More Financial Troubles for the School District

The School District of Philadelphia had expected to get $57 million in funding from the state to pay for some of its charter schools.

But according to the latest state budget numbers, the district only received $22 million of that amount.

That means the district is now left with an additional $35 million shortfall it will be forced to somehow make up. District Chief Financial Officer Michael Masch made that announcement at a news conference Wednesday at district headquarters that had primarily been organized to allow district officials to talk about gains the district has seen in PSSA test scores.

The district had originally of its staff—including close to 1,500 teachers—to make up a portion of a $629 million shortfall. It also used city money to close that gap.

Masch said the challenge will be to find new and creative ways to make up that shortfall.

The district is already banking on its unions making concessions this week that would save the district a total of $75 million. Masch said it already accounted for those cuts in its budget projections, while the $35 million shortfall is totally new.

If the district and its unions can't come to terms, Masch said, the district could be forced to lay off an additional 800 staff members.

"We can save hundreds of jobs," Masch said.

The deadline for the unions and the district to come to terms on new deals is Thursday.

The district, meanwhile, doesn't have a deadline for when it must figure out a way to deal with the $35 million shortfall. It has the flexibility to try and adjust its budget numbers over the summer to try and figure things out.