Words We Use (Glossary Page)

A California law that requires school districts to report their financial health to the state and county every year. When a district’s budget gets into trouble, AB 1200 is the law that triggers oversight and requires the district to create a plan to get back on track. Think of it like a required health check-up that happens when warning signs appear. OUSD is currently operating under AB 1200 oversight.

→ See also: Alameda County Office of Education (ACOE), Budget Certification, Interim Reports

The government agency that oversees public schools in Alameda County. ACOE is led by elected County Superintendent Alysse Castro, who was elected in June 2022 and serves as the county’s chief education officer and fiscal oversight authority, which means she and her team are responsible for watching over school district finances and making sure public money is handled properly.

ACOE monitors the financial health of school districts like OUSD. California law requires ACOE to review any proposed collective bargaining agreement, a contract between the district and a union, before the Board votes on it, whenever a district holds a Qualified or Negative budget certification. OUSD currently holds a Qualified certification.

If a district makes financial decisions it cannot sustain, ACOE has the legal authority to step in. It is important to understand: ACOE stepping in is not a first warning or a middle ground, it is the state’s mechanism for protecting students and public funds when a district can no longer manage on its own. "Local control" and "state takeover" are the two options. There is no in-between. Oakland regained local control in July 2025 after 22+ years of state oversight. ACOE plays a key role in making sure that independence is maintained.

→  See also: Budget Certification, Local Control, Negotiations, Receivership

A count of how many students are actually in school on an average day. In California, school funding, the money the district receives from the state, is based on ADA, not just how many students are enrolled. When students are absent frequently, the district receives less money. This is why attendance, actually going to school, matters so deeply to Oakland’s schools and budget.

→ See also: Attendance, Enrollment

OUSD’s student governance body, made up of representatives from high schools and middle schools across Oakland. All City Council gives students a direct voice in district decisions — including decisions about schools and budgets. Student representatives participate in Board of Education meetings and advocate for student priorities. Their voice is especially important in the superintendent search process.

A statewide California initiative funded at $3.6 billion across the entire state. OUSD’s share of this funding is approximately $18.9 million. These funds support arts education, music programs, professional development for teachers, instructional materials, library collections, school climate improvements, and operational costs at our schools.

Unlike many restricted grants, AMIM funds give districts meaningful flexibility, as long as the money supports the priority areas listed above. These funds are available for encumbrance (which means the district must formally commit, or set aside, the money for a specific purpose) through the 2025–26 fiscal year. In plain terms: OUSD must spend or commit these dollars by the end of this school year, or lose access to them. OUSD is working to ensure AMIM funds are deployed strategically before that deadline.

→ See also: Fiscal Year, Grants, Restricted Funds

How often a student actually comes to school. In California, school districts are funded based on the number of students who show up each day. A student who is enrolled but not attending regularly does not generate the same funding for the school. High chronic absenteeism, missing 18 or more days in a school year, which is 10% of the 180-day school year, is a serious challenge for both students and our schools' finances.

→ See also: Average Daily Attendance (ADA), Enrollment

The seven elected officials who govern Oakland Unified School District. The Board sets policy, approves the budget, and is accountable to Oakland voters. Board members are elected by the community and serve four-year terms. Every major financial decision, including the current budget restructuring plan, must be voted on and approved by the Board in a public meeting.

→ See also: Board of Education Directors, Superintendent

Each of the seven members of the Board of Education holds the title of "Director" and represents a specific geographic area of Oakland, called a District. Directors are elected by the voters who live in their area, not by the whole city.

It is important to understand what Directors can and cannot do. Directors do not manage the district day to day. They do not hire or direct staff, run programs, or make operational decisions on their own. Their role is to set policy, approve the budget, and hold the Superintendent accountable, similar to how a corporate board of directors oversees a CEO. Individual Directors cannot give orders to District employees. Only the full Board, acting by majority vote in a public meeting, can direct the work of the District.

This is different from how a mayor or city council member works. A mayor has direct executive power and can act alone. A Director cannot. The Board only has power when it acts together. Currently, four of the seven Board seats are held by newly elected Directors. The Board President is Jennifer Brouhard and the Vice President is Directora Bachelor. Other Directors are Directors Latta, Williams, Berry, Hutchinson, and Thompson.

→ See also: Board of Education, Superintendent

A bond is money that a government agency borrows from investors and agrees to pay back over time, with interest — similar to a long-term loan. A bond measure is a question placed before voters asking them to authorize the district to borrow a specific amount of money for a specific purpose, usually the construction, renovation, or repair of school buildings and facilities.

If voters approve a bond measure, the district is authorized to sell bonds to raise the funds. The money borrowed must be repaid over many years — typically 20 to 30 — and the repayment is funded through a property tax added to homeowners' bills within the district's boundaries. Bond funds are restricted: they can only be spent on the capital projects voters approved them for, not on teacher salaries, programs, or general operating costs.

Bond measures are separate from parcel taxes. Bonds fund construction and facilities. Parcel taxes fund programs and operations. Both require voter approval, but they work differently and serve different purposes.

→ See also: Debt, Parcel Tax, Restricted Funds

California's open public meetings law, formally called the Ralph M. Brown Act. The Brown Act requires that all meetings of a public governing body — including the OUSD Board of Education — be open to the public, with advance notice of agenda items, and that decisions be made in public rather than behind closed doors. It is the legal foundation for transparent governance in California.

Under the Brown Act, the public has the right to attend Board meetings, speak during public comment, and review meeting agendas in advance. Closed sessions — private meetings of the Board — are permitted only for a narrow set of legally defined purposes, such as discussing pending litigation or certain personnel matters. The Brown Act ensures that Oakland families and community members have the right to see and participate in the decisions that affect their schools.

→ See also: Board of Education, Superintendent, Resolution

A plan for how money will be received and spent over a set period of time, usually one school year. OUSD’s budget describes how much money the district expects to bring in (from the state, federal government, grants, and other sources) and how it plans to spend that money (on teachers, staff, programs, facilities, and services for students). The Board of Education must vote to approve the budget each year. The budget is not just a financial document, it is Oakland’s public statement of what we value and who we are committed to serving.

→ See also: Fiscal Year, General Fund, Structural Deficit

Each time a school district in California files a required financial report, called an Interim Report, it must also certify (formally declare) whether it can meet its financial commitments, which means its bills and legally required payments. There are three possible certifications. Understanding all three helps you understand where Oakland stands right now and where we are working to go.

The ACOE, Alameda County Office of Education, reviews each Interim Report and either agrees with or challenges the District's certification. The goal OUSD is working toward is Qualified (or better) by March 2026, and Positive certification by 2027–28.

→ See also: ACOE, Interim Reports, Local Control

The retirement system for California public school teachers and most educators. Both employees and school districts contribute money to CalSTRS each paycheck, building retirement savings over time. OUSD contributes to CalSTRS at a rate that exceeds most comparable California districts, which means educators who work here are building stronger retirement security from day one.

Cash position refers to how much actual money, cash, a school district has available at any given time to pay its bills. This is different from the overall budget or fund balance. A district can have a fund balance on paper but still face a cash crunch if money owed hasn’t arrived yet or if spending has outpaced collections. Cash flow refers to the movement of money in and out over time.

OUSD’s cash position has declined by approximately 47% since 2022–23, from $349 million to a projected $183 million by the end of 2025–26. The Alameda County Office of Education has flagged this as a serious risk. A district with a deteriorating cash position has less room to absorb delays, unexpected costs, or revenue shortfalls without running into trouble meeting payroll and other legal obligations.

→ See also: Alameda County Office of Education (ACOE), Deficit Spending, Fund Balance, Reserve for Economic Uncertainty (REU)

Categorical programs (programs with very specific rules about how each dollar could be spent, like money that could only go to reading tutors, or only to after-school meals) were how California funded schools before 2013. The state sent money through hundreds of separate streams, each with strict conditions. LCFF replaced most of that with a more flexible approach. But many federal and state programs still operate as categorical funds today, meaning the money can only be used for the specific purpose it was awarded for.

→ See also: Grants, Local Control Funding Formula (LCFF), Restricted Funds

Employees who are required by the state to hold a credential, a license issued by California, to do their job. Teachers, counselors, speech pathologists, and school administrators like principals are certificated staff. California law sets specific rules about how districts can hire, assign, and reduce certificated employees. When a RIF affects certificated staff, the district must follow a detailed legal process with specific deadlines, including the March 15 notice deadline.

→ See also: Classified Staff, Reduction in Force (RIF)

Public schools that are independently operated under a contract, called a "charter," approved by OUSD, the county, or the state. Charter schools receive public funding but are run by independent organizations, not by the District. Students can apply to attend charter schools regardless of where they live in Oakland.

Because charter schools compete with District-run schools for students, and the state funding that follows them, the growth of charter schools is one reason OUSD's enrollment and budget have declined over the past decade. OUSD currently oversees a mix of district-operated schools and authorized charter schools.

→ See also: Average Daily Attendance (ADA), Enrollment, Local Control

Employees who do not need a state teaching or administrative credential to perform their jobs. This includes bus drivers, custodians, cafeteria workers, paraeducators (also called classroom aides or instructional assistants), office staff, and many other essential employees who keep our schools running every day. Classified employees are represented by their own unions and are covered by different legal protections than certificated staff. Budget reductions can affect classified positions, but the process and timelines may differ from certificated RIF procedures.

→ See also: Certificated Staff, Reduction in Force (RIF)

An annual increase to wages or funding amounts that is meant to keep up with the rising cost of everyday goods and services, groceries, housing, transportation, and more. In education, COLA works two ways. The state provides school districts with a COLA increase to their LCFF funding each year, adjusting for inflation. Employees and unions also negotiate for COLA increases to salaries, so that wages keep pace with the cost of living.

When the state’s COLA is low, as it has been in recent years, districts receive less additional revenue, even as their costs continue to rise. This gap between a low COLA on incoming revenue and the rising cost of everything else is one of the pressures contributing to OUSD’s structural deficit.

→ See also: Local Control Funding Formula (LCFF), Negotiations, Revenue, Structural Deficit

Money that a school district has borrowed and is legally required to pay back over time, typically with interest. Like a home mortgage or a car loan, debt allows an organization to pay for something today, usually a large capital need like a building repair or construction project and repay it in smaller amounts over many years. School districts in California can take on certain types of debt, but state law places strict limits on how and when debt can be issued, especially when a district is in financial difficulty.

There are two broad categories of school district debt relevant to OUSD right now:

→ See also: Alameda County Office of Education (ACOE), Budget Certification, Reserves, Local Control

A deficit happens when you spend more money than you bring in. If a school district receives $800 million in revenue but spends $836 million, the difference, $36 million, is a deficit. A deficit in one year can be managed. A deficit that happens every year, year after year, becomes a structural deficit, a much deeper problem that requires permanent solutions, not just short-term fixes.

When people talk about OUSD's "$103 million deficit," they are referring to the total amount of ongoing spending reductions the district needs to make so that what it spends is no longer more than what it earns, for this year and the years ahead.

→ See also: Deficit Spending, Expenditures, Fund Balance, Revenue, Structural Deficit

When a district is spending more money than it is bringing in within a given year. Deficit spending is different from a structural deficit: deficit spending describes what is occurring in a specific year, while structural deficit describes the underlying long-term cause. The 2025–26 First Interim Budget Report, filed in December 2025, identified deficit spending of $36.8 million in the Unrestricted General Fund. Without the budget reductions underway, that number was projected to grow significantly in the years ahead.

→ See also: Deficit, General Fund, Structural Deficit, Unrestricted Funds

The total number of students who have registered to attend OUSD schools. Enrollment is different from attendance, a student can be enrolled but not show up regularly. State funding is ultimately based on how many students attend, not just how many are registered. OUSD faces two connected challenges: the District sets its budget and staffing based on enrollment to make sure every student will be supported; and OUSD’s enrollment has declined significantly over the past decade due to lower birth rates, families moving, and competition from charter and private schools.

→ See also: Attendance, Average Daily Attendance (ADA), Charter Schools

A special federal grant, meaning one-time money given for a specific purpose, with rules about how it could be spent, sent to schools across America to help recover from the COVID-19 pandemic. ESSER grant funds were never meant to be permanent. They were emergency resources, like federal disaster relief. For several years, OUSD used ESSER grant dollars to keep teachers employed, run programs, and support students through the pandemic's aftermath. That grant money ended in 2024. The end of ESSER is one of the main reasons OUSD now faces a structural deficit, the programs and positions funded by this one-time grant money still exist, but the grant money that paid for them is gone.

→ See also: General Fund, Grants, Structural Deficit

All of the money a school district spends, on salaries, benefits, supplies, services, utilities, transportation, and everything else needed to run schools. In a budget, expenditures are the "money going out." When a district’s expenditures are higher than its revenue, money coming in, the result is a deficit. For OUSD, the largest single expenditure is employee compensation: salaries and benefits for teachers, staff, and administrators make up the majority of the District's spending each year.

→ See also: Deficit, Fund Balance, General Fund, Revenue

Money given to the district for a specific purpose by the state, federal government, or a private foundation. Most grants are restricted, meaning they can only be used for the program they were awarded for, not for general expenses. Many OUSD programs are funded by grants. When a grant ends, the District must either find new funding or reduce or end the program. Some grants also require matching dollars from the General Fund, which adds strain that can contribute to the deficit.

→ See also: Emergency School Relief Funds (ESSER Funds), General Fund, Restricted Funds

The main source of money a school district uses to pay for day-to-day operations, teacher and staff salaries, school programs, utilities, supplies, and most of what makes our schools run. The General Fund is made up of both Unrestricted and Restricted dollars. When people talk about OUSD’s budget shortfall or structural deficit, they are almost always talking about a problem in the General Fund. It is the largest and most important part of the budget, and it is where most budget decisions, and budget cuts, take place.

→ See also: Restricted Funds, Structural Deficit, Unrestricted Funds

The point in labor negotiations when a school district and a union have tried in good faith to reach an agreement but cannot move forward, both sides are stuck. Under California law, when impasse is formally declared, the two parties must go through additional required steps before the district can make a final offer or implement changes on its own. Those steps begin with mediation, and if mediation does not resolve the dispute, move to fact-finding. Declaring impasse does not mean negotiations have failed permanently, it means the process moves to the next required stage.

→ See also: Fact-Finding, Mediation, Negotiations, Oakland Education Association (OEA)

Required financial reports that every California school district must file with the county each year. These reports show whether a district can meet its financial commitments, meaning its bills and legally required payments, for the current year and the two years ahead. Each report triggers a Budget Certification: Positive, Qualified, or Negative.

In everyday financial language, an investment usually means money set aside to earn a return over time — like a savings account, a stock, or a bond. That is not how you will see this word used in most OUSD budget discussions and Board presentations.

When OUSD refers to an "investment" — in a program, a school, a position, or a service — it means an expenditure. Money being spent. Understanding this distinction matters because it changes how a sentence reads. "OUSD's investment in African American Male Achievement" means the district is spending money on AAMA. "A $3 million investment in counseling services" means $3 million in expenditures for counseling.

This is not unique to OUSD — public agencies and school districts commonly use "investment" to signal that a spending decision reflects a deliberate commitment and an expectation of positive outcomes for students and communities. That framing is intentional and meaningful. But it is still spending, and it still must be accounted for in the budget like any other expenditure.

When you see the word "investment" in OUSD materials, you can read it as: money we are choosing to spend because we believe it serves our students and community.

When you are reading an audit or formal financial statement, the word "investment" means something different and more specific. In public sector accounting — the formal financial reports that auditors prepare and certify — investments refer to financial instruments the district holds, such as money placed in interest-bearing accounts, government securities, or pooled investment funds managed by the county or state. These are actual financial assets that generate earnings over time, and they appear on the district's balance sheet as a category of what the district owns.

For example, OUSD may hold a portion of its cash reserves in the Alameda County Treasury pool, where funds earn modest interest while remaining accessible. In a formal audit or financial statement, those holdings would be listed under investments — in the traditional sense of the word. This is distinct from how the word appears in Board presentations and community communications.

The simplest guide: if you see "investment" in a PowerPoint, a Board memo, a press release, or a community presentation — it means spending. If you see it in an independently audited financial statement, a balance sheet, or a formal accounting report — it means a financial asset the district holds that earns a return.

→ See also: Expenditures, Budget, Prioritization, General Fund, Reserves, Fund Balance

A three-year plan that every California school district must write and update each year, describing how it will use state funding to improve outcomes for students, especially students who need the most support. The LCAP must explain the district's goals, the actions it will take, and how it will measure whether those actions are working.

The LCAP is the district's public promise to our community about how and why we spend money on students. The Board of Education must approve the LCAP each year, and the community has the right to give input before it is finalized. For OUSD, the LCAP is especially important because it governs how Supplemental & Concentration (S&C) funds are used for English learners, low-income students, and foster youth.

For more information, please visit the OUSD LCAP webpage here.

→ See also: Local Control Funding Formula (LCFF), Supplemental & Concentration Funds, Unduplicated Persons

The system California uses to decide how much money to send to each school district. Adopted in 2013, LCFF was a major change from the previous system of categorical programs, programs with strict rules about how each specific dollar could be spent. LCFF replaced most of that with a simpler approach: districts receive a base amount of funding for every student, plus additional money for students who need more support, English learners, students from low-income families, and foster youth. Those additional dollars are the Supplemental & Concentration funds.

LCFF gives districts more flexibility in how they spend state money, but requires them to show, through the LCAP, that they are using it to improve outcomes for the students it is meant to serve.

→ See also: Categorical Programs, Local Control  and Accountability Plan (LCAP), Supplemental & Concentration Funds, Unduplicated Persons

The right of a school district to make its own decisions, about budget, curriculum, hiring, and priorities, without being managed by the state or county. OUSD regained local control in July 2025 after more than 22 years of state receivership. Local control means Oakland gets to decide what is best for Oakland's children. That is a commitment Oakland made, to itself, and to every family who chose our schools.

If the District makes financial decisions it cannot sustain, that right can be taken away again. If that happens, the local Board of Education becomes ceremonial and advisory, it loses its power to act. Every budget decision the District is making right now is ultimately about protecting this right.

→ See also: Alameda County Office of Education (ACOE), Budget Certification, Receivership

A step in California’s labor negotiation process where a neutral third party, someone who works for neither the district nor the union, meets with both sides to help them find common ground. Mediation is confidential, which means what is said in mediation sessions stays private. It is designed to be a lower-pressure setting where both sides can speak more openly than in formal negotiations.

Mediation happens after impasse is declared and before fact-finding. It is a required step under California law. If mediation succeeds, the parties reach an agreement. If it does not, the process moves to fact-finding.

→ See also: Fact-Finding, Impasse, Negotiations, Oakland Education Association (OEA)

A financial forecast that shows a school district’s projected revenue, expenditures, and fund balance not just for the current year, but for the next two years as well. California requires every school district to include a multi-year projection with each Interim Report. The MYP is one of the most important tools for understanding whether a district’s budget problems are short-term or long-term, and whether the plan to fix them is working.

OUSD’s current MYP shows that without full implementation of the Scenario 3 restructuring plan, the Unrestricted General Fund balance would go negative in 2026–27 and 2027–28. This is why the Board’s decisions in early 2026 are so consequential, the MYP makes clear that delay today becomes a much larger crisis tomorrow.

→ See also: Fund Balance, Interim Reports, Structural Deficit, Scenario 3

→ See Budget Certification

Collective bargaining (the process by which employees and their employer negotiate together as a group, rather than one at a time) is how a school district and its employee unions reach agreements on wages, benefits, and working conditions. In California, this process is governed by state law and requires both sides to bargain in good faith. OUSD is currently in active negotiations with several unions, including OEA, the Oakland Education Association, which represents teachers.

When a district holds a Qualified or Negative budget certification, as OUSD does, California law requires the Alameda County Office of Education to review and comment on any proposed agreement at least 10 working days before the Board votes on it. This is an important safeguard to ensure that negotiated agreements are financially responsible and do not put local control at risk.

→ See also: Alameda County Office of Education (ACOE), Budget Certification, Fact-Finding, Impasse, Mediation, Oakland Education Association (OEA)

The union that represents teachers and many other certificated employees at Oakland Unified School District. OEA is the largest employee union at OUSD and is affiliated with the California Teachers Association (CTA) and the National Education Association (NEA). Like all unions, OEA’s role is to advocate for its members on wages, benefits, and working conditions through collective bargaining.

OUSD and OEA are currently in active negotiations, including fact-finding proceedings. This is a normal and legally defined step in the California labor process. The district is committed to reaching an agreement that is fair to educators and financially sustainable for Oakland’s schools.

→ See also: Certificated Staff, Fact-Finding, Mediation, Impasse, Negotiations

One of the most important distinctions in school finance, and one of the root causes of OUSD’s current budget challenge.

One-time funds are dollars that arrive once and do not come back. They cannot be counted on to pay for anything that will exist next year. Examples include ESSER pandemic relief grants, early retirement incentives, and certain state block grants with end dates. Using one-time funds to pay for ongoing costs, like staff salaries, is one of the most common ways school districts create structural deficits. When the one-time money runs out, the cost remains but the funding is gone.

Ongoing funds are dollars that come in year after year as part of the district’s regular revenue, like LCFF funding from the state. These are the only dollars that should be used to pay for ongoing costs like salaries and programs that run every year.

A key part of OUSD's restructuring work is making sure that every ongoing cost is matched to an ongoing source of funding, and that one-time funds are used only for one-time purposes, like buying equipment or making a building repair.

→ See also: Deficit Spending, Emergency School Relief Funds (ESSER Funds), General Fund, Structural Deficit

OUSD's Office of Equity is a department within the Academics division dedicated to making sure that every student, regardless of race, income, language, disability, or background, receives what they need to succeed. The Office operates from a foundational belief that equal treatment is not always equitable treatment. Some students face barriers that require targeted support, culturally responsive programs, and deliberate attention to close opportunity gaps that have persisted for too long.

The Office of Equity houses four nationally recognized student achievement programs, each presented to the Board as part of the district’s budget and accountability commitments: African American Male Achievement (AAMA), African American Female Excellence (AAFE), Latino Student Achievement (LSA), and Arab, Asian & Pacific Islander Student Achievement (AAPISA). Together, these programs provide mentoring, counseling, academic support, and culturally affirming spaces for Oakland’s students who have been most underserved. The Office also coordinates language access services, including translation and interpretation, so that every Oakland family, regardless of the language spoken at home, can fully participate in their child's education.

Equity is not just a department at OUSD, it is a lens applied to every budget decision. The District's current restructuring plan explicitly calls for surgical precision in how cuts are made, recognizing that across-the-board reductions can cause the greatest harm to students who already face the greatest barriers. The Office of Equity helps ensure that principle is put into practice, not just on paper.

→ See also: Local Control and Accountability Plan (LCAP), Prioritization, Supplemental & Concentration Funds, Unduplicated Persons

A comprehensive transition support initiative launched by Superintendent Dr. Denise G. Saddler for any OUSD employee whose position is eliminated as part of the District's budget restructuring. OUSD Cares reflects Dr. Saddler's belief that fiscal responsibility and human dignity must go hand in hand.

The program connects affected employees with state workforce resources, provides direct employer connections through a job fair and employer matchmaking events, and ensures that every person navigating a difficult transition is treated with care and respect. The Talent Division coordinates the program. OUSD Cares is not a statement, it is a commitment to every employee who has served Oakland's children.

A voluntary early retirement program that OUSD is offering to eligible employees. PARS allows qualifying employees to retire before the standard retirement age and still collect retirement income. The district uses PARS to reduce the number of positions that must be cut through involuntary layoffs. Whether PARS is a good fit depends on each employee’s personal situation, age, years of service, and benefit needs. Employees should speak with their union representative or HR before making this decision.

A local tax levied on parcels of land — meaning individual properties — within a school district's boundaries. Unlike a bond measure, which funds construction and must be repaid with interest over decades, a parcel tax generates ongoing annual revenue that can be used for programs, staff, and operations. Parcel taxes require approval by two-thirds of voters in the district and must specify exactly what the funds will be used for.

OUSD currently benefits from three voter-approved parcel taxes: Measure G, Measure G1, and Measure N. These local measures represent Oakland voters' direct investment in their public schools — a commitment the community has made, at the ballot box, to support programs and teachers beyond what state funding provides. Parcel tax revenue appears in the district's budget as a restricted local funding source.

→ See also: Bond / Bond Measure, Restricted Funds, Revenue, LCFF

The system a school district uses to track every authorized job, or position, and match it to a confirmed source of funding before anyone is hired or placed into that role. Strong position control means the district knows exactly how many people it employs, what each person costs, and where the money to pay them comes from. It is one of the most fundamental financial management practices in public education.

A breakdown in position control, allowing positions to be added or filled before funding is verified and Board-approved, was specifically cited by state fiscal reviewers as a major contributor to OUSD’s financial distress in 2017. Restoring and maintaining strong position control is a core part of the district’s current financial stabilization plan. It means no position can be created or filled without a confirmed, sustainable funding source behind it.

→ See also: Budget, Certificated Staff, Classified Staff, Deficit Spending, General Fund, Reduction in Force (RIF)

→ See Budget Certification

The process of deciding which programs, positions, and services to protect first when budget cuts are required. For OUSD, prioritization starts with what is closest to students in the classroom and works outward from there. The Board's clear direction was to protect what is nearest to students first and make reductions furthest from the classroom first. That principle guides every decision in the current restructuring plan.

→ See Budget Certification

When a school district loses local control and the state takes over its management. This happens when a district cannot meet its financial obligations, meaning it cannot pay its bills and legally required costs, and fails to take the necessary steps to fix the problem. Under state receivership, the state appoints an administrator who makes decisions for the district, overriding the elected Board. The local Board still meets, but it loses its legal authority to act.

OUSD was under state receivership for more than 22 years before regaining local control in July 2025. That recovery took decades. Protecting it requires action now.

→ See also: Alameda County Office of Education (ACOE), Budget Certification, Local Control

A formal process for reducing the number of employees in an organization because it does not have enough money to pay for all current positions. A RIF is not the same as firing someone for doing something wrong, it means the job itself is being reduced or eliminated because of budget, not because of performance. In California schools, a RIF notice must be sent to affected employees by March 15 for changes that take effect the following school year. This deadline drives much of the district’s current timeline for budget decisions.

→  See also: Certificated Staff, Classified Staff, Public Agency Retirement Services (PARS), OUSD Cares

The savings that a school district is required by law to keep on hand for emergencies and unexpected costs. Think of it like a household emergency fund, money set aside that is not available for everyday spending, but that is there if something goes wrong. California law requires school districts to maintain a minimum reserve of 2% of their total budget. OUSD's Board has set a higher standard, an additional 1% above the state minimum, bringing the total requirement to 3%, or approximately $29 million.

As of January 28, 2026, OUSD has restored its reserves to approximately $35.1 million, slightly exceeding the 3% requirement. Maintaining this reserve is not optional, it is a legal requirement and a key condition of preserving local control. A district that cannot maintain its reserves is a district at risk of losing the right to govern itself, and losing the financial cushion needed to absorb emergency costs or unexpected drops in revenue.

→ See also: Budget Certification, Local Control, Reserve for Economic Uncertainty (REU)

The official name for OUSD's required savings cushion. The state requires a minimum reserve of 2% of a district's budget. OUSD’s Board has set a higher standard, 3% total, or approximately $29 million. Think of the REU like a protected emergency savings account: it is not money that can be spent on programs or salaries. It exists to make sure the district can meet its commitments even when something unexpected happens.

As of January 28, 2026, OUSD has restored its REU to approximately $35.1 million, exceeding the 3% requirement for the first time in recent years. This is real progress, and it must be protected.

→ See also: Local Control, Reserves, Structural Deficit

A formal written decision or directive adopted by the Board of Education through a public vote. Resolutions are the official legal mechanism through which the Board exercises its governing authority — approving budgets, directing the Superintendent to take specific actions, authorizing contracts, and making other binding decisions. A resolution becomes official when a majority of the Board votes to adopt it in a public meeting.

OUSD Board resolutions are numbered sequentially by school year. For example, Resolution 2526-0177A refers to the 177th resolution introduced during the 2025–26 school year. The resolution adopting Scenario 3 on December 10, 2025 — Resolution 2526-0177A — is the foundational Board action directing the district's current budget restructuring plan. When you see a resolution number referenced in a Board agenda, meeting minutes, or news coverage, it refers to a specific, on-the-record decision the Board has made or is being asked to make.

→ See also: Board of Education, Budget, Scenario 3, Superintendent

Money the District receives that can only be spent on specific programs or purposes defined by the funder, the state, federal government, or a private foundation. Restricted funds cannot be moved to cover general operating costs, even when the district has a budget shortfall. For example, special education funding, Title I funds for low-income students, and most grants are restricted. When people hear that OUSD "has money" in one area but "not enough" in another, it is almost always because of the line between restricted and unrestricted dollars.

→ See also: Categorical Programs, Grants, General Fund, Title I, Unrestricted Funds

All of the money a school district receives, from the state, the federal government, local taxes, grants, fees, and other sources. Revenue is the "money coming in." In a healthy budget, revenue and expenditures are in balance: what comes in covers what goes out, with enough left over to maintain required reserves. When expenditures consistently exceed revenue, the result is a deficit.

OUSD’s revenue comes primarily from the state through the Local Control Funding Formula (LCFF), which is driven largely by how many students attend school each day. Declining enrollment and attendance directly reduce OUSD’s revenue, which is one reason both are tracked so closely.

→ See also: Average Daily Attendance (ADA), Deficit, Enrollment, Expenditures, Fund Balance, Local Control Funding Formula (LCFF)

The budget restructuring plan adopted by the OUSD Board of Education on December 10, 2025. The Board considered multiple scenarios that evening. Scenario 1 and Scenario 2, presented to the Board on November 19, 2025, focused on reductions to management staffing, central office departments, and contracts, generating an estimated $18–21 million in savings. Those reductions were necessary but not sufficient on their own to close the full gap.

Scenario 3 is the comprehensive two-year plan that incorporates Scenarios 1 and 2 as its foundation and adds deeper reductions across school sites, central office operations, and program structure to reach the full $100+ million target. The December 10 Board vote was inclusive of all three scenarios. Scenario 3 includes no school closures and prioritizes reductions furthest from classrooms first, the option the Board determined best protected Oakland's students while restoring fiscal stability.

→ See also: Board of Education, Local Control, Prioritization, School Closures

The permanent closing of a school campus. In other Bay Area districts facing similar deficits, school closures have been proposed as a way to save money. Oakland’s Board of Education specifically directed that OUSD’s budget plan include no school closures for the current restructuring period. This was a core condition of the Board-adopted Scenario 3 plan.

Oakland's history with school closures offers an important lesson. OUSD has closed a number of schools over the years, and experience has shown that closing a school does not automatically eliminate its costs. Vacant former school buildings still require ongoing expenses, for security, maintenance, insurance, and eventual remediation or demolition. OUSD currently bears costs on several such properties. This reality is part of why the Board directed that the current restructuring plan protect all school campuses and focus reductions elsewhere.

→  See also: Board of Education, Scenario 3

A required committee at every California public school, made up of teachers, parents, and classified staff. The SSC helps develop and oversee the school’s budget and academic plan. School Site Councils give families and educators a direct role in how money is spent at their school.

→ See also: Local Control and Accountability Plan (LCAP), Local Control Funding Formula (LCFF), Supplemental & Concentration Funds

→ See Interim Reports

Programs and services that California law requires school districts to provide to students with disabilities. Special education services are tailored to each student’s individual needs, they may include specialized instruction, speech therapy, occupational therapy, counseling, transportation, and more. These services are protected by both federal and state law. A district’s budget situation does not reduce a student’s legal right to receive them. Special education is one of the most significant cost areas in OUSD’s budget, and it is one of the most legally protected.

A strike is a formal work stoppage in which employees, acting collectively through their union, refuse to work as a way of putting pressure on an employer during labor negotiations. In public education in California, a strike is a legally defined action governed by state law. It is a last resort available to employees under specific conditions, not something that can happen at any time or without warning.

California law requires a union to provide the school district with at least ten days' advance written notice before a strike can begin. Before that notice can be issued, the parties must have reached a formal impasse in bargaining, gone through mediation, and completed fact-finding. These steps are required by law and are designed to ensure that every available process for reaching an agreement has been exhausted before a work stoppage occurs.

A strike by certificated employees, such as teachers, directly affects students and school operations. California law also recognizes the right of public school employees to strike under these defined conditions, while requiring that the process be followed fully before any work stoppage takes place.

→ See also: Certificated Staff, Fact-Finding, Impasse, Mediation, Negotiations, Oakland Education Association (OEA)

A structural deficit is a specific, deep kind of deficit, not a one-time shortfall, but a permanent mismatch between how much a district spends every year and how much it brings in every year. A structural deficit does not go away on its own. It cannot be solved by using savings or one-time funds, because those run out while the underlying gap remains. Only permanent reductions in ongoing spending, or significant, sustained increases in ongoing revenue, can close it.

OUSD's structural deficit means that even in a completely normal year with no emergencies, the district would still be spending more than it earns. This is the challenge the current restructuring plan is designed to solve: not just to balance this year’s budget, but to build a budget that is sustainable year after year. That is what Oakland’s students and families deserve, and what this plan is working to deliver.

→ See also: Deficit, Deficit Spending, Emergency School Relief Funds (ESSER Funds), General Fund, One-Time Funds / Ongoing Funds, Reserve for Economic Uncertainty (REU), Scenario 3

When a labor contract between a school district and a union expires, the two parties must negotiate a new agreement to replace it. That new agreement is called a successor contract — it succeeds, or follows, the one that came before. Negotiating a successor contract involves the same collective bargaining process as any other labor agreement: both sides present proposals, exchange counteroffers, and work toward terms both can accept.

Successor contract negotiations are particularly significant during a period of fiscal restructuring because decisions made at the bargaining table — on wages, benefits, staffing ratios, and working conditions — directly affect the district's budget for years to come. California law requires that when a district holds a Qualified or Negative budget certification, the county superintendent must review and comment on any proposed successor contract before the Board votes on it. This requirement applies to OUSD's current negotiations.

→ See also: Negotiations, OEA, Budget Certification, ACOE, Fact-Finding

The chief executive of the school district, the person responsible for running the district’s day-to-day operations and implementing the policies set by the Board of Education. Dr. Denise G. Saddler serves as OUSD’s Interim Superintendent. The Superintendent is hired and evaluated by the Board and reports directly to it. While the Board sets policy, the Superintendent is responsible for carrying it out.

→ See also: Board of Education, Board of Education Directors

Extra money that California provides to school districts for students who need the most support, specifically students from low-income families, English learners, and foster youth. OUSD serves a high percentage of these students, so it receives significant Supplemental & Concentration funding. These funds must be spent in ways that directly benefit the students they are designated for and must be accounted for through the LCAP.

→ See also: Local Control and Accountability Plan (LCAP), Local Control Funding Formula (LCFF), Unduplicated Persons

→ See Interim Reports

A federal grant program that provides extra money to schools and districts with high percentages of students from low-income families. Title I is one of the largest sources of federal education funding in the country. Because OUSD serves a high percentage of low-income students, the district receives significant Title I grant funds each year. These funds are restricted, they can only be used to support the academic achievement of students from low-income families. Title I dollars cannot be shifted to cover general operating costs, even during a budget shortfall.

→ See also: Grants, Local Control Funding Formula (LCFF), Restricted Funds, Unduplicated Persons

A term California uses to count students who qualify for extra state funding, specifically students from low-income families, English learners, and foster youth. A student is counted once (unduplicated) even if they qualify under more than one category. The number of unduplicated students a district serves determines how much Supplemental & Concentration funding it receives. OUSD serves a high proportion of unduplicated students, which is one reason equity is central to every budget decision we make.

→ See also: Local Control and Accountability Plan (LCAP), Local Control Funding Formula (LCFF), Supplemental & Concentration Funds

Money the District can spend with flexibility, without rules about which specific program it must go toward. Unrestricted funds come primarily through the LCFF base grant and are the dollars OUSD uses to cover general operating costs; salaries, utilities, supplies, and other core expenses. When restricted grants run out or new programs are added, the District often must fill the gap with unrestricted funds. This is one of the ways that grant-funded programs, when they end, can put direct pressure on the General Fund.

→ See also: General Fund, Local Control Funding Formula (LCFF), Restricted Funds