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District overview

Palo Alto Unified School District

Community-funded school governance, an expiring parcel tax, and active Measure Z construction.

Who controls Palo Alto Unified's priorities and funding?

A five-member elected Board governs a community-funded district whose operating revenue is driven mainly by local property taxes

Five trustees elected to staggered four-year terms set policy, adopt budgets and bonds, appoint and evaluate the superintendent, and act only as a public body. Student representatives participate, and trustees also serve as liaisons to schools and advisory committees. PAUSD is community funded, often called basic aid: local property-tax revenue exceeds its state LCFF entitlement, so property taxes rather than per-student state aid are the principal operating source. Federal and state categorical funds, donations and a voter parcel tax supplement operations, while Measures A and Z bond proceeds are restricted to facilities.

The Board governs as a five-member body

Trustees approve policy, the annual budget, senior leadership, labor agreements and capital authorizations; individual trustees do not direct daily operations.

Local property values drive the operating base

As a community-funded district, PAUSD retains local property-tax revenue above its LCFF entitlement and is less dependent on the state's attendance formula than most California districts.

Parcel-tax revenue is now a live budget risk

The existing levy provides nearly $17 million annually but expires in 2027; the June 2026 reduced-rate renewal received 62.44% support, short of the required two-thirds.

Facilities money is legally separate

Measure Z authorized $460 million for school facilities with citizen oversight; those bond proceeds cannot replace an expiring operating parcel tax.

PAUSD describes its reserves as healthy, but the failed parcel-tax renewal creates a defined recurring-revenue gap beginning after the current levy expires. The adopted FY27 budget exists in BoardDocs, yet the public attachment is blocked from this environment, so this overview does not invent a total or per-student figure.

Local revenue and facilities capacity

Current annual parcel-tax revenue at riskverified
17,000,000 $ per year

The district says the existing levy provides nearly $17 million annually and expires in 2027.

Annual revenue the failed Measure B renewal projectedverified
15,000,000 $ per year

The proposed four-year replacement would have reduced the levy from $941 to $800 per parcel.

Yes vote on the June 2026 parcel-tax renewalverified
62.44%

13,634 yes votes and 8,201 no votes; a two-thirds vote was required, so the measure did not renew the levy.

Measure Z facilities-bond authorizationverified
$460,000,000

Approved in 2018 for construction, rehabilitation, equipment and other eligible facilities purposes; it is not operating revenue.

Major projects

Operating-plan response to the expiring parcel tax

Renewal failed; current levy expires in 2027

After Measure B fell short of the two-thirds threshold, the Board must decide how to replace or reduce nearly $17 million in recurring locally controlled revenue before the existing levy ends.

Next: The September 2026 budget revision should quantify the expiration gap and identify whether the Board will pursue a new revenue measure, staged reductions, reserve use or another recurring solution
  1. Board places a reduced-rate four-year renewal on the June ballot
  2. Measure B receives 62.44% yes, below the required two-thirds
  3. District budget calendar calls for the first FY27 budget revision in September 2026
  4. Existing parcel-tax funding is scheduled to expire

Funding

Existing locally controlled parcel tax through 2026-27; replacement funding is not yet established

PAUSD estimated about $15 million annually under failed Measure B and nearly $17 million from the expiring levy.

Greene Middle School library and campus construction

Structural work underway in early 2026

The active campus project includes a new library building; the school reported that the structure had gone vertical and planned student construction-site viewing and a final-beam signing.

Next: Publish the next site update with enclosure, interior-work and occupancy dates, along with a current control budget
  1. School reports the new library frame is standing and construction is moving forward
  2. Students are scheduled to view the site and sign the final structural beam during the week

Funding

PAUSD Strong Schools facilities-bond program, including Measure Z; the public school update does not state this project's current control budget

The district construction page identifies Measure Z as an active facilities source but does not expose a project-level budget in the readable update.

This overview uses PAUSD's official Board, funding, budget-calendar, parcel-tax, construction and superintendent-update pages, plus the Santa Clara County election notice and certified vote totals reported from the county result feed.

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