Reserve cap would hit small and basic aid districts the hardest
Published: January 11, 2017
The new two-year legislative session convened on Jan. 4, and with it comes the commencement of CSBA’s 2017-18 Governance First Legislative Agenda. Atop this agenda sits the issue of the school district reserve cap, which not only remains a key priority for CSBA, but also remains a significant topic in the halls of the Capitol. In these early stages of the 2017 session, CSBA is pursuing legislation to arrive at a politically-viable fix to this issue.
Important points regarding the reserve cap:
Small districts and basic aid districts would be hardest hit
While the reserve cap poses a threat to all California school districts, the state’s small districts (of less than 2,500 Average Daily Attendance) and basic aid districts could face financial disaster if the reserve cap trigger is pulled. Mirroring the framework of previous legislation, exempting small and basic aid districts from the cap remains a focal point of 2017 legislation to address this issue.
Momentum is there
Thanks in large part to the advocacy efforts of CSBA members, there is a keen awareness of the reserve cap issue among legislators and staff, as well as considerable momentum to fix the issue.
Have another conversation with your legislators
It is impossible to “overdo it” when discussing the reserve cap with legislators. While there is much to discuss during meetings with legislators (the teacher shortage, CalPERS rates, etc.), it remains vitally important to continue to stress the urgency of getting the reserve cap fixed now. In local meetings, Legislative Action Day meetings at the Capitol, phone calls or emails, the reserve cap is always an important topic.
Please continue to monitor CSBA communications for updates on 2017 legislation to fix the reserve cap.
Questions? Contact Dennis Meyers with Governmental Relations (mailto:dmeyers@csba.org)