Cincinnati Public Schools (CPS) is confronting a projected $44 million budget deficit that is expected to materialize by 2029. Under Ohio law, the district must deliver a comprehensive financial recovery plan to the Ohio Department of Education no later than November 30, just weeks after voters decide the fate of a proposed property‑tax levy.
Why the shortfall is growing
Superintendent Shauna Murphy attributes the widening gap to rising operating costs and flat revenue streams, not to mismanagement. “There are people who might say that the dollars have simply been mismanaged by the school district,” Murphy said. “The treasurer and I, for the last several budget cycles, have made every line item visible and available to the public.”
Treasurer Michael Gustin added that new state mandates are adding to the financial strain. He cited recent requirements for reading‑improvement plans, cybersecurity policies and artificial‑intelligence guidelines, all of which carry implementation costs. “The state continues to put new mandates on us, whether those are reading improvement plans, cybersecurity policies, you know, AI policies—a lot of new mandates that all cost money,” Gustin explained.
Impact of recent tax reforms
Property‑tax reforms approved by lawmakers in Columbus have also reduced local revenue sources for CPS and other Ohio districts. These reforms limit the ability of school districts to raise funds through traditional property‑tax mechanisms, compounding the budget pressure.
Potential solutions under consideration
District leaders are weighing several options to close the gap. One possibility is the consolidation or closure of under‑enrolled schools, a step that would affect neighborhoods and families across the city. Another option under discussion is a “pay‑to‑play” model for extracurricular sports. Murphy expressed strong reservations about charging students for participation, emphasizing the district’s commitment to keeping activities accessible: “Pay to play was mentioned. And we’ve tried to stay far away from that because we want our young people to have access. We’re really trying to hold on to that. So our young people are engaged in their school.”
Levy campaign and its role
During a recent board meeting, CPS board member Ben Lindy highlighted the importance of the upcoming levy. If voters approve the measure on election day, the district could receive nearly $65 million annually, providing a critical revenue boost. “We’re going to have to run this in parallel with the levy. Because we don’t know what’s going to happen,” Lindy said.
Consequences of missing the deadline
If CPS fails to submit a state‑approved recovery plan, the district could face heightened financial oversight, including the appointment of a fiscal watch or, in extreme cases, a fiscal emergency commission that would assume decision‑making authority. Similar oversight has already been imposed on other Ohio districts, such as Mount Healthy City Schools and a district near Akron.
Next steps
The CPS board is expected to vote on the recovery plan three weeks after the levy election. Community members are encouraged to attend upcoming board meetings, review the proposed plan when it is posted, and participate in the levy vote to help shape the future of Cincinnati’s public schools.
Original reporting: WLWT Cincinnati — read the source article.
