Up To $1.1 Billion Budget For Detroit Schools; Cutting 300 Positions!

Detroit’s school board has approved a $1.1 billion budget for the current school year, which includes significant cost-cutting measures and the elimination of 300 positions, Washington Examiner reported.

Up To $1.1 Billion Budget For Detroit Schools; Cutting 300 Positions! (PHOTO: WXYZ)

Up To $1.1 Billion For Detroit Schools

The budget aims to achieve financial balance and address various financial challenges faced by the Detroit Public Schools Community District (DPSCD).

The approved budget involves cutting approximately $37 million in recurring costs and reducing 300 positions. However, many of these employees will be shifted to different positions within the school district.

The affected positions include office administrators, assistant principals, college transition advisers, school culture facilitators, and para-educators. It’s worth noting that these positions may still be funded at the school level.

DPSCD General Superintendent Nikolai Vitti explained that a considerable portion of the district’s overall restricted revenue cannot be used for teachers and school operations. Therefore, the budget was designed to create space in the general fund to address inflation and increase salaries and wages while also covering healthcare costs.

The district has faced a decline in revenue due to a drop in student enrollment by 2,000 students since before the pandemic.

Additionally, there has been an increase in utility costs and healthcare expenses. The budget accounts for learning recovery services to mitigate pandemic learning loss. It assumes an increase in per-pupil allocation and student enrollment in pre-kindergarten.

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Budget For Detroit Schools

Notably, the budget does not include the $1.2 billion in one-time federal COVID funding intended to support school operations. The district expects a balanced budget in the next five years, with revenue slightly exceeding expenses. This projection relies on future salary increases being tied to increases in state aid.

If DPSCD receives a $94 million settlement for a literacy lawsuit, the district plans to allocate those funds to various initiatives, including expanding training programs, providing support for English Language Learning students, funding repairs and maintenance, and investing in student curriculum, materials, and software.

Overall, the approved budget for Detroit schools reflects the district’s efforts to address financial challenges, manage expenses, and provide necessary resources and support for its students.

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