Wednesday, June 19, 2013
Wednesday, June 19, 2013

Phila. SD faces a new $35M shortfall

The Philadelphia School District faces an additional $35 million in cuts beyond the $629 million it already had to slash, its chief financial officer said today. Michael Masch gave updates on union negotiations.

69 comments

Phila. SD faces a new $35M shortfall

POSTED: Wednesday, June 29, 2011, 2:59 PM
Philadelphia School District Chief Financial Officer Michael Masch said the district must fill a new $35 million budget gap.

Philadelphia School District Chief Financial Officer Michael Masch said at a press briefing Wednesday that the school system now faces an additional $35 million in cuts.

The district was banking on $57 million in reimbursements for charter school costs, but the state is declining to provide the funds.  The district did receive $22 million more than expected thanks to an Accountability Block Grant, bringing the total gap to $35 million.

That's above and beyond the $629 million gap announced this spring and made up through a combination of layoffs, deep program cuts and additional money from the city.

"We hope to announce what the decisions are to close this $35 million gap in the near future," Masch said.

Also still up in the air is how the district will get $75 million in give-backs from its five unions.  Officials are banking on that savings, but no deals have been reached yet, and some of the unions - including the largest, the Philadelphia Federation of Teachers, have said they won't negotiate.

The School Reform Commission has threatened to cancel the contracts and impose terms on the unions, a power it has under the state takeover law that created the SRC.  It would be the first time the SRC used that power.

"It's clearly not too late" for unions to start talking, Masch said.  "We are in active discussions with some of our collective bargaining units, but not all of them."

Masch said the district is not proposing re-opening the contracts because it believes workers are paid too much.

"We have some very brutal math to deal with," Masch said.

The district is not proposing a wage cut, but avoiding an increase, he said.

"If we avoid that increase, we can save hundreds of jobs," Masch said, but if not.  Foregoing the $75 million in union give-backs would mean the layoff of 800 more workers, in addition to the 3,400 already given pink slips.

69 comments
Comments  (69)
  • Comment removed.
  • 0 like this / 0 don't   •   Posted 5:02 PM, 06/29/2011
    Ackerman, reached on vacation, states, "I'm shocked! I didn't know anything about it!"
    Boru
  • 0 like this / 0 don't   •   Posted 5:03 PM, 06/29/2011
    Somehow I knew the Soda tax will come back to life... Premature to say that? Yes. Incorrect? No
  • 0 like this / 0 don't   •   Posted 5:05 PM, 06/29/2011
    Charter schools are approved by the SRC. Who is running the charter schools? Friends of the SRC who make sweetheart deals to their friends. How many charter school teachers are being laid off? None from what I hear. The SRC approved too many charters so that their friends could get rich and now they have to get more money to keep their friends in those nice houses and cars. Wonder how the cuts are going to be make with Queen Arlene on her 2 month vacation?
    jn3
  • 0 like this / 0 don't   •   Posted 5:05 PM, 06/29/2011
    Charter schools are approved by the SRC. Who is running the charter schools? Friends of the SRC who make sweetheart deals to their friends. How many charter school teachers are being laid off? None from what I hear. The SRC approved too many charters so that their friends could get rich and now they have to get more money to keep their friends in those nice houses and cars. Wonder how the cuts are going to be make with Queen Arlene on her 2 month vacation?
    jn3
  • 0 like this / 0 don't   •   Posted 5:07 PM, 06/29/2011
    Stop spending my money learn to do more with less. The rest of the country is learning this lesson.. Its not easy but that just the way it is.
    UnionsSuck
  • 0 like this / 0 don't   •   Posted 5:11 PM, 06/29/2011
    The pustule that is the school district is metastasizing. A cancer grows in our midst that is killing this town as it drains ever more tax dollars into a money pit. As long as you feed a cancer, it will grow until the host dies. End the madness Mayor and Governor... Fire her while she's on vacation. It happens all the time and she would certainly not mind the severance. In fact, she's done this scam many times. Philly was just the latest shill. Eat the loss. Move on.
    The Monk
  • 0 like this / 0 don't   •   Posted 5:24 PM, 06/29/2011
    After a 2 year pay freeze why should the teachers take another year without a raise and give anything back from their contracts when the Queen is still getting HER raises, bonuses and benefits? Let the contracts be canceled on June 30th! How will the Queen pull off summer school WITHOUT teachers? If the contracts get canceled not only would summer school be canceled, saving the district lots of money, but the Union could finally challenge the insane Act 46 in court!
    PFTproud
  • 0 like this / 0 don't   •   Posted 5:42 PM, 06/29/2011
    Lord knows I am no fan of the republicans in PA. Corbett and his crew have created quite a mess for poorer districts. That said, let's not begin to pretend that this particular financial mess was not created by Ackerman and the fools on the SRC. Every one of them needs to go. Now.

    I feel terrible for all of the teachers who committed to working in some tough schools, gave their time, energy and personal funds to run their classrooms properly. Now they are being shown the door. Guess what, folks, we NEED these teachers. They will leave and many will not come back. The bizarre part is that while Ackerman is winnowing out teachers, we don't have a surplus of teachers. My school just lost the ESOL teacher (a 17 yr veteran!!!). So, this teacher only gave my student 1/2 hour per week as it was. How in the h&** is my student going to get ESOL services with no teacher? Are ESOL teachers now considered non-essential?

    What the F- is going on in this district and why is city council allowing this BS to take place?
    nikki1231
  • 0 like this / 0 don't   •   Posted 5:48 PM, 06/29/2011
    It now should be obvious to everyone that the PSD is not going to cancel contracts and impose terms. The PSD agreed to arbitration on the 174 layoff postions knowing that those teachers affected would be laid off anyway if the unions didn't agree to concessions by the 30th. They figure that if they impose terms, unions would file suit and it would drag out for weeks or months. It is easier for them to just say if no concessions are made 800 more people will be laid off.
    Once again the unions have been outflanked by the PSD. now the PSD can say to everyone..Sorry but your union didn't agree to concessions so we had to lay you off. It's not our fault. It may not be right but it seems like that is the way the game is going to be played.
    herbie
  • Comment removed.
  • 0 like this / 0 don't   •   Posted 6:15 PM, 06/29/2011
    Wait, wait, I have an idea! How about City Council implements ANOTHER "temporary" property tax to further alienate and scare aware homeowners?
    BeingBoring
  • 0 like this / 0 don't   •   Posted 6:37 PM, 06/29/2011
    p laying off teachers and pretty soon the parents will have to teach their own kids We is the head of this district on vacation because "I deserve it" why isn't she here trying to cut spending to help the kids get the learning they deserve Cut football cut basketball cut free meals cut free transportation Why should the tax payers pay for all thiss free stuff we didn't have these kids If they want to play sports let them pay for it NOT THE JOB OF TAX PAYERS our job is to teach them how to read and write only
    RichH
  • Comment removed.
  • Comment removed.


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About this blog
Inquirer reporter Kristen Graham writes the Philly School Files blog, where she covers education in Philadelphia, both in and out of the classroom.

During the school year, you’ll frequently find her hosting live chats about the district on Philly.com. Please do pass along the scoop about what’s going on at your Philadelphia public school; Kristen welcomes tips, story ideas and witty banter at kgraham@phillynews.com or 215-854-5146.

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