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	<title>Comments on: Keeping a close watch on the cash flow</title>
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	<link>http://www.ibabuzz.com/education/2008/12/11/keeping-a-close-watch-on-the-cash-flow/</link>
	<description>Katy Murphy&#039;s blog on Oakland schools</description>
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		<title>By: The impasse is over, but budget cuts are ahead - The Education Report - Katy Murphy covers what&#8217;s going on in the Oakland schools</title>
		<link>http://www.ibabuzz.com/education/2008/12/11/keeping-a-close-watch-on-the-cash-flow/comment-page-1/#comment-19160</link>
		<dc:creator>The impasse is over, but budget cuts are ahead - The Education Report - Katy Murphy covers what&#8217;s going on in the Oakland schools</dc:creator>
		<pubDate>Fri, 20 Feb 2009 19:42:59 +0000</pubDate>
		<guid isPermaLink="false">http://www.ibabuzz.com/education/?p=2981#comment-19160</guid>
		<description><![CDATA[[...] cuts to education and social services, along with a tax hike. This means the state has averted a  doomsday cash flow scenario, at least for now, and that schools can actually start planning ahead &#8212; or planning their [...]]]></description>
		<content:encoded><![CDATA[<p>[...] cuts to education and social services, along with a tax hike. This means the state has averted a  doomsday cash flow scenario, at least for now, and that schools can actually start planning ahead &#8212; or planning their [...]</p>
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		<title>By: Jim Mordecai</title>
		<link>http://www.ibabuzz.com/education/2008/12/11/keeping-a-close-watch-on-the-cash-flow/comment-page-1/#comment-19159</link>
		<dc:creator>Jim Mordecai</dc:creator>
		<pubDate>Thu, 11 Dec 2008 19:02:16 +0000</pubDate>
		<guid isPermaLink="false">http://www.ibabuzz.com/education/?p=2981#comment-19159</guid>
		<description><![CDATA[If Jack O&#039;Connell follows FCMAT recommendation and turns the remaining two management areas over to the Board, there will still be State control because the State take-over law requires a trustee that can veto any action of the Board regarding expenditure of money until Jack O&#039;Connell dismisses the State Trustee.  And, there is little chance the State Trustee will be dismissed prior to paying off the debt owed the State.

Alexander Hamilton said something to the effect that who controls the purse strings controls the government.  Maintaining state veto control of the budget is controlling the District&#039;s purse strings and a not insignificant thing that should be ignored.  A Tribune headline said something about the State&#039;s leash on the Board is being released and local control is returning.  But, a more accurate view might be that the choke collar has been replaced by a leash held by the State trustee.

In reference to cash flow will the job of State Trustee pay more or less than the job of State Administrator?  If the Trustee worked with more than one district emerging from State control perhaps Oakland could split the cost of its Trustee and reduce the cost of State control that is paid out of ADA of Oakland&#039;s children.

In order for the State to make its cash flow it can fall back on issuing I.O.U.s or State script.  If Oakland has the same capacity it can issue script to its new Superintendent but not to its new Trustee because the State takes payment for its Trustee before State issued ADA revenue is sent to OUSD.

Also, in reference to cash flow the search agencies for a new and permanent Oakland Superintendent are estimated to cost $40,000.

Right now Oakland School children&#039;s ADA is paying for a Board Interim Superintendent and State Administrator.

The future is paying for both an Oakland Superintendent and State trustee.

Yet, no matter if Jack O&#039;Connell restores full power of management of the District to the Oakland School Board such a change means the charges against ADA likely remains the same although the responsibilities of a State Administrator and a State Trustee seem less.

Jim Mordecai]]></description>
		<content:encoded><![CDATA[<p>If Jack O&#8217;Connell follows FCMAT recommendation and turns the remaining two management areas over to the Board, there will still be State control because the State take-over law requires a trustee that can veto any action of the Board regarding expenditure of money until Jack O&#8217;Connell dismisses the State Trustee.  And, there is little chance the State Trustee will be dismissed prior to paying off the debt owed the State.</p>
<p>Alexander Hamilton said something to the effect that who controls the purse strings controls the government.  Maintaining state veto control of the budget is controlling the District&#8217;s purse strings and a not insignificant thing that should be ignored.  A Tribune headline said something about the State&#8217;s leash on the Board is being released and local control is returning.  But, a more accurate view might be that the choke collar has been replaced by a leash held by the State trustee.</p>
<p>In reference to cash flow will the job of State Trustee pay more or less than the job of State Administrator?  If the Trustee worked with more than one district emerging from State control perhaps Oakland could split the cost of its Trustee and reduce the cost of State control that is paid out of ADA of Oakland&#8217;s children.</p>
<p>In order for the State to make its cash flow it can fall back on issuing I.O.U.s or State script.  If Oakland has the same capacity it can issue script to its new Superintendent but not to its new Trustee because the State takes payment for its Trustee before State issued ADA revenue is sent to OUSD.</p>
<p>Also, in reference to cash flow the search agencies for a new and permanent Oakland Superintendent are estimated to cost $40,000.</p>
<p>Right now Oakland School children&#8217;s ADA is paying for a Board Interim Superintendent and State Administrator.</p>
<p>The future is paying for both an Oakland Superintendent and State trustee.</p>
<p>Yet, no matter if Jack O&#8217;Connell restores full power of management of the District to the Oakland School Board such a change means the charges against ADA likely remains the same although the responsibilities of a State Administrator and a State Trustee seem less.</p>
<p>Jim Mordecai</p>
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