Stockton Unified School District (SUSD), the largest school district in Stockton, is at a crossroads as it grapples with the financial implications of funding numerous staff positions with one-time federal relief funds.
The district utilized a part of its $242 million Elementary and Secondary School Emergency Relief (ESSER) funds to bankroll 148 staff positions, according to Susana Ramirez, SUSD’s Assistant Superintendent of Educational Services. This approach, deemed ill-advised by the San Joaquin County Office of Education, could result in complications for the district in the coming school year, as these positions—costing approximately $15.5 million—will need to rely on ESSER money for funding.
Ramirez emphasized the responsibility of the district for these positions until the end of the upcoming school year. "At that time, the board will need to decide what will happen with those positions or how they will be funded," she said. The impact of these decisions would ripple across eight of the nine unions in the district.
The ESSER funds, designed to alleviate the impacts of the COVID-19 pandemic, were provided to school districts in three parts: $15 million in March 2020 through the CARES Act (ESSER I), $70 million in December 2020 through the CRRSA (ESSER II), and $156.7 million in March 2021 through the ARPA (ESSER III).
By September 2024, Stockton Unified is required to spend $150 million in ESSER III funds. However, decisions on how to allocate $75 million—remaining after various plan changes and departments failing to submit plans—are yet to be made.
Board President AngelAnn Flores has directed staff to schedule a public study session to determine the utilization of the remaining COVID relief funds.
The district has sought detailed “mini plans” from departments to use portions of the ESSER III funding, with several departments still failing to meet the deadlines. Notably, the Facilities and Planning Department has not submitted a plan for the allocation of $50 million in ESSER III funding.
According to district officials, that money will likely be rerouted, while facilities planning looks to use bond money for future projects.
David Varela, a facilities planner in SUSD’s Facilities and Planning Department, cited understaffing as a contributing factor to the delay. “Our department is extremely understaffed … I’m personally doing three jobs right now … sometimes I even do the director’s job because he’s off doing something else,” he said.
The facilities director, Armando Orozco, has been on paid leave since last fall, adding to the department's challenges. As these issues continue, the district remains embroiled in controversy regarding potential fraud with COVID funds.
As the district navigates these complex fiscal waters, the stakes are high, and the impact on staff and students remains to be seen.
