Andres Chait was unanimously appointed superintendent of the Los Angeles Unified School District (LAUSD) on Wednesday, stepping into the role days after Alberto Carvalho resigned amid an ongoing FBI corruption investigation. Chait, who has served the district for over three decades, now leads LAUSD as it confronts a projected $2 billion gap between its spending and revenue, anticipated layoffs, and a steady decline in student enrollment.
The district's financial challenges are compounded by rising labor costs, increasing healthcare expenses, inflation, the expiration of federal COVID-relief funds, and a significant drop in enrollment. LAUSD currently serves approximately 390,000 students, a figure that has halved since the early 2000s.
Chait's appointment follows his instrumental role in recent labor negotiations that narrowly averted a districtwide strike. These negotiations resulted in substantial compensation increases, which critics argue the district cannot afford given its current financial standing. LAUSD recently approved a $20.6 billion spending plan despite projecting only $18.6 billion in revenue.
To bridge the immediate shortfall, district officials plan to utilize reserves. However, they are also preparing for layoffs, including hundreds of workers with due-process protections and potentially another 1,000 employees without such protections. Thousands more layoffs are projected over the next three years.
Chait first assumed control of the district on February 27, two days after FBI agents raided Carvalho's home and LAUSD headquarters. Law enforcement sources indicated the investigation involves a review of Carvalho's actions concerning a company hired to develop an artificial intelligence chatbot for the district. Carvalho has not been charged with a crime and has maintained his innocence.
During the FBI investigation, taxpayers funded two superintendents, as Carvalho remained on administrative leave and continued to receive his $440,000 annual salary, plus an additional $50,000 yearly contribution to a retirement annuity. Details regarding whether Carvalho will receive a severance package have not yet been released by district officials.
As acting superintendent, Chait earned $395,867 annually, with an additional $250 monthly expense allowance and access to a district car and driver for work-related activities. This represents a significant increase from his previous role as chief of school operations, where he earned $278,205. The school board has not yet disclosed the terms of Chait's permanent superintendent contract, including salary adjustments, duration, and additional benefits.