School Board President Calls for Emergency Amendments to School Tax Sharing Agreement with CCDC

Board President Richard Barrera has proposed that the CCDC tax sharing agreement be immediately amended by the City Council to provide emergency funding for preserving student educational programs in CCDC project areas and throughout the district.

In a letter entitled Emergency Amendment to the CCDC Tax Sharing Agreement , dated Feb. 25, addressed to Mayor Jerry Sanders and Members of the San Diego City Council, Barrera emphasizes that San Diego Unified faces a $120 million deficit that will force class sizes for kindergarten through 3rd grade to increase to 30 students per teacher. He states that the district will be required to lay off hundreds of teachers, counselors and nurses serving all students.

In the face of Governor Brown's proposal to eliminate redevelopment agencies and redirect money to schools, the project list to be presented to the City Council on March 1 ignores the needs of schools in San Diego. Barrera has proposed that CCDC advance anticipated tax revenues from years 2017 to 2020, providing the district with approximately $64 million in tax increment funds in 2011/12. The language of the agreement would also be amended to clearly permit the district to use tax increment funds for educational programs, including the preservation of class sizes for schools in the project area and throughout the district.

The San Diego Unified School District has had a tax sharing agreement with the Centre City Development Corporation (CCDC) since 1992. The agreement provides a percentage of tax increment revenues from CCDC project areas that are shared with the school district to be used for school facilities and other education programs. Currently, the agreement provides a 4% share of tax increment revenues for the school district which generates approximately $4.9 million annually. In 2013, the district share will increase to 13.6%, generating approximately $15 million annually, escalating as the tax increment increases over time in the project areas of CCDC.

For more information, contact Chief of Staff and District Relations, Bernie Rhinerson.