COE projects positive 2024–25 certification after LCFF uptick; deficits forecast in later years

Deputy Superintendent Lian Reyes presented the COE's 2024–25 2nd Interim budget and told trustees the office will file a positive certification for the year.

"So we are pleased to report that the c o COE will be filing our positive certification for the 24 25 2nd interim," Reyes said, explaining that an LCFF increase of about $1.3 million (driven by an unduplicated pupil count increase to roughly 65%) and approximately $800,000 in new restricted revenue have turned an earlier projected deficit into an estimated combined surplus of roughly $2.2 million. On the unrestricted side the district now projects a small surplus (~$466,000) for the current year, she said.

Reyes reviewed multiyear projections and the conservative assumptions built into them — including STRS and PERS employer rates, an 8.5% increase in health and welfare costs, a conservative 1% COLA assumption for out years and the spending down of one‑time grant funds. She noted planned deficit spending in the second and third projection years (identified as part of multi‑year grant spend‑down and conservative planning) and emphasized cash and reserves as key indicators. Trustees asked clarifying questions about assumptions and the staff team that prepared the report; Reyes pointed to packet pages and noted staff would continue monitoring revenues and federal developments that could affect future federal funding.