Fresno Unified's projected budget deficit climbs to $88M, district says
Fresno Unified’s projected budget deficit for the upcoming school year has grown to $88 million, the district said, a 49 percent increase from just February.
In February, the district said its current deficit sat at $77 million and was projected to be $59 million for the 2026-27 school year.
Fresno Unified cited low attendance and declining annual enrollment — which recently shrank by nearly 1,000 students — as driving factors for the deficit, which occurs when expenses outpace funding.
The district said the increase is due to needing more special education staff than anticipated and increased transportation costs.
The district hasn’t specified how it’s going to address the gap. Service cuts and/or announcing more potential layoffs are potential options to help reduce projected costs, but the need to hire more special education staff has ultimately contributed to the growing projected deficit.
According to data from the California Department of Education, Fresno Unified’s special education enrollment is currently 10,709 — nearly 1,500 more students compared to 2022-23.
In February, Fresno Unified trustees began receiving a 113% pay increase — approved on a 6-1 vote. Andy Levine, trustee for the Fresno High area, was the only no vote.
That same month, Fresno Unified sent layoff notices to 274 employees, though the district hasn’t finalized the decision yet.
Amid this growing projected deficit, Fresno Unified is also in the middle of a lawsuit brought by Don Arax — a former football coach for Bullard High School. According to the lawsuit, Arax says Keshia Thomas, trustee for the Edison High region, accused him of using a racial slur against one of her sons during an interview.
Arax, who denies the accusation, is suing Thomas and Fresno Unified for defamation. He filed his complaint in August 2022, and a jury trial has been set for Dec. 7, 2026.
This story was originally published April 20, 2026 at 5:45 PM.
