SFUSD Commits to Fulfilling Historic Raises for Educators

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District Taking Steps to Maintain Fiscal Solvency and Close Budget Deficit


San Francisco (December 8, 2023) - San Francisco Unified School District (SFUSD) Superintendent Dr. Matt Wayne today announced the district is committed to fulfilling historic raises for educators and maintaining the district’s fiscal solvency in line with California Department of Education (CDE) guidance.

The San Francisco Board of Education approved a resolution on June 20, 2023 that commits to take action to ensure the district meets the state minimum reserve for economic uncertainty and eliminates the school district’s unrestricted general fund structural deficit in 2023-24, 2024-25, and 2025-26. To that end, SFUSD is taking steps to maintain a qualified or positive certification with the CDE regarding the District’s and County Office of Education’s ability to meet its financial obligations. Based on the revenues, expenditures, and cash balance projections included in the 2023-24 First Interim Financial Reports, it is projected that SFUSD and the San Francisco County Office of Education will be able to meet its financial obligations for the current fiscal year. 

In October 2023, SFUSD and United Educators of San Francisco (UESF) reached a tentative agreement that includes a $9,000 salary increase for teachers in the 2023-2024 school year. Teachers will also receive an additional 5% raise for the 2024-2025 school year, which will be phased in and in full effect by January 2025. Also in October, SFUSD announced it reached a tentative agreement with Service Employees International Union (SEIU) Local 1021 for a 6% salary increase for 2022-23 and a 10% salary increase for 2023-24. The Board of Education is scheduled to vote on the agreements at its Dec. 12, 2023 regular meeting. 

SFUSD must submit a letter to the CDE, per AB 1200, which outlines how the district will achieve fiscal solvency by identifying reductions and shifts for fiscal year 2024-25. In order to continue to fund the agreements and maintain local control, SFUSD is planning for approximately $100 million in unrestricted ongoing budget-balancing solutions for 2024-25 and an additional $55 million in 2025-26 and 2026-27, respectively.

“Investing in educators is essential to achieving our goal of providing a world-class education and improving outcomes for each and every student in San Francisco public schools,” Superintendent Wayne said. “To achieve this, we are thoughtfully implementing long-term budget-balancing solutions that maximize every revenue stream.”

Key budget-balancing strategies to maintain fiscal solvency in line with CDE guidance include:  

  • Place a hiring freeze on non-essential positions by eliminating 927 of 1,113 vacant site and central office positions. 
  • Instituting central office staffing reductions to identify additional Unrestricted General Funds (UGF) in addition to hiring freezes.
  • Honoring classroom staffing levels per collective bargaining agreements. 
  • Reducing consultant contract allocations by 20% in fiscal year 23-24 by shifting essential services to restricted funding sources or eliminating allocations.
  • Maximizing and leveraging restricted funding sources to offset increased labor costs and ensuring continuity of critical services to deliver on student outcomes strategies. 

Each year, District and County Superintendents are required to submit to their Governing Boards two interim reports that provide updates on the financial and budgetary status of their District and the County Office of Education. Based on this information, one of three certifications is made to the State of California’s Department of Education regarding the District’s and County Office of Education’s ability to meet their financial obligations for the balance of the fiscal year. 

Also at its Dec. 12, 2023 regular meeting, the Board of Education is scheduled to ratify the AB1200 letter to be submitted to CDE as part of the first interim budget report.