The Pacific Grove Unified School District (PGUSD) Board convened on January 9, 2025, to discuss the district's financial statements and audit results for the fiscal year. The meeting began with a detailed presentation of the financial reports, highlighting key comparisons between the current and prior years.

The financial statements presented included two main types: government-wide financial statements, which encompass all financial activities including long-term liabilities and assets, and governmental fund financial statements, which focus on more immediate financial data excluding long-term items. The presentation emphasized the reconciliation between these two sets of statements, particularly noting the impact of pension obligations on the district's net position, which reflected a deficit of approximately $32 million due to these long-term liabilities.

The board also reviewed the issuance of new bonds, specifically Series B for about $7 million, and discussed the results of the recent audit. The audit yielded a clean report, indicating no significant findings in the special education program, although there were a couple of findings related to state compliance. Notably, discrepancies were found in the Average Daily Attendance (ADA) reporting and a shortage of instructional time at the high school level, which could result in fiscal penalties.

During the public comment section, local resident Mike Gibbs raised concerns about the district's projected deficit of $11.3 million and the increase in expenses from $50 million to $58 million year-over-year. He urged the board to address these financial challenges and to outline plans for narrowing the deficit in future meetings.

The meeting concluded with an acknowledgment of the financial difficulties faced by many school districts, with Gibbs expressing hope for proactive measures from the board to manage the district's financial health moving forward. The board is expected to address these concerns in upcoming sessions, focusing on strategies to mitigate the deficit and improve fiscal management.