North : PLACENTIA/YORBA LINDA : School District, Uncertain of Impact of Crisis, Reports on Finances

A report showing that the district was in good financial shape as of Oct. 31 brought little cheer to the Placentia-Yorba Linda Unified School District Board of Trustees this week.

Despite the unknown impact Orange County’s recent bankruptcy filing will have on $82 million the district has in the county’s investment pool, the board voted Tuesday night to forward the report to the county superintendent of schools and certified that it will have enough money to operate the district through June 30 and for the next two school years.

The district’s first interim report shows the district will end the year with $3.3 million in reserves, which is more than the state mandates. However, some of the reserve is tied up in the Orange County pool.

“This report was accurate as of Oct. 31, prior to notification of any problems with the Orange County Treasury,” said assistant superintendent for business Kim Stallings. “The reserves are now not all there, but we are still compelled to keep track of the money put in there that we believe the county still owes us.”

Stallings acknowledged that declaring the district financially solvent without calculating county’s financial problems is a meaningless exercise. But Stallings said it is required by law.