A recent investigation by the Fiscal Crisis Management Assistance Team has revealed that Plumas Unified School District (PUSD) is facing a projected $8.7 million shortfall for the 2024-2025 fiscal year, which is expected to escalate to approximately $24 million over the next three years. This dire financial situation has prompted the PUSD school board to seek a $20 million emergency loan from the state legislature, with a decision anticipated by July 1.
If the loan is approved, PUSD will enter state receivership, placing the district under the control of a state-appointed administrator. This administrator will take charge of district leadership, making critical decisions while the school board will assume an advisory role. The state education board will also have the final say on recommendations made by the superintendent.
The Fiscal Crisis Management Assistance Team, represented by CEO Mike Fine and Chief Analyst Tamara Montero, held a listening session in Quincy on June 17 to gather public input on the qualities desired in the new county administrator. Attendance was low, with only nine members of the public participating. The administrator’s key responsibilities will include reducing the district’s annual budget by $8 million and overseeing the repayment of the loan, which will cover both principal and interest.
Fine indicated that any sale of district property would contribute to loan repayment, and there would be staffing cuts as part of budgetary reductions. Options for generating revenue, such as a potential tax measure, may also be explored.
Progress will be assessed against 153 standards established by the California State Board of Education, covering various areas including fiscal management and student achievement. Five expert teams will evaluate the district over a six-month period starting in August, with annual evaluations planned thereafter. Successful improvement in scores could lead to the state administrator stepping back from oversight.
Community members expressed concerns during the meeting, particularly regarding the potential negative impact of state receivership on student enrollment. Fine emphasized that while challenges exist, PUSD has many positive attributes, such as well-maintained facilities and qualified teachers.
In selecting a new administrator, desired qualifications include prior experience in fiscal recovery, strong leadership skills, effective communication, and an ability to address conflicts. Fine encouraged the public to provide further input through email.
