CUSD faces state takeover

Financials look bad and the district may need to take out a loan from the state

At last week’s Chico Unified School District board meeting, members and the public received some grim news: Without making further significant cuts to the budget, the district faces a takeover by state officials, according to an Enterprise-Record report.

Sheila Vickers, who oversees the CUSD budget for the Butte County Office of Education, delivered the sour news shortly after Jan Combes (pictured), assistant superintendent for business services, offered details on the district’s finances, which don’t look good come November.

When the CN&R last checked in with Combes, the financial outlook was considerably brighter. Now, she says, the district will have about $500,000 in its coffers next month.

Vickers urged the board to seek a state loan, even though approval of said loan would mean the district would go into “receivership,” meaning the state would take the reins. Getting out of such a situation is particularly difficult, so it is not a preferred option. Nonetheless, the board voted unanimously to start the loan-seeking process.