In Stanislaus County, a total of $85,492,119 was taken out of school-allocated property taxes to pay unrelated State obligations in 2010-2011. $70,703,911 was redirected to satisfy the State's VLF backfill obligation. $14,788,208 was redirected to pay for the State's 2004 Economic Recovery Bonds. In 2011-12, a total of $85,262,582 was taken.
It represents redirection of one property tax dollar out of every four in the county -- going not to the schools, but to pay the state's unrelated obligations.
In 2011-12, Stanislaus County K-12 schools saw over $181 million of state funding arrive after the end of the school year, $133 million of which was formal deferrals. In 2012-13, this dropped to $116 million (thanks to Proposition 30), of which $99 million was formal deferrals. For this June (2014), $58,758,669 of deferrals have already been announced for Stanislaus County's K-12 districts, with roughly another 50% anticipated as part of the Second Principal Apportionment in June. An additional $9 million in deferrals is expected for Yosemite Community Colleges.
Stanislaus County schools will probably not see a penny of their property tax diversion repaid by the end of the school year. On average, school districts in California recoup about 30% of their 'guaranteed' loans to the state.
Can Stanislaus County schoolchildren really afford to serve as the state's bankers -- interest free and repayment negoatiable? No. Stanislaus County suffers one of higher LCFF deficits in the state -- requiring 65% more funding to reach its per-student LCFF target.
Source: State Controller's Office, Local Government Reporting Section. (City and county detail shown in the reports, totals upon request from the SCO.) California Department of Education, First and Second Principal Apportionments.
Stanislaus residents and officials may be excused from knowing about this diversion, since the Annual Financial Report published by the Auditor-Controller fails to note that over a third of School District-allocated property tax never gets there. Below is page 124, which states that over 70% of the General Levy goes to School Districts (and, per Note (1) the Superintendent of Schools). Since 25% of all property taxes are diverted from School Districts to satisfy the State's unrelated debts, 45% is a more accurate percentage.