Not only is its current budget more than $3 million in arrears, but trustees of the Cypress Elementary School District also learned at its regular meeting Thursday that without hard decisions, the system faces even more red ink in the future.

“This isn’t just a Cypress thing,” said Interim Supt. Dr. Timothy McLellan, adding that “this is what a lot of California school districts are experiencing.”

While the financial picture was less than rosy during what turned into a five-hour marathon workshop that laid bare the district’s dwindling finances, the Board of Trustees did manage to get a detailed analysis of the system’s financial structure, including Fund 40.

Fund 40 is where the district’s investments into private apartment complexes are kept and spent, as the board spent nearly two hours hearing an explanation.

Cypress, like other districts, is experiencing declining enrollment. Two decades ago, the board apparently formed a committee to deal with underutilized sites, meaning sites that had been closed then for declining enrollment.

The district then had six surplus sites, which included MacKay Elementary, which had already been closed for years, and Dickerson Elementary, which had been closed in 2009.

The Board then agreed to sell both surplus school properties for more than $30 million, and they in turn, signed an “exchange” for the real estate.

The Cypress School District acquired two SoCal multifamily properties totaling 81 units in a deal valued at $26.7 mil, or about $330k/unit. The revenue from this investment was expected to support local educational programming for students of the Cypress School District.

One of the properties is Coast Apartments, a 65-unit multifamily property located at 400 Merrimac Way in Costa Mesa, which was acquired for $20.05 mil ($308k/unit). The other purchase was for Azure Apartments, a 16-unit building located at 2704 Vanderbilt Lane in Redondo Beach. That acquisition went for $6.65 mil ($416k/unit).

In the analysis requested by the board at the last meeting, Assistant Supt. for Business Affairs, Dr. Larry Ferchaw told the Trustees that the larger complex produced approximately $415,000 in profit last year for the system, while the smaller complex produced $261,000 in rents, etc.

He said Fund 40 has a balance of over $11 million and noted that the board was using transfers from the fund to “stay solvent.”

Ferchaw and Interim Supt. McLellan took the board through a masterclass in restricted vs unrestricted funding, reserves, etc. and noted that following the pandemic, “students’ needs have increased.”

The district, with a budget of more than $55 million, is running a deficit this year of more than $3 million. “The question,” asked Ferchaw, “is where did all the money go?”

“I think the answer is it went to provide services and support to students,” said Ferchaw. “Every dollar we spend goes toward staff,” he said, noting that the district “is in the business of educating students. It’s what we do, we employ people to provide services to students.”

In short, Ferchaw pointed out in one of the many charts shown to the board that since 2015, district staff has grown 29% (denoted by a red line) while, at the same time, the board has experienced a 21% (denoted by a blue line) decrease in students.

“So, the chart in red, is the thing we spend money on and the chart in blue is the thing that generates the funding. And they’re going in opposite directions and that’s going to lead to the challenge we are seeing today,” said Ferchaw.
“We cannot continue to increase or maintain this level of staffing,” he said.

Ferchaw introduced Greg Magnuson, a financial analyst provided to the district by the county education department to assist in helping the district better understand its financial situation.

Magnuson said most districts had staffed up because of the pandemic and are having similar problems. He said during the first year of COVID, “everybody was taking a hard hit and the state was trying to figure out how to make ends meet,” he said.

He explained the state’s funding formulas in detail and explained that the state has even gone to an “averaging” formula for daily attendance that allows school districts to reach back into years when attendance was higher to “average” out numbers to submit for funding.

School districts each get about $11,000 per student, although there are numerous exceptions and special formulas for special ed, etc. Nevertheless, Magnuson said as a result, Cypress School District was paid for 458 students in 21/22 “that were not in the district.”

Even with the averaging, he said Cypress is “losing 100 students a year you didn’t have.”
He said the state has been provided “one-time” funding to districts as they try to wean themselves from the COVID ramp up, coupled with dropping attendance.

Moreover, he said that if Cypress takes no action, they could end up with a $5 million structural deficit by the 28/29 school year.

The county education executive said it is understandable that “this squeeze hurts any school district that has an operating structure that, because we support kids, nobody wants to take away from it so there’s got to be some affirmative action to try and resize as this kind of phenomenon occurs.”

The Cypress School District demanded the full workshop on finance at their last regular meeting as they grapple with ways of dealing with the inevitable.

The board continues to circle the Fund 40 balance of $11 million, which could alleviate some pain this year.
Ferchaw explained the fund also provides for maintenance and other issues but said there is likely more Fund 40 can do to help.

“We’ve had a good discussion,” said Ferchaw.

“With Mr. Magnuson and the county’s continued support, looking at short and long-term ways of addressing the district’s deficit, continuing to look at utilization of Fund 40…we’ll come back with an identifiable, sustainable amount of funds from Fund 40 that we can use to prop up the general fund on an ongoing basis,” he promised the board.

In other action, the board approved a contract for McLellan, paying him a daily rate of $1118.45 per day, based on a 225-day year, until a new Superintendent is in place.

According to a schedule presented by McLellan to the board, given recruiting process and approvals from stakeholders involved, it could take until August or September to seat a new Superintenent for the system.

Also, on Thursday, the board voted 4-1 to censure Trustee Meghna Parikh for unspecified actions last year for which she took full accountability.

The action will not hinder her position nor affect her representation in any way, board officials said.
The Board praised the presentation of the Arnold Elementary Debate team, as Parikh, an attorney, said “my heart is filled with joy” watching them and suggested they consider a mock-trial as a next step.

By Alizabeth Martin

On April 24, The Youth Center and Rotary Club of Los Alamitos, Seal Beach and Cypress will host its 14th annual A Night Among the Stars (ANATS) ceremony, celebrating 20 outstanding youth nominees recognized for their dedication to service and community involvement. Adonis Cardenas, Danika Mei, and Kayla Teng are three of this year’s nominees who are especially committed to making a difference.

Adonis Cardenas

Adonis Cardenas is an 11-year-old sixth grader at Frank Vessels Elementary in the Cypress School District who has already made a meaningful impact across multiple communities through his dedication to service. Outside of his hobbies, including learning new sports, instruments, and recipes, Adonis is actively involved in the Leos Club and the Greek Orthodox Youth of America (GOYA). He continually looks for ways to support others and contribute to something larger than himself.

“I thought I could give back to the community and to the people who need it. I started helping, and my mom encouraged me to do more,” Adonis shared, explaining what inspired him to begin serving.

Through GOYA, Adonis participates in events that bring people together, including the Seal Beach Fish Fry, where he enjoyed helping and cooking. “It was a time to be happy and meet people you might not know,” he said.

In the Leo Club, part of Lions International’s youth branch, he helps pack backpacks with supplies and create blankets for those in need. He also supports FOCUS SoCal by packing food boxes and serving families facing hardship.

“It’s not just about me. It’s about how other people feel. I’ve learned to put others’ needs before my own,” Adonis said.

Adonis’ creativity shines through his work. He has built a bike, enjoys face painting at community events, and even won a T-shirt design competition at his school. He approaches everything he does with intention and pride.

He encourages other youth to “drop the cool act” and start helping out. “You get this warm, fuzzy feeling inside. Even if it’s hard work, the work is good,” he said.

For Adonis, being nominated for A Night Among the Stars (ANATS) means something truly special and motivates him to continue serving others.

Danika Mei

Danika Mei is a 17-year-old senior at Troy High School in the Fullerton Joint Union High School District with a strong passion for drone and aerospace technology.

“I like to fly drones, code with them, and work on unmanned aerial vehicle projects that have real-world applications to better people’s lives,” Danika explained.

She is committed to sharing her passion for STEM with younger students.

“Exposing youth to aerospace early on can foster interest and create formative learning experiences they will want to continue pursuing,” she said.

When Danika joined her school’s Drones4Kids club, there were only five members. Determined to grow the program, she recruited peers and expanded participation to 30 members, including students from other high schools. The group has hosted more than 80 drone education events at libraries, schools, and STEM fairs.

Danika was especially motivated to encourage young girls in STEM after noticing gender disparities at events. This led her to found DronesByGirls, an initiative that creates opportunities for girls to explore aerospace in a supportive environment. She has partnered with organizations such as the Orange County Girl Scouts to host STEM-focused events.

“Being nominated means I’ve made a positive impact by giving children access to hands-on aerospace technology they might not otherwise experience,” Danika said.

Kayla Teng

Fifteen-year-old Kayla Teng serves as Vice President of Creative Engagement for The Youth Center Leadership Council, where she brings creativity and purpose to everything she does.

In her role, Kayla collaborates with her team to develop engaging program curricula and leads publicity efforts through social media. Her design work is inspired by platforms like Pinterest and Instagram, and she uses tools such as Canva and Adobe Illustrator to transform ideas into impactful visuals that enhance outreach.

For Kayla, leadership is rooted in communication and trust. “Leadership means delegating effectively and maintaining strong communication within the team and with executive leadership to achieve our goals,” she said.

Beyond her technical skills, Kayla is deeply committed to making a difference. She encourages others to get involved, highlighting the Leadership Council as a meaningful way for youth to engage with their community.

Being nominated for A Night Among the Stars (ANATS) is both an honor and a motivator. “I am incredibly grateful to be nominated. It is rewarding to have my work recognized, and it pushes me to continue serving and working hard,” Kayla said.

Alizabeth Martin is The Youth Center Marketing Intern

After years of working with Orange County Traffic Engineers, the Rossmoor Community Services District has relentlessly pursued solutions to problems associated with growing traffic and lately, electric bikes moving through this iconic community of more than 11,000 residents.

At a recent meeting, the District’s Board of Directors gave final approval to an ordinance to mitigate the growth problems related to the proliferation of electric bikes in the community.

Electric bikes have only added to the growing transportation problems of the district, directors say, and members of the board were hopeful that the new ordinance will have an impact.

General Manager Sharon Landers presented a body of evidence to the Directors illustrating significant impacts and destruction caused by the abuse of electric bikes in the community’s green spaces and public parks.

While electric bikes are one aspect of transportation, Directors are also looking at more long-term traffic problems.

Many transportation issues still exist and Directors held an open discussion at their March meeting with the Orange County Traffic Department.

Last year, Rossmoor residents overwhelmingly rejected a revamp of the district’s street network that OC Traffic Engineers had worked on for more than two years.

Traffic engineers representing the OC Public Works Department developed a comprehensive plan that included so-called “round-about” traffic circles, an option which residents overwhelmingly rejected when they had a chance to vote on the plan.

Nevertheless, Wei Zhu, P.E, T.E., PMP. M., ASCE, a Senior Civil Engineer in the Orange County Public Works Department, Ms. Zhu, and two team members from the team responsible for many key services in the Traffic Engineering and Development Support unit were back, this time to discuss school safety and parking.

She said the committee planned to hold a meeting later in the week with its own Traffic Committee to discuss adding an adult crossing guard to Lee Elementary School.

Moreover, Ms. Zhu said she would explain exactly how the investigation into the recommendation took place.

“I understand that you guys want to understand how we do this, so I’m going to use this opportunity to try to explain what data we need and what criteria we’re looking into, and then based on that analysis, how we come up with our recommendation,” the engineer said.

Zhu has studied the dynamics of traffic in Rossmoor for years, so during the discussion, she routinely used real-time data to explain the methods the OC Traffic Engineers had used to deal with the district’s traffic problems.

Regarding the District’s request of either providing a stop control or an adult crossing guard at the intersection of Foster Road and Silverwood Drive (next to Lee Elementary) to enhance its safety, Zhu explained a new option.

Zhu said both streets were standard, 36-foot, curb-to-curb pavement with parking on both sides. Speed limits are 25 mph on both, though Foster is a connecting route.

Using school times (start at 8:05 a.m.), Zhu recited traffic counts for area streets. In addition, she said the intersection was tested against criteria to qualify for stop control, and then the three criteria necessary to qualify for an adult crossing guard.

She said Foster and Silverwood failed to meet the minimum of the required 500 (cars) daily traffic count, with 370 for Foster and 360 for Silverwood. Zhu said the intersection also failed to meet the accident test, with no records of collisions or accidents at this location.

Zhu said OC Traffic Engineers used other criteria to enhance safety so that they did not have “to add a stop sign at every single intersection, even those with minimal traffic counts.”

Zhu also explained the three additional criteria that govern an OC Public Works standard for approving an adult crossing guard decision, noting quickly that the intersection meets all of the criteria to qualify for an additional crossing guard.
She also explained an alternative solution for parking, another pressing Rossmoor problem.

Zhu explained the rules that would govern parking along marked curbs on Hedwig Road. She said the problem with dedicated street parking is that the north side, where the parking would be most prevalent, is also the residential side of the street, and such parking could impair the vision of neighbors who live there as they are trying to back out of their driveways.

Rossmoor Director Tony DeMarco, head of its Traffic Committee, urged the County to go easy on “the county standards” that govern all the unincorporated areas, saying some may not apply so automatically in Rossmoor.
For instance, the five-accident standard in the stop control protocol.

“I think to myself, are those just, you know, casual accidents. Are they resulting in a death? I mean, the community should dictate a lot of these…it could make our community safer,” he told the OC officials.

“There are a lot of intersections in Rossmoor that have blind spots that, at least under the county standard, and some intersections should never have a stop sign because it doesn’t trigger,” he told Zhu.

Lately, however, DeMarco said things have changed, and he thanked the OC Public Works Department for installing many new stop signs in Rossmoor.

DeMarco commended the County “for putting in some stop signs that should have been put in a long time ago.”
Finally, it appears as though Rossmoor may get a representative on a county traffic committee.

Two months ago, County Supervisor Janet Nguyen requested that the county-wide traffic committee, an advisory committee that makes traffic recommendations for the Board of Supervisors, add a representative from her district to the panel.

One of the engineers accompanying Zhu told the Directors that the committee’s by-laws will be amended and Supervisor Nguyen will be appointing someone from the 1st District to serve on the expanded Orange County Traffic Committee.

“I think it would be great to have someone from RCSD serve as part of that committee,” they told the board. “If anyone is interested, reach out to the Supervisor’s Office or to us, and we can relay that interest to her office.”

Finally, responding to a question from Director Mary Ann Remnet, Zhu said they have requested a third party take a second look at the Local Roadway Safety Program they have already developed.

The OC Traffic Engineer said it’s a good idea to take a “holistic approach” to transportation solutions, noting that many times, they see “good suggestions” or “fresh ideas” emerge.