Metro Nashville Public Schools board proposes $1.27 billion budget to mayor
The Metro Nashville Public Schools board has sent its proposed budget along to Mayor Freddie O'Connell, marking the first step of the yearly budget process.
O'Connell will present a budget for the entire city to the Metro Council, which will then conduct a series of budget hearings and discussions before ultimately passing a final budget. After that, the MNPS board will discuss the finalized budget and vote on it.
"We’re at the very beginning of the process," MNPS Board of Education Vice Chair Freda Player said during the group's regular meeting Tuesday.
With that in mind, here's a look at the budget MNPS proposed.
A $1.27 billion operating budget
Nearly 77% of the MNPS budget is funded through Nashville sales and property tax revenue, according to a budget presentation by the board's education committee in March. The rest comes from state and federal funds. The proposed budget for the upcoming fiscal year, which starts July 1, is based on projections from the city's financial experts and a careful assessment by the district of its needs and obligations.
The board proposed an operating budget with a baseline of $1,268,366,593 for the 2024-25 fiscal year, with a 5.2% inflationary increase factored into it from the current fiscal year operation budget. That works out to just under a $63 million increase, which includes:
$22.5 million for adopting new science textbooks in the 2025-26 school year
$16.5 million for insurance benefits increases for certificated teachers
$13.6 million for moving grant-funded positions and programs into the operating budget, along with a variety of other anticipated cost increases
$10.3 million for step increases for teachers, along with support and nutrition services staff
Things like increasing insurance for support staff are listed as to-be-determined.
The district also mapped out a budget for cost-of-living adjustments for staff, which comes out to $7 million per 1% increase. It's up to the Metro Council to decide how much to adjust pay.
MNPS budget priorities for 2024-25
The board identified three main priorities for its proposed budget: continuing the district's strategic investments as federal pandemic relief money runs out, continuity of operations and cost-of-living adjustments.
Throughout the coronavirus pandemic, MNPS received three infusions of federal relief money under the Elementary and Secondary School Emergency Relief Fund, or ESSER. The district received a total of $425 million in pandemic relief money from the fund that covered everything from student nutrition support to money for things like laptops and other technology.
ESSER: Nashville schools share plans as federal pandemic relief funding winds down
Building a 'bridge' as ESSER winds down
At a board retreat in February, MNPS Director Adrienne Battle said she and other district leaders have been in discussion with O'Connell and the Metro Council on the expiration of federal ESSER relief funds. She said her team has worked hard to build a "bridge" instead of facing a "cliff" as the fund expires this year.
"We have not blindsided them with the need to do this," Battle said. "We sit here in a very good place in comparison to other districts because our city has partnered with us."
The district proposed a one-time use of $77 million in its reserve funds, also known as a fund balance, to avoid significant cuts or rollbacks to programs funded by ESSER. That $77 million would support things likes nurses in every school, tutoring, summer learning camps and mental health supports, among other things.
What's next
O'Connell has until April 30 to present his proposed budget for the entire city to the Metro Council. O'Connell will include how much he wants to increase funds and also suggest a cost-of-living adjustment for city employees, including those at MNPS.
The council will spend the following months holding budget hearings before ultimately finalizing and voting on a budget. The vote must be completed by the end of the day on June 30. The new fiscal year starts July 1.
After that, the school board will talk through the approved budget and vote on its adoption.
See the MNPS proposed budget presentation for yourself
MNPS Proposed Budget by Paige Windsor on Scribd
This article originally appeared on Nashville Tennessean: Nashville schools board proposes $1.27B budget: Here's what to know
