remember our office values the properties, but billing and collections are handled by another organization called the treasurer and tax collector's office. if you'd like to learn more, please visit our website at sfassessor.org. thank you for watching. evenin. we are now called to order. roll col, please. [roll call] >> thank you. >> section a general information. there's number one is accessibility information for the public. two propose changes to the agenda tonight. on february 25th, 2020, the

mayor london breed declared a local emergency to prepare for a possible outbreak. the san francisco department of public-health has subsequently announced recommendations to reduce the spread of covid-19 in that san francisco the city has blocked all non essential public gathering at city-owned facility and recommended that large conferences and gatherings be minimized for the next two weeks. accordingly i have proposed a revised agenda for the march 10th, 2020 board of education meeting. which we will follow tonight. all information at presentation and community advisory committee reports will be postponed to the future meeting. section b, opening items, approval of board minutes of the regular meeting of february 25th, 2020. we node a motion and a second. >> so moved. >> second. >> any corrections? >> roll call. [roll call]

that's that's four ayes. >> thank you. speaker cards for the regular agenda and closed sessio sessiou wish to residents a the board of education. they can complete a speaker card prior to the item being called and present it to the executive assistant to my right. members of the public have two minutes to address the board and or the time as set by the president. importantly, according to board rules and procedures, speaker cards will not be accepted for an item that is already before the board. so we have a number of speakers. signed up to speak so i call your name, please approach the podium. you have one minute for each speaker. i'm going to say it as one

because we're trying to truncate this meeting in order to avoid being in public. >> council. >> is that a permissable change of the rules? >> yes, president. >> we'll see michelle, anna dials, and tina morrer owe, christina sandoval tegis smith and jackie williams and rosemary sims. lori whiteside. eloise patten, don whiteside,

fatima patten, and i can't read the first name, last name looks like patterson. >> hello. >> is i start? >> ok. hi, i'm wolfy tobiason a junior in high school. i played chess since i was young and from it have reaped many benefits. chess teaches you to think a few moves ahead many of this is an important life skill. the ability to think logically, strategically has tremendous value. since i was in kindergarten i was able to play chess at school. i wish everyone could have this opportunity. i have a few requests for the school board. one, i would the school board to voice support for the schools and this could be in the form of a resolution for this initiative. three, as a service i would like

to in a member of the usd classrooms as we can and starting with the elementary schools. thank you for considering my offer. it would be my pleasure to combine my love of chess with helping students in my hometown. the report was from the agenda this evening so i'm reading a statement from the pack members and in addition i'm making the announcement the pack meeting scheduled for tomorrow night is canceled. pack members wanted to be present to make this statement but with the report removed from the agenda and no childcare provided it was not reasonable for them to attend. we, the members of the parent advisory council, support the voices of parents, students and staff in requesting that there be no cuts or layoffs that will negatively impact the experience of our students in the classrooms and at school sites.

we support making financial decisions that will protect our most vulnerable students and including but not limited to our foster youth, our homeless, our lgbt youth, newcomer students and our students who identify as members of the historically oppressed communities who have already experienced the systemic discrimination and we urge the board and the district to support efforts to secure funding from the city and resolution supported by supervisor gordon mar to dedicate 90 million-dollar yun in funding to sfusd. thank you. >> thank you. >> good evening, all guest present tonight. as the mother of two alumni of kip academy, bayview kip academy of san francisco i can say from the bot many of my heart how happy i am the fact that they have the opportunity to attend kip school here in san francisco. the academics are excellent and

the students are disciplined and school a very close to home. i'm over all very glad that kip in san francisco because the kids will be able to the greatness of kip education from such a young age than middle school. i believe that keeping the school here in san francisco will offer even more opportunities for kids in public schools, public housing, and like how bayview kip academy has done for my children. thank you. thank you. >> good afternoon. school board. i have a letter for superintendent dr. vincent matthews from the kip h elementy

parent board. i am a resident of bayview and have five grandchildren and graduate from malcolm x academy. it was designed to hold 450 students at best. now enrolled is 129 perhaps 130. do you think moving kip to treasure island will increase malcolm x's enrollment? why once again is the school district trying to set us up for failure. it's very disappointing, very disappointing. and i know that you know that treasure island is too far for our children and for our parents as well. if there's an emergency, if the child needs an epipen or to see a doctor, i don't know how they're going to do that of the please consider not doing this. thank you. who do i give this letter to?

>> good evening, ladies and gentlemen, my name is jaclyn williams. and i'm here to speak on keeping the kip school in hunters point because there might be relatives there that the kids could do to if their parents are working late or what have you. or aunts, cousins, whatever, they know the area and they can get to the respective place to go. the school should stay there. and i thank you very much. >> my name is christina santa val and i'm appalled and really pissed off at the fact that you

guys are choosing to move kids to treasure island. i advise you to come to bayview hunters point, never see none of you gis ther guys there in my l. you node to come and see all the kids that group together to walk to school together on the school bus. it's called a walking school bus that we do every morning to get our kids to school safely. they travel together. how are we going to ship our kids across town to treasure island when it takes us two to three buses to get off the hill? as me as a mother that already is been a resident of bayview hunters point, i totally disagree with this action that you guys are doing and i feel like i'm playing another victim of what i've already been immune to in bayview. you guys already have taken enough from us. do not take kip from us either. good evening, everyone.

my name is rose marie sims and i'm a bayview hunters point residents. i've lived there most of my life and raised my four children and now have seven grandchildren. most of my nieces and nephews have attended malcolm x. so, malcolm ex attendance and enrollment has been so low over the years and if it wasn't for kip coming in the school we wouldn't have our malcolm x there. i think it would be three detrimental to the parents and children because parents would have to bring their kids to treasure island. we have to think about the children and what it might not do to them. to not have their family in case something happens on the school grounds. i think children node to be considered before anything else. >> thank you. >> greeting president and all

board members and communities who are present. my name is deddra smith. i'm a proud resident of san francisco and i lick to share what i heard that it's a plan to transfer our babies to treasure island. i thought this is b.s. here we go again. who thought of this b.s.? why would -- i thought of this as b.s. and again here we go again. why would anyone think it's ok to bus babies to an island when it's an emergency that occurs you can't get on the island because of an accident or the traffic. this sounds lick a set up for a parent in our kids. if they're late too many times, there will be penalties. also, maybe be an expelled then you will be talking about taking our kids as in c.p.s. getting involved. the island is under construction for the next several years to

come. and some of the kids already have asthma, this is not about what is best for our kids, this is sounds like it's a hidden agenda for failure for our parents and children. we are not going to accept this. we are asking your support to please, not let this happen. keep our babies there in their communities. thank you. >> good evening, i'm a disgusted disturbed san francisco native. you have already taken my people, my culture, and now you are trying to take my education out of my community. by moving these kids from bayview hunters point which is a beautiful neighborhood and community to go to school at a construction site is totally unacceptable. there's too many trials and tribulations and hazardous things going on out there. give our children a chance to realize what we have left as a

community. let our kids grow up in the community that we grew up in. do take that from them that you have taken from us. i'm done with that one. >> hello. my name is jan butler and i'm against moving schoolchildren to treasure island from 94124 bayview. a lot of parents have been never been to the island before. it's presently under construction and there are two ways in and one way out from case of emergency, children would be separated from their families. this could be traumatic experience. my question is why are you constantly attempting to make us move out of district 10.

>> hi, my name is fatima patten. i have two grandchildren that go to kip bayview academy and it would be detrimental to them and me. it's much easier for me to get my grandkids to school and i refuse, listen to me, i refuse to let them go to treasure island. it always comes to -- i'm wondering if the majority of kids that was going to kip was caucasian would they be moved? thank you. >> how are you doing today. i'm a resident of bayview. basically, when i first heard that kip was getting moved, i thought the same thing was b.s. you know what i'm saying. what we can agree on, two things, in the morning it's

about timing and it's about kids don't taking up in the morning. it comes to the shower and the food and then you have to get them there on time and some sing mothers don't have course so it's the whole bus thing. going to kip is extra stress and they have to worry about their kid getting back. you know what i'm saying. i'm totally against it it don't make sense. me growing up, going to school it was like an escape from my neighborhood. you know what i'm saying. you sitting in class and you don't worried about getting shouted at so we want our kids to be able to make it to school on time and make it to school period. just like my mom said, when it comes to tardiness and absences, that's what gets c.p.s. involved and everything and they're going to be ready to take them. the first thing we want our kids to have in life is education.

you know what i'm saying. kids are our future and we can all agree. so, thank you. >> we're trying to keep public comment to a minimum because we have more than 50 people in the audience. turn the microphone back on. >> ok. >> good evening. hello to everyone. my name is ta leash a patterson and we're actually ex residents of san francisco because of this thing being gentrified and moved out. my children get up sometimes between 4:00 and 4:15 in the morning sometimes 5:00 to get to san francisco kip bay academy. and i drive from va laio, california to san francisco. in that traffic there in the carat minimum, probably an hour

and 25 minutes coming to san francisco and they have to stay here all day. it's ridiculous. to troy to get them on that island it's too much traffic and chaokay owes andchaos is you wor the tragedy so rethink your options. >> good evening supervisors. the board. my name is don whiteside and i have concerns about treasure island itself. i've been to kip academy and i've spent time there and i see what they're doing for our children. not just black children. i've seen latino children, i've seen other races, samoans, i've seen children. when you takeaway hope from a family that has no hope and i lived in san francisco all my life. i lived in great neighborhoods. i have seen great schools. but what you -- [please stand by] [please stand by]

>> the other issue that i wanted to bring up and ask at some point is nobody is going to give you a building, so i would think that you're going to have to pay a rent. if this board already has budget deficits, what sense does it make to rent facilities and all of the costs associated to bus us once again? i say no more. stop it today. thank you. [applause] [names read] >> we're limiting public comment to one minute.

>> section d, advisory committee reports, there are none tonight. e, consent calendar. we need a motion and a second on the consent calendar. >> so moved. >> second. >> items removed and/or corrected from the superintendent? >> first withdrawal is travel from wallenberg high school. second is a correction to the sex code to read 0107940-2020-1110-2100-5803-513 . >> thank you. any items for first reading on

the board? any items for sever, vote, and discussion tonight? thank you. roll call. [roll call] >> clerk: six ayes. >> thank you. g, proposals for action, there are none tonight. h, special order of business. superintendent matthews? >> tonight, we will be presenting the second interim fiscal year 2019. presenting will be megan wallace, our chief financial officer and deputy superintendent, i'm not sure if you wanted any opening -- >> on this item, can we get a motion and a second?

>> so moved. >> second. >> thank you.

>> i apologize for the wait. thank you. good evening, commissioners. i'm megan wallace, chief financial officer for the school district, and this evening, i'm going to present on the second interim report for fiscal year 2019-20. so first, as you know, the fiscal year 2019-20 began on july 1, 2019. the california department of education requires local education agencies, school districts, and county offices of education to provide two updates over the course of the fiscal year. in december, i came before you with the first interim report, and here i am today, presenting on the second interim report that identifies changes to the budget based upon adjusted fund balance, expenditures and

revenues, and any other balancing adjustments. before you is a resolution that identifies the positive certification stating that san francisco unified san francisco and school office will be able to meet its financial agreements of the year. as in the first report, there have been identified structural imbalances in our current year budget as well as fiscal year 20-21 and 21-22. however, i have developed a revenue outlook, and the district is currently underway with the process balancing our 20-21 and anticipated 21-22 fiscal year budget. first, i want to revisit what's

going on in our budget. sfusd has been operating on a deficit since 2016-17. we carried a healthy reserve in blue that helped allow the district to balance its budget with minimal impacts on its services. however, this fiscal year, we did run out of reserves and therefore are not able to absorb the growing costs of special education services, leaves for our employees, and other costs of keeping our district operating at our current or required levels of service. additionally, it's critical to acknowledge that in fiscal year 21-22, the district will no longer have in its reserve the

money to cover the living wages for educators act covered by prop g but subsequently is under litigation. this table is to help show the changes in our budget between the -- [inaudible] >> -- beginning fund balance, our required reserve, and our anticipated year end, and as you can see, we began this fiscal year anticipating a

10.8 million deficit. the relative good news that i have to share is that the current year forecast has improved that deficit? the overall deficit has been reduced by 9.2 million. now we're anticipating a 22.6 million budget shortfall this fiscal year. the projected shortfall for 2021-22 continues to be around $95 million. this table is intended to help illustrate the changes both between the current budget, the second -- first and second interim budgets compared to the improved budgets as well as the transition, changes between the first interim and second

interim. [inaudible] >> -- this is based on p-1 reporting of our average daily attendance within our district. additionally, by looking at the city's projections for sales tax, we were able to update our own forecast for sales tax by $3.8 million. however, that improvement in revenues was offset by growth overall in our expenditure forecast, and here, you can say that it's broken out in expenditures related to special education and other uses. first to focus on special education, you can see that in the first interim, i had

reported up to 25.4 million in additional expenditures related to special education services. however, now, i'm anticipating a $12.6 million increase, and that's through a combination of an improved outlook in terms of our staffing, and when i say improved, i just mean that it has a lower fiscal impact in the current year. in reality, due to the timing of hiring, we're seeing that the level of staffing -- the level of staffing that we're trying to achieve this year is slower. it just takes time to hire people, so we're anticipating that the overall cost this year is closer to $7.2 million, so that's a $7.8 million lower impact than had been anticipated. the other really good news, however, in this picture is new

revenues for special education funding for -- associated with pre-k students. this is a one-time funding source from the state. we are hoping to see some level of continuation in future years, but this is a higher investment than what we're expecting into the future. i do want to highlight some of the details of other uses. our leaves and substitutes costs are coming in at a higher level than what i had reflected in the first interim. staff took time to look at the costs of hiring substitute teacher to allow family and staff to go other leave and had increased the ask by $6 million

for families to go on leave. there are other increases. utilities and nursing contracts are two other significant areas that are newly identified in the second area, and we are identifying weakness in our recoveries for service related to medi-cal, that we are anticipating contributing to our medi-cal program when in fact we budgeted to fully offset those costs through revenues. i do want to highlight that with the -- with covid-19 becoming a high impact within our school district, let alone the city, state, and nation, that it is -- there are impacts that we may need to anticipate

to our average daily attendance, so we are working with acfs, and sales tax may be impacted as a result of people choosing to stay home rather than going out and spending their money in the city. so when it comes to balancing, you can see that this table creates that it's going to be now 22.6 million. overall, the solutions on the table have increased by 2.1 million, and you can see the current year balancing relies heavily on our ability to shift revenues onto one-time sources, and there's generally restricted sources such as p

and dcyf. another new item to lean upon is i have been savings on our reserve. we're required as a district to have 2% of our budget go towards maintenance costs. we are seeing some savings in that reserve, and we do have eligible expenses that i anticipate we'll be able to move onto that reserve, particularly for custodial services. it's important to highlight our multi-year outlook, so as i noted at the beginning of the presentation, we are anticipating 57$57.2 and $97.2 million of deficits in the coming year, so this illustrates the balancing plan

that i illustrated for you in the previous slide. and the next two fiscal years, you can see that we're anticipating $26 million coming from central services. we're currently working to determine how that will be split across the district, and also really thinking that there will be solutions that will come from cutting services at a particular site. you can see special education revenues, looking at options for early education are critical to looking at the district wide piece of this

puzzle. we do have 11.9 million in this part of the equation, and for us to finalize our budget in fiscal year 20-21, we will need to find solutions. i just wanted to make sure that we can share this calendar ahead, to show that in march 10, we're in the stages of school and school office budgeting. we will be back to talk about

solution trends and there's a lot of work to be done between now and june 9, which will be the timing of the first reading to the board of education in anticipation of the budget approval on june 23. so i ask this board to review the resolution, which states a positive certification, that san francisco unified school district and the county office of education will be able to meet its financial educations. as i've stated, we do have a budget imbalance this fiscal year, however, we've been working diligently to find solutions to help close our current year shortfall, and we're underway with developing a balancing plan for the future fiscal years, so thank you. >> thank you so much. we have a number of folks who are signed up for speaking on this item. when i call your name, please

come to the podium. you'll have one minute each. [names read] >> good evening. i'm susan solomon, president of united educators of san francisco. i don't understand how the board can vote on this. this is not the second interim budget, this is a report on the second interim budget. it's hard to know exactly what expenditures are and what the figures are. there are at least seven unions at the bargaining table right now. we do not have that report, and

it's not on-line, either. it's not on-line, it's not out there, so we don't know what you're talking about. we have concern about the last sentence. thank you. >> good evening, superintendent, board. i'm also concerned that you would make a positive recommendation. that means that you're able to

meet your budget. i've been to several different meetings and i've seen different numbers. i'm not sure what you're getting at. we need to see the actual budget report. $22.6 million actual budget deficit? last month, it was $26 million. you're asking the school sites to cut their budget. that's money that goes to the educators, to the students. and the schools haven't sent their budgets in yet. i heard it wasn't sent in until march 20. $9.2 million? where is that money? i'm very confused. please do not pass this

resolution. [applause] >> if i could just educate what the educators union president and other officers have said. i'm representing seiu field representatives, our custodians, our student service workers, we can all read a budget, but we haven't had an opportunity to do so. this is a presentation of the budget, but nothing that we can actually discern where the money is at, and you know that's where we want to know. we can justify those decisions as well as you can. please postpone this vote. please postpone this vote because it's not the transparency that's needed in the public arena, and you are public officials. we'd like you to be that. this is due diligence on your

part. remember that. please postpone the vote so all of us can have an opportunity to look at the budget. thank you. [applause] >> i am speaking to you today on behalf of the students at dr. cobb elementary school and other socially economically disadvantaged students within our current cohort. our teachers, staff, parent dos, and students are devastated by the current cuts. we are in danger of losing multiple teachers and staff. one of the well publicized sfusd priorities is to promote african american students and other diverse learners, yet --

a majority of our students and parents are overwhelmed just to get by day-to-day. 75% of our families fit the definition of s.e.s. our families are at a disadvantage and cannot at this time raise the money to fund our own support positions as many sfusd with strong p.t.a.s are able to do. please, the mtss -- okay. i'll stop. i have a full copy of the letters for each of the board members and dr. matthews. >> thank you. [applause] >> hi. i am here on behalf of another cobb elementary teacher. here is what she wrote. at the beginning of the year,

some students came in reading below grade level, and some students were reading at below pre-a. our rtip told me about the reading recovery program that she was going to implement with the group of my students that had the most need in reading and writing. through the reading recovery program, those students found their stride and ran with it. at the beginning of the year, they didn't know their letters, sounds, and their ability to read and write and confidence level. now they're reading and writing at or above grade level, and they're reading so fast. without that funding, i fear what next year will look like without that current position, so please help. [applause] >> good evening. my name is crystal, and i'm a

mother of three children currently in the sfusd system with a four-year-old on the way. i've been with my children in the system almost 16 years, and i think that with each year, the budget deficit increases, and it's ridiculous. like the lady before spoke, where is the money going? all we want is the transparency, and i think that it's ludicrous that the first thing that you guys decide to take away from is from the schools. the children are our future, so i would advise each and every one of you to go back to your core values where the first sentence of that core value says we put our students first. in which way in this situation are they being put first? they're not. i don't understand how a city who has almost 900,000 residents who pay taxes cannot afford a budget in our schools.

maybe the thing to do would be to forfeit your bonuses or the extra that you receive to ensure our children have a bright future. thank you. [applause] >> good evening. my name is crystal. i'm a fourth grader at dr. william l. cobb. i would like to speak to you about how the $26 million that might be cut from san francisco unified schools. it seems like you don't have the heart to donate money when you see we are struggling. students need all these teachers and support teachers and without them, we wouldn't be in the place we are in math, writing, and reading. also, i feel really disappointed and sad because i feel like you aren't even thinking where we will be without all these teachers. i've jumped so many levels in my reading, my writes, and my

math, because of all these teachers, i wouldn't be where i am now. so please don't take them away because they can help many other kids out who need them. that's why we need $26 million that you're trying to cut and don't take it away from san francisco unified schools. [applause] >> my name's azia. i'm a fifth grader at dr. william l. cobb, and i strongly disagree that you guys should cut $26 million from our schools. i know by losing some of our teachers and support staff, all of these teachers have helped me when i was down. they have taken their lunch break off to help me if i did not understand work. also every one of these teachers have worked hard to teach us. how do you know what they're going through already? can i ask you, if i took something really important from

you, how would you feel? so i agree that taking money from our schools is a real tragedy. [applause] >> good evening. my name is andrea. i go to cobb school. i am a fourth grader. i am upset because 26 million might be cut from our san francisco schools, and we might lose support from teachers who help us read, write, and do math. how would you be where you are today without your teachers? we care about our teachers, and i bet you cared about the teachers that cared about you. maybe you could ask large businesses to give money to our schools. [applause] >> hello. my name is nadia, and i'm in fifth grade. i go to dr. cobb elementary

school. if the district is voting to cut 26 million from schools, and if that happens, the kids won't learn. we need our teachers, we love our teachers. for example, when you were a kid, imagine one of your favorite teachers had to leave your school. how would that make you feel? also, how would that affect your future? we are the future of san francisco. also, just because you don't have enough money, you guys didn't take our teachers away from us. since san francisco is one of the richest cities, can't you find the money somewhere else, and thank you, guys, for coming out today. [applause] >> good evening. my name is gregory, and i am a teacher in the district. i would like to help the district and the board to come up with solutions as opposed to

budget cuts for the teachers. i do not believe that cuts are the solutions. i believe that we do live in the healthiest city in the world, and with that being said, i believe that we should find solutions to tax the wealthy. i just want to bring some practical solutions from other parts of the country. did you know that in cambridge, massachusetts, they spend $30,000 for their students, yet their homeowners pay 40% less property tax. cambridge taxes their biotech companies to educate their children. facebook could open up their checkbook and wipe this $26 million deficit out. i say don't vote tonight, please. postpone this and let's be aggressive in going after the tech industry, and let's go to court and ask gavin newsom to release those funds from the soda. thank you. [applause]

>> thank you very much. board members, anybody want to speak to this item? commissioner cook? >> i just want to thank everyone for coming out and speaking on the item, and especially students at cobb. i appreciate your comments tonight. can we just talk about the timeline and what -- in response to what voting tonight or postponing tonight would mean for the -- our legal obligations? >> i'm going to have deputy superintendent lee address this. >> so superintendents, this is one of two things that's required in each fiscal year, so the first interim report is based on the first four months

and submitted in december. the second interim report is through, i believe, january of each year and submitted in march. i'm not aware of any specific consequences for submitting past the deadline, but we typically do submit by deadline as it's march 17. >> >> givokay. so in terms of the other

reports that we're looking to get back from schools, is there something related to us internally looking to get the budgets back for the school year? can you speak to the timelines around our fiscal planning? go ahead. >> yeah. so we are in budget development phase, that --

[inaudible] >> -- and how we'll be developing those solutions. >> okay. that was -- sorry. that was my understanding, as well. so to close out this fiscal year, we're not making any midyear cuts. we found enough to finish 19-20, and the deficit that we're looking for some court of

cost reductions is in the upcoming fiscal year? >> that's correct. there is an item of tbd items for fiscal year 20-21. this is an area where we do need to continue to explore spend rates and i'm seeing some items on nonpersonnel general expenses that can help us balance that year. >> for the current fiscal year, is there any staffing at sites that we can -- the final thing

that we have in our budget on our desk, is this now available to the public? are we making copies to give to people? >> i'm happy to post that on our website. that is a draft. my understanding is that has not been historically posted on the website. i'm happy to do so-so that folks can review it, and i would encourage us through the upcoming budget and business services committee meetings to do some budget 101 really looking at our different types of expenditures, doing some analysis around trends and really having those conversations that are detailed in the budget. a lot of my presentations have been very high level. this is the problem, this is how we're going to solve for them. i would love to engage on looking more in the weeds and having the public engage on

that level. >> so i just saw mr. steel and miss casco go to the back, i would assume, to make copies, so this draft budget that we're talking about for the coming year will be available to you. nau [inaudible] >> okay. excuse me. i misspoke. >> commissioner? >> thank you for the clarifications to the questions. i do want to dive deeper around understanding the specific trends, line items, and projections for the coming two years. i'm comfortable with this year's analysis and in doing the one-time shift and balancing strategy, but i have so many questions related to the upcoming subsequent two

years, so i'm curious, you know, to -- given that we're -- there's no negative or we don't know what the impact is around -- if we were to decide or -- i'm comfortable with our budget remaining for the fiscal year 19-20, but i do have some major questions as we fulfill our duty on the board in the coming three months to look at the coming two years. >> so similar to what my colleagues have shared, i want to get a better understanding of what i'm voting on. so -- i mean, it's not clear to me, and it's not clear to the public, so making that as transparent as possible is really important?

i'm gathering that the vote will be for this -- the remainder of this fiscal year. is that correct? >> to be clear, the second interim report does include multiyear projections, so the primary focus is on the current year, which we have a strong balancing plan. for the following two fiscal years, those are -- we are -- the resolution will be certifying that we, in effect, believe that we can close these gaps, so i want to be frank that this --

>> i want to be sure on this before i vote on it. we've had lengthy discussions on different solutions and how we can ensure the least amount of impact at school sites. i'm hearing different things from different schools about their budgeting process. i -- there's still a possibility of us getting funding from the city, which we have to push for, and that could change the projection. i need the plan to be shared, or i need something in order for me to vote on this. even though there's a chance for a change in the next couple

of years or a chance positifor amendment, i would want to hear a plan before. >> maybe honing in on the central services and school sites solutions, central services, that our divisions currently have our budgets. we've worked very diligently as staff to develop and meet those plans for how divisions are going to meet their specific targets. we're trying to figure outweighs of using peak dollars, using opportunities for savings, so the items for district wide solutions, the main categories i always like to lean on are shifting cost to

prioritized sources. limiting supplies and vendor spending, just trying to find savings where we can look at trends and say hey, we actually budget more than we need in a given year, just trying to find ways on how much we hold back for budget on particular expenses. and then, there's, of course, finding more money to put on the table. and that's where special education revenue, early education are some really great examples that i believe will have tangible results in helping us balance. but i can't skip over that other t.b.d. that my staff and everybody in budget services are working to figure out how

we can do things differently in order to find that additional $11 million in savings. so i think the summary of all of that is is we're well in the thick of it. we're well underway in our budget development, so i don't have a plan to share with you that that would come forward in the proposed budget, but we have a couple of months of work ahead of us where i think the budget and services meetings will be that opportunity to make sure that people understand what is within our budget, and my assumption on those forecasts, so kicking the tires, so to speak, not only on the projections and this deficit outlook, but also talking about prioritization on expenditures. >> can i just add onto that, commissioners? so i just want to sort of

reinforce the point that chief wallace made that these interim reports, including the second interim report, which is submitted in march, the focus is really on the current year, updating the assumptions at a broad level, especially for the current year. and with respect to the current year and upcoming years, it's not that the county and l.e.a. and another district or county would have all the detail to represent a proposed budget. it's mostly at a broad level to certify that the district and the governing board feel confident that we can meet the

obligations to avoid a loss of local control. so even though there are a lot of decisions that me and you and the community are wrestling with, that we will have options to control our fiscal destiny rather than having -- looking to the state to provide, like, an emergency loan or point or overseer, so that's really the key certification for these fiscal reports, not the detailed, line-by-line budgets for the coming year. >> commissioner moliga? >> thank you for the presentation. there is a lot of questions i do have, also, and as i'm looking at the budget that you

guys just handed us -- and i do understand the timeline that we're on, right? and so -- but if there is an opportunity for us to be able to move this back so that we can get a clear understanding of what we're looking at, i think that would be the recommendation from me. and then -- i did have a couple questions. so there's a -- so if i'm looking at this, so we're all on the same page, okay? so that's the san francisco unified second interim budget for fiscal year 2019-20. and so, you know, as we start to break these numbers down, i'm really curious about -- i'm looking at page -- it's -- there's a section that says services and other operating expenditures, and there's a line item for professional/consulting services and operating

expenditures, and correct me if i am wrong, are we spending about $18 million there. >> i apologize. which page -- can you clarify which page you're on. >> these pages aren't numbered. >> got it. and actually, just to confirm, there are two reports before you. one is for the county education and one is for the unified school district. and it's in the first header. >> so this would be one, two, three -- on the county one, not the school district. >> okay. thank you. >> this would be the third page, i guess paper number four, actually -- no, not page. it'll be on the left side. >> great. >> okay. >> yep. >> and so -- so yeah, so if

this is what we're sending in, i i i'm curious to get a better understanding of current operating and expenditures for 18 million -- is that right? roughly $18 million? >> so just wondering what all that includes? >> yeah. >> so let me see, actually. i could really dig in if you'd like. i think just a summary of it might be -- actually, a quick walk-through of this document, you'll see at the header that it said 2019-20 general fund unrestricted. and as you make your way through the document, it'll show the unrestricted portions of the budget. and then, towards the end, it

combines. so this section is focusing on unrestricted. it includes all of central services, it includes student sites, so weighted student funding, mtss. so that budget then includes all the expenditures within central service department, and what are the costs of things like various contracts. i hesitate because some big contracts that we might see might be, like, excel, so for after school programs. i believe another portion of this would sit in here. another portion might sit in unrestricted because we get special ed finding. >> that's fine. is there a place we can go to find that? >> i think we need to dive into that level in our budget discretions, but i think the main take away that i just

really want you to have is this is both central services and school sites, so it's all of our schools, any services that are contracted out are represented in this line item, and central services certainly has a fair amount of contracts. any projects may be -- yeah, so i'm happy to share that in future reporting just because it is a particularly large line item. i think one main thing that we see in this budget, as you look at the different categories, is that it's mostly staff, and that when you make your way down into an area of professional services and see a big line item like that, i can understand why it would pop out, and i think that's a good one to elaborate on. >> okay. and then, i had the same question around just right on the right side, the next page. >> mm-hmm. >> all other transfers, and

then, total other outgo, excluding transfers and direct costs. >> yeah. so this represents the transfers primarily to special education, so -- so you're under the major header of other outgo, i believe, where the total is $44.3 million was the original budget, and $54.9 million was the board approved operating budget, so that's what's being represented in the second interim report. so you can see that there's a line item, all other transfers, it's object 72-281 through --

[inaudible] >> we just want to make sure that everybody knows both the district and the county interim reports are on-line, on google docs and boarddocs. >> and then, all copies are out? >> they're being made right now. >> they're being made right now. okay. so there's been some suggestions postponing the vote, and i think particularly around -- because people hadn't been able to see this, even

though it's a draft. so if we did postpone it, that would be the fallout, if any? you did address this earlier. >> so i -- we're not totally clear, to be honest, about whether there are consequences. i don't think there are, you know, specific consequences for submitting -- for submitting these interim reports to go past this deadline, but i want to confirm that with c.d.e. and the deadline is -- the official deadline is march 17, so with -- we have another meeting that's scheduled for next tuesday, but if we learn

something to suggest that that -- that passing it on the 24th would be problematic, then, it seems like that would might present an option, but -- but we -- we would want to confirm it, either way, with t.d.e. thank you. commission commission commissioner lam? >> what is the distinction between a positive certification and a qualified certification, and the level of impact is would have as far as, again, this report is submitted to the state of california and the state department of public institution? just wondering, again, what those are? >> i think it's just a difference in the language. positive certification states the district will be able to meet its financial obligations. a qualified certification states that we may or may not be able to meet our

obligations, and a negative is an outright we know that we will not. and in terms of implications, my understanding is even starting with a qualified certification, that the state may need to intervene and provide additional guidance to help close our deficit. >> and when we talk about guidance from the state, is that around governance or what type of support -- essentially, what type of path would this put us towards? >> we can team up on this, commissioners, chief wallace and i. but there are -- there are a range of -- of different actions that are -- that come into play when the district or county files other than a positive fiscal certification. so i'll just mention a few,

that if the district is qualified or positive, then typically, it would be a county office. in our case, it would be c.d.e. directly -- california department of education, would assign an expert to review the managing teacher's workforce, would require a report of cash flow expenditures and estimates, would review any post collective bargaining agreements, would approve any issue of debt. [please stand by]

>> don't they charge us for that too? >> yeah >> it's not cheap too. i would agree with the characterization that qualified certification is something to be avoided at all costs. we want to maintain control with our community of our budget. >> so if there's no objection, let's postpone, and then we will

find out if there's any penalty and if we need to have a special meeting to address this, we can do that. all right. thank you. >> thank you. >> all right. discussion of other educational issues, none tonight. j, discussion and vote on consent calendar items removed at a previous meetingsing, none tonight, k introduction of proposals and assignments to committee. public and board comment will take place following the introduction. i don't think we have any comment tonight. board policy 500, accountability, board policy 4033, lactation accommodation, 3600, consultants, board policy 5022, student and family privacy rights. the emotion second for first reading for the policy. >> so moved. >> second. >> thank you. >> any board comment on these first readings? unless i hear otherwise from legal council, i'm referring the

policies to the rules committee. section l, proposals for immediate action suspension of the rules, there are none tonight. m, board members reports. calendar of committee meetings. budget and business services wednesday april 1, 6:00 p.m., buildings grounds and services monday, march 23, 6:00 p.m., curriculum and program monday april 13th, 5:00 p.m., rules policies and legislation april 6, 5:00 p.m. ad hoc committee on personnel matters wednesday april 15, 6:00 p.m. ad hoc committee on student assignment, monday, april 20th. yeah. >> [off mic] >> sorry. april 20th, 6:00 p.m. and joint city school district and city college select committee, friday, march 13, 10 a.m. that meeting is at city hall legislative chamber. >> yeah.

mr. chairman, student assignment is meeting march 16th. >> all right. >> that was the plan. is there -- are we canceling committee meetings because of the -- >> no, no, i don't think so, not at this point. >> there will be an ad hoc meeting on monday, march 16 at 6:00 p.m. >> thank you. >> section n, other information item, one, initial proposal from international brotherhood of electrical engineers, local 6 to san francisco unified school district, 2, initial proposal from common crafts to san francisco unified school district. three, initial proposal from services employeesber national union, local 1021 to san francisco unified school district. four, initial proposal from union of operating engineer, local 39. five, quarterly report.

section o is memorial adjournment. we have none tonight. at this time we will take public comment for those who have submitted speaker cards. i don't think we have any. so we are going into recess. >> reconvening open session. number one, vote on student expulsion agreement. i vote on the expulsion of one student for the remainder of spring semester of 2020 and fall semester 2020. do i have a second? >> yes, second >> roll call. >> thank you. [roll call vote] thank you. >> number two, vote on employment contracts from chief executive employees.

none tonight. three, report from closed session. in five matters of anticipated litigation, the board by a vote of i guess 6, one absent, provided direction to general counsel in the matter of george washington high school alumni association the california public benefit corporation v. >> [off mic] >> forget i said that. >> [off mic] >> the board by a vote of six ayes one absent approved a contract of two principals. the board by a vote of six ayes one absent approved a contract of one program administrator. this meeting is adjourned. [please stand by]

>> mayor breed: thank you. welcome to chinatown. thank you, supervisor peskin to allowing us to come and hang out with you today. i am san francisco mayor london breed here with many members of the board of supervisors, state officials, sf travel, wow, a lot