Parents for Public Schools (PPS)-San Francisco

F2. 263-10Sp2 - Tentative Agreement Between San Francisco Unified School District and Common Crafts, IBEW Local 6

Join us for #BoardWatch — March 10, 2026 @ 6:30 PM. Important agenda items: Fiscal Year 2025–26 2nd Interim Report, tentative agreements with United Educators of SF, and tentative agreement with Common Crafts / IBEW Local 6. You can see the live post here. #PPSSF

@CalvindDudley Board approved both 263-10Sp1 - Tentative Agreements Between San Francisco Unified School District and United Educators of San Francisco.

@ppssf I might have missed this, did board members sign off on the recent labor deal with teachers?

Weissman-Ward: I would then move to amend the companion resolution to AB12 certification to strike out the second to strike out the word negative in the second where as clause and replace it with qualified.

The presenter clarified that declining enrollment has been ongoing for some time, and this factor needs to be considered separately when discussing budget certification.

They asked about the SFUSD budget, noting that the companion resolution mentioned a “negative certification,” but from a recent Youth Commission presentation, they understood the district was in “qualified certification.”

SFUSD, like other districts, often defers certain costs but maintains reserves for fiscal stability. Commissioner Alexander clarified that public statements framing the 17% as a recommended minimum were inaccurate; it is intended as a maximum.

State caps: In certain years, reserves are capped at 10% during fiscal “test one” periods. However, districts can still set aside funds for liabilities; optional costs may be deferred to comply with caps.

and those costs are not included in the agreement. Special Education NPA contract work also contributes to differences in total costs.

Cost of the Agreement The agreement covers three years at a total of $156 million, with the final year costing about $76 million. Variances from prior estimates arise because: Some UE members are funded outside the general fund (e.g., child development or county programs),

highlighting ongoing financial obligations.

districts can choose to prefund through CalPERS up to maximum liability. Currently, SFUSD uses a pay-as-you-go approach, paying the bill monthly for retirees, totaling $35–$40 million per year. About 6% of this contract’s cost is currently not funded,

Modeling: Fiscal staff models over 20 years using 5–7 year averages to ensure the parcel tax covers the projected costs. Strategy: Increase initial parcel tax per parcel beyond CPI to keep pace with rising health care expenses.

Actual health care costs may rise faster (~10% per year), so initial renewal amount may need to exceed CPI to fully cover projected costs.

Health care costs fluctuate year to year; typically rise 6–7%, but projected at 10% to account for escalation.

1. Annual Health Benefits Cost 2026–27 school year (first year of new agreement): $20.7 million (coverage phased in starting January 1; partial payments begin July 1). Second year: $43.3 million (increase due to phased coverage, 10% health care cost increase, and 10% migration).