Michael Masch

School district officials aren't jumping for joy over their share of the increased state-education budget Gov. Rendell signed yesterday, but they're not crying broke, either. "We're not saying that a reduction of $30 to $40 million doesn't hurt, but we do have a budget of $3.2 billion here," said the district's chief business officer Michael Masch. "We're not wasting money. We run pretty lean in many ways. " Still, the district's budget must be readjusted to reflect the multimillion-dollar shortage, he said.

Even though the new state budget would increase the main public-education subsidy, the funding would not protect schools from making cuts next year, some school leaders say. Most have already had to reduce staff and make other cuts to balance their budgets for next year, which had to be passed by June 30. The large majority are also raising taxes, many by more than the rate of inflation. Cuts that were made to Gov. Rendell's proposed budget in the final version that passed Wednesday "just whittle more away from what was a bad scenario to start with," said Joseph Bruni, the superintendent in Delaware County's William Penn School District, which has already cut 28 teaching jobs and three administrative staff posts.

If Harrisburg doesn't come through with the state aid the Philadelphia School District is banking on, cuts to its newly adopted $3.2 billion budget could come from the classroom, officials said Wednesday. The School Reform Commission approved a spending plan that pays for new labor contracts, bigger pension obligations, and $180 million for Superintendent Arlene Ackerman's strategic plan. The budget relies heavily on federal stimulus money and $1.68 billion in state aid - a figure that Gov. Rendell proposed but that the legislature has not approved.

If Harrisburg doesn't come through with the state aid the Philadelphia School District is banking on, cuts to its newly adopted $3.2 billion budget could come from the classroom, officials said Wednesday. The School Reform Commission approved a spending plan that pays for new labor contracts, bigger pension obligations, and $180 million for Superintendent Arlene Ackerman's strategic plan. The budget relies heavily on federal stimulus money and $1.68 billion in state aid - a figure that Gov. Rendell proposed but that the legislature has not approved.

School district officials painted a sobering picture during a budget presentation to the School Reform Commission yesterday. Either legislators crank up funding for the district or drastic cuts would have to be made that will harm students, said the district's business chief, Michael Masch. "If revenue comes in lower than what we estimated we will have no choice but to make reductions where learning outcomes take place," he said. The commission approved the district's $2.4 billion budget, which relies heavily on millions in proposed - but not yet approved - state money, and federal money that is slated to dry up by the end of next fiscal year.

Top officials of the Philadelphia School District yesterday tried to defuse City Council's concerns about the district's $3.2 billion budget for the coming fiscal year. Councilman Bill Green questioned whether the district could make do without additional state funding proposed - but not guaranteed - by Gov. Rendell. "You can't really rely on the promise of this revenue when planning a budget," Green said, referring to a proposed $95 million increase in the state's basic-education subsidy for the district.

Bucking a national trend of layoffs and deep cuts, the School District of Philadelphia on Wednesday introduced a $3.2 billion 2010-11 budget that contains money for new classroom initiatives. Despite a tough economy, new labor contracts, bigger pension obligations, and less help from the city, the district wants to spend $180 million on Imagine 2014, Superintendent Arlene Ackerman's five-year strategic plan to improve academic performance. Still, the good news came with warnings that federal money could dry up next year, just when the district faces a huge jump in pension costs.

The Philadelphia School Reform Commission yesterday adopted a "lump-sum" operating budget of $2.4 billion for the fiscal year beginning July 1. The current year's budget totals $2.3 billion. The action, required by the City Charter, was just the first step in the budget process. Details of the district's spending plans will be revealed when the budget is proposed at the commission's meeting April 21. A budget must be adopted by May 31. The $2.4 billion is "our best estimate from the knowledge we currently have of the level of revenues we are likely to receive," chief business officer Michael Masch said.

Joseph A. Dworetzky and David F. Girard-diCarlo were sworn in as the newest members of the Philadelphia School Reform Commission yesterday. As their first order of business, they learned that the School District is facing a $197 million funding gap. Each asked the district's chief business officer, Michael Masch, several questions about his proposal for dealing with it. His plan, outlined to the commission yesterday, includes a series of proposed...

After weeks of waiting, the two gubernatorial nominees for the School Reform Commission were sworn in yesterday, completing the district's five-person governing body. Meanwhile, Michael Masch, the district's chief business officer, revealed yesterday actions the district may have to take to deal with a budget shortfall that has grown to $197 million. Mayor Nutter administered the oath of office to Joseph Dworetzky and David Girard-diCarlo, who were both confirmed by the state Senate a few weeks ago, as they were joined by family members, colleagues, fellow board members and Superintendent Arlene Ackerman.