As we look ahead, it is important that we are transparent with you about our district’s financial outlook and the steps we may need to take to ensure long-term stability. 

Slowing Revenues

We have long anticipated that real estate revenue growth (assessed valuation, or AV for short) would slow. This is our district’s primary funding source. While we experienced an average growth rate of 8.79% in the last six years, AV growth has sharply reduced to just 2.34% this year, partly due to commercial property tax reassessments. The County Assessor has indicated that real estate revenue is unlikely to rebound in the next few years. This is not a temporary situation, which is why it’s critical that we prepare and act now. 

Rising Expenditures

At the same time, our expenditures continue to increase. New state-mandated programs, such as expanded Transitional Kindergarten (TK) and afterschool programs, add costs without dedicated funding. In addition, the rising costs of staffing—the staff that is critical for student outcomes—represent 83% of our budget.

Taking Steps Now to Plan for the Future

MVWSD currently has strong reserves to support this year’s budget. The Board of Trustees has resolved to maintain reserves at or above 17–20% in the third year of any budget cycle. This is a wise safeguard to ensure we can weather future uncertainties. However, due to slowing revenues—and no indication that relief will come soon—we must act now to align future expenditures with projected revenues. Since September, staff and Trustees have been working to set the stage for future balanced budgets. The decisions made now will have a lasting impact on the health of our district for years to come.

MVWSD is on track to spend approximately $11 million more next year than we receive. To plan for a stable future, MVWSD has prepared for $9 million or more in potential reductions for the coming year. Our guiding priority is clear: protect what matters most for students, even if that means making difficult trade-offs elsewhere. 

This means we must make careful, responsible choices—protecting what matters most for students, even if it requires pulling back in other areas. We are tightening our belts not because we are failing, but because the financial conditions around us have changed.

Proposed Areas of Budget Reductions (Reductions in Spanish are below)

On Jan. 29. 2026, the Board gave staff direction to proceed with $7.4 million in budget reductions. These reductions are crucial to ensure a stable financial future for our schools. Our funding—specifically property tax revenue— isn’t growing the way it used to, and the cost of educating students keeps rising. The County Assessor has advised that we should expect two to three more years of similar low tax revenue conditions.

Thank you for engaging with us in budget conversations since September. The thoughts and considerations about proposed budget reductions from staff and parents were collected in conversations and surveys. This input informed the final recommendations to the Board of Trustees on January 29.

The Board of Trustees opted not to make changes to these programs at this time:

- Preschool
- ELOP (afterschool) 
- Physical education (Rhythm and Moves) or STEAM programs
- Reducing or reassigning At Risk Intervention Supervisors and School Community Engagement Facilitators

Approved $7.4 Million Budget Reductions for 2026-27

Freeze salaries of approximately 60 administrators, confidential, and supervisory employees: $507,000

This option was suggested by the Board at its January 15 meeting and affects only non-represented administrative and confidential employees. The freeze contributes to the preservation of classroom programs and direct student services.

Eliminating some district office staff and administrators: $4.08 million

MVWSD will reduce 15% of district office positions, reflecting feedback from parent and staff surveys that favored district-level reductions. Positions to be eliminated include the areas of student services, communications, technology, business, teachers on special assignment, one full-time assistant principal and others, totaling the equivalent of 20 full-time positions. 

Reassigning Behavioral Technicians: $917,000

Behavior technicians will be reassigned to support students with specific needs, rather than serving schoolwide, creating potential efficiencies by assuming duties currently handled by some instructional aides.

Reducing technology in younger grades: $319,000

Instead of assigning Chromebooks to all first- through third-grade students, devices will be provided only upon request. Kindergarten classrooms will share laptop carts rather than having individual classroom sets. Students in grades four through eight will continue to receive individual devices.

Reducing custodial services: $939,000

The district will reduce nighttime custodial staffing by 50%, eliminating 6.5 full-time positions. Restrooms will still be cleaned daily; classrooms will be vacuumed and wiped down every other day. Offices and staff areas will be cleaned on a rotating schedule.

Proposed increase in ELOP funds: $660,000

MVWSD is tentatively planning on the Governor’s proposal of increasing per pupil funding for next year, bringing down the District’s cost from $1.66 million to approximately $1 million.

Next steps:

The MVWSD Human Resources team will be working on finalizing staffing plans for the coming year. Staff members who may be impacted by changes, including potential reassignments or layoffs, will be communicated with individually.

The Process

We launched a program evaluation process with Orenda Education to carefully analyze expenditures and ensure that we retain the programs most impactful for student outcomes. Read the results here.

Phase 1 feedback from staff, principals, teachers, and parents

Staff brought reductions recommendations to the Board on January 15 for discussion.

Phase 2 feedback: To inform final recommendations, MVWSD will again ask for staff and parent feedback on specific reductions options before Jan 20. 

Final recommendations impacting the 2026–27 budget will come to the Board for action on January 29 

Community Input

The Trustees and Superintendent are committed to hearing from you, and welcome you to tune in to Board meetings.   At times like these, it’s critical that we remain focused on what matters most for student learning. Thank you for your continued partnership and support as we work together to shape the future of MVWSD.

Resources

MVWSD Budget: What you should know
Click here for answers to Frequently Asked Questions. Budget Reductions Presentation Jan 29, 2026Budget Reductions Presentation Jan 15, 2026 Budget Reductions Update, December 18, 2025
Nov. 20, 2025 First Interim and Budget Reductions Presentation Oct 16, 2025 Program Costs Board Presentation Oct 2, 2025 Budget Scenarios Board Presentation Supt Budget Update, Jan 8, 2026 Supt Budget Update, Dec 19, 2025
Supt Budget Update, Nov, 21, 2025 Supt Budget Update, Oct. 17, 2025 Supt Budget Letter, Sept 26, 2025 Supt Budget Letter, Sept 26, 2025- Spanish

Recortes Presupuestarios

Se aprobó Recortes Presupuestarios de $7.4 Millones para 2026-27

Congelamiento del salario de aproximadamente 60 administradores, empleados confidenciales y supervisores: $507,000

Esta opción la sugirió el Consejo en la reunión del 15 de enero y afecta solo a empleados administrativos y confidenciales no representados. El congelamiento contribuye a la preservación de los programas de la clase y servicios estudiantiles directos.

Eliminación de parte del personal y administradores de la oficina del distrito: $4.08 millones

MVWSD va a reducir el 15% de las posiciones en la oficina del distrito, reflejando el aporte de las encuestas de padres y personal que favorecen recortes en el distrito. Las posiciones a eliminarse incluyen áreas de servicios estudiantiles, comunicaciones, tecnología, negocios, maestras en asignaturas especiales, un vicedirector de tiempo completo y otros, totalizando el equivalente a 20 posiciones de tiempo completo.

Reasignación de Técnicos de Comportamiento: $917,000

Los técnicos de comportamiento se van a reasignar para apoyar a estudiantes con necesidades específicas, en lugar de prestar servicio a toda la escuela, creando una mayor eficiencia al asumir funciones que actualmente cumplen algunas asistentes instructivas. 

Reducción de la tecnología en los grados más bajos: $319,000

En lugar de asignar una Chromebook a todos los estudiantes de primero a tercer grado, los dispositivos se asignaron solo por pedido. Las clases de kínder van a compartir carros de computadoras en lugar de tener equipos individuales para cada clase. Los estudiantes de cuarto a octavo grado continuarán recibiendo dispositivos individuales.

Reducción de servicios mantenimiento: $939,000

El distrito va a reducir el personal de mantenimiento nocturno en un 50%, eliminando 6.5 posiciones de tiempo completo. Los baños se seguirán limpiando a diario; los salones se van a aspirar y se limpiarán día por medio. Las áreas de las oficinas y del personal se van a limpiar con un calendario rotativo.

Aumento propuesto a los fondos de ELOP: $660,000

MVWSD está planificando provisionalmente la propuesta del Gobernador de aumentar la financiación por alumno para el año próximo, disminuyendo los costos del Distrito de $1.66 millones a aproximadamente $1 millón.

Próximos Pasos

El equipo de Recursos Humanos de MVWSD estará trabajando en finalizar los planes para el personal para el año próximo. Los miembros del personal que puedan ser impactados por los cambios, incluyendo posibles reasignaciones o despidos, serán informados individualmente.