ORANGE : School Board Says Financial Health OK

Despite lukewarm support from its chief fiscal officer, the Orange Unified School District has unanimously approved a positive financial ranking for the cash-strapped school district.

The ranking, which will be forwarded to state and county education officials, means the district believes it will be in sound financial shape for the next three fiscal years. If it had filed a “qualified” or “negative” ranking, the district might have seen its credit ratings damaged and closer scrutiny of its budget process by county education officials.

But because of a board delay in December in eliminating about 35 classified employee positions, Chief Fiscal Officer Joyce Capelle said, the district needs to come up with another $135,000 to balance its $107-million 1993-94 budget.

But Capelle is banking on current negotiations with classified employees union to yield at least $135,000 in savings, thus keeping the district in good financial shape, she said. While admitting she may not “sleep well” until union negotiations are concluded, Capelle said the positive financial ranking can be achieved.

“I don’t believe I would put my name on a report that I couldn’t back up,” Capelle told the board.

In addition to the job eliminations, about half of which are layoffs, the school board also moved to cut expense accounts for administrators and to reduce its own benefits package to balance its budget this year.

Beset by financial difficulties during the 1980s, only in the last three years has the district regained a solid monetary footing. In the last three years, the district has cut $11.5 million from its budget, which resulted in layoffs for teachers and classified employees.