Board of Supervisors Tues Mtg 09-29-26 · Upper Lake Unified School District Borrow Request

At its September 29, 2026 meeting, the Lake County Board of Supervisors heard a report on Upper Lake Unified School District’s request for up to $2.5 million as an advance against future property-tax revenues. County staff said state law makes the advance a mandatory county duty in this case, the requested amount is within the allowable limit, and it would be provided as a credit line so the district borrows only what it needs. The county expects to recover the funds from December and April tax receipts, with full recovery expected by April; if the amount were outstanding for a full year, the county estimated more than $100,000 in foregone investment earnings, which would also be recovered. No vote or formal action was taken on the request, and staff said any additional borrowing would require a different process and full Board approval.

Supervisors and public commenters raised concerns about the district’s finances, transparency, spending, and potential effects on other participants in the county investment pool. County staff said they could track repayment but have limited authority to monitor how the district uses the funds. Lake County Office of Education reported that it is working with the district on a fiscally solvent 2026–27 budget, has declared a lack of going concern, and that the state’s FICMAT team will evaluate the district’s fiscal health. The Board concluded no further action was needed on this item; procurement activity was not identified.