Sacramento School District Faces $134M Deficit, Considers Hundreds More Layoffs

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The Sacramento City Unified School District is facing a growing budget deficit, now at $134 million, and is considering laying off an additional 400 positions on top of 400 already approved last month. The district says the deficit increase is due to underfunding for special education, and the proposed cuts include a mix of non-teaching and administrative roles. District officials warned the board that cutting key positions like the sole administrator overseeing student health could have severe impacts on student safety and compliance.

Why it matters

The Sacramento City Unified School District's budget crisis highlights the difficult decisions facing many school districts across the country as they grapple with rising costs and limited funding. These layoffs could significantly impact student services and support, raising concerns about the district's ability to adequately provide for the health and safety of its students.

The details

The Sacramento City Unified School District is voting to put an additional 400 positions on notice for potential layoffs, on top of the 400 positions already approved for cuts last month. The new round of proposed cuts includes 18 preschool employees as well as hundreds of other non-teaching and district office positions, including some administrative roles. When combined, the district could be cutting more than 800 employees in total to address the growing $134 million deficit, which has increased by $21 million in the last month alone.

• The district has to send out preliminary layoff notices by March 15th, 2026.
• The final layoff decisions will be made in May 2026.

What’s next

The Sacramento City Unified School District board will continue to meet and make final decisions on the proposed layoffs over the next two months, with the goal of keeping the district fiscally solvent while minimizing impacts to the classroom.