LEUSD Notifies Employees Of Possible Pink Slips, Furlough Days

State funding cuts could hit Lake Elsinore Unified School District very hard, possibly cutting the school year by 15-20 days and necessitating layoffs.

On Tuesday, the Lake Elsinore Unified School District board unanimously approved a resolution to notify eight classified employees that their jobs may be eliminated.

The number would have been higher, but seven positions on the list to be laid off were already vacant.

Elimination of the positions would become effective on June 30, 2011, following service of notice of layoff on the affected employees.

Custodians, maintenance workers, a bus driver and payroll technician are among jobs that could be eliminated.

“Could” is a key word because the district still does not know how much the state will provide in funding to schools.

The district expects to lose about $349 to $1,000 per student based on average daily attendance for the next school year. The Lake Elsinore district currently receives a little more than $5,000 per student based on ADA.

And the district is still in litigation with the Lake Elsinore Chapter of California School Employees Association.

“We have no negotiated settlement, so we have to gear up to reduce staff and move ahead,” said Frank Passarella, district superintendent.

What comes out of those negotiations could determine if the layoffs will be needed.

About 84 percent of the district’s budget is comprised of labor costs.

Passarella said a school budget must be delivered by June 30 regardless of whether or not the state has a budget and employee negotiations are completed.

He said the unlike the state, school districts cannot use "smoke and mirrors" in its budget process and has to balance its budget on time.

Speaking to the district board last month, Passarella said a shorter school year is a real possibility in 2011-2012.

Mark Dennis, district coordinator of community and media relations, said that of the district were to lose $1,000 per student, the Lake Elsinore district would be forced to make draconian cuts in services and staffing.

The district already expects to make some painful reductions.

“We have to make some cuts to keep the lights on and make payroll,” said George Landon, district assistant superintendent.

Passarella said the district has not reduced class sizes. But if the state goes through with its anticipated cuts, janitorial and operations jobs could be slashed. And school bus service could be halted.

“Unless Sacramento gets its act together, we will face large reductions in the near future,” Passarella said.

The state had a history of being late with its budget. Last year the state budget wasn’t approved until Oct. 8.

What that means is the district must borrow money from private sources to cover payroll. “We are borrowing money privately and making payments on that,” Landon said.

Because the state defers or withholds school funding, borrowing money to meet payroll is now a fairly common practice among California school districts.

California has a $26.6 billion budget gap. A proposed budget to cut the gap includes a $4.6 billion reduction in state support for public schools.