Grand Jury Blasts Fiscal Condition of Colleges : Finance: Panel calls the district among the worst in terms of economic management. Report cites deficit spending and failure to keep a prudent reserve.

In a strongly worded report Friday, the Ventura County grand jury blasted the county’s community college district, accusing it of being among the state’s worst in terms of fiscal management.

“The Board of Trustees needs to provide evidence to the taxpayers of Ventura County that they are taking immediate steps to improve the fiscal management” of the district, the grand jury said in a special supplemental report.

The report said the district has failed to maintain a prudent reserve to guard against the impact of expected state budget cuts, “as is being done in 59 of the 71 community college districts.”

District officials said they have not read the grand jury’s report and declined to be interviewed. But they did issue a news release.

“What the grand jury has identified are issues that we essentially presented to them,” Chancellor Thomas G. Lake said in the release. “All issues are being addressed and many are part of the goals and objectives for this year.”

The grand jury report comes just two weeks after an audit revealed the Oxnard College bookstore has lost tens of thousands of dollars during the current academic year due to poor accounting practices.

The special report on problems at the community college district was released by the 1993-94 grand jury Friday along with its annual report on county government. The grand jury--made up of citizens nominated by Superior Court judges and selected by lot--is a centuries-old institution that performs three main functions: indictment of criminal suspects, charging of public officials with misconduct and oversight of local government operations.

Trustees of the county community college district have adopted a tentative budget for the coming fiscal year that includes a $3-million shortfall in revenues, which would be made up with the district’s cash reserves until more state funds become available.

The deficit has sparked talk of layoffs of part-time teachers and cuts in class schedules at Moorpark, Oxnard and Ventura colleges--the campuses comprising the district.

The district has 63,796 students, including 20,667 who are full time, the grand jury report says.

The grand jury said the college district is one of only 12 on a state “watch list” because of fiscal-management problems.

The watch list is for districts with potential fiscal problems that should be addressed within 18 to 36 months to avoid becoming more serious, the grand jury said.

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The college district “has not maintained sound fiscal management, as evidence by the rating from the State Chancellor’s Office,” the report said. “The district is not maintaining prudent reserves and is practicing deficit spending.”

There were also numerous recommendations in the grand jury’s annual report, including one calling for financial and performance audits of each county agency and department.

Such audits would help make the entities more accountable to the Board of Supervisors, the report said.

“Without regular performance audits, the Board of Supervisors cannot be assured it would have adequate and complete information needed to adequately evaluate a department’s budget, performance, or compliance with policies and procedures,” the report said.

In other areas, the grand jury recommended a landfill site in the west county, but did not specify Weldon Canyon, as a previous panel had done.

“Every proposal has its pros and cons and more importantly, it’s political ramifications; east county vs. west county or not-in-my-back yard,” the grand jury wrote.

A majority of supervisors have consistently opposed a landfill at the site between Ojai and Ventura, but a San Diego County firm is now seeking voter approval for the project.

The Bailard Landfill, which now handles much of the west county trash, is set to close in 1997.

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The grand jury also audited the county’s Drinking Driving Program and found some disturbing information: Staff members only spent 42% of their time with the program’s participants.

The grand jury recommended additional training and staff development, as well as the creation of a policy and procedures manual.

In other areas, the report recommended Ventura County:

* Provide additional equipment for the county’s Emergency Operations Center, including antennas and cable drops needed to keep cellular phones, computers and two-way radio communication open in an emergency.

* Pursue plans to use the Point Mugu Airport facility for commercial flights. The U.S. Navy has proposed sharing use of the runways there.

* Create one-stop permit centers, where various county agencies can issue the paperwork needed for construction. The panel recommended keeping open the East County Building and Safety office, which could be threatened by budget cuts.

* Consider consolidating maintenance facilities for the Fire District and Sheriff’s Department.

* Use more computers to cut down the paperwork load for social workers. Employees in the Public Social Services Agency reported spending 80% of their time on paperwork.

* Install computer check-out and climate control systems in Ventura’s Foster Library.

* Find a landfill site in the western half of the county.

Recommendations for cities and special district include:

* Rancho Simi Recreation and Park District should turn its equestrian center over to private interest.

* The Oxnard Harbor District should pursue acquisition of a 35-acre site to expand the port’s activities. The site is now used for the Naval Civil Engineering Laboratory, which is scheduled for closure.

Lloyd Fellows, who served as foreman of the 1993-94 grand jury, said the panel spent about 75% of its time overseeing government and the other 25% hearing testimony for criminal indictments.

Previous grand juries have recommended turning over their criminal-indictment duties to a separate, part-time grand jury. But Fellows said the 1993-94 panel enjoyed those duties and would oppose the suggestion of adding a second grand jury.

“We enjoyed it. We felt it was educational, and we felt it balanced out work,” Fellows said.

Under law, agencies such as the college district targeted by the grand jury must respond to its suggestions but need not implement them.