First Interim Report and Certification

In Plain Language: Twice a year the board must review the district's financial condition and formally certify whether it can meet its obligations for the current and two following years. The first interim covers July 1 through October 31 and is due to the county office by December 15. A positive certification means yes; qualified means maybe not; negative means no.

Why this matters

The certification is a legal statement by the board. A qualified or negative certification triggers county oversight, restrictions on borrowing, and a June 1 projection. A positive certification that the numbers do not support exposes the district to a county downgrade and loss of credibility.

Joint ownership

District: chief business official, budget staff, HR/payroll (position control), and the board, which adopts the certification. County office: reviews, may change the certification within 75 days, and reports to the State Superintendent and State Controller.

Certification types

Certification	Meaning	Consequence
Positive	Will meet obligations for the current and two subsequent years.	Normal county review.
Qualified	May not meet obligations for the current or two subsequent years.	County review; limits on non-voter-approved debt; June 1 projection required.
Negative	Will be unable to meet obligations for the current or subsequent year.	County intervention under EC 42127.6; June 1 projection required.

From October 31 actuals to a certified first interim: the SDLA ITO workflow

The first interim converts four months of actuals and updated assumptions into a board certification. This SDLA ITO (Input, Transformation, Output) graphic shows how the inputs become the outputs in 10 steps.

SDLA ITO: 10 steps. Input: pull October 31 actuals; update assumptions; collect county instructions. Transformation: project the full year; update the multiyear projection; run criteria and standards; board review and certification. Output: signed certification; sACS interim filing; updated fiscal outlook. — **Read down each column, then move to the next:** Input identifies what to collect; Transformation covers project the full year; update the multiyear projection; run criteria and standards; board review and certification; Output delivers signed certification; sACS interim filing; updated fiscal outlook. File with the county office by December 15, 2026.

Open the full-size workflow graphic

Implementation workflow

October 31Close the period.Freeze the reporting period and confirm postings and encumbrances.
Early NovemberUpdate assumptions.Refresh enrollment, ADA, settlements, and state budget figures.
Mid-NovemberProject and test.Complete projections, the MYP, criteria and standards, and technical checks.
Early DecemberBoard action.Present the report and adopt the certification at a public meeting.
By December 15File.Submit the SACS interim and signed certification to the county office.
By January 14County review.Respond to county questions; the county may change the certification.

First interim checklist

Settled and pending bargaining costs reflected.
Enrollment and ADA projections reconciled to CALPADS and attendance data.
Cash-flow projection shows sufficient cash through June 30.
Criteria and standards reviewed and exceptions explained.
Certification type supported by the multiyear projection.
Signed certification and minutes retained.

Official guidance and help

Education Code 42131Interim reports and certification requirements.
2026 Financial Reporting Calendar — DistrictInterim due dates (calculated as 45 days after period close).
SACS Financial Reporting SoftwareInterim forms, criteria and standards, and technical review checks.

Source review completed October 25, 2026. Verify your county office's interim instructions and internal due dates before board action.