South Monterey County Joint Union High School District, located in Greenfield and King City, has been overseen by the state since 2009, when the district received an emergency state loan of $13 million after facing financial hardship, mainly related to collective bargaining during the Great Recession.
State oversight will end in October because the district has repaid the loan in full and met Fiscal Crisis and Management Assistance Team standards, including community relations and governance, financial management and pupil achievement.
District Superintendent Caroline Cota says the district has until August 2029 to pay its debt, but it is ahead of schedule. “We had enough in our reserves to pay it off. There was no reason not to just pay off the loan early,” Cota says.
During receivership, the superintendent departed, the district lost local control and the state oversaw spending. Over the past decade, the district regained partial local control but still has an appointed trustee overseeing the school board to ensure the district is making responsible financial/educational decisions.
Duane Wolgamott, a trustee appointed by county and state education officials to oversee the district, and Christy White, an external auditor who reviewed the district’s finances, recommended starting the process to exit state control.
In August, Monterey County Superintendent of Schools Deneen Guss sent a letter to the state announcing the district’s improvement. “This transition marks a significant step toward full local control and reflects a deliberate and evidence-based determination of SMCJUHSD’s readiness to independently manage its fiscal responsibilities,” Guss wrote.
Cota says coming out of receivership will help Measure J, a measure that seeks to reorganize three school districts into TK-12 districts in Greenfield and King City, respectively.
SMCJUHSD and MCOE will celebrate the district’s milestone on Wednesday, Sept. 30 at King City High School.
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