Milwaukee Public Schools budget gap nearly $50M; years of overspending

Milwaukee Public Schools budget gap nearly $50M

Recent audits of Milwaukee Public Schools revealed a $46 million budget gap caused by years of overspending, rising transportation costs, and state funding failing to keep pace with inflation.

MILWAUKEE - Milwaukee Public Schools (MPS) is facing a nearly $50 million budget gap. The latest round of audits found the school district overspent. 

MPS' financial picture will be on the agenda at a committee meeting at district headquarters on Tuesday evening, Feb. 10. 

MPS' massive budget gap 

What we know:

Transportation, decreased participation in nutrition programs, staff salaries and benefits, state funding not keeping up with inflation, and bloated staffing at central headquarters. The superintendent said those are just some reasons MPS is short by $46 million.

"How far back did that overspending occur?" asked FOX6's Bill Miston. 

"It’s been many, many years and now we have the additional look in our audit, that gives us the line by line items where we can see our actuals and what we had projected in budget," said Milwaukee Public Schools Superintendent Brenda Cassellius. 

FULL INTERVIEW: MPS Superintendent Brenda Cassellius

MPS Superintendent Brenda Cassellius spoke about the budget woes being experienced by the school district. This is the complete interview with FOX6's Bill Miston.

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Cassellius said now that three audits have come back, there is a clear financial picture. 

Seeing a clearer financial picture

What they're saying:

"There are going to be no cuts to our classrooms and class sizes, because we believe our resources should go closest to our students," Cassellius said. 

And focusing on retaining athletic, arts and music programs. 

The superintendent said something needs to be done, not just over the next two budget cycles, but immediately this fiscal year. 

"Tight now my key leadership is looking at contracts we can discontinue, vacancy positions we do not need to fill, any new positions will need to be approved," Cassellius said. 

"Not surprised"

What they're saying:

"We’re not surprised by it, but this board has a lot of work to do to show that they can be responsible fiscal stewards," said Colleston Morgan, City Forward Collective Executive Director.

Milwaukee-based education advocacy organization City Forward Collective said years of mismanagement and declining enrollment has eroded trust. 

"Some credit is due for being forthright about that this time around, but until we actually get to the root of the problem, that the district is simply too big for the number of students it has now, and likely to have in the future, we’re going to be back in the situation again and again. There’s not an amount of dollars that’s going to solve this problem," Morgan said. 

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The superintendent said the district has worked to right its finances. They are taking important steps to rebuild trust in the community.