Oakland Unified moves closer to controlling its own finances and out of state oversight

Oakland Unified School District (OUSD) is set to gain financial independence from state oversight while grappling with a projected $60 million deficit in its budget. Chief Business Officer Lisa Grant-Dawson reported that the district's spending exceeds its revenue, necessitating significant infrastructure changes, including potential school consolidations. Student Director Maximus Simmons pointed out that the number of schools and vacant properties exacerbates budgetary issues, as resources are spread thin. Director VanCedric Williams recommended raising attendance rates to enhance revenue and suggested that retirements could help reduce costs. This month, OUSD will make its final payment on a $100 million state loan, freeing up $6 million annually for other expenses.

The school board approved the budget report for submission to Alameda County Superintendent Alysse Castro. The upcoming draft budget for the 2025-2026 school year is expected to show another deficit. Despite financial hurdles, OUSD reported an increase in its graduation rate to 79% and received $6 million from Proposition 28 to support arts education.