Sacramento City Unified Budget Information

Context

  • SCUSD has cut $100.2 million over the past seven years, including total cuts for 2008-09. The reductions are the result of the state’s economic health and the district’s declining enrollment.
  • Approximately 80 percent of our district budget is reliant upon state funding.
  • Approximately 80 – 85 percent of our general fund budget is employee salaries and benefits.
  • California ranks in the bottom three nationally in per pupil funding. School funding is inadequate and unstable despite the “guarantee” of Proposition 98.
  • Despite drastic budget reductions, Sac City students’ academic achievement has increased significantly. Students in every group, including African American, Latino, Hmong, and English Learners have seen gains in their performance. District has also seen increases in student graduation and college bound rates and decreases in dropout rates.
  • District’s state Academic Performance Index (API) has increased from 679 in 2004 to 734 in 2008. This is a 55-point gain. (Source: California Dept. of Education, Data Quest)
  • High school graduation rate increased from 76.1% in 2002-03 to 86.8% in 2005-06 (Source: California Dept. of Education, Data Quest)
  • Students graduating with UC/CSU required courses increased from 37.5% in 2003-04 to 40.7% in 2006-07.

2008-09 SCUSD Budget

  • District cut $29.8 million from its 2008-09 spending plan, including recent mid-year cuts of $9.4 million.
  • District staff is analyzing what categorical flexibility is available now under the budget. Some categorical programs have been reduced by as much as 15 percent. Categoricals are programs funded by the state for specific students such as special education pupils or for specific programs such as class size reduction. Funding received for categoricals can not be spent on other student needs or programs. The funds are “restricted.”
  • In addition to options already implemented, also under consideration are:
    • Reducing open contracts
    • Borrowing from Nutrition Services, and Child Development; Borrowed funds must be repayed in 2009-10
    • Continue search for new revenue
    • Categorical flexibility options

2009-10 and beyond

  • The District expects to cut $15.7 million for the 2009-10 spending plan. This includes $8.3 million of one-time funds from 2008-09.
  • Options to fund estimated 2009-10 deficit include:
    • Eliminating restricted maintenance funds requirement from 3 percent to 1 percent
    • Using allowed class size reduction flexibility; priority is to keep class sizes as small as possible
    • Using allowed flexibility on specific categorical programs 
    • Reorganizing Central Office (potential of $1.9 million savings)
    • Changing school and operations facility uses (including potential new programs, school closures, leasing of space,); budget adjustments made in other areas but not facilities in prior years
    • Offering employee retirement incentives
    • Using bond funds or no contribution to deferred maintenance fund (fund used to maintain school facilities)
    • Cost benefit analysis of every program and process to ascertain greater support to schools and efficiencies and potential savings
    • Negotiating savings with bargaining units such as furlough or unpaid days or changes to benefits
  • We continue to expect deficits for several more years.
  • District enrollment is expected to stabilize by 2014.

District cost cutting and revenue generating measures (many have been in place for 3-4 years):

  • Hiring freeze
  • Reserved 2008-09 Cost of Living Adjustment
  • Cabinet review of major expenses
  • Travel frozen unless required by a grant
  • Energy savings campaign
  • Leasing facility space (Example: Serna Center)
  • Civic center permit fee increases
  • Eliminated bottled water contract; decreased postage
  • Multiple community meetings to discuss facilities utilization and budget
  • Reduced Central Office staff: since 2003-04, Cabinet reduced by 53%; management reduced by 34%, and classified reduced by 22%