Features
NO CINNAMON ROLL LEFT BEHIND
State finds LBUSD misspent funds intended for poor kids. So where’s the party for the whistle-blower?

PHOTO by JOHN GILHOOLEY
“I just love how they keep saying I don’t understand the law,” says Diana Bosetti, and if that seems a strange thing to love consider that these have been a couple of very strange years for the perky PTA mom. By now, she really can derive a perverse pleasure from being ignored, underestimated and marginalized by recognized experts in the complicated laws of public education. More than that, however, this is what truly lifts Bosetti’s spirits: “Every time I press forward,” she says, “I end up being right.”
But even in her vindication—now that she’s proven the Long Beach Unified School District, during two school years, misappropriated $87,722 of federal and state funds intended for low-income children at Los Cerritos Elementary School—Bosetti doesn’t exactly sound satisfied. She doesn’t think it should have taken so long, or that she should have had to drag her evidence all the way to the California Department of Education to finally get justice. She doesn’t like the way LBUSD officials—from the school principal to the district office to the school board—stonewalled and undermined her along the way.
And she still doesn’t know if the whole hellish hassle will change anything.
“I’m not at all sure they’re not going to continue doing more or less the same thing,” Bosetti says grimly.
LBUSD’s response to Bosetti’s crusade certainly doesn’t sound like the rumble of change.
Yes, it had already repaid $31,988.83 of the misappropriated money to Los Cerritos in the summer of 2007, after Bosetti pointed out the money was illegally spent to pay a school site administrator and to buy office furniture. But LBUSD official Bob Williams, who oversees the federal and state programs, called that a “good-faith” payment.
And a couple of weeks after the California Department of Education’s Sept. 15 ruling—announcing LBUSD had misappropriated another $55,733.17 in federal and state funds and ordering the district to pay it back—Williams still doesn’t believe the district did much wrong.
“The ruling was a matter of interpretation,” says Williams, whose title is director of special projects. “That’s the best way to say it.”
Actually, the ruling by state officials was very clear: LBUSD spent an illegally high percentage of the federal and state money on administrative costs—more than 60 percent on administrators, facilitators, office furniture and even cinnamon rolls at Los Cerritos Elementary, and as much as another 15 percent at the school district headquarters. The legal cap for all administrative expenditures is 15 percent, which is supposed to ensure that at least 85 percent of the funds are spent on direct services for poor children. That didn’t happen, and Bosetti’s eyes widen when she hears Williams’ “interpretation.”
“That’s a little scary,” she says.
Even scarier: There’s no way to know if the dollars diverted from Title I tutoring programs for about 100 poor children at Los Cerritos are just the tip of the iceberg at LBUSD—whether untold numbers of other poor children throughout the district’s 95 schools are also being deprived of educational services because of shifty accounting.
And here’s where this strange and scary story arrives at absolutely weird: You might think that Diana Bosetti is a hero. Might think that she’d get some headlines, an award, some pats on the back. That school district officials might have thanked her publicly—bent the microphone toward their mouths at a district meeting and said, wow, really, great work—for catching an error that might have mushroomed into something bigger than a nearly $120,000 misappropriation.
Nope. At the end of her two-year quest to track down the misused money and see it refunded, not very many people are happy with Diana Bosetti. In truth, they haven’t been happy with her from the get-go—not so much, they say, because of what Bosetti fought for, but because, they emphasize, of how she fought. As her battle wore on, Bosetti became increasingly demanding, strident, combative and relentless. She got angry.
“We don’t fault anybody who allows us to gain clarifications around certain practices. We’re very transparent that way,” says Williams. “We have lots of parents involved with the PTA, with school site councils, with budgets. But Ms. Bosetti was out of the ordinary. Let’s just say she threw a tremendous amount of effort into this. The way she did this is not typical.”
In short, if Bosetti was going to spend two years pointing out they were breaking the law, they really wish she would have been nicer about it.
People never seemed to have a problem with Bosetti’s energy before, and she’s always had a lot of it, going back to the years when she was a competitive figure skater and when she worked for local Republican Congressman Steve Horn in the early 1990s. Bosetti’s been involved in one thing or another at Los Cerritos Elementary—from serving as a room parent to the PTA president—since her son, now 10, was in kindergarten.
“I guess I kind of became a little more well-known when I helped raise $500 for the Aquarium of the Pacific through a bake sale,” allows Bosetti, who did that when she was first-grade room parent in 2004. “Remember the middle-school boys who went in the aquarium and killed the shark and the sting ray? It ended up we went down there with one of those big, giant checks and threw a party. KCET did a TV special on it. I think that brought my name a little more to the forefront. So when nominations came up for PTA, I was nominated for president—although I’ve got to say that’s one of those jobs very few people want because it’s such a difficult, time-consuming volunteer position.”
She says her tenure as president “was a good year. People felt welcome, we raised money and there was no drama, which is unusual for a PTA.” She chuckles. And then she was nominated for the school site council.
“I was pretty tired, but I thought school site council would be pretty quiet,” she reflects. “I noticed it only meets four times a year. I thought, ‘That’s pretty doable.’”
She laughs.
“Who knew, huh?”
THE NUMBERS CRUNCH
It is quite nice at Los Cerritos Elementary School, a campus amid the little hills—thus, its Spanish name—on the western edge of Bixby Knolls, at the very end of San Antonio Drive. Tradition is valued here, and has been for a long time. The original school bell, circa 1913, has been restored and mounted on a brick monolith out front. They did that way back in 1958.
The surrounding neighborhoods reflect their age, but in a graceful way. The large trees seem wealthy and wise. The grand houses, too. Their well-tended lawns and gardens ramble on, seemingly unaffected by issues so coarse as the price of land, alternately exuding the cluelessness of royalty and the bigger-picture awareness of Zen. There’s a green, shaded park across the street from Los Cerritos Elementary. All in all, it’s a cool place to go to school, even if—maybe especially if—you come from somewhere else, not nearly so nice.
Diana Bosetti lives around here with her husband and their two young boys, but in recent years, about 100 children have come to Los Cerritos from outside the area, from places less affluent. But those poorer kids have brought money with them—ironically and precisely because of their economic status. They have brought federal Title I funds and state funds, both of which are allocated on the basis of financial need.
Title I is the first chapter of the Elementary and Secondary Education Act of 1965. Its complete title—“Improving the Academic Achievement of the Disadvantaged”—explains its purpose. Its first paragraph pledges “to ensure that all children have a fair, equal, and significant opportunity to obtain a high-quality education.” Specifically, it charges the nation’s public school system with “meeting the educational needs of low-achieving children in our nation’s highest-poverty schools, limited English proficient children, migratory children, children with disabilities, Indian children, neglected or delinquent children and young children in need of reading assistance.”
In 2001, President George W. Bush brought major changes to Title I, pushing into law a set of reforms he called the No Child Left Behind Act. This plan has changed the emphasis of the federal government’s role in K-through-12 education. It increases the focus on reading and mathematics and it relies on standardized tests to measure student achievement. It intends to create what its authors call “accountability” by tying federal cash to children’s scores on those tests.
Some critics charge that Bush’s plan has backfired, that the emphasis on accountability has forced schools to teach little more than what’s on the standardized tests.
Whatever your opinion of the accountability demanded by Title I or its No Child Left Behind reforms in the classroom, there’s no question the programs require a lot of accounting—by teachers, school principals and district, state and federal administrators. From test scores to income records to time cards to paychecks to the allocation of local, state and federal tax dollars, it’s a gigantic and continuous numbers crunch.
To help manage all these statistics and money, and to ensure some local oversight—or at least familiarity—with them, each school forms a school site council like the one Bosetti joined at Los Cerritos. Each council is headed by the school principal and is composed of a small group of teachers and parents. Their job is to develop a Single Plan for Student Achievement across various categories of need and corresponding programs, including federal No Child Left Behind/Title I money and California state grant funds. They try to figure out what students need, then set goals and design strategies for improving the test scores of students in those programs who aren’t hitting state standards, and then propose how to spend federal and state money to get it done. When they finish, they send their plan to the school board, which considers their recommendation when it votes on each school’s budget. It’s a lot of work.
‘STONEWALLED & DECEIVED’
When Bosetti showed up for the Los Cerritos’ first school site council meeting of the 2006-2007 school year she was ready to handle the numbers. She’s a former reporter for the Long Beach Business Journal and Orange County Business Journal.
Actually, she was more than ready, and getting a little impatient.
“We didn’t meet until January of 2006, so we were already well into the school year,” Bosetti says. “Then, the first meeting lasted 15 minutes, at most. We were given a one-page Word document that showed a bunch of numbers. That was about it.”
Bosetti didn’t even look at the budget for about a week. When she did, however, it didn’t take her long—after all, the thing was only one page—to notice some potential problems.
“I immediately realized that a huge portion of the money went toward administrative costs—64 or 65 percent at our Los Cerritos school site, and I don’t know how much at the district offices, because the numbers weren’t included,” she says. “Being a finance writer, that was a red flag. Even private companies don’t allocate that much money toward administration. I took a second and asked, ‘What’s going on?’”
Some people didn’t think that was very nice.
“I’ve heard that a lot from the whole group of people who are not happy about the questions I’ve raised,” says Bosetti. “The Los Cerritos principal, Lauren Price, accused me of being a rabble-rouser. Some members of the committee complained I was taking up too much time and bogging them down with minutia.
“The problem is I never got satisfactory answers to my questions, and that’s why it has taken so long. I tried to raise questions at the school site council and got nowhere. School district officials contacted me, I asked them questions, and got nothing but documents that didn’t make sense when compared with the law. I would dig, find more issues, ask questions and get no answers again.”
Williams acknowledges that answers to Bosetti’s questions didn’t come as quickly and clearly as might have been optimal.
“There had been a change of leadership in this office,” he says. “I came to the job in the fall of 2006, and the previous year there hadn’t been a director.” Also, Price was in her first year as principal at Los Cerritos School. “We did not do a really good job of making sure everybody at the school site knew all the rules. It was one of those things where, when you’re in transition, some things don’t get taken care of the way they’re supposed to be taken care of.”
Williams underscores the district’s partial repayment of $31,988.83 when Bosetti identified misallocations of the federal and state funds.
“In good faith we said we would pay that part back,” he says. “But she went back to other years, and wanted that paid back as well.”
Bosetti says she understands how things can fall through the cracks during a change in command. “But I think we should remember that in this case they aren’t really ‘things,’” she says. “They are poor children.”
But Williams’ pleas today for a little bit of patience are contradicted by his repeated and documented assertions—and those of other LBUSD officials—that Los Cerritos was in complete compliance with all the funding rules and that Bosetti did not understand the procedures.
“I took every necessary step, did everything they told me to do,” says Bosetti, “and at each step I was stonewalled, deceived and given partial numbers. Still, I was right. And I’m a parent. If I know more than they do, what does that tell you? These issues are really not that difficult.
“They may not have liked how I did it, but how do you combat incoherent documentation and budgets that you never receive? With please and thank you?”
THE MEETING THAT WASN’T
Reading the minutes of the Los Cerritos Elementary school site council meetings during the two years of Bosetti’s membership is like perusing a psychological torture manual. Its pages simmer with the sticky heat of incessant and bitter resentment, which regularly gurgles up into episodes of obstinacy, strategic one-upmanship, overt power plays, in-your-face insults and barely veiled threats. Very uncomfortable.
And then there is the scene with the terrifying hallucination.
It occurs early in the text, during the second meeting convened by Los Cerritos principal Lauren Price in February 2007. Or is it the third meeting? See, that’s the unexplainable thing—it was a hallucination that no one actually had, but everyone experienced.
It happened—or didn’t—when members of the school site council gathered for, well, let’s just call it their next meeting. They were asked to approve the minutes of the January meeting which included the “fact” that they had voted to approve the minutes of the November meeting.
But there was no meeting in November; the council met for the first time in January. Yet, minutes from that non-existent November meeting did, in fact, exist. Somebody had written them. But who? And the January minutes insisted that everybody had approved the minutes of the November meeting. But again, who?
Bosetti asked those questions.
“Instantly, everything got hostile—instantly,” she recalls. “When I had questions about the minutes, everything went south from there.”
It’s still rather hard for Bosetti to figure out why anybody—Price or the meeting’s secretary, Trish Krug—might falsify minutes of a meeting that never took place, and she’s reluctant to ascribe a sinister motive.
“It could have been a combination of things,” Bosetti speculates. “Ms. Price was a new principal and in trying to figure out what to do, it could be she tried to cover up not being organized. But it was the first real sign for me that there was trouble. It let me know going to the principal for anything really important was pointless.”
Price declines to comment much on anything Bosetti has to say. “Everyone sees things differently,” Price says, “and everybody is entitled to have their own opinions.”
Eventually, the extra sets of minutes were explained as “a template error” by LBUSD. “I don’t know what that means,” says Bosetti. “I guess because I don’t know enough about computers.”
Bosetti knows tape recorders, though—reporters use them all the time at public meetings—and when disagreement erupted over school site council minutes, she brought one to the Sept. 26, 2007 meeting. That turned out weirdly, too, when some people complained and LBUSD official Williams responded with a letter that insinuated Bosetti could end up behind bars.
“If a person does tape record the meeting without the full understanding of the members, it is a violation of California Penal Code 632,” Williams wrote on Oct. 9, 2007, CC’ing his letter to district officials ranging from his assistant, Carol Pratt, up to Superintendent Chris Steinhauser. “This can be punished with a fine not exceeding $2,500, or imprisonment in the county jail not exceeding one year, or in the state prison, or both that fine and imprisonment.”
Williams denies he was referring to Bosetti.
“That letter wasn’t intended just for her, but for the whole school site council,” he insists.
Either way, Williams got the Penal Code wrong. It specifically does not apply to recording “a public gathering or in any legislative, judicial, executive or administrative proceeding open to the public.”
The bright side is that at least Williams knows now. “We gained clarification on that,” he says.
‘YES, I HAVE NO QUESTIONS’
After all the fussin’ and fightin’ and investigatin’ and repayin’, clarity has not arrived at the Los Cerritos school site council. Even as the California Department of Education was investigating the misappropriation of funds in its budgets for the 2005-2006 and 2006-2007 school years, the group was including many of the same questionable components in its budget for 2007-2008. None of Bosetti’s not-so-niceties made any difference.
In March, the school board approved the budget, and First District board member Mary Stanton—who represents Los Cerritos Elementary—made the motion to do so.
What’s Stanton’s opinion on the legal issues Bosetti has raised? She doesn’t have one—or didn’t when asked about it shortly after casting her approving vote.
“You really ought to talk to someone who is better able to explain the nuts and bolts of all that,” Stanton said in a telephone interview last April. “Someone within our district knows the policy. But I’m not that familiar with it. I know what it is, but I’m not familiar with the details.”
But again: Stanton voted to approve the budget, and she moved that the School Board approve it. Was she satisfied that it was correct and legal when she did that?
“Yes, I have no questions,” Stanton said. “Because Diana [Bosetti] had brought that up and it had been explained. But off the top of my head I can’t remember all the nuts and bolts. It has something to do with using staff back and forth. If I start explaining I’ll just get myself all messed up.”
Stanton did not respond to an interview request last week, after the state’s ruling.
MANNERS
It was sunny and breezy outside when the new school site council at Los Cerritos Elementary convened for their first meeting of the 2008-2009 school year. The mood was pretty upbeat inside the school’s quaint little library, too, where parents, teachers and principal Lauren Price gathered around tables they’d pushed together.
Diana Bosetti isn’t on the council, anymore, but she showed up, anyway, and everybody was congenial as she took her seat in the back, next to LBUSD assistant special projects director Carol Pratt.
The meeting seemed very well organized. Price distributed an 11-page packet—some of the papers printed on both sides—that featured the agenda, by-laws, various timetables. Also, the minutes from the last meeting, in April, which mentioned the disputes Bosetti had taken to the California Board of Education. But there weren’t any budgetary figures.
After an hour or so, just before the meeting was about to adjourn, Bosetti raised her hand and voice to interrupt.
“Has anybody seen the results of the audit?” she asked. “Has anybody seen the California Department of Education’s response to the complaint I filed? Would anybody like to see it?”
“I would not,” answered Price. “I have not seen the complaint, nor have I seen the response.”
“Have you seen it?” Bosetti asked, turning to Pratt.
“No, I have not seen it,” Pratt said. “That went to Mr. Williams.”
Bosetti appeared a little surprised, but the meeting adjourned amicably, and she left.
But it was rather surprising—that both Price and Pratt claimed not to have seen the results of an audit that would seem to bear so significantly on the school site council’s obligations this year.
“Oh, I know about the response to Diana’s complaint,” Pratt acknowledged privately a few moments later. “I’ve heard about it. But no, I haven’t actually seen it.”
Price sticks to her statement.
“Not having seen the documents,” she says, “it would be hard to make a comment on it.”
Both administrators, however, say they are looking forward to the new year.
“I think it’s going to be very productive,” says Price.
“This was a very mellow meeting today,” says Pratt, a former teacher, who is in her 30th year with LBUSD. “Last year was very unusual. I have never encountered a situation like that. It’s not so much what was done—it was just the manner in which it was done. That’s all I’ll say.”
EPILOGUE
Following the state’s validation of her complaint, Diana Bosetti has just written a letter to LBUSD official Bob Williams requesting that the school district review the 2007-2008 Los Cerritos school site council budget for similar problems. In this latest budget, she says, federal and state funds were misappropriated to the tune of about $52,606.
“I hope that the LBUSD will not find it necessary to force me to file another Uniform Complaint regarding this matter,” Bosetti writes in her letter to Williams, “given that this cumbersome process took over a year and included several pointless meetings with you and others from the school district.”
Williams confirmed he has received the letter. “I’ve prepared a response for her,” he says.
He won’t get specific, but it sounds as if everything is back where it started.
“We’re well within the law as far as what we can take out for administrative and indirect costs,” Williams says. “Ms. Bosetti may not understand how these things are calculated.”
Tags: bob williams, diana bosetti, lbusd, los cerritos elementary school, no child left behind, principal lauren price

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