Special Committee on Ways and Means Reviews PPSD FY2027 Budget – May 28, 2026

The Special Committee on Ways and Means, chaired by Miguel Sanchez, met on May 28, 2026, at 5:37 PM. The committee heard a detailed presentation from Providence Public School District (PPSD) leadership on the proposed FY2027 budget, which faces a $1.3 million decline in state aid and uses $3.2 million from reserves. The discussion covered enrollment declines, charter school tuition pressures, staffing reductions, and support for students experiencing homelessness.

Appointment to Zoning Board

• After being moved out of order, the committee approved the appointment of Mr. Scott to a full term on the Zoning Board. Mr. Scott had served as second alternate since 2019 and replaced Chairman Greenfield. The motion passed unanimously on a voice vote.

Discussion Items

• Budget Overview: PPSD leadership (Superintendent, Deputy Superintendent, and Chief of Operations) presented the FY2027 budget. Key challenges include declining enrollment (from 23,000 to ~19,000 students), rising fixed costs (transportation, special education tuition, benefits), and a loss of state aid due to fewer students and lower poverty rates. The district has reduced staff by over 500 FTEs since the start of state intervention, including 22 teacher layoffs for the coming year (total of 109 FTE reduction, 4%).
• Revenue: State aid is projected at $211.3 million, a $1.3 million decline from FY2026. The city contribution is based on a settlement agreement. To balance the budget, the district plans to use $3.2 million from its reserve fund, reducing the reserve from $4.2 million to $1 million. A potential state funding formula change (increasing the success factor from 40% to 43%) could add $4–4.5 million, but the district did not assume that in planning.
• Expenditures: Transportation costs increased 15% due to a new contract; the district reduced bus runs by four, saving $400,000. Special education tuition rose 8%, though 24 fewer students are placed out-of-district. Custodial contract extension includes a 3.5% annual escalator. The district reduced planned Chromebook purchases (saving $2 million) and eliminated some central office positions, including the grants writer and an MLL manager, through merging roles.
• Staffing and Layoffs: The 22 teacher layoffs are primarily in areas of declining enrollment (elementary teachers without ESL certification, business education). The district continues to recruit math, special education, and science teachers. As of the meeting, there were fewer than 60 vacancies, down from mid-70s the previous year. Council members expressed concern about messaging around layoffs versus vacancies.
• Charter School Tuition: Chair Sanchez highlighted that charter school tuition has risen from $21 million in FY2021 to $35.5 million in FY2026, and called this trend “unsustainable.” Several councilors echoed concerns about the fiscal impact of charter expansion on the district, noting that the funding formula does not allow the district to reduce costs proportionally when students leave. The district noted the enrollment loss transition fund softens the blow but is not sufficient.
• Homeless Student Support: The district serves 133 students experiencing homelessness (7% of enrollment), providing wraparound services, transportation, and supplies. The district is required to transport students even if they temporarily reside outside Providence, costing $1.2 million annually. Academic outcomes for homeless students are significantly lower (e.g., 7% gap in ELA proficiency). Council members asked about data collection and federal grant funding.
• UCAP Program Closure: The district ended its partnership with UCAP (a middle school program), affecting 42 seventh graders returning to the district. The district created a cohort program at Roger Williams Middle School with additional interventions at a fraction of the previous cost ($1.9 million for UCAP vs. much less for internal services). Only four of the 42 students have IEPs. Councilor Picardo expressed reservations about the transition plan and requested more detailed information.
• Procurement Transition: Concerns were raised about potential delays in procurement as the district returns to local control. Councilor Davidson’s working group is developing recommendations to maintain efficient procurement while ensuring fiscal oversight.
• Technology and Cybersecurity: Following a cybersecurity attack last year (no ransom paid), the district implemented new endpoint protection (Falcon) and applied for a grant for employee training. The district also discussed its use of Canvas (LMS) and iReady, noting that iReady is part of a broader Curriculum Associates package and that they monitor the class action lawsuit regarding student data privacy.
• PCTA Facility: Council members raised concerns about the closure of PCTA for summer recreation programs (impacting 400+ children) due to maintenance; the district expects the facility to be available next summer. Alternative sites (Hope High School) have capacity and cleanliness issues.

Key Outcomes

• The committee voted to continue items 1–5 (budget items) without a final vote, pending final state revenue numbers and further discussion at the school board. The budget will return for final approval in September.
• The appointment to the Zoning Board was approved unanimously.
• The meeting was adjourned after a motion by Councilor Davidson, seconded by Councilor Graves.
• The committee plans further meetings to deepen partnership with PPSD as it returns to local control.