School district proposes cutting hundreds of positions, numerous programs as it faces $90M deficit

ANCHORAGE, Alaska (KTUU/Gray News) – A school district in Alaska is facing a $90 million deficit for fiscal year 2027, prompting officials to take drastic measures by proposing sweeping cuts to balance its budget.

The Anchorage School District announced Friday it planned to meet the deficit by eliminating more than 380 full-time positions and numerous programs.

The preliminary budget proposal includes cuts to nursing staff, library assistance, the Ignite gifted program and special needs teachers. The district said the reductions would increase class sizes by an average of four students per teacher.

The proposed cuts would eliminate multiple high school sports programs, including tennis, gymnastics, volleyball, swimming and diving, esports, hockey, wrestling, Nordic skiing, soccer and riflery.

The district is also proposing ending its contract with The Dome facility, a sports complex that hosts a certified track, soccer fields, weights, laser tag and more.

Under the proposal, all middle school programs would be eliminated.

“This is definitely the most extreme set of cuts and provisions that I’ve ever seen,” Anchorage School Board member Andy Holleman said. “I started teaching in ‘96, and there were a few years where there’s been increases, but most years we’ve had to trim things. But this really, I think, is going to have a major impact on virtually every student.”

The district said the budget calculations assume state-based funding remains at current levels. Officials emphasized the proposal is preliminary and requires approval from both the school board and municipality before any cuts take effect.

The deficit mirrors challenges the district faced last year, when it also confronted significant budget shortfalls. In February 2025, the deficit was reported to be roughly $107 million.