Vallejo City Unified School District exiting state receivership 20 years after financial crisis
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Vallejo City Unified School District exiting state receivership 20 years after financial crisis
In 2004, Vallejo City Unified entered state receivership after experiencing a financial collapse. To stay operational, the district needed a $60 million emergency loan. The district has scheduled a news conference to discuss exiting receivership at the district office on Monday at 11 a.m. It will be responsible for independently upholding strong internal fiscal systems, “data-driven strategies” and balanced multi-year budgeting without relying on deferred decisions.
Schools in Santa Rosa, Vallejo set to close because of budget issues
Schools in Santa Rosa, Vallejo set to close because of budget issues
Officials with the Vallejo City Unified School District announced they will fully regain local control two decades after a financial crisis prompted a takeover by the state.
The district announced Monday that they will officially exit state receivership on June 30, following a multi-year process that included financial reforms and the closure of two school campuses.
“This is not just an administrative shift—it’s a full-circle moment for a district that has worked tirelessly to rebuild credibility, restore fiscal solvency, and center student success,” Superintendent Rubén Aurelio said in a statement. “Our entire community—educators, families, partners, and students—has contributed to this recovery, and we are ready to lead with discipline and vision.”
In 2004, Vallejo City Unified entered state receivership after experiencing a financial collapse. To stay operational, the district needed a $60 million emergency loan.
Over the past two decades, the district worked under the guidance of the California Department of Education, the Solano County Office of Education and the Fiscal Crisis and Management Assistance Team, a state agency that advises school districts on fiscal responsibility.
In its statement, the district noted several milestones, including full repayment of the emergency loan in Aug. 2024. The district also completed fiscal audits, implemented balanced budgets, reduced expenses and committed to aligning fiscal practices with educational priorities.
With local control being restored, the district said it would be responsible for independently upholding strong internal fiscal systems, “data-driven strategies” to improve student outcomes and balanced multi-year budgeting without relying on deferred decisions.
The district has scheduled a news conference to discuss exiting receivership at the district office on Monday at 11 a.m. Aurelio and California State Superintendent of Public Instruction Tony Thurmond are expected to speak.