Education Funding

Red Ink Revisits Phila. Schools

By Lesli A. Maxwell — November 13, 2006 1 min read
  • Save to favorites
  • Print

Nearly five years after a budget crisis helped prompt state officials to take over the Philadelphia public schools, Pennsylvania’s largest district is grappling again with financial woes.

Faced with a $73.3 million shortfall in a $1.8 billion annual budget, Chief Executive Officer Paul G. Vallas outlined spending cuts to bridge the gap for members of the School Reform Commission and the public last week.

Mr. Vallas called for eliminating 150 administrative positions, cutting pay for administrators who earn more than $100,000 a year, and reducing payments to the six outside managers who run 45 schools in the city.

“We’re not touching anything in the schools,” said Amy Guerin, a spokeswoman for the district. “We are not cutting teachers, not cutting arts and music, not coaches, nurses, or librarians.”

News of the deficit, announced last month, has prompted sharp criticism of Mr. Vallas, the district’s chief since 2002 and a former schools chief and city budget director in Chicago. Members of the reform commission, which serves as the school board, also have been lambasted for the 178,000-student district’s unexpected financial slide.

The panel has hired a former district official to do an audit.

Mr. Vallas told the The Philadelphia Inquirer last month that several factors caused the shortfall, including a large number of retirements, especially among teachers who were paid for accrued sick days, personal days, and other benefits, a lower-than-expected return of unspent funds from schools, and an increase in payments to charter schools.

The local teachers’ union disputes some of Mr. Vallas’ explanation for the gap, particularly the retirements, which totaled 389. “The retirements are almost always between 200 and 400 each year,” said Barbara Goodman, the spokeswoman for the Philadelphia Federation of Teachers, a 21,000-member affiliate of the American Federation of Teachers.

Ms. Goodman said the union is calling for a moratorium on charter schools. The district spends too much on them, she said.

“The district, no doubt, has been moving in a positive direction over these last few years,” Ms. Goodman said. “So what’s happening now is very distressing, like we are going back to the bad days.”

A version of this article appeared in the November 15, 2006 edition of Education Week

Events

This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Artificial Intelligence Webinar
Beyond Teacher Tools: Exploring AI for Student Success
Teacher AI tools only show assigned work. See how TrekAi's student-facing approach reveals authentic learning needs and drives real success.
Content provided by TrekAi
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
College & Workforce Readiness Webinar
Building for the Future: Igniting Middle Schoolers’ Interest in Skilled Trades & Future-Ready Skills
Ignite middle schoolers’ interest in skilled trades with hands-on learning and real-world projects that build future-ready skills.
Content provided by Project Lead The Way
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Artificial Intelligence Webinar
AI in Schools: What 1,000 Districts Reveal About Readiness and Risk
Move beyond “ban vs. embrace” with real-world AI data and practical guidance for a balanced, responsible district policy.
Content provided by Securly

EdWeek Top School Jobs

Teacher Jobs
Search over ten thousand teaching jobs nationwide — elementary, middle, high school and more.
View Jobs
Principal Jobs
Find hundreds of jobs for principals, assistant principals, and other school leadership roles.
View Jobs
Administrator Jobs
Over a thousand district-level jobs: superintendents, directors, more.
View Jobs
Support Staff Jobs
Search thousands of jobs, from paraprofessionals to counselors and more.
View Jobs

Read Next

Education Funding Some Halted Federal Funds for Community Schools Will Flow, But More Remain Frozen
Schools in Illinois will regain access to some federal grant funds, but programs nationwide continue to struggle.
5 min read
Image of money symbol, books, gavel, and scale of justice.
DigitalVision Vectors
Education Funding The Trump Admin. Says It Supports Career-Tech. Ed. It Canceled CTE Grants Anyway
Nineteen projects—many in rural areas—lost funding that was helping students prepare for college and careers.
12 min read
As part of the program, the Business students at Donald M. Payne Sr. Tech Campus in Newark, NJ on Feb. 26, 2026m have access to computers with subscriptions to the latest software to help them prepare for the workforce.
Business students at the Donald M. Payne Sr. School of Technology in Newark, N.J., work in a computer lab on Feb. 25, 2026. A U.S. Department of Education grant was helping students in business and other fields at the school access enrichment programming, college courses, and financial support after graduation. But the department terminated the grant, along with 18 other similar awards across the country, last summer.
Oliver Farshi for Education Week
Education Funding Educators Warn Flat English Learner Funding Falls Short of Growing Demand
Educators remain uncertain about the future of federal funds for English learners.
3 min read
Pictures show what mouth shape different sounds make on the walls of Diana Oviedo-Holguin’s class at Heritage Elementary School in San Antonio, Texas, on Sept. 3, 2025.
Pictures show what mouth shape different sounds make on the walls of Diana Oviedo-Holguin’s class at Heritage Elementary School in San Antonio, Texas, on Sept. 3, 2025. While educators feel relieved that federal dollars for supplemental English-learner resources will continue in the next fiscal year, they remain uncertain for the years to come.
Noah Devereaux for Education Week
Education Funding Congress Has Passed an Education Budget. See How Key Programs Are Affected
Federal funding for low-income students and special education will remain level year over year.
2 min read
Congress Shutdown 26034657431919
Congress has passed a budget that rejects the Trump administration’s proposals to slash billions of dollars from federal education investments, ending a partial government shutdown. House Speaker Mike Johnson, R-La., and fellow House Republican leaders speak ahead of a key budget vote on Feb. 3, 2026.
AP Photo/J. Scott Applewhite