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The School District of Philadelphia has proposed $225 million in budget cuts for the 2026-27 school year, including eliminating 220 building substitute positions, to address ongoing deficit.

How did we get here?

Philadelphia schools are facing a $300 million structural deficit.  This lack of funding stems from “chronic underfunding and the loss of federal COVID-19 relief funds,” according to Superintendent Tony B. Watlington.

If approved, the district will implement the $225 million in cuts next fall and an additional $20 million each following year, with the goal of eliminating the deficit entirely by the 2028-29 school year.

The proposed cuts will also prevent any loss of teachers to the 18 schools set to close under the Facilities Plan.

“Navigating a budget deficit is difficult and requires tough decisions,” Watlington said in a statement Friday. “This kind of challenge is not exclusive to Philadelphia – there are public school districts across the country having similar experiences.”

What is getting cut?

The proposed $225 million in cuts is divided into two separate categories: central office cuts and school-based cuts. At the central office, the district wants to freeze and remove 130 vacant positions, as well as implement budget efficiencies, a  $139 million cost-saving measure.

At schools, the budget cuts will affect personnel.

The proposal would eliminate all 220 building substitutes and would reassign 340 school-based positions, with impacted employees moving into other openings within the district. These alterations would save $56 million.

Substitutes may be assigned to fill other vacant positions, according to Chief Financial Officer Mike Herbstman.