Pittsburgh Public Schools officials plan to move into the new year with a more than $6 million projected budget deficit despite a proposed 4% tax hike.
In a budget hearing Monday night, multiple district residents implored school board members and administrators to find creative ways of raising revenue beyond the tax increase.
The proposed $739.6 million budget is a reduction of a little more than 2% from the 2025 spending plan.
The district’s current tax rate is 10.25 mills. The proposed tax increase would raise it to 10.66 mills.
The school board is expected to vote on the budget on Dec. 17.
Emily Sawyer, whose children attend Pittsburgh Public Schools, said the budget plans compound problems and that people could use a break.
“Allegheny County raised property taxes last year,” Sawyer said, adding that a City Council member proposed raising property taxes next year, too. “It’s a lot for people to deal with. At some point, the regular people in this city are not going to be able to rescue the decision-makers and the powerful anymore.”
Board president Gene Walker said if the board votes down the tax hike, the projected deficit would grow to about $13 million.
The tax hike is necessary to offset revenue losses due to property reassessments, said Superintendent Wayne Walters.
“The board has a critical decision to make,” Walters said. “The budget is one of their primary responsibilities. Our board will make that decision because we know that we have children and families to serve in Pittsburgh. The budget is a necessity for doing that.”
Sawyer suggested not giving tax abatements to developers.
“We’ve got to start prioritizing the people who live in this city,” Sawyer said. “If you can’t get a corporation or a developer to do work in the city without giving them candy and presents and sweets and treats, how do you expect to get people to stay here and move here?”
County officials in early December 2024 passed a budget with a 34% property tax hike.
Pittsburgh Councilwoman Barb Warwick has proposed a 30% property tax hike in next year’s city budget.
Mayor Ed Gainey’s budget proposal included no tax hikes.
Mark Rauterkus, a member of the International Swim Coaches Association, echoed Sawyer’s comments.
“This is a year to try to hold the line on taxes,” he said. “I think we’re going to be punished greatly by the city of Pittsburgh with the tax(es) that are coming. I think the written (PPS) plan, as far as this year’s budget’s going, was a mishmash. A bitter jumbled mess with fear, uncertainty and doubt flowing from every page.”
Several of the budget hearing speakers welcomed the new school board members. They also praised the board members for voting down a plan last month that would have closed nine school buildings.
“You stepped into leadership at a moment when trust is fractured, families are exhausted and nearly every one of us is holding on to hope that this district can still be better than its history,” said parent Shannon Striner.
New to the board of directors are Tawana Cook Purnell (District 1), Eva Diodati (District 7) and Erikka Grayson (District 3).
They were sworn in during the district’s reorganization meeting Dec. 1.
The board voted 6-3 Nov. 25 to reject what was called the “Future-Ready” plan, which included the closure of the Student Achievement Center (Baxter School); Friendship; Schiller, Manchester; Fulton; McKelvy (Miller PreK-5); Woolslair; Spring Hill and Morrow.
Grade structures would have been reconfigured at 10 schools, and two new schools would have opened.
Walker and school directors Yael Silk, Devon Taliaferro, Sala Udin, Emma Yourd and Jamie Piotrowski voted against the plan; Sylvia Wilson, Tracey Reed and Dwayne Barker voted for it. (Udin, Piotrowski and Wilson stepped down this year.)
Resident Laura Gallagher called the vote very encouraging.
“The budget is fine, and the point is: Do not close our schools,” Gallagher said at the hearing.
Walker and Walters said that the district was projecting a budget surplus, based on the proposed school closures and the planned tax hike.
“We’ve been working really hard to try to get ourselves into a financial position where we are spending within our means and not creating deficits which impact (our) future,” Walker said. “I think we will have to look closely going forward to continue that work with getting ourselves back into a financially stable position.”
It is unclear when the district may revisit the “Future-Ready” plan.
Walker said the immediate goal is to focus on the budget and have the new board members get acclimated to their new roles.
“I think it’s important that we give them some time to get settled and really look deeply into the work that we’ve been doing,” the board president said. “Work with the superintendent and his team to see if and where there needs to be adjustments and make what we’re trying to do work better for our families and our communities.
“If there was a silver bullet to solve our financial problems we would have certainly used it already. This is a complex issue that will take a number of different pieces coming together to make it all work.”
Parent Michael Cummins suggested administrators move their offices to school buildings and lease the administration building along South Bellefield Avenue in Oakland.
Walters after the hearing said he is unsure how that would work or be a benefit.
There were about a dozen registered speakers; most of them participated in the budget hearing virtually.
Walters said he wants parents to know their voices are being heard and considered.
“We reflect on it,” he said. “We gather our resources, our structure and our communication and our engagement and we go back to the drawing board and try to make those changes for the betterment of the children that we serve.”
The budget can be viewed at pghschools.org/budget.