Marin County school districts will have to shed an estimated $68 million of local reserves and operating funds when the first dollar goes into Proposition 2's School Account.  This will force the reduction of Marin County school districts' local funds from an average of 27% now, to just 6%.    

Compare these allowed carryovers with California Department of Education and Government Finance Officers Association recommendations of a MINIMUM of 15-17% in reserves -- and the state's late payments to schools in all recent fiscal years.  Marin County schools will be allowed to carry just $21 million forward.

Even more irrationally, the dozen community-funded districts in Marin would be forced to spend down over $50 million of property taxes that they need for fall operations.  These districts educate half of Marin's students.  Property and parcel taxes are disbursed in April and December (when the semi-annual installments are paid by taxpayers).  So April's disbursement has to fund August, September, October and November expenditures.  These funds would have to borrowed, substituting debt service costs for instructional investments.

And, when the next downturn hits, Marin County's large state-funded districts will have almost no cushion -- note that the State had not paid these Marin County districts $16 million it owed them in June 2012, $13 million in June 2013, and $8 million just this June 30th, a few months ago (incidentally, two fiscal years after Prop 30 passed).  

Marin County school boards have shown themselves to be financially prudent protectors of their districts' educational stability.  Not one Marin district is listed as "negative" or "qualified" on the Department of Education's financial watch list.  Local control of local property tax funds and reserves makes the only sense for Marin County's children.

Marin data table

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