Pittsburgh Public Schools projects multi‑year deficits; CFO proposes phased expansion of academic coaches

Pittsburgh Public Schools officials on June 8 told the district’s Budget & Finance Committee that the district faces multi‑year budget pressure and will need additional reductions to avoid an unbalanced 2029 budget. "We're sitting at $85.8 million" in fund balance, Chief Financial Officer Ron Joseph said, "compared to last year ... $110.2 million," and cautioned that projected future commitments would leave the unassigned fund balance negative unless further cuts are made.

The numbers and near‑term projections: Joseph said year‑to‑date revenues and expenditures are slightly behind last year’s pace but overall still show revenues outpacing expenditures this early in the fiscal year. He noted earned income tax collections are lagging, and that real‑estate tax receipts are higher than last year but below the increase expected after a 2% tax rate increase. The district is projecting deficits of approximately $14.8 million in 2027 and $21.5 million in 2028 under the current assumptions.

Proposed priority investment: academic coaches. Joseph framed a targeted investment in early reading and math: the district currently budgets 10 math coaches and 18 literacy coaches. Reaching a one‑to‑one coach‑to‑school model would require 56 additional coaches (an estimated $9.5 million annually), which the administration said is unaffordable now. Instead, the district proposes a phased increase of 21 academic coaches (13 literacy, 8 math) at an anticipated $3.5 million annual cost to support foundational instruction and coaching models.

Tradeoffs and implementation: Joseph said the proposed investments would require reductions elsewhere. "Everything's on the table" for savings, he said, including contracts, staffing and program reviews; the district closed FY2025 with a deficit and cannot rely solely on reserves to solve the structural problem. He added that some special‑education expenditures appear higher now because the district changed the timing of transfers to a monthly recognition model rather than larger periodic transfers.

Tax appeals and litigation risk: board members and legal counsel warned that property‑tax appeals remain a material fiscal risk. Attorney Weiss said a number of large downtown appeals spanning multiple years remain unresolved and some refunds are still expected; at least one case the district joined is scheduled for trial in the fall. The district committed to providing the board with a break‑out analysis of appeals — number of filings versus dollar value — so directors can better assess near‑term downside risk.

Next steps: Joseph said the district will continue the departmental budget process, pursue program and contract reviews, and hold the third budget workshop on Sept. 8. Board members asked for a clearer plan to prioritize reductions and for additional data on appeals and vacancy savings ahead of the next meeting.

No formal votes or budget decisions were taken at the workshop; the session closed with the committee planning further work in August and a third workshop in September.