it has been established at 3.24%. that means that the deficit in factor -- deficit factor is about 22%. the difference is about $8 millh year, so even if the tax initiative passes, are projecting revenue rose in may as it did in january, and if the taxes are not approved, 98 funding would be decimated, and this would be a larger affect and the proposal in january. there would be a $5.5 billion cut, and that is a decrease of about $440, $23 million each

year, so this chart, which i think many of you are familiar with, this shows the historical relationships between the revenue limit in our district we would have received if cola had been funded each year. if it have been funded, looking into next year, we would stand to receive $6,600 $900,000. it has been a decrease for those years, and currently we are

receiving $1,500, and next year that amount would go up slightly to 5204, and that would bring us down, to absolutely the lowest level in maybe the past decade. looking out of those assumptions, we do have some positive things to report. the governor did restore official a the state transportation funding, and that

is proposed to be funded at current levels, but he would be made for a flexible program, sir district would not be required to spend the money in that way, so we would receive the same amount of money we have been receiving, and it would become flexible, so that is the third thing -- that is a good thing. the state public works board has approved, so we do not have the agreement yet, but we expect to have thought very soon. we will close the transaction over the summer, so that is a good thing.

i expect the city will appropriate rainy days reserve funds, and it is up to the board of supervisors to appropriate funds, and the balance would be diminished, and that would leave $4.7 million as a draw we could take, again subject to appropriation. anything would reduce the gap, so that is helpful. good on the other hand, i mentioned the mid-year cuts, but the stakes have become higher.

now we are counting on transportation to be restored. that means more money would be lost. just one other fact, there is now a record high level of districts in the state of uttar in qualified or negative fiscal status, and dasthe number is abt 188th, so it is getting close

to 20%, and because many of those districts are larger districts, that represents $2.6 million of the 6.2 million public school students, so a lot of those are in school districts or offices that are at increasing financial risk, so we do not want to join that group. but other things include transitional kindergarten, the government proposals, moving into a different school financing scheme, redevelopment, the furrows -- the overall --

deferrals, child care, and a lot of things that have not previously been considered part of the prop 98 guarantees for schools, but are now being counted. those continue to be added. in terms of process, we are not likely to see much action by the legislature. the visit because the number of

-- that is because of the number of primaries. a lot of things that are likely 0 make a political context less bright for serious discussions of the education budget, so even though the state has a budget of june 15, 5 is likely to have been a window hear a good -- a window. goothought was a fairly delicate

process last year, too. let me leave it at that, and i know one commissioner has of western. >> thank you for the information curio of -- for the information. it was really helpful to go back to your graph, and at the top line, it is funded, and 180 days of instruction, but we are actually looking at $5,242, which is more like a seven-month school year.

thanks to the support, local measures were able to somehow get nine months out of the school year, but if the revenue measures fail and we ship the low point of $4,872, we are really looking at a six and a half months later, and as the superintendent said, now is the time to get mad. if we cannot educate our kids on a six and a half month school year. it is really important people

understand what we are looking at right now in terms of these budget cuts and what we do to address them. good >> you remind me of something i forgot to mention. i think it is a good idea to reiterate that as part of the proposed budget, the governor has put forward as a remedy for the possibility the taxes do not pass that school districts would receive flexibility to reduce school days by an additional 15, so between next year and the following year. right now the instructional calendar has 175 days, and that

was reduced from 185 days, so we have had a 176-day calendar, so we have not quite taken all the flexibility the state has provided, but we have gone most of the way. that is 25 days that would be reduced from previous calendar of 180 days, so that thiis the single proposal but has been identified as what the district could do to reduce their cost of taxes do not pass a rigorous --

do not pass. it is true that is in the mayor's revision proposal. commissioner wynns: 80 is funny you should say when are we going to get mad, because the school board is having an event called be mad. this is instead of the legislative conference, because we decided we would be more affected those -- more affective in local districts. i urge all of my colleagues to click on the logo and synosign o

we can visit our legislators locally in their office. why is this important? i am asked this question every year. it is hard to go with people who are always with you during your -- always with you. we go and visit our legislators, and they say, we are with you. we do not want to make any cuts, so we try really hard to say what is the effective message for those people? things are so bad that our friends, the democratic leadership of both houses of the legislature, they want to be

with us, but they are saying things are so bad they support these things we think of us manipulations, because they think the highest priority is we cannot make cuts to other services, but we can make cuts to schools, and it is difficult and interesting if you are able to be detached from this to think, why is it? some of it is because we have of presumed constitutional guarantee. i think this is an issue. i think we looked at the budget as an arithmetic problem. we have to balance it, so that means if somebody has an idea,

that gets us closer to zero. they do it. our job is to make it clear it is not an arithmetic problem. this is actually taking away their opportunities, school days they do not have, instructions they do not have, opportunities they can never get back, and we have to be able to make that clear to them, and we have to be courageous enough to go to our friends and tell them, do not do it, so i hope you will join me on june 8, and i think we could be quite an effective cure a good -- quite effective. when i mention this happening, this is a really disturbing thing. i think people do not understand this spirit of we are lucky we

do not have to understand it. i talked about budget deferrals during goo. you will see not only has the actual money been caught, but a lot of it has been paid into subsequent months, and we have in your year the soros -- interyear defferals. we are lucky because this does not really affect us that much. we have not have to ramp up our borrowing, because all of the

money comes from state allegations the reagan we are sort of -- obligations. in that way, it is good for us. this is why we need to pay more attention to this than we have in the past. if there is additional money, the debate question is they want to put all of it.

the advocates, all of us are saying there has got to be new money so we develop some sort of split, so about is what we have been talking about. that is our one disappointment, but we thought that was something we were making progress on, but instead of saying next year it would go into the deferral of payments, but we would get some mix, that there would actually be money for schools. goods that did not happen to

good here is why this is important. good now our friends are saying there is some money there, so suppose we did not give the money to schools but put the money in other services. good this is a new deal that is absolutely unacceptable to us, so they are talking about the floor of prop. 98 compan, so thn issue we can talk to local legislators about, because that is when they are going to vote on a budget, so i urge us all to do that, and i think we ought to communicate not only with our labor partners but with our

parents and everybody we communicate with. we should develop some advocacy toulool, get it out and tell our friends, do not do this. let's not allow them to put in place another mechanism to take money out of the school district, and it will not be there for us, and this is a crucial time for everybody you're a gay an-- this is a crul time for everybody. >> rainy day.

we hope the city will support. the city has made a resolution to support the school district. go aheaof monday's are marked fe school district to comment -- for the school district. i have had multiple conversations to reassure and we would prefer to have resolution brought forward, and now she has reassured mae it is not

necessary, but it is part of the commitment the mayor and supervisors have made, and there will not be any controversy are round about, so i think we need to decide if we want to push to have our resolution, but i feel supervisors shoe is good on her word and feels committed to supporting the school districts with these $60, so you can take that how you want it. the supervisors have not adapted an eye. for them it is a gesture to do the resolution during a road -- to do the resolution, but supervisors shoe does not feel it is necessary. commissioner fewer: this 87

million is a gap for two years, right? >> that is our estimate did not shortfall for the end of 2013- 2014 year ago we did that is the estimated shortfall for the end of 2013-2014. >> that is the first year or the second year? >> if the taxes do not pass, the $23 million would be similar to a $46 million, because it is two years. i will say one thing. on this increase of the stakes between this passing and not passing and the issue of transportation funding being restored and put into the main budget proposal, we think that is a good thing, and we

advocated for that, and we would advocate for more in the cost of living, so even though that gap has gotten bigger, in a lot of ways, we think that is a good thing, not said we would want to see the second scenario, but if there is money that is being counted on, most of it is being committed to these deferrals, but there is not as much potential, so that is my perspective, and it may sound

counter intuitive, but we will continue to send more money for increasing spending authority for schools. gooit makes no effect on our ability to fund these programs. >> in regards to the tax initiatives, if it does not pass we will have less money. can i asked the rules committee to look at that and possibly, with a recommendation for us to pass a resolution to support one or both propositions amont?

>> the delegate assembly took the position of yes, so i was going to author a resolution for the next board meeting. good >> that is what i was looking for, and there is no rush for that year ag. that gets us closer to the election in november. good >> could we get an analysin the difference between them and, if you could get something, that would be great. >> thank you your goo. >> i have one more question.

i want to ask what kind of analysis we are doing to the potential impact of implementation the rigor of the education coalition is under the agreement we do not want it -- of implementation. the education coalition who is under an agreement we do not want it passed. the changes to the proposal, most of which are better than what was there before and a good basis for policy discussion, one of the dain -- one issue that is really important to us and gives

me no ability to know at all with potential might be if the current proposal is implemented is that the transportation restoration is for the current year only, so without some changes, it would fall off after next year, but the two programs that are removed, both of which would have a bigger effect on us, our transportation and tig, so if is sustained, we will have an entirely different picture for san francisco unified if it is implemented. >> what is your question? >> i want to know if we can do some analysis as much as we possibly could and see what it looks