ORANGE COUNTY IN BANKRUPTCY : Laguna Schools Tackle Budget Shortfall

Facing a $967,434 budget shortfall brought about by Orange County’s financial crisis, the Laguna Beach Unified School District board was asked Wednesday to consider ways to cut costs and make money, including possibly charging students to ride school buses.

The board was also asked to consider reducing classroom cleanings from three to one per week, with teachers and students emptying trash and keeping floors and chalkboards tidy between cleanings.

One of the more controversial options is charging perhaps $200 per family for students to ride school buses to and from school, raising $15,000. The district is the only one in South County that doesn’t charge for transportation, which is offered to kindergartners through eighth-graders, said Terry Bustillos, chief financial officer.

According to a “Budget Recovery” report presented to the board Wednesday night by Supt. Paul M. Possemato, the district could raise another $11,500 by charging athletes an additional $115 to $120 per year to ride school buses to sporting events. Students already pay an annual transportation fee of $80 per sport with a maximum of $160 per student, Bustillos said. The district could either raise the fees or cut back on transporting athletes, Bustillos said.

But Laguna Beach High School senior Sara Lepere said students might switch from athletics to partying if they have to pay more.

“I know a lot of people are going to drop out of sports,” Lepere said.

Another option offered to the board is a for-profit summer school.

Possemato acknowledged before Wednesday’s meeting that the board may quickly reject some of his proposals. However, he said he wanted to discover the board’s “level of tolerance” for the various options.

While wrestling with ways to earn money, the board will also seek cuts in the $14-million budget. A variety of options were offered, from not trimming trees or shrubbery and watering lawns less frequently, which would save $66,313, to pushing an early retirement plan for teachers.

Cutting back on the number of times classrooms are cleaned could save the district $51,052, the report says.

The proposal also suggests that general repairs might be delayed unless they affect health or safety.

“This reduction could result in site deterioration of roofs, plumbing, electrical, etc., until such time as this account is replenished to its current level,” the report says.

While the board is considering such options and assuming a 10% loss of the $4.9 million mired in the county investment pool, officials have maintained that school districts should be repaid 100%.

The district has been particularly irked at being unable to retrieve $1.5 million in insurance money from the October, 1993, firestorm that was invested in the county pool. That money was intended to rebuild 14 classrooms that burned at Thurston Middle School.

School officials said they may be able to fund some projects by borrowing from other district funds.

Resident Jon Jennett told the board the time is right to tap into the district’s “rainy day” funds. “If it’s for a rainy day, folks, it doesn’t get any more rainy than this,” Jennett said.