Days before the start of the school year, schools and superintendents across the South Bay say student enrollment is dropping dramatically and the drop is costing the state millions in funds.
The drop in enrollment is because of the high cost of living and the immigration crackdown similar to the one in Mississippi.
Alum Rock superintendent thinks the threat of similar actions in the Bay Area are forcing parents to pull their children from schools.
"That tells me families are moving up north somewhere, or many of them might be going back home to the country of origin," said Dr. Hilaria Bauer, Alum Rock superintendent.
That is a $3 million hit in state funding for the already economically challenged district.
A spokesperson for the East Side Union High School District says they will have at least 250 fewer students this year.
San Jose residents say they know first-hand the pain or losing a family member that has been deported.
"We see the fear from our children," said parent Araceli Ortiz. "It’s very sad, we have no words."
The topic was discussed during an administrator retreat this week in Alum Rock.