K-12 BUDGET UNDER PRESSURE: Gov. Newsom Proposes Negligible Growth in K-12 Funding for 2024-2025, State Rainy Day Funds Utilized

In the upcoming fiscal year, California faces a daunting $40 billion deficit for 2024-2025, as revealed in Governor Newsom’s recent budget proposal. Despite the overall budgetary challenges, Newsom suggests a minimal 0.76% Cost of Living Adjustment (COLA) increase in the state’s K-12 funding, primarily funded by tapping into the state’s rainy day funds. Without this intervention, a direct decrease in funding would have been inevitable.

The overwhelming majority of the funding for the district is derived from state sources. So the fact that the uptick in schools funding from the state is a meager 0.76% will have wide ranging impacts. The proposed COLA falls far short of the previously anticipated 4% increase. However, considering the enrollment decline in districts like San Diego Unified, and the middling attendance levels, the state’s 0.76% COLA may actually result in a slight reduction in actual state funding for San Diego Unified on a year-over-year basis– a situation unseen since the Great Recession.

So, what does all this budget information mean for you as an educator in the San Diego Unified School District? The District will likely make changes or cuts to certain programs to balance their budget. Something that has already been seen at the central office. The main goal is always to avoid cutting resources and services from school sites. The good news is that SDUSD has money set aside in its budget reserves that it can use to support important school programs, and it should use those reserves.

Additionally, we are entering into reopener negotiations with the SDUSD again. These negotiations will include discussions about wages. While reopener bargaining will start soon, in February, negotiations about wages may not begin until May when we expect the governor to revise the budget. The hope is that the state’s financial situation will improve, allowing for meaningful salary discussions after the May Revised Budget. It’s important to note that even though the governor revises the budget in May, the final budget becomes a law that needs approval from the legislature by June 30th. The hope is that negotiations between those in power in Sacramento in the coming months will result in more funding for districts like SDUSD.