Superintendent presents budget considerations to Philadelphia school board amid funding uncertainties

The Philadelphia City Council's Committee of the Whole convened on April 29, 2025, to discuss the upcoming budget for the school district, highlighting several critical issues affecting funding and operations. Chief Herbst presented five major considerations that will shape the budget proposal for President Streeter and the board.

First, the district is currently negotiating three labor contracts with the teachers' union, administrators' union, and school police officers' union. These negotiations are expected to influence budget allocations significantly. Second, the district is focused on accelerating improvements through its strategic plan, "Accelerate Philly," which aims to enhance educational outcomes.

A key point raised was the need for adequate and equitable state funding. The district expressed gratitude to Governor Shapiro and the legislature for providing additional resources this year, marking a positive change after several years of stagnation. The council also acknowledged a recent adjustment in the millage rate, which is projected to yield up to $230 for the school district over the next four to five years. However, a funding gap remains, with the commonwealth's ten-year plan for adequate funding still in progress.

The third consideration addressed the expiration of COVID-19 relief funds, which had supported the district from 2020 to 2024. With these funds now depleted, the district anticipates facing financial challenges in the coming year, despite managing to stay afloat this year.

Additionally, uncertainty surrounding federal funding was highlighted, particularly the recent loss of a $150,000 grant for libraries, which was rescinded by federal officials. This loss is concerning as the district aims to improve library services.

Lastly, the presentation included a financial overview, showing that expenditures are projected to outpace revenues over the next five years. Despite this trend, the district emphasized its strong financial stewardship, noting improvements in its investment-grade credit rating under the current board's leadership.

The discussions at this budget hearing underscore the ongoing challenges and strategic priorities facing the Philadelphia school district as it prepares for the upcoming fiscal year.