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Board hears May Revision overview: 4.31% LCFF boost, one‑time grants and proposed paid pregnancy leave
Summary
Director Cassandra Figueroa summarized the governor's May Revision: a 4.31% LCFF increase (2.87% COLA + 1.44% augmentation), proposed one‑time block grants for student support and learning recovery and a proposed paid pregnancy disability leave for school employees; district staff will monitor legislative action and update interim budgets.
Director Cassandra Figueroa briefed the board on highlights from the governor’s May Revision that could affect Merced City School District finances.
Figueroa said the revision proposes a 4.31% total increase to the Local Control Funding Formula (LCFF), composed of a 2.87% statutory cost‑of‑living adjustment plus a 1.44% augmentation. The revision also proposes additional one‑time funding through a student‑support and professional‑development discretionary block grant and a $757 million one‑time learning‑recovery emergency block grant; Figueroa said details and final amounts depend on the legislature.
A proposed increase in special‑education funding and a new state requirement for paid pregnancy disability leave (up to 14 weeks of fully paid leave for eligible employees) were also highlighted. The May Revision assumes districts will use the LCFF augmentation to cover leave costs; Figueroa said staff will monitor ongoing negotiations and incorporate any changes into the first interim budget.
Trustees asked questions about long‑term fiscal pressures (inflation, retirement cost, minimum‑wage increases) and how one‑time funds would be incorporated. Figueroa said the district’s multi‑year projections assume a COLA of 3.3% in 2027‑28 and include current pension rate projections, but noted that the proposed special‑education increase and one‑time block grants were not yet included in the 2026‑27 budget presented earlier in the meeting.
What’s next: budget staff will track the legislature and include any state‑enacted changes in the district’s interim reports and multi‑year projections.
