Seattle Public Schools students returned to class as a tentative labor agreement appeared to avert a strike, but district leaders warned the financial problems
Seattle Public Schools students returned to class as a tentative labor agreement appeared to avert a strike, but district leaders warned the financial problems that fueled months of uncertainty are far from resolved.
SPS Superintendent Ben Shuldiner celebrated the start of school, telling reporters at a news conference, "We did it!" The district is waiting to see whether the tentative agreement is approved by teachers and the school board.
Even with classrooms open, the district is approaching a potential financial cliff. The superintendent told KOMO News that while this year’s budget is balanced, the district has little left in reserves. Earlier this week, he said the district is “broke,” emphasizing that the district cannot continue spending more than it takes in.
"So the big issue is that we just spend more money than we're given, right? So we used to have about $175 million in the bank. And so if every year you're spending $20 or $30 million more than you get, that number dwindles," Shuldiner said. "And the problem is right now, for next year, we're going to be at $27 million."
Shuldiner told KOMO News that “nothing is off the table,” including potential future consolidations, unless the state provides more help or lawmakers lift the local school levy cap. "All options have to be on the table for us to remain solvent."
At Sacajawea Elementary School, some families said the prospect of consolidations is a familiar worry. In 2024, the school was among 21 SPS schools initially considered for consolidation. At one point, that list was narrowed to four schools, including Sacajawea, but parents pushed back and the school board eventually withdrew its closure recommendations.
"We were worried about it," said Sita, a parent who picked up her son after his first day of fourth grade at Sacajawea Wednesday.
Kelly Se-Gahon, who was among the parents who fought the earlier consolidation proposal, said the community has long understood the issue could resurface. "We love our school, but I think we all knew it was a stopgap for a few more years, and I'm glad we got that, so I guess we will just see what happens," Se-Gahon said. Her son started third grade this year.
Sita, who said she moved to the neighborhood to be near the school, urged families to stay engaged. "Let's continue to fight for it," she said.
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Shuldiner pointed to inflation and other cost drivers, including staffing, maintenance and transportation. "It's in a lot of things, right? I mean, we have a lot of FTE. We have a lot of salaries. We have a lot of costs and maintenance. And we have a lot of transportation. We spend a ton of money on transportation," the superintendent said.
He also said changes to the levy cap could help districts like Seattle raise more local dollars. "And then there's also things they could do, like remove the levy cap, that would allow us to actually take the money from Seattle, not from the rest of the state. There are people in Seattle that want to give us their tax dollars. But because there's this levy cap, we're not able to do that," Shuldiner said.
The district has argued that state funding does not meet student needs. The Office of Superintendent of Public Instruction told KOMO News on Wednesday, "The state superintendent Chris Reykdal will have a budget request to the governor and legislature, again encouraging the state to fully fund basic education."
OSPI also said financial distress is widespread, writing: "Costs for goods and services continue to rise, but state funding, when adjusted for inflation, isn’t keeping up. The state has a legal obligation to fully and amply fund a basic education for all Washington students; however, state funding continues to fall short in the areas of special education, materials and supplies, and transportation.
School districts are then often using their local levy funds—which are supposed to be for enrichment activities like extracurriculars, additional staffing, and more—to supplement the basics."
OSPI said 11 school districts are currently under what’s known as binding conditions, a state financial oversight process.


