"In a letter sent to the community Thursday, Saddler - who stepped into the top role over the summer after the school board ousted longtime superintendent Kyla Johnson-Trammell - said that $100 million must be cut from the 2026-27 budget in order for the district to stay afloat. "People we know and care about will lose their jobs. Programs our students love will be reduced or eliminated," Saddler said."
"Just a few months ago, Oakland Unified was projected to run out of cash as early as fall 2025, with an anticipated $95 million budget shortfall. That deficit was reduced to $30 million, the district said over the summer, in large part through reduction and rearrangement of staffing. But district staff warned that Oakland Unified was still spending more than it receives and retaining too many employees with money the district simply doesn't have."
"The district faces more financial hurdles in the years to come, with a projected $78 million budget shortfall in 2026-27 and a $72 million budget deficit in 2027-28. Without significant cuts, district staff said Oakland Unified would likely go bankrupt, meaning it would once again need an emergency loan and would face the same state receivership it was under for 20 years."
Four months after control returned to local officials, Oakland Unified faces a severe financial crisis requiring $100 million in cuts from the 2026-27 budget. Superintendent Denise Gail Saddler warned that layoffs, program reductions, and changed family services will result. The district was once projected to run out of cash by fall 2025 with a $95 million shortfall; that gap was reduced to $30 million through staffing reductions and rearrangements. District staff say spending still exceeds revenue and that projected deficits of $78 million in 2026-27 and $72 million in 2027-28 could force bankruptcy, emergency loans, and a return to state receivership. Alameda County Superintendent Alysse Castro barely approved the 2025-26 budget using one-time funds and redirected program money to maintain local control.
Read at The Mercury News
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