Board approves tentative SEIU agreement as staff warns budget remains strained

The Sacramento City Unified School District board voted on June 4 to approve the AB1200 public disclosure for a tentative contract with Service Employees International Union (SEIU), ratifying a negotiated package that includes 2% across‑the‑board salary increases for the 2025–26 and 2026–27 years and enhancements to leave, safety and professional‑learning provisions.

District negotiators said the contract package also includes expanded release time language, clarified displacement rights, vacation cash‑out options, and a mechanism for up to eight hours of annual professional learning for SEIU members. Dan Shallock, director of employee relations, told the board that the district modeled the projected costs in available resources and recommended approval pending routine county review.

The agreement passed on a roll‑call vote after a motion and second; board members recorded unanimous support in the vote as part of the evening’s actions. The board’s action satisfied the AB1200 disclosure requirement so the tentative agreements can be submitted to the Sacramento County Office of Education for its review.

Board members and dozens of public speakers underscored the political and fiscal tension of the vote. SEIU represents many of the district’s lowest‑paid, frontline staff—custodians, instructional aides and other classified employees—who argued in public comment that modest percentage raises make a meaningful difference in take‑home pay and retention. Several trustees said denying the agreement would raise legal and labor‑relations risks because bargaining had been conducted in good faith.

At the same time, the district’s chief financial staff reminded the board that large structural deficits remain. At the June 4 presentation, staff said the third interim shows progress from earlier projections but still anticipates a multi‑year shortfall (staff provided a working projection of about a $61.8 million deficit before one‑time adjustments). CFO staff said the district continues to use a mix of one‑time reductions, restricted‑fund contributions and staffing reorganizations to limit near‑term cash pressure and that continued reductions or new revenue will be required to stabilize the long‑term outlook.

Public commenters urged the board to prioritize classroom services (reading interventionists and direct student supports), questioned the timing of raises amid proposed program cuts, and urged transparency in budget line items used to model benefits and other costs. Several union and community speakers asked the board not to let bottom‑line adjustments fall on the lowest‑paid employees.

The board set final adoption of the 2026–27 budget for its June 18 meeting; staff said it would continue to refine revenue and expenditure estimates with the goal of presenting a balanced adopted budget or a clear multi‑year plan to close remaining gaps.

Outcome: Board approved the AB1200 disclosure and tentative SEIU agreement and moved it to county review. Next procedural step: final budget adoption hearing scheduled for June 18.