Understanding the schools budget
The Stamford Public Schools’ (SPS) mission is to cultivate productive habits of mind, body and heart in every student. As a community member, parent of two elementary students in our schools, and now a member of the administration, I’ve seen firsthand the thoughtfulness and dedication that contribute to making that mission a reality.
Underpinning that mission is a commitment to transparency about how resources are allocated to the programs that support our students. For anyone new to our community, or newly invested in how our schools serve almost 17,000 students, what follows is a breakdown of the budget process and the COVID-19 impacts to the budget and school resources.
What is the operating budget?
The SPS budget, like the city budget, receives funds from two primary sources: local tax revenues and state or federal grants. Local revenues provide SPS’ “Operating Budget,” which funds the day-to-day operation of the schools (funds for significant renovations or new construction are funded by the city’s capital budget). Grant funds can also be used for normal operations, but are usually required to be used for specific purposes. Operating funds are then allocated among eight major categories, with 90 percent of funds historically allotted to just three: salary, benefits, and transportation/ out-of-district Special Education tuition. Salaries and benefits comprise nearly 80 percent and are driven by class sizes and union contracts, while transportation and out of district special education tuition, both required services, account for 10 percent. Therefore, unless we increase class size or reduce staff, only about 10 percent of the total budget is available to the remaining five categories, including building maintenance and utilities, classroom supplies, and other contracted services, such as required special education services.
Further, as Stamford grows, school enrollment follows. SPS has experienced average annual enrollment increases of almost 1 percent over the past 10 years, a period during which national K-12 enrollment has actually decreased. In order to ensure we fulfill our mission, staffing levels must keep pace with our growing population.
How is the operating budget created?
Since September, we have been reviewing our current expenses and working with each department and building to determine future needs. Earlier this month, we gathered input from staff, students and families during Budget Listening Sessions. This past week, on Jan. 14, the superintendent presented her proposed 2021-2022 operating budget of $303,651,120 to the Board the Education.
Over the coming weeks, the BOE will hold a series of public meetings to discuss the superintendent’s recommendation. The BOE may choose to adopt the budget as recommended, increase the amount, or decrease it, before its final vote in mid-February. In March and April, the Board of Finance (BOF) and Board of Representatives (BOR), in turn, will review and approve or reduce the BOE’s request. (It is important to note that neither city board has the ability to increase the amount requested, nor do they have the ability to specify how school operating funds are spent). Finally, if necessary, the BOE will make allocation adjustments to account for any reductions made during this process.
Unique financial challenges
The economic uncertainty caused by the COVID-19 pandemic led to a $12.5 million reduction in the superintendent’s budget request last spring. To balance the budget and absorb this reduction, the district eliminated more than 100 positions, and reduced spending in areas such as field trips, classroom furniture and professional development.
Opening schools in the midst of a pandemic also created unique financial challenges. To ensure the health and safety of our staff and students, the district has spent more than $1 million (to date) on personal protective equipment, specialty cleaning supplies, plastic barriers and other COVID-19-related items. HVAC systems district-wide were upgraded at a cost of more than $750,000. Part-time custodians, originally removed from the budget in the spring, were rehired to ensure buildings were properly sanitized. Other positions, such as school counselors, were also returned to provide students additional social-emotional support. While currently most of these expenses are being paid for by grants associated with the CARES Act, these COVID-related costs may persist, with no guarantee of additional federal funding.
Taking all of this into consideration — increasing enrollment, missionaligned class sizes, as well as the known and potential impacts of COVID-19 — SPS has strived to develop a budget that is fiscally responsible, while ensuring students and staff have the resources they need and deserve.
Thank you for taking the time to review our budget documents (https://www.stamfordpublicschools.org/district/finance-purchasing) and showing your support for our students by participating in the upcoming public meetings of the BOE, BOF and BOR.