Capitol Alert
The latest on California politics and government
June 29, 2010

A record 174 of California’s school districts have been identified as financially troubled by the state Department of Education, 38 percent more than appeared on a January list.

State schools Supt. Jack O’Connell said today the increasing number of distressed districts, including 14 receiving “negative certification” that could come under state supervision, reflects their declining state and local tax revenues. He termed it “a period of unprecedented fiscal crisis.”

O’Connell, who is leaving office at the end of this year, released the list as Gov. Arnold Schwarzenegger and legislators wrangle over how to close a $19-plus billion state budget deficit with education finance, roughly 40 percent of the budget, a major issue.

The 174 troubled districts are about 16 percent of all school districts in the state, but include many of the larger urban districts, including Los Angeles Unified, the nation’s second largest school system with a $6 billion annual budget.

The full list can be found here.