Overview
- The School District sent a memo Thursday saying it cannot restore 340 school-based positions because the $48 million from City Council is a one-time payment and not a stable, multi-year revenue source.
- City Council gave preliminary approval to a $7.1 billion budget and rejected Mayor Cherelle Parker’s proposed rideshare tax that would have produced roughly $48 million a year, then redirected one-time city funds to the district.
- Council leaders sharply criticized the district’s refusal to use the money to save jobs and urged officials to reverse the planned cuts, calling the funding a concrete step to avert reductions.
- District officials warn that using one-time funds for recurring salaries would create future fiscal obligations, raise charter-school costs tied to prior-year spending, and could harm borrowing and financial flexibility.
- The standoff leaves the School District’s roughly $300 million structural deficit unresolved and could lead to continued staff reductions unless lawmakers and the district agree on durable, recurring revenue.