Facing $14.3M budget deficit, St. Paul Public Schools approves preliminary cuts
St. Paul Public Schools facing $14.3 million budget shortfall
St. Paul Public Schools is facing a $14.3 million budget shortfall for the 2026-27 school year. The school board will vote Tuesday night on a preliminary budget, which includes some significant budget cuts.
ST. PAUL, Minn. (FOX 9) - St. Paul Public Schools leaders have approved a preliminary budget that includes cuts to address a multimillion-dollar budget imbalance next school year.
SPPS budget cuts
What we know:
The St. Paul Public Schools Board of Education voted unanimously on Tuesday to approve the 2026-27 budget, planning for a $14.35 million shortfall, which makes up 1.7% of the district’s $814.5 million budget.
Officials say the deficit is mainly due to expenses like employee wages and benefits rising faster than state aid, along with a drop in enrollment of 900 students over the last two years.
Dig deeper:
The board’s decision means more than 90 school-based, full-time employees could lose their jobs, which is expected to save $9.4 million, if ultimately approved.
Kindergarten class sizes could also go up by three students per class, and the district will cut supply budget increases by 50%, as part of the adjustment.
Why you should care:
St. Paul Public Schools, like many districts across the state, have faced declining enrollment and rising costs for several years. The district’s loss of 900 students in just two years, a main funding mechanism for public schools, has put additional pressure on school finances.
The district says that the combined changes would erase the deficit, and leave a small surplus of $14,000 heading into the 2026-27 school year.
What's next:
Minnesota school districts are required to submit preliminary budgets to the state by June 30.
The Source: Information provided by the St. Paul Public Schools Board of Education and previous FOX 9 reporting.