San Diego County schools are facing significant challenges once again due to declining student enrollment. For the second consecutive year, the county’s 10 largest school districts are projecting budget deficits, leading to layoffs and difficult decisions for school leaders.
Despite efforts to manage these financial issues, the situation remains tense as many districts face tough financial realities in the coming year.
Continued Budget Deficits and Layoffs
According to recent budget records reviewed by inewsource, all 10 of the county’s largest school districts are expecting deficits.
This has prompted six of these districts to approve layoffs, which include teachers, counselors, instructional assistants, and liaisons.
In one of these larger districts, Poway Unified, around 230 employees were approved for layoffs. Poway accounts for more than a third of the layoffs in the county.
While layoffs are a common response to budget shortfalls, some districts have also approved salary increases, even though they are dealing with financial problems.
For instance, San Marcos Unified, Oceanside Unified, and Escondido Union have all agreed to raise salaries for their employees. This includes salary hikes for school board members in three of the 10 largest districts, despite the ongoing budget issues.
Rising Costs and Board Pay Increases Amid Deficits
Even as districts like Sweetwater Union face a $46 million shortfall for the upcoming year, the school board approved a 2.75% increase to their own annual pay.
Similarly, Grossmont Union and Cajon Valley school boards also gave themselves pay raises, despite projecting deficits of $10 million and $3 million, respectively.
These moves have caused concern among some community members who feel that such pay increases are inappropriate given the financial struggles of the schools.
The State’s Budget Issues Affect Schools
The financial challenges facing San Diego County schools are also connected to the broader economic situation in California. With the state projecting a $12 billion budget shortfall, school districts are bracing for even tighter budgets.
A significant portion of this shortfall comes from lower-than-expected state revenue, which has been further impacted by the economic fallout from the Trump administration’s tariffs.
Laura Pryor, research director at the California Budget and Policy Center, explained that the lower revenue projections have affected Proposition 98, a major funding source for K-14 schools.
This funding source, which guarantees a minimum level of funding for public education, is now expected to provide about $114 billion, down from the $119 billion that was projected earlier this year.
San Diego County’s school districts are grappling with difficult financial conditions, as they face declining enrollment and significant budget shortfalls. Layoffs, salary increases, and strained resources are all part of the ongoing struggle for many districts.
With California facing its own budget challenges, the financial outlook for local schools is uncertain, and the future of public education in the region depends on how these fiscal issues are addressed.
