Live Oak School District to vote on budget cuts of up to nearly $2 million at Wednesday meeting

Live Oak School District’s governing board is slated to vote on Wednesday on proposals that could cut as much as $2.5 million from the budget, even though district leaders are expecting that the cuts they will ultimately have to make will be nearly $2 million.

Superintendent Pat Sánchez recommends that the board approve a fiscal stabilization plan that proposes cutting a total of $1,974,947 which includes about $1.2 million in personnel reductions and about $209,000 in revenue generation, contract savings and other reductions. The plan also proposes shifting funding sources for general fund expenses totaling about $570,000 to grants and other funds. 

Like many districts having financial challenges across the state, Live Oak’s deficit stems from several factors, including the expiration of one-time funds from the pandemic that were used on staff, declining enrollment, rising labor costs and increased special education expenses. 

In November, Sánchez told Lookout that the district was voluntarily undergoing the fiscal stabilization process again, partially because the prior superintendent didn’t fully implement cuts proposed last year. This week, he told Lookout that although the district is again in a difficult position, he thinks that if approved by the board, this plan will get the district back on track. 

“My goal is to not be back in the situation again,” he said. “Is it painful? Yes, but if we delay any of this any longer, it’s going to cost way more.” 

This is the second time the district is undergoing the fiscal stabilization process after it went through budget cut pains last year. The sudden cuts shocked the district community and brought a tumultuous few months of heated meetings and several resignations, including the former superintendent, Daisy Morales. 

At the Wednesday board meeting, the governing board will vote on approval of two resolutions that list the reductions of full-time equivalent staff. One resolution lists a total of 19 full-time-equivalent reductions for classified personnel such as librarians and aides, and the second for 7.1 full-time-equivalent positions of certificated staff, such as teachers, or staff with teaching credentials, such as principals.

Sánchez’s recommendations include cutting several already vacant positions including one human resources analyst, one family and community engagement director, one teacher at Ocean Alternative school and one crossing guard. 

He also proposes reducing one physical education teacher, one elementary school intervention teacher and reclassifying several roles including eliminating a business office director role and replacing it with a financial analyst. 

Sánchez added that there are several positions listed that aren’t part of his recommendations for reductions. For example, a special education coordinator position is included in a list he specifically does not recommend for cuts but has listed as other potential solutions. 

“We’re casting a wider net than we need,” he said. “We don’t need $2.5 million but we have to identify that so we have flexibility.” 

The district is required by California law to notify staff of potential layoffs by March 15 and has until May 15 to make final decisions. 

By including in the resolutions more cuts than Sánchez believes the district needs to make, the board will have more flexibility over the next few months to meet the March and May deadlines. 

Sánchez said the reductions in the resolutions “don’t represent people, but positions.” He said the district doesn’t yet know exactly how many people these cuts could end up affecting, but it’s likely that some people could end up losing their jobs. 

He also added that the district is not cutting its four mental health clinicians. The district is proposing reducing the positions – currently full-time – to .75 positions instead, and the County of Santa Cruz has agreed to fund the .75 positions for the next fiscal year. As the county grant will be funding those positions, the positions are included in the resolutions in order to be eliminated from the district’s budget. 

Sánchez said the county grant gives the district one year to figure out how to fund those positions in the future. 

If the board votes to approve the plan and the resolutions, the district will continue to monitor the state budget, how many positions it thinks it will cut and how many positions it thinks it will be able to bring back. 

“I don’t think all of the positions will be brought back, do I think some will be? Yes,” Sánchez said. “I don’t think a lot of people will lose their jobs, but some people will.”

Sánchez’s proposal includes input from the classified and teachers unions, the governing board, staff and a budget advisory committee that Sánchez convened in the fall. The committee was made up of parents, school community members and two board members. They met five times from November 2024 to January and advised the superintendent on budget reductions and what positions they felt the district should prioritize. 

The governing board meeting starts at 5 p.m. on Wednesday in the Live Oak School District conference room located at 984-1 Bostwick Lane.

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