President Caprice Young called the meeting to order at 1:19 p.m.

The following Members were present: Ms. Marlene Canter, Ms. Genethia Hudley Hayes, Mr. José Huizar, Mr. Mike Lansing, and President Caprice Young. Mr. David Tokofsky arrived at 1:39 p.m. Ms. Julie Korenstein was absent the entire meeting.

Student Members Mayra Martinez from Banning High School and Sahar Tamari from Birmingham High School were present.

Superintendent Roy Romer was present.

Mr. Huizar led the Pledge of Allegiance.

Mr. Yoshida, President of the Association thanked the Board for welcoming his delegation.

The following are additional Central Office reductions:

Item
A1 Inspector General's Office $0.65 million

Adopted: 4 ayes; 2 noes, Mr. Huizar, Mr. Tokofsky; 1 absent, Ms. Korenstein

Issue Bonds or COP's for Information Technology Capital Costs $5.0 million

Adopted: 6 ayes; 1 absent, Ms. Korenstein

Delay Purchase of School Police Vehicles for One Year $0.2 million

Adopted: 5 ayes; 1 hold, Mr. Tokofsky; 1 absent, Ms. Korenstein

Reorganize the Human Relations and Intergroup Relations Functions $0.8 million
in One Unit

Adopted: 6 ayes; 1 absent, Ms. Korenstein

Fund Science Center Materials from Other Sources and Eliminate $0.6 million
Some Positions and Redistribute Responsibility

Adopted: 6 ayes; 1 absent, Ms. Korenstein

Delay Establishing a Management Unit for Underground Storage Tanks $0.5 million

Adopted: 6 ayes; 1 absent, Ms. Korenstein

Eliminate Remaining Augmentation for Workers' Compensation $5 million

Adopted: 6 ayes; 1 absent, Ms. Korenstein

Reduce Superintendent's Discretionary Funds $0.15 million

Adopted: 6 ayes; 1 absent, Ms. Korenstein

Eliminate Television of Board Committee Meetings $0.05 million

Hold: 6 holds; 1 absent, Ms. Korenstein

Reduce/Eliminate Selected Capital Outlay Accounts; Fund Others Through $3.6 million
COPs

Adopted: 6 ayes; 1 absent, Ms. Korenstein

Reverse Volunteer and Tutorial Reduction ($0.2 million)

Adopted: 6 ayes; 1 absent, Ms. Korenstein

Other reductions to close the remaining Budget gap:

Item
B1 Issue COP's or Bonds for the Capital Cost of Opening New Schools $6.2 million

Adopted: 6 ayes; 1 absent, Ms. Korenstein

B2 Bus COP's-1 Year Delay $3 million

Adopted: 5 ayes; 1 no, Mr. Tokofsky; 1 absent, Ms. Korenstein

B3 Pupil Transportation $4 million

Vote: 2 ayes, Ms. Canter, Ms. Young; 2 noes, Ms. Hayes, Mr.Huizar; 2 holds, Mr. Lansing,

Staff responded to questions by Board Members. Ms. Canter and Ms. Young requested to change their votes.

B4 Utility Costs $4 million

Adopted: 6 ayes; 1 absent, Ms. Korenstein

B5 Delay Assistant Principal-Elementary Instructional Support 1 Year $7.8

Staff responded to questions by Board Members.

Hold: 3 noes, Ms. Hayes, Mr. Huizar, Ms. Young; 3 holds, Ms. Canter, Mr. Lansing,

B6 Performance Assignments $3 million

Staff responded to questions regarding the redirection of general fund programs to categorical funds.

Superintendent Romer stated his intention to maintain the integrity of the program within the funds allocated for next year.

Adopted: 6 ayes; 1 absent, Ms. Korenstein.

B7 Pay National Board Certification from Teachers As A Priority $4.5 million

Staff responded to questions by Board Members.

Hold: 4 holds; 1 no, Ms. Canter; 1 absent, Ms. Korenstein

B8 Library Aide Waiver $8 million

This item was withdrawn until the State Board of Education meeting on this subject.

B9 Maintenance $6.3 million

Adopted: 6 ayes; 1 absent, Ms. Korenstein.

B10 Convert Opportunity Schools to Community Day Schools $4 million

Staff responded to questions by Board Members.

Adopted: 6 ayes; 1 absent, Ms. Korenstein.

B11 Athletics Program $0.3 million

Staff stated that private sources for the sponsorship of the Championship events have not been identified.

Adopted: 6 ayes; 1 absent, Ms. Korenstein.

B13 Reductions in Contracted Consultants $3.2 million

Board Members requested a listing of all consultants.

Adopted: 6 ayes; 1 absent, Ms. Korenstein.

B14 Reverse Clear Creek Reduction ($0.5 million)

Adopted: 6 ayes; 1 absent, Ms. Korenstein.

Dr. Joseph Zeronian, Chief Financial Officer, stated the following items are adjustments to the Budget and there is no need for a vote:

Mid-Year Renorming Cushion ($7.0 million)

Resource Specialists Aides - 80 percent $l.4 million

Revision to Savings ($1.8 million)

Ms. Young requested a report on an early retirement incentive program for classified personnel.

Student Member Sahar Tamari from Birmingham High School noted that the main goals at her school are to improve and develop better relation between students and teachers by holding Adopt-a-Teacher Luncheons; writing letters to teachers to keep them informed of upcoming events; and hosting a staff and teacher talent show raising funds for scholarship awards. She announced that the boy's track team was the Los Angeles City Champions; the girl's track team was a runner-up; and the football team won the conference championship for the second time. She commented on Birmingham's selection by the Department of Education as the high school to be featured in a series, "Meeting the Challenges in California"; on the establishment of the Daniel Pearl Memorial Scholarship for Journalism; and other students events occurring at her school.

Mr. Huizar announced:

The Board has received a report regarding the Immediate Intervention for Underperforming Schools (II/USP) and Comprehensive School Reform Demonstration (CSRD) Program Cohort I School Not Meeting Academic Performance Index (API) Growth Targets and a public hearing must be held. This constitutes a public hearing and those individuals who wish to address the Board on this issue will be heard. Anyone who wishes to speak to this report should go to the recording booth at the back of the Board Room and fill out a speaker's card. Those individuals will be heard after the speakers already on the list.

Ms. Susan Cohen Grossman, Principal of Melvin Avenue Elementary

Ms. Yvonne Noble, Principal of Mark Twain Middle School

Staff responded to questions and concerns by Board Members.

Roll was held open pending the return of Board Members.

Later in the meeting, Ms. Canter recorded an aye vote on the report.

The final vote was 6 ayes. Ms. Korenstein was absent.

Ms. Young moved:

Whereas, Early childhood education plays a major role in improving school readiness when students enter kindergarten and student achievement throughout a child's education;

Whereas, Cities like New York have already implemented universal access to pre-K education by partnering with community-based organizations; and

Whereas, Expanding the number of families with students participating in early childhood education programs will improve our ability to enroll 0 to five year olds in health care services and will compliment concurrent Proposition 10 Commission investments in health care; now, therefore, be it

Resolved, That the Board of Education of the City of Los Angeles supports and encourages the Proposition 10 Commission in its goal of providing full access to Pre-K programs throughout the County of Los Angeles; and be it

Resolved further, The Los Angeles Unified School District should support and collaborate with the Proposition 10 Commission in its efforts to improve school readiness for our students; and be it

Resolved finally, That the Board of Education directs the Superintendent and his designees to work with the Proposition 10 Commission on strategic planning for the implementation of full access to pre K programs.

Later in the meeting, Mr. Tokofsky recorded an aye vote on the motion.

Vice President Huizar announced:

The Board is in receipt of the Montague Charter Academy Renewal. Individuals who wish to address the Board on this item will be heard. Anyone who wishes to speak should go to the recording booth at the back of the Board Room and fill out a speaker's card. Those individuals will be heard after the speakers already on the list.

Ms. Diane Pritchard

Mr. Chris Gilbertson

Mr. Gerard Montero

Ms. Lynda Kletter

Ms. Delia Banuelos

Vice President Huizar stated:

The Board will take final action to either approve or deny the charter request at the Board meeting on June 25, 2002. Should the charter request be denied, the petitioners may submit the petition directly to the Los Angeles County Office of Education or to the State for action.

DIRECT REPORTS

Ms. Hester Bowen, regarding Case No. 398-01/02

Ms. Sheila Delira, regarding Case No. 381-01/02

Mr. Michael Ruiz, regarding Case No. 381-01/02

Mr. Lansing moved that the report be adopted. Mr. Tokofsky seconded the motion.

Mr. Hector Madrigal from Student Discipline responded to questions by Board Members.

By general consent, the report was adopted. Ms. Korenstein and Ms. Young were absent.

Mr. Howard O. Watts Public Comment

Ms. Cheri Katz Nursing Concerns at Bellagio Road Newcomer School
and Testing

Ms. Ofelia Leon Closure of Bellagio Road Newcomer School

Ms. Alexis Z. Palomera and Mr. Jessie Overcrowding and Teacher Layoffs
Daniel Sanchez in place of Tomasa Osorio

Mr. Darrell Anderson Contract Violation

Mr. Michael Saulenas Asbestos

Ms. Nancy Ajaa Los Angeles Center for Enriched Studies (LACES)

Mr. Richard Arthur Improving Schools

Mr. Peter Paladino Loss of Special Education Center

Rev. Velma Felder Special Education Issues

Ms. Ruth Sarnoff Environmental Concerns

BOARD OF EDUCATION REPORT NO. 1
FACILITIES COMMITTEE REPORT NO. 1

Ms. Canter seconded the motion.

Mr. Robert Brown from Facilities Division responded to questions by Board Members regarding Facilities Committee Report No. 1.

By general consent, the Consent Calendar was adopted. Ms. Hayes, Ms. Korenstein and Ms. Young were absent.

Mr. James McConnell, Jr., Chief Facilities Executive, stated Facilities staff has met with the Mr. Don Mullinax, Inspector General to review the change orders regarding 333 South Beaudry.

Whereas, The Board of Education of the City of Los Angeles is considering a local facilities bond for the November 2002 ballot; now, therefore, be it

Resolved, That the Board of Education of the City of Los Angeles directs the Superintendent or his designee to report to the Board on the potential content of the Local facilities bond before June 1, 2002.

Whereas, California is a large state and home to a diverse population, including 40 percent of the United States' Asian Pacific American population, which constitutes 13 percent of the State's total population;

Whereas, The Los Angeles Unified School District, the second largest in the nation, serves a student population of over 700,000 that reflects the region's diversity;

Whereas, The District strives to create an effective learning environment by teaching tolerance and respect for the many cultures, religions, and backgrounds of the students, parents, school staff and administrators who make up our community;

Whereas, Abercrombie & Fitch, a clothing retailer, recently marketed a new clothing line that depicts degrading, hurtful, and stereotypical caricatures of Asian Pacific Americans;

Whereas, The Asian Pacific American community and Los Angeles residents of many backgrounds have recognized that this campaign is offensive and have joined together to criticize the perpetuation of these negative images as part of a misguided marketing and sales campaign by Abercrombie & Fitch;

Whereas, Abercrombie & Fitch targets the youth market and has at least 15 stores in the Los Angeles area; now, therefore, be it

Resolved, That the Board of Education of the City of Los Angeles joins with the Organization of Chinese Americans (OCA), Chinese American Citizens Alliance (CACA), Chinese Consolidated Benevolent Association (CCBA), LA80-20, and the Korean Youth and Community Center in strongly criticizing the use of degrading and hurtful images by Abercrombie & Fitch, or any other clothing retailer, as part of a marketing and sales campaign to target youth or any other market; and be it

Resolved further, That the Superintendent be directed to draft a letter to the Chief Executive Officer of Abercrombie & Fitch expressing the position of the Board of Education.

Whereas, The Board of Education of the City of Los Angeles supports competition in the contracting process so that all qualified bidders have a fair opportunity to enter bids and to eliminate favoritism, fraud, and corruption in the awarding of public contracts;

Whereas, When non-competitive procurement actions are taken, District staff should at the least indicate in writing the efforts they took to identify other vendors and the efforts they will take to ensure that future procurements are competitive;

Whereas, Non-competitive procurements should not be used because of poor advance planning;

Whereas, District business should be conducted in a manner above reproach and with complete impartiality, and the expenditure of public funds should provide the highest degree of public trust and an impeccable standard of conduct;

Whereas, A general rule must be to avoid any conflict of interest or even the appearance of a conflict of interest in District-contractor relationships;

Whereas, Board policy requires competitive bidding through a request for proposals for the procurement of professional services in excess of $58,900;

Whereas, Board policy allows an exception to competitive bidding if approved by the General Counsel, who may also ask input from the Office of the Inspector General;

Whereas, Recent reviews have shown that some District administrators are not complying with selected provisions of Board policies relating to professional services contracts; now, therefore, be it

Resolved, That waivers only be granted by the General Counsel for professional services contracts up to $500,000 that meet the following criteria:

• District staff have thoroughly investigated possible vendors, and it is reasonable to believe no other significant vendor would appear who would offer the same quality of services at significantly different prices;

• Time is of the essence;

• The vendor already has significant knowledge of the problem, or the District has a high level of confidence in the work that more than offsets any price advantage that might be attained by a request for proposal;

• District staff have conducted a process similar to a request for proposal but without the formality; and be it
  
  

Resolved further, That any waiver for professional services contracts in excess of $500,000 be submitted to the Board for review and approval prior to District staff awarding such contracts; and be it

Resolved further, That the Office of General Counsel provide quarterly written reports to the Board showing the waivers requested, granted, and denied as well as the reasons for such decisions; and be it finally

Resolved, That the Chief Procurement Officer maintain statistics on the use of request for proposals for professional services contracts awarded over $58,900 and provide these statistics quarterly to the Board.

Whereas, Legislation enacted by the State Legislature, and signed into law by Governor Gray Davis, authorizes boards of education to raise the compensation they receive, currently set at a maximum of $2,000 a month, by an amount not to exceed 5 percent per annum;

Whereas, The Board of Education of the City of Los Angeles is experiencing great gains in academic achievement and great progress in its facilities program;

Whereas, The current budget crisis faced by the State of California is forcing unprecedented budget cuts and reductions in service to be imposed by local school districts;

Resolved, That the Board of Education of the City of Los Angeles refuses at this time to increase their compensation though allowed by law.

Moved, That neither the head of the establishment nor the officer next in rank below such head shall prevent or prohibit the Inspector General from initiating, carrying out, or completing any audit or investigation, or from issuing any subpoena during the course of any audit or investigation.

The Office of Inspector General should be funded through a mechanism that will provide adequate funding to perform its mission without subjecting it to internal or external impairments on its independence.

Whereas, The improprieties that surfaced in the District's relationship with the Eastridge Companies and in Arthur Andersen's relationship with another client are not grounds for debarment under the District's current debarment policy; now, therefore, be it

Resolved, That the Board of Education of the City of Los Angeles directs the Superintendent to review the current District debarment policy and assess the need for any revisions; and be it

Resolved, That the Board directs the Superintendent to assess what role the District's ethic's policy should play in business decisions; and be it

Resolved finally, That the Superintendent report back to the Business, Finance, Audit and Technology Committee within 90 days.

That the Board of Education of the City of Los Angeles (1) hereby declare that all management,

confidential, and other unrepresented certificated, classified and unclassified employees' salaries, benefits, and other terms and conditions of employment are declared indefinite for the 2002-2003 school year as a result of financial uncertainties, negotiations, legislation, and other factors, and (2) suspend or amend all Board Rules, policies, and practices as applicable that may be in conflict with actions taken to balance the District's budget;

That, as a follow-up to Board action taken on June 12, 2001, declaring salaries indefinite for unrepresented employees for the 2001-2002 school year, salaries are still declared indefinite for the 2001-2002 school year.

Mr. Tokofsky moved:

That the Board of Education appoint the following individuals to the Community Advisory

Committee (CAC), a state mandated committee established to advise the Board of Education and the Division of Special Education on the Special Education Local plan, in the categories indicated:

Ms. Canter seconded the motion, which by general consent was adopted. Ms. Korenstein and Ms. Young were absent.

Business Services Division No. 1 - Agreements for Professional Services; Agreements for Professional Services: Facilities Modernization Projects, FEMA and Additional Projects, E-Rate Projects, and New Construction Projects; Amendments to Agreements for Professional Services, and Agreement for Professional Services Aggregating Over $500,000: Assigned to Regular Calendar

Facilities Services Division No. 2 - Adoption of a Resolution of Necessity and Authorization to Obtain Funds to Obtain Orders for Possession of Land Parcels Required for Central Los Angeles Area New High School No. 2 and Los Angeles Area New Continuation High School No. 1 [Southeast Intersection of Washington Boulevard and Vermont Avenue][Eller Media]: Assigned to Regular Calendar, Special Meeting on June 25, 2002

Facilities Services Division No. 3 - Adoption of a Resolution of Necessity and Authorization to Obtain Funds to Obtain Orders for Possession of Land Parcels Required for Santa Monica New Primary Center [Northwest Corner of Santa Monica Boulevard and Tamarind Avenue]: Assigned to Regular Calendar, Special Meeting on June 25, 2002

Human Resources No. 1 - Special Education Credential Waiver Authorizations: Assigned to Consent
Calendar

Division of Special Education No. 1 - Continuation of the Transition Partnership Program, 2002-2003: Assigned to Consent Calendar

Specially Funded & Parent/Community Programs Division No. 1 - Immediate Intervention for Underperforming Schools (II/USP) and Comprehensive School Reform Demonstration (CSRD) Program Cohort I Schools Not Meeting Academic Performance Index (API) Growth Targets: Withdrawn by staff

Accounting and Disbursements Division No. 2 - Cash Management Investment Policy: Assigned to
Consent Calendar

Business Services Division No. 1 - Prices for Student Meals During 2002-03: Assigned to Consent
Calendar

Facilities Services Division No. 2 - Adoption of a Resolution and Authorization to Apply for and Utilize California Energy Commission Energy Efficient Financing and to Submit Applications and Accept Grants of Public Benefit Funds From the California Public Utilities Commission: Assigned to Consent Calendar

Facilities Services Division and Office of Environmental Health and Safety No. 1 - Approval of Project and Approval of Mitigated Negative Declaration Hoover Elementary School Playground Expansion [Francis Avenue, Hoover Street, and James M. Wood Boulevard]: Consent Calendar

2:00 p.m., Regular Meeting, May 14, 2002
9:30 a.m., Closed Session, May 28, 2002
1:00 p.m., Special Meeting, May 30, 2002

Ms. Hayes seconded the motion, which by general consent was adopted. Ms. Korenstein and Ms. Young were absent.

Before action is taken on the Report of Correspondence regarding correspondence from

Delaine Eastin, State Superintendent of Public Instruction, concerning receipt of a notification

of non-compliance, Compliance Investigation Case Nos. S-072-01/02, S-0746-01/02, and S-0769 01/02, a public hearing must be held.

This constitutes a public hearing and those individuals who wish to address the Board on this

item will be heard. Speakers should go to the speakers' table at the front of the auditorium and

fill out a card. Those individuals will be heard after any speakers already on the list.

Ms. Hayes moved that the recommended disposition of the items of correspondence as indicated in the report be approved. Mr. Lansing seconded the motion, which by general consent was adopted.
Ms. Canter, Ms. Korenstein and Ms. Young were absent.

Later in the meeting, Ms. Canter recorded an aye vote on the report.

Whereas, The California School Boards Association, along with the Association of California School

Administrators, is strongly urging the State Legislature and the Governor to adopt a state budget by the constitutional deadline of June 30, 2002; and

Whereas, The more than 1,000 school districts and county officers of education throughout California rely upon state funding for essential services to six-million students; and

Whereas, Although California faces a $23.6 billion budget gap, Governor Davis has safeguarded the stability of the K-12 budget; and

Whereas, The budget proposal also has protected many of the highest priority education programs, which are critical to sustain the school reforms that have been implemented; and

Whereas, In an effort to close the $23.6 billion budget gap, the May Revision includes shifting $1.7 billion in General Fund revenues to 2002-03 that would have applied towards the 2001-2002 Proposition 98 guarantee; and

Whereas, This shift is possible under the terms of Proposition 98 provided that the current-year adjustments are enacted by June 30, 2002; and

Whereas, Should the actions not take place by June 30, 2002, the state will lose its ability to delay allocation of those funds and will need to resort to other options to meet the K-12 funding obligations jeopardizing many education programs and services; now, therefore, be it

Resolved, that the Governing Board of the Los Angeles Unified School District joins CSBA and ACSA to register its strong support that the California State Legislature and Governor Davis adopt a state budget by the constitutional deadline of June 30, 2002.

Whereas, Zero-based budgeting is a tool to help government agencies systemize tough budget decisions by providing baseline information to judge funding priorities;

Whereas, The Los Angeles Unified School District's (LAUSD) recent budget crisis has highlighted the need to gain a better understanding of the District's $9 billion budget, including a close review of on-going programs and funding;

Whereas, The strengths of zero-based budgeting is that it eliminates the sense of "entitlement" that divisions or programs may currently have for funding that should be included on a yearly basis;

Whereas, Zero-based budgeting creates annual organizational, operational and systems reviews that adjust for changing goals and environment; and

Whereas, Zero-based budgeting forces a government entity to prioritize funding decisions, especially during an economic downturn; now, therefore, be it

Resolved, That the City of Los Angeles Board of Education hereby instructs the Chief Financial Officer to implement, on a pilot basis for fiscal year 2003-04, zero-based budgeting for the following programs and divisions: a) Division of Instruction, both the central office and for Districtwide services and programs; b) Professional Development services and programs in the Central Office and Districtwide; c) Facilities Division; and d) Information Technology Division.

Whereas, Current research has clearly demonstrated the importance of early childhood education as a foundation for future literacy;

Whereas, Early childhood literacy education is a preventative measure that can displace the District's current literacy intervention programs;

Whereas, The Board of Education of the City of Los Angeles is committed to ensuring that all District students be able to read at or above grade level; now, therefore, be it

Resolved, That the Board of Education of the City of Los Angeles declares Early Childhood Education part of the District's core mission; and be it

Resolved further, That the Board of Education directs the District to include early education center facilities in the next local bond; and be it

Resolved finally, That the Board of Education directs the District to focus on early childhood education efforts on the students that will be entering the lowest performing schools with Academic Performance Index scores of 1 and 2.

The meeting adjourned at 7:50 p.m.

APPROVED BY BOARD: July 9, 2002

______________________________________ _________________________________
CAPRICE YOUNG JEFFERSON CRAIN
PRESIDENT EXECUTIVE OFFICER OF THE BOARD

nf