Santa Rosa public schools facing up to $20 million in budget cuts to avoid financial crisis

"SANTA ROSA, Calif. (KGO) -- In the North Bay, a new financial crisis is looming for Santa Rosa City Schools. The interim public school's chief says millions of dollars in cuts are needed to avoid running out of cash. Last spring, more than 100 staff were laid off and six schools were slated for closure. "We're at the point where anything we have to cut, it hurts," said Santa Rosa City Schools Interim Superintendent Lisa August."

""Now we're at the point of with declining enrollment and COVID funds and others one-time funds gone," August added. August says it's why $10-15 million in cuts are needed to avoid sending Sonoma County's largest school system into a financial crisis. "So everything is on the table?" ABC7 News reporter Cornell Barnard asked. "Everything has to be on the table for consideration," August said."

"Board members recently got a sobering letter from Sonoma County's Superintendent of Schools, which said: "The District is at risk of running out of cash by the start of the 2026-27 fiscal year. Without decisive intervention by the Board, this would cause severe disruption to students and staff and likely require a state bankruptcy loan." Many thought the worst was over, after last spring's historic budget cutting moves by the district, which closed a total of six schools and laid off about 150 staff. In a statement, the Santa Rosa Teacher's Association said: "The district's decision to close schools has done nothing to solve their financial problems, SRTA urges our district and county leadership to create budget solutions that centers the stability our students and communities need to succeed and thrive.""

Santa Rosa City Schools faces a looming financial crisis driven by declining enrollment and the expiration of one-time COVID funds. The district previously closed six schools and laid off about 150 staff as part of historic budget cuts. Interim Superintendent Lisa August warned that $10-15 million in additional cuts are required and that all options are under consideration because any cuts will cause harm. Sonoma County's Superintendent of Schools warned the district risks running out of cash by the start of the 2026-27 fiscal year and may need a state bankruptcy loan without decisive board action. The Santa Rosa Teacher's Association said closures failed to solve the financial problems and urged solutions that center stability for students and communities.

Read at ABC7 San Francisco