Higher-than-expected state revenues allowed members of the LAUSD school board to avoid making the most drastic cuts Tuesday. And school employees have the California Lottery to thank.

The increased revenues meant an $180 million decrease in the gap members had to fill, leaving LAUSD with a hole of $390 million, instead of the $557 million they initially feared.

Thanks to the last minute save, many of the cuts Californians feared most have been reduced, including adult education and teacher layoffs.

“As a result of higher-than-expected state revenues, primarily from the lottery, restoration of state transportation funding and lower-than expected benefit costs, the LAUSD budget deficit has dropped from $557 million to $390 million," said Superintendent John Deasy in a statement. 

Of the almost 11,700 pink slips sent out in March, about half will be rescinded, according to Deasy. And adult education — originally slated to lose all of its funding — will only lose 1/3rd.

Deasy also requested that labor unions agree to a one-year pay cut across the board that would save $220 million.

While the view of LA is stunning from Griffith Park, the view that matters most are the most impacted locations in LAUSD.

— John Deasy (@DrDeasyLAUSD) March 13, 2012

Meanwhile, LAUSD's board also approved a $298 parcel tax to be added to the November ballot. Members still has several months to hammer out language on the measure, but for now the parcel tax would raise $225 million a year for five years.

LAUSD tweeted one of its former members, speaking on the parcel tax.

Former Board Member Mark Slavkin says: “The parcel tax is like financial CPR. The patient is our kids and they need you now. “

— LA Schools (@LASchools) March 13, 2012

Only one member voted against both the budget and the parcel tax. Marguerite Poindexter LaMotte said she couldn't help thinking of the faces and names behind the notices... and the children behind the budget cuts.