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VCUSD Exits State Receivership: A New Chapter Begins

VCUSD Exits State Receivership: A New Chapter Begins

Jun. 30—On Monday, the Solano County Office of Education and Vallejo City Unified School District it has officially regained full local governance, marking the release from state receivership.

After roughly 20 years under receivership, this new fiscal status is indicative of Vallejo City Unified efforts toward increased independence and educational quality.

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“This is more than a financial milestone,” said VCUSD President John Fox, “It’s a collaborative achievement reflecting years of perseverance, partnership and unshakable belief in the community’s potential.”

The district, which first entered state receivership back in 2004, has worked collaboratively with the California Department of Education, Solano County Office of Education and the Fiscal Crisis and Management Assistance Team, “to rebuild financial stability and restore internal controls,” said Vallejo Director of Communications, Celina Baguiao in a press release.

During this time, the achievement of five main milestones includes:

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—The full repayment of the emergency loan in August 2024

—The completion of required pre-and post-loan fiscal audits, with measurable improvements in accountability systems

—Reduced expenditures, including the strategic closure of two schools

—The implementation of balanced budgets and internal controls to safeguard long-term solvency

—Sustained commitment to aligning fiscal practices with educational priorities

“Today is a day where we can celebrate what we already know about Vallejo City Unified. This is a district that believes in high-quality instruction and that every student deserves to have a high-quality education,” explained California State Superintendent of Public Instruction, Tony Thurmond.

Addressing the crowd during the momentous occasion, he spoke to VCUSD’s resilience during a time in which many districts throughout the nation continue to experience similar instability. The milestone, “is a reflection of many things; the hard work of this district, the superintendent, the staff, and board members of the many years,” he said.

While the receivership has come to an end, the district and county leaders have emphasized it does not mark the complete removal of oversight, but instead marks the beginning of new responsibilities as comes in this next phase.

“Where I come from, they say you show your values by what you put in your budget,” said Thurmond. “The district’s ability to prioritize its fiscal responsibilities and maintain its commitment toward “quality education,” is proof of such.”

As they enter this next phase of independence, a few of the district’s newest responsibilities include balancing a multi-year budget without “reliance on deferred decisions,” maintaining alignment between fiscal plans and the Local Control Accountability Plan, and the ability to come up with data-driven strategies to improve student outcomes, attendance, and program quality.

This comeback, explained by VCUSD Superintendent Ruben Aurelio, “has been anything but easy.” As a result of the district’s ability to “[build] financial systems, stabilize our reserves, [align] our budget to our priorities and [make] hard but necessary choices,” they celebrate the milestone with pride.

Originally Published: June 30, 2025 at 4:36 PM PDT


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