Politics

For Many American States, It’s Like the Recession Never Ended

Published

10 years ago

May 20, 2015

Alabama Governor Robert Bentley has warned of impending cuts, including the closing of 15 of 22 state parks. (Brynn Anderson/AP Photo)

(Bloomberg) – Six years after the recession ended, many U.S. states are hard pressed to balance budgets because of a sluggish recovery and their own policy decisions. The fiscal fragility raises questions about how they will weather the next economic downturn.

A majority of states are making cuts, tapping reserves or facing shortfalls despite an improving national economy and stock markets at record levels, according to Standard & Poors and the Nelson A. Rockefeller Institute of Government. State revenue hasn’t rebounded to a prerecession peak adjusted for inflation, and other factors are putting pressure on budgets.

Alaska, Oklahoma and energy-producing states saw receipts fall with global oil prices. Kansas overestimated revenue after tax cuts, while New Jersey faces a shortfall thanks to unfunded pensions. Even some Republican governors have championed tax increases to avoid further diminishing services curtailed during the 18-month recession, the deepest downturn since the Great Depression.

“The extent of the weakness is really impressive,” said Donald Boyd, who tracks state finances at the Rockefeller Institute in Albany, New York. “There’s a lot of pressure on governors and legislators.”

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Alameda County

OUSD Supt. Chief Kyla Johnson-Trammell to Step Down on July 1

The district’s progress under Johnson-Trammell’s leadership “provides a strong foundation for the transition and work ahead,” according to the joint statement. “The plan has always prioritized a smooth and thoughtful transition. A formal search for a permanent superintendent was (originally) scheduled to begin in fall 2025,” but now the board is “initiating this process focusing on transparency and deep community involvement.”

Published

8 minutes ago

April 27, 2025

Oakland Post

Kyla Johnson-Trammell. File photo.

By Post Staff

The Oakland Unified School District announced this week that Supt. Kyla Johnson-Trammell will leave her position on July 1 after serving for eight years.

In closed session on Wednesday evening, the school board approved a voluntary separation agreement by a 4-3 vote, said Board President Jennifer Brouhard.

The board will begin searching immediately for an interim superintendent who will start on July 1. Johnson-Trammell will continue as superintendent emeritus from July 1 to Jan. 15, 2026, to help with the transition, according to a joint statement released by Johnson-Trammell and the Board.

In a personal statement to the community, Johnson-Trammell said:

“As I prepare to step away from my role as your superintendent on June 30, I do so with immense pride in what we’ve accomplished together. The last eight years have brought some of the most challenging — and most defining — moments in our district’s history. Through it all, Oakland has shown what’s possible when we stay grounded in our mission and vision and work in partnership for our students.”

The joint statement from Johnson-Trammell and the Board modifies her existing contract. According to the joint statement: “in August 2024, the OUSD Board of Education approved a three-year transitional contract for Superintendent Johnson-Trammell, with the next school year (2025-2026) allowing for a shift in responsibilities to support the transition to a permanent superintendent at the start of the 2026-2027 school year.”

Praising Johnson-Trammell’s accomplishments, the joint statement said, “(She) has done an extraordinary job over the past eight years, a historic tenure marked by stability, strong fiscal oversight, and improvements in student achievement.”

According to the statement, her achievements include:

increased graduation rates
improved literacy
increased student attendance rates,
“exemplary” COVID pandemic leadership,
“historic” pay raises to educators,
Improvement in OUSD’s facilities bond program,
ensuring strong fiscal systems and budgeting

As Johnson-Trammell’s years of service are coming to an end, there remain significant unresolved challenges facing the district, including a $95 million budget deficit and the threat of school closings and employee layoffs, as well as contract negotiations with the Oakland Education Association (OEA), the teachers’ union.

Another ongoing controversy has been the superintendent’s extremely high salary, which was negotiated less than a year ago under the leadership of Boardmember Mike Hutchinson and former Boardmember Sam Davis.

Johnson-Trammell is one of the highest-paid superintendents in California and the country, earning a total compensation package of $637,036.42 a year.

The contract had granted her a pay raise and a final three-year contract extension through the 2027 school year.

Under that contract, she would only continue as superintendent during the current school year, and then for two additional years she would work on research projects and prepare the district for a new superintendent, at the same rate of pay she now earns, plus raises.

During those two years, a temporary superintendent would be hired to handle the responsibilities of running the school district.