renewal.

Stacy Stauffer, who reviewed the county office—9s correspondence to trustees, said the county raised concerns about position-control tracking, rising special-education costs and declining enrollment that contribute to a projected negative unrestricted general fund balance. "The first letter that was issued was the lack of going concern," Stauffer told the board, and detailed required steps including a fiscal stabilization plan, updated cash-flow projections and a hiring freeze for positions that do not provide direct student services.

Auditors from Siobhan & Associates presented the independent audit for year ending June 30, 2025, and said the firm issued an unmodified opinion while disclosing subsequent events tied to the district—9s fiscal outlook. "We issued an unmodified opinion," the auditor reported, noting the district—9s net position fell by about $787,000 and that a $22 million bond issuance increased building-fund assets. The auditor also noted a minor reporting finding related to the school accountability report card.

Board members and union representatives repeatedly tied the financial conversation to ongoing labor negotiations. Nicole Ortega, second vice president of CSEA Chapter 128, told trustees classified staff have worked 302 days without a settled contract and urged a clear, timely path forward on compensation. "After 302 days without a contract, continued delay is no longer acceptable," Ortega said during public comment.

Facing those fiscal pressures, trustees voted to contract with Team Civics, a consulting and communications firm that advises districts on parcel taxes and bond measures. Joy Coomer of Team Civics outlined timeline options, legal constraints and outreach costs and said parcel taxes require two-thirds support of voters. "Parcel taxes are just the toughest one. They require two thirds support," Coomer said, recommending the board weigh a November 2026 date but noting county deadlines could require earlier action.

Board members asked staff to return with a fiscal stabilization plan and updated multi-year projections; FCMAT (Fiscal Crisis and Management Assistance Team) is expected to report at the next or first June board meeting. Trustees also approved a resolution authorizing the county superintendent to make year-end budget transfers as needed. The motions to accept the audit and to contract with Team Civics were made and seconded; the transcript indicates approval but does not include roll-call vote tallies.