Banning Unified Listed Among 'Record Number' of School Districts in Financial Jeopardy

Banning Unified School District is one of 188 local educational agencies (LEAs) statewide facing "serious financial challenges," according to a new report out by the state.

The California Department of Education released Monday a semi-annual report that ranks these agencies' interim financial reports.

The 1,037 agencies-- made up of mostly school districts, along with county offices of education and joint powers agencies-- are certified by the state and grouped into one of three categories: positive, qualified, or negative, based on their reports.

Banning Unified has been listed in the "qualified" group for its most recent financial report, which was due to the state by April 15.

"A qualified certification is assigned when an LEA may not meet its financial obligations for the current or two subsequent fiscal years," the department of education said.  "This certification allows the LEA's county office of education to provide assistance to the district."

BUSD was also listed in this group when they submitted their first report of the year, back in December 2011.

Banning is just one of the school districts in this state that has made this latest collection of financial reports so bleak-- as 2.6 million students are now attending schools in districts that are facing financial troubles; the highest number of financially troubled districts in state history, according to State Superintendent of Public Instruction Tom Torlakson.

“This is the kind of record no one wants to set. Across California, parents, teachers, and administrators are increasingly wondering how to keep their schools’ lights on, their bills paid, and their doors open,” Torlakson said. “The deep cuts this budget crisis has forced—and the uncertainties about what lies ahead—are taking an unprecedented and unacceptable toll on our schools.”

A total of 176 LEAs were classified as Banning was, in the "qualified" group.  Another dozen were given a "negative" certification, meaning it's unlikely that they'll be able to pay their bills this year, according to state data.

Beaumont Unified School District was not listed on the list of qualified or negative certifications-- which means it lies within the "positive" certified group and "will meet its financial obligations for the current and two subsequent fiscal years," according to the department of education.

Because things are always changing financially, the state did issue the following disclaimer:

These certifications predate the Governor’s May Revision to the proposed 2012-13 state budget. Because these Interim Status Reports are snapshots in time, the LEAs’ financial status may have changed since these certifications were collected.