CUSD Financials in 2024

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CUSD is about to transition from LCFF (Local Control Funding Formula) to Basic Aid in 2024-25.

California K-12 public schools have two funding models: LCFF and Basic Aid, with California setting an entitlement per ADA (Average Daily Attendance). If the school district revenue from property taxes and other sources is less than the entitlement, the district will be funded by LCFF via state funds. Otherwise, the school district will be funded by Basic Aid via property taxes.

If school district is funded by LCFF, the total revenue will be related to enrollment. The more enrollment (ADA) there is, the more revenue the district receives. If the school district is funded by Basic Aid, its total revenue will be based on the total amount of local property tax, and not related to enrollment anymore.

From Santa Clara County Tax Allocation, CUSD should receive 24.75% of the property tax (FUHSD receives 16.71% of the property tax). The total property tax rate is about 1% of accessed value.

CUSD also has two active bonds which are at 0.0357% in total. For $100K accessed value, CUSD should receive $247.50 from the 1% property tax plus $35.70 from active bonds. As a comparison, FUHSD receives $167.10 from the 1% property tax plus $44.10 from bonds.

From CUSD 2023-24 budget, the revenue for CUSD is $207M in FY 2023-24, a 12% (or $28M) decrease compared to that in FY 2022-23 due to reduction in Federal, State (other than LCFF) and local revenues. But the total expenditures are $223M. So CUSD has a $16M deficit in FY 2023-24.

Within the $223M expenditures, about $185M are for employee (teachers and administration positions) salaries and benefits.

Compared to FY 2022-23, the enrollment in FY 2023-24 decreased 1.5% (from about 13,700 to about 13,500).

But the total budgeted FTE (Full Time Employee) in FY 2023-24 is 1502.540, an increase of 53.491 (3.7%) compared to FY 2022-23 (1438.174).

Budget for FY 2024-25

CUSD passed a stunning budget for FY 2024-25 with more than $33M deficit. The expense is more than 10% compared to previous year. Below is a summary of the budget.