The attached document lists the contracts executed by the Superintendent or designee for the month of August 2020.

The complexity of managing a school district budget today necessitates the development of a budget calendar that encompasses the majority of the year.  The process begins early so that timely decisions can be made and culminates in June when the District adopts its annual budget as required by Education Code 42127.

Pursuant to Government Code 7906, the District is required to annually adopt a resolution identifying the estimated appropriations limit for the current year and the actual appropriations limit for the preceding year.  Based on the attached calculations, the 2019-20 Gann Limit is $72,882,825.38 and the estimated 2020-21 Gann Limit is $75,639,155.44. The District did exceed its appropriation limit in 2019-20.

The Level I fees are $4.08 for residential and $0.66 commercial/industrial.  

Although we are encouraged by the recent status change for Santa Clara County as it gives hope for the possible return of students to the classroom somewhere on the horizon, we will not make a determination to reopen without considering many factors. Such considerations include input from our employees and parents, and the additional restrictions and processes imposed by the State and County. Also, an important consideration will be the potential disruption to instruction given the possibility of returning to in-person instruction, but then having to return to distance learning if the County falls back into the Purple Tier 1.

Our current plan enabled us to open up the year with distance learning and that is our current status until formally changed. We committed to revisit the conditions and orders to evaluate whether to continue distance learning or go back to in-person at the first grading period. We knew that if the virus was controlled, a possible return to school might be considered for the second quarter, the second trimester, or the second semester. Those milestone academic terms make instructional sense as they would be a logical grading period transition.

In more restrictive Purple Tier 1 identified counties, the State allows county health officers, after consulting with state public health officials, to permit K-6 schools to open where schools are currently closed to in-person instruction because of high rates of infection and other coronavirus-related criteria. To achieve a waiver, schools must submit plans assuring that health protocols would be followed, including social distancing, face coverings and testing. Considering the changed restrictions and monitoring under the new State monitoring system, some schools throughout California who were granted waivers by their county public health department have abandoned their waiver applications or waiver status once the county's status changed from purple to red, such as the status change in Santa Clara County. 

The Board will hear and consider input from employees and the community about the new State COVID-19 monitoring process and District options and may provide direction to staff for next steps. 

In accordance with Education Code Section 42100, the Board of Education must approve the Unaudited Actuals Financial Report, which reflects the prior year activity and ending fund balances.  These reports are subsequently filed with the Santa Clara County Office of Education and audited by the District's independent auditing firm, Eide Bailly LLP, and presented to the Board no later than January 30, 2021 as Audited Actuals.

For the fiscal year ending June 30, 2020, the unappropriated General Fund balance is $25,040,013.  For the fiscal year ending June 30, 2021, the unappropriated General Fund balance is projected to be $23,315,903.  Included in both years are set-asides for the required 3% Reserve for Economic Uncertainties and carryover. 

When the Board approved the 2020-21 Adopted Budget, the beginning fund balances represented an estimate of the ending fund balance for 2019-20.  Now that the District has closed the prior fiscal year, the 2020-21 Budget has been updated to reflect the actual beginning fund balances.

The Board will adopt the resolution at the October 6, 2020 REGULAR meeting.