Saturday, May 2, 2015

CUSD Attempting to Apply for Loan

I was very surprised and disappointed that Calaveras Unified School District added an addendum to the CUSD Board agenda dated April 21, 2015: Adoption of Resolution 2014/15-26, Authorization to Establish Temporary Inter-fund Transfer of Special or Restricted fund monies. It is my understanding, with CUSD being in the "Qualified" Certification Status, they would be unable to borrow any monies. This Resolution sounds like an application for a line of credit ... to borrow. Furthermore, it is noted that the interest rate is 12% per annum. (Maximum amount of borrowing $5,000,000)

What does it mean when it is reported that Calaveras Unified has a "Qualified Budget" status?


 Positive: The district is projected to be able to meet its financial obligations all three years.

 Qualified: It is projected that the district may not meet its financial obligations in one of the three years.

 Negative: It is projected that district will not be able to meet its financial obligations in the current or next fiscal year.


To find out more concerning QUALIFIED & NEGATIVE Budget Certifications click on blue link below and proceed to pg 6:


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