SAN JOSE, Calif. (KCBS) – School is back in session for some of the Bay Area’s bigger districts, and teachers are finding themselves with larger class sizes, as a result of state budget cuts.

Finding the right classroom may have been even harder for students at Trace Elementary this morning, after the San Jose Unified School District had to install more than 24 portables across the street, after an arson fire last month.

The fire caused an estimated $10 million in damages, but that’s not the only challenge facing the school district this year. Superintendent Dr. Vince Matthews, explained that state education money is dwindling. “For example, in San Jose we’ve had to establish furlough days, we’re going to have a week of furloughs the first week of October. We also have larger class sizes.”

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Parents were expressing concern about the larger classes, but appreciated the circumstances. “Everybody’s going through a budget crisis,” acknowledged Judy Garza, whose daughter is starting fifth grade at Trace.

Matthews vowed that meeting or exceeding academic standards remains the district’s top priority.