IRVINE : Council, Water District Seek School-Aid Plan
The City Council agreed this week to move forward with a plan that would link the city, school district and Irvine Ranch Water District in an agency to offer financial help to Irvine Unified.
Council members have not formally approved the city’s participation in the proposed joint powers authority, however, and expressed some reluctance to commit any city funds to the financially troubled school district.
“We certainly have our own debts to face,” Councilwoman Christina L. Shea said. “We are not in a position at this point in time to be funding any money.”
Shea said she would support the concept of the joint powers authority as long as the city did not make any loan commitments.
Irvine Unified is facing a $54.5-million bond payment on June 13. School board members are meeting Tuesday to cut about $2 million from next school year’s $100-million budget.
School district budget planners say that, even after the district receives its payment under Orange County’s bankruptcy settlement plan, it may not be able to make the June 13 payment.
District officials are trying to negotiate an extension of the loans with bond holders.
Peer Swan, president of the Irvine Ranch Water District board, has offered to make short-term financing available if necessary to prevent the school district from declaring bankruptcy.
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