SAN DIEGO UNIFIED PROJECTED BUDGET DEFICIT 36% LESS THAN IN OCTOBER

EDITOR NOTE: Good afternoon, let us know if you are interested in doing an interview about this topic.  We’ll do our best to arrange it with leadership. We may have some opportunities ahead of a wellness workshop being held tonight. Thanks, James  

 

FOR IMMEDIATE RELEASE

 

Media Contacts:

James Canning, Jcanning@sandi.net, 313-580-2845

Mike Murad, Mmurad@sandi.net, 619-925-4790

 

SAN DIEGO UNIFIED PROJECTED BUDGET DEFICIT 36% LESS THAN IN OCTOBER

$64 million of savings to decrease originally projected $176M deficit to $112M  

Supplemental Early Retirement Plan part of solution to get projected deficit to zero 

 

SAN DIEGO (DECEMBER 9, 2024) – San Diego Unified School District in just three months has identified $64 million of savings to decrease the District’s projected $176 million deficit to $112 million for the 2025-26 budget year. Interim Superintendent Dr. Fabi Bagula and her team on Tuesday will present their strategy for the 36% reduction, and their plans to get the projected deficit to zero, during the regularly scheduled meeting of the San Diego Unified School District’s Board of Education.

 

To drive the projected deficit down from $176 million to $112 million the District strategy includes:  

• Recognizing $25 million vacancy savings.
  
  
• Receive $9 million more this year, and next year for the District’s “Unduplicated Pupil Percentage.” The District receives this funding due to the number of economically disadvantaged students, English language learners and foster & homeless students we have in our District.

 

• Projections in excess of $25 million more in projected revenue increases. The places the District currently expects to see those increases include:
  • Impact Aid - $5.5 million ($3.5 in FY 25, $2.0 in FY 26)
  • Lottery - $2.5 million ($1.3 in FY 25, $1.2 in FY 26)
  • Interest - $12.0 million ($8.0 in FY 25, $4.0 in FY 26)
  • Home to School Transport - $6.4 million ($3.2 in both FY25 & 26)

 

“We are making progress, but between now and the next interim budget in March we have plenty more work to do,” said Dr. Fabi Bagula, Interim Superintendent, San Diego Unified School District. “We have already begun putting in motion on our plans to drive down the remaining $112 million to zero. 

 

On Tuesday, the Board of Education will be asked to certify the “First Interim Financial Report” as positive ahead of the budget plan being turned in to the San Diego County Office of Education. A positive certification means the District will meet its financial obligations for the current fiscal year and subsequent two fiscal years. This certification is one of two checkpoints required before the District’s final budget must be adopted in June 2025. 

 

Supplemental Early Retirement Plan

One of the cost savings measures to help the District get to zero for its projected budget deficit is enacting a Supplemental Early Retirement Plan (SERP).

 

SERPs help to incentivize and accelerate the retirement rate. A little more than 5,000 district staff are eligible, and the District anticipates about 755 staff would opt for the 70% of final pay, capped at the highest teacher salary. 

 

Last Friday, eligible District staff received the first presentation on SERP. Those who are eligible are:  

• Certificated Employees
  • Age 55 with 5 years of service
  • Age 50 with 30 years of service
• Classified Employees
  • Age 50 with 5 years of service

 

Other cost savings expected to help the District get to zero includes a commitment to streamline the central office, and seeking efficiencies across the enterprise. 

 

Commitment to Open Dialogue

One of Dr. Bagula's leadership values is leveraging collective wisdom – this means offering all members of the community an opportunity to participate and/or engage in discourse. 

 

“We have actively sought input from parents, teachers, principals and share the difficult decisions we need to make to address a significant deficit, while maintaining our commitment to deliver a high quality education,” said Interim Superintendent Bagula. “Our openness with this budget has been well received.”

 

Earlier this year the District sent out a survey to learn what families think should be the District’s priorities and nearly 600 people responded. 

 

Participate in the Board of Education Meeting

The Tuesday, December 10, 2024 Board of Education meeting starts at 5:00 p.m. and will be hosted in person in the auditorium at the Eugene Brucker Education Center located at 4100 Normal St., San Diego, CA 92103. Public testimony will be heard in-person and virtually via Zoom Webinar.

 

• To provide Public Testimony in-person, please complete and submit the Public Testimony request form at the following link: https://bit.ly/BOEPUBCMNT12102024.  

• To provide Public Testimony virtually via Zoom Webinar, please register at the following link: https://bit.ly/BOEPUBCMNT12102024. Public testimony speakers registering via Zoom Webinar will receive an email confirmation with instructions after submitting the form. 

To learn more about the budget click here, and to learn more about San Diego Unified School District here. 

 

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James Canning (He/Him)

Executive Director, Strategic Communications & Information

San Diego Unified School District

jcanning@sandi.net | www.sandiegounified.org

Mobile Phone: 313-580-2845

4100 Normal Street, San Diego, CA 92103

 

 

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