Newsroom » LAUSD Board Approves "Public Schools Over Private Loopholes” Resolution to Strengthen Funding for Students

LAUSD Board Approves "Public Schools Over Private Loopholes” Resolution to Strengthen Funding for Students

LOS ANGELES (May 12, 2026) – In response to ongoing budget challenges and widening revenue gaps, the Los Angeles Unified School District Board of Education unanimously approved Board Member Tanya Ortiz Franklin's resolution “Public Schools Over Private Loopholes: Working Together for the Revenue Our Students Deserve,” calling for urgent state-level action to strengthen public education funding and close corporate tax loopholes that divert resources away from California’s public schools.

The resolution emphasizes the need to ensure that public education—not private financial interests—remains at the center of California’s budget priorities, particularly as districts face ongoing fiscal pressures.

“For years we have heard a shared desire between district staff, labor partners and community members that we must do more together to advocate for additional revenue for public schools,” said Board Member Tanya Ortiz Franklin. “With SEIU’s ‘UnRig CA’ campaign and our board and labor leaders’ recent visit to Sacramento, there is already momentum we can build upon. This resolution does that by supporting five current legislative bills, creating a task force to identify and advance strategies to increase revenue, and requiring public accountability to ensure our efforts yield the resources our students deserve.”

 

“When we strengthen public education funding, we strengthen opportunities for every student in Los Angeles Unified,” Acting Superintendent Andrés E. Chait said. “Even as our students continue to make strong academic progress, declining enrollment, rising costs, and inconsistent state funding create real challenges for our schools. This resolution is about standing up for what our students deserve: closing loopholes that limit public investment, advocating for more reliable and equitable funding, and working alongside our labor and community partners to build long-term solutions.”

The Board’s action comes as Los Angeles Unified continues to navigate long-term financial challenges, including declining enrollment, rising fixed operational costs, and a projected structural deficit, even as student achievement continues to rise across nearly all academic areas.

Through the approved resolution, the board supports state efforts to close corporate tax loopholes and improve tax fairness, endorses legislation aimed at increasing transparency and strengthening school funding systems, and aligns with statewide coalition efforts to ensure corporations pay their fair share to support public services.

The resolution further directs the superintendent to collaborate with labor and community partners to advocate for increased public education revenue priorities, establish a Public Education Revenue Task Force with labor and community partners, coordinate advocacy efforts with other school districts and education organizations across California, engage state and federal policymakers on sustainable funding solutions, and provide regular updates to the Board on revenue-related initiatives and legislation.

“The State of California seems to be developing more excuses when it comes to distributing revenues for school districts,” said LAUSD Board President Scott M. Schmerelson. “The fourth largest economy in the world needs to stop threatening to take away funds from Districts and instead commit to expanding it for public schools permanently, rather than fluctuating between some funding today but no funding next year.”

"Our students deserve fully funded public schools, and that requires us to confront the inequities and loopholes that continue to drain resources away from public education," said Board Vice President Dr. Rocío Rivas.

“Every student deserves fully funded schools and the opportunities that come with them,” said Board Member Sherlett Hendy Newbill. “We must explore long-term, equitable funding solutions and work to ensure public education receives the investment our students and communities need.”


“Our students deserve the proper funding and resources to thrive in our school communities, and I am proud to support the District’s calls for more revenue and the policies needed to make that a reality,” said Board Member Nick Melvoin. “We appreciate the legislators sponsoring bills to help us fully fund our local public schools, and we will continue to advocate for the needs of our students to come before the profits of private companies.”

“This resolution comes at a time when the state has proposed to withhold Proposition 98 funding from the local education agencies across the state,” said Board Member Karla Griego. “I am optimistic that our joint advocacy efforts with other local education agencies and community partners will yield results and help secure stronger, more sustainable revenue pathways for our schools.”

"I’m proud to cosponsor this resolution to close tax loopholes and raise revenue for the State of California and, critically, our public education system,” said Board Member Kelly Gonez. “We must work collaboratively with families and labor partners to continue the advocacy and support legislation that will make essential progress in generating revenue to support our students and families." 


“The recent agreement between SEIU Local 99 and LAUSD shows what is possible when frontline workers and school leaders work together to strengthen our schools. The Public Schools over Private Loopholes resolution expands that partnership to the state and federal level, advancing a shared fight for fully funded public education and greater corporate accountability,” said Max Arias, executive director, SEIU Local 99. “For too long, corporations have exploited loopholes while students and school workers are left with fewer resources. Together, labor and LAUSD can be a powerful force for change — fighting for the funding our schools need and the good union jobs our communities deserve.”

The Board's action reflects a broader effort to address structural funding challenges while maintaining focus on student achievement and educational equity across the nation’s second-largest school district. 

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