Bristol School District reports $6.6M deficit; special education and reimbursements are key pressure points

The Board of Finance on Jan. 27 heard a report that the Bristol School District was carrying a $6,585,575 deficit as of Dec. 31, 2025, with special education cited as the principal driver.

"At December 31, we were in a deficit of 6,585,575," a staff member presenting the Board of Education financials said. The presenter said the district is awaiting several budgeted revenue sources — Medicaid, excess-cost reimbursements, tuition and rentals — and expects the state excess-cost reimbursement rate this year to be roughly 72.72, which staff estimated could translate to about $7.5 million in revenue.

Special education was singled out repeatedly. The presenter told the board that special-education expenses were driving a roughly $3,457,706 deficit in that program line and that transportation and tuition costs were among the biggest cost drivers. In the special-education presentation, staff reported 122 students were placed in private out-of-district placements and discussed the district’s efforts to bring high-cost students back in-house when seats are available.

"If somebody is asking me for a seat in one of our programs, it's a flat rate of $70,000 a year, plus transportation separately," the special-education presenter said, explaining the district’s tuition schedule for other towns requesting seats.

Board members pressed for clearer, comparable enrollment figures after noting differences between the district’s live PowerSchool counts and the state-certified Oct. 1 counts used for fiscal reporting. The presenter explained the differences stem from timing, reporting purpose (seats-in-buildings versus fiscal responsibility) and ongoing post-Oct. 1 reconciliations with the state.

The meeting also flagged the cafeteria program: staff reported a cafeteria deficit of $679,007.15 at Dec. 31, 2025, attributed to reversed prior-year revenue and pending federal and state reimbursements for earlier months.

Board members asked staff to provide clearer headcounts and parallel data views — certified Oct. 1 totals for fiscal planning and live enrollment for building-level planning — so the finance board can assess both near-term cash flows and next year’s budget implications. Staff said more slide decks and dashboard visuals would be shared at upcoming finance meetings.

The board took no formal fiscal action on the deficit at the meeting; members discussed options and set expectations for continued review during budget season.