After a number of flush fiscal years, marked by vital will increase in state funding and a number of waves of federal emergency {dollars}, college districts in New York are dealing with an unsure monetary future — and plenty of have a bleak outlook for Ok-12 funding.
Not way back district leaders throughout New York have been benefiting from a number of the strongest monetary situations their faculties system had skilled in additional than a decade, permitting them to put money into urgent tutorial wants starting from new studying instruments to hiring extra employees.
That short-lived windfall is over.
ESSER funding is gone, and so are massive bumps in state help. Final yr, Gov. Kathy Hochul, a Democrat, proposed a finances that might have lower funding to some college methods with declining enrollment, a serious reversal from earlier spending plans that caught districts and Ok-12 advocates without warning.
New York’s Ok-12 Market: Key Takeaways for Corporations
What distributors have to know concerning the panorama within the Empire State:
Many college districts expect a troublesome finances yr forward, as they grapple with the lack of federal stimulus help and anticipate solely modest will increase in state training funding.That stated, New York college superintendents indicated in a current survey that they intend to spend on sure priorities, together with tutorial restoration and applications to assist scholar psychological well being.The state is phasing in plans to remove state exams as a highschool commencement requirement, because the state strikes to overtake its general commencement requirements between now and 2029. The plan contains an emphasis on workforce readiness, and social-emotional studying.The brand new state commencement necessities can have implications for districts within the type of requiring PD for academics, further staffing, new curriculum and different sources, in accordance with the state training division.The state not too long ago accredited evidence-based studying laws, offering steerage to districts on tips on how to align their curricula to state necessities. Districts have till September to certify with state training officers that their studying curriculum is in step.
In the long run, the governor’s proposed cuts didn’t come to fruition, nevertheless it has fueled nervousness amongst college system leaders as state finances talks for the brand new fiscal yr are set to start. The New York State Legislature gaveled in its annual session this week, and later this month Hochul will unveil her spending plan for fiscal yr 2026.
“I’m not optimistic in any respect,” stated James Barnes, the chief monetary officer for the roughly 32,000-student Buffalo Public Faculties, which needed to wrestle with an $83 million deficit final yr after COVID emergency funds expired.
Tutorial Restoration in Sight
Barnes’ assertion underscores a deeper sentiment shared by districts throughout the Empire State, in accordance with the New York State Council of College Superintendents.
The overwhelming majority of superintendents polled by the group not too long ago raised issues concerning the monetary outlook for his or her faculties over the subsequent three years: Eighty-two p.c indicated that they don’t seem to be optimistic that their faculties will stay capable of present companies satisfactory to the wants of their college students.
“We’ve requested this query since 2016, and this was the best pessimism recorded in any of these years,” stated Bob Lowry, the deputy director for advocacy, analysis and communications on the New York superintendents group.
EdWeek Market Temporary not too long ago interviewed college district officers and organizations within the nation’s fourth-most populous state to get insights on how state insurance policies and different dynamics are shaping district calls for for services and products, and the general market.
College methods throughout the state that relied on thousands and thousands in federal stimulus funding to buoy operations are feeling monetary pressure. Some at the moment are grappling with finances deficits as they readjust to dwelling with out federal emergency help, they usually’re having to take care of minimal or no will increase in state funding after a number of consecutive years of sizable hikes, in addition to rising prices of their districts.
As well as, New York districts face mounting pressures elsewhere: Hiring shortages, expanded tasks to assist college students and households past lecturers, and rising absenteeism.
Nevertheless, the state authorities and college districts throughout New York are persevering with to put money into quite a lot of priorities.
On the prime of the record for districts, in accordance with the survey of superintendents, are two areas: Applications growing additional tutorial assist for struggling college students, and growing scholar psychological well being companies.
District leaders are additionally cognizant of main are modifications on the horizon.
The state is predicted this legislative session to start the method of overhauling New York’s principal Ok-12 funding components. Districts have been required to align their literacy curriculum with the “science of studying” by September of this yr. Aand individually, state training officers have outlined new plans that can make the trail to a highschool diploma look completely different within the close to future.
‘Portrait of a Graduate’
New York training officers have been engaged on plans to reimagine what it ought to take to earn a highschool diploma, a course of that can embody the elimination of exit exams as a commencement requirement.
And late final yr, the New York State Training Division launched a plan to overtake commencement requirements, a course of anticipated to unfold in phases via 2029.
EdWeek Market Temporary’s Profiles of State Markets
EdWeek Market Temporary repeatedly publishes analyses of necessary state markets — those who matter to training corporations both due to their measurement or as a result of their insurance policies sign a shift in district calls for reflective of the nation as a complete.
The tales look at modifications in coverage and buying priorities in these states. Current tales have regarded on the markets in North Carolina, Illinois, Pennsylvania, New York, California, and Florida.
The brand new framework attracts on the “portrait of a graduate” idea, a broader method to measuring commencement and workforce readiness. Usually in that mannequin, college students are required to grasp tutorial ideas, purchase social-emotional expertise, and develop a way of civic character.
Round 20 states have developed their very own frameworks based mostly on the portrait of a graduate, in accordance with Collaborative for Tutorial, Social, and Emotional Studying, or CASEL, a nonprofit that works to advance the event of SEL.
To graduate from a highschool below the brand new requirements, New York college students must exhibit proficiency in seven key areas that embody essential considering, efficient communication, cultural and social-emotional competences, progressive downside fixing, literacy throughout content material areas, and standing as a “international citizen.”
State officers plan to complete defining these areas of the overhauled framework this college yr, and particulars of the brand new credit score necessities are anticipated by someday subsequent college yr.
College students can have new methods to exhibit command of these areas, together with internships, capstone initiatives, and group service. These new commencement pathways are anticipated to begin being provided by the 2027-2028 college yr.
The plan will even embody broadening how class credit score is outlined, and would require college students to have one career-technical training credit score.
And a key a part of the plan removes standardized exams in English, math, science, and social research — generally known as Regents exams in New York — as a commencement requirement for highschool college students, additionally beginning within the 2027-2028 college yr.
The brand new commencement measures are anticipated to be totally phased in by the 2029-2030 college yr.
In all, it marks a “vital evolution” with massive implications for educating and studying throughout the state, stated Brian Fessler, director of governmental relations for the New York State College Boards Affiliation.
“The dialog has been happening over the previous half decade or so, nevertheless it’s actually simply now the place state officers stated: Right here’s the trail … right here’s the steps and processes to effectuate that plan,” he stated.
The change in commencement necessities can have fiscal implications for districts within the type of requiring skilled growth for academics, further staffing, new curriculum, and different sources, in accordance with the state training division.
The purpose is to do extra than simply transfer away from standardized testing because the benchmark — and to “rework the best way we instruct, notably in highschool,” stated Jeff Smink, deputy director of EdTrust-New York, a Ok-12 coverage and advocacy group.
That’s going to return with a probably vital pricetag for cash-strapped districts, Smink stated.
“It’s a giant shift that the state is proposing,” he stated. “And that’s actually one of many issues that’s regarding is it’s going to price some huge cash to do these modifications. The districts are usually not in the perfect monetary place proper now to take one thing new like this on.”
A Push for School- and Workforce Readiness
The state’s new emphasis on profession readiness aligns with the priorities that a number of New York college methods recognized in interviews with EdWeek Market Temporary.
Within the Brentwood Union Free District, a college system of about 18,000 college students on Lengthy Island, there’s a hyper concentrate on getting ready college students for school and the workforce, stated Superintendent Wanda Ortiz-Rivera.
The varsity system has set in movement an initiative — referred to as Commencement Plus — to make sure highschool college students graduate with school credit, certificates, or internships.
A few years in the past, faculties used to arrange college students for a commerce, and sooner or later that modified. There’s worth in bringing this again to high school districts.
Wanda Ortiz-Rivera, Brentwood Union (N.Y.) Free District
New applications and CTE-based pathways proceed being added to the district’s menu of choices, stated Ortiz-Rivera, describing the full-steam forward method as a “metamorphosis” for the district.
“We all the time wished college students to be college- and career-ready,” she stated. “However the depth of what we’re doing, the main target that we’ve got proper now, we’re all moving into the identical course.”
Referencing the state’s new commencement framework, she stated “their plan and our plan … they’re very comparable.” The state needs to verify college students can hit the bottom working, she stated, even when which means leaping into the workforce with a certification as an alternative of attending a four-year college.
“A few years in the past, faculties used to arrange college students for a commerce, and sooner or later that modified. There’s worth in bringing this again to high school districts,” she stated.
The Newburgh Enlarged Metropolis College District, a college system of about 11,000 college students situated roughly 60 miles north of New York Metropolis, can also be placing a heavy concentrate on CTE.
Superintendent Jackielyn Manning Campbell stated it will likely be one of many district’s near-term spending priorities as the college system invests in a brand new constructing a to develop CTE choices. The brand new facility is predicted to open in summer season 2026.
The district at present has 24 career-technical teaching programs, together with cosmetology, welding, and auto restore, she stated, however is trying to “improve” its present CTE programs and supply new ones.
Most districts throughout New York must bus college students as much as an hour to a regional hub that companions with faculties on profession and technical teaching programs. However not at Newburgh: The amenities are already on web site.
“College students can stroll by and see a automobile on a elevate, or see someone welding, or see a beautician at a chair,” stated Manning Campbell.
The comfort of getting an on-site CTE facility is just not one which college students within the New Rochelle Metropolis College District, a system of about 10,000 college students simply exterior of New York Metropolis, get to expertise.
Greater than 200 college students from the district take the bus — about 20 minutes every manner — to the closest regional hub providing CTE programs. The New Rochelle district is the most important client of CTE programming at that exact regional hub in relation to neighboring college methods, stated Superintendent Corey Reynolds.
“However we’re restricted,” he stated, including that the district wish to construct a facility to supply applications on web site. The district doesn’t desire a scenario through which “solely about 220 of our 3,000 highschool college students who can entry these alternatives.”
‘No Degree of Confidence’ on Funding
In 2021, Hochul introduced an settlement with training advocates so as to add greater than $4 billion to the first Ok-12 funding components within the state — generally known as basis help — to completely fund the components for the primary time.
That formulation was initially created in 2007. Basis help is the results of a protracted authorized combat over college finance that ended with a state courtroom declaring that New York’s public college finance system was insufficient and unconstitutional.
All through its existence, the components had not been totally funded till the 2024-2025 college yr.
Be a part of Us for EdWeek Market Temporary’s Digital Discussion board
Be a part of our digital discussion board June 10 & 11, 2025, to listen to immediately from college district leaders and business friends about necessary traits taking part in out within the sector—and the assist college methods want from training corporations.
Nevertheless, final yr, in an try and reign in spending, Hochul proposed eliminating a provision generally known as “maintain innocent” that ensures districts obtain no less than as a lot college help because the yr earlier than, even when fewer children present up for courses. The transfer rattled districts, and Ok-12 advocates.
In the end, the enacted finances averted cuts to hold-harmless college methods, sparing districts from year-over-year help reductions. However it left half the state’s college methods with basis help frozen at their prior yr stage. Different districts acquired smaller-than-anticipated will increase in basis help.
On the time, finances negotiators punted the concept of overhauling the school-funding components till subsequent yr.
Following the current launch of a state-commissioned report on New York college funds, Hochul’s workplace now says the governor is against eliminating the maintain innocent part of the state’s Ok-12 funding components, in accordance with press accounts.
One factor that did occur with ESSER is a few bloat obtained into each group [that] touched that cash, and each division appeared like they have been entitled to simply asking for expenditure after expenditure.
James Barnes, Chief Monetary Officer, Buffalo Public Faculties
That reversal of positions by the governor made some superintendents really feel a bit extra snug heading into the legislative session concerning the general state of Ok-12 funding, stated Reynolds, the superintendent on the New Rochelle Metropolis College District.
However Reynolds stated he’s nonetheless pessimistic with regards to state funding for faculties, partially as a result of he noticed a neighboring district lose basis help funding final yr, even after the governor’s broader proposed cuts have been curbed by the legislature.
““There’s no stage of confidence that we’re going to be made complete transferring ahead subsequent yr,” he stated.
It’s that uncertainty — over how lawmakers will react to the state-commissioned report report and whether or not help reductions would possibly once more be sought — which can be fueling a way of fiscal gloom amongst district leaders.
In line with the New York State Council of College Superintendents, 79 p.c of superintendents named “insufficient state help, together with potential modifications in basis help” because the one issue inflicting them the best concern in interested by the monetary outlook for his or her faculties—a soar from 34 p.c a yr in the past.
Within the Buffalo Public Faculties, the second-largest college system within the state, the district is in cost-cutting mode, as it’s projecting a four-year deficit totaling $200 million, together with an $83 million deficit for the present college yr.
Barnes, the district’s CFO, stated the college system relied on a big fund stability that was constructed up when further cash was flowing from state help will increase and federal emergency {dollars}, That reserve was created “realizing that the ache was coming when ESSER ended,” he stated.
Transferring ahead, the district is wanting to save cash by lowering full-time worker counts via retirements and attrition, together with cost-cutting measures in different departments, he stated.
Cuts on to classroom and studying sources are usually not anticipated, Barnes stated, however areas like skilled studying on the whole are prone to be scaled again.
“One factor that did occur with ESSER is a few bloat obtained into each group who touched that cash, and each division appeared like they have been entitled to simply asking for expenditure after expenditure,” the Buffalo faculties official stated. Particularly, he stated “skilled growth obtained extreme throughout the ESSER years.”
Even with enormous multi-year deficits looming, Barnes stated his district is healthier positioned financially than 4 different similarly-sized college methods within the state which can be a part of a joint lobbying group. These different districts will “must run a tighter ship and make extra cuts” as a result of they don’t have as massive of a fund stability to fall again on, he stated.
The district’s largest funding supply is basis help, a stream of cash that’s largely based mostly on enrollment, Barnes stated. Buffalo’s college system has misplaced hundreds of enrolled college students over the past 5 years.
However even whereas head rely is down the district is spending extra on particular training college students, and on college students with social emotional wants, Barnes stated.
“The components wants to have the ability to weigh these components, so that you’re not simply dropping basis help funding based mostly on enrollment taking place,” he stated.
States Rolls Out Studying Steerage
Final yr Hochul rolled out a plan, which was accredited by legislators, to convey the state “again to fundamentals” in literacy.
Her 2025 finances proposal included necessities that districts’ curriculum and tutorial approaches align with “evidence-based and scientifically based mostly” practices, bringing New York into the fold of states becoming a member of the science of studying motion. That plan additionally included $10 million for skilled growth to coach 20,000 academics and elementary studying assistants in science of studying finest practices.
Individually, Hochul’s literacy initiative adopted massive modifications to early studying instruction put in place in 2023 by New York Metropolis Public Faculties, when the most important district within the nation required faculties to select from three literacy curricula that they are saying are based mostly on the proof behind how kids be taught to learn.
Final month, the state training division voted to approve science of studying laws, offering steerage to districts on tips on how to align their curricula to state necessities. Districts have till September to certify with state training officers that their studying curriculum correctly aligns.
As a part of the state initiative, New York training officers have left the choice open to districts to decide on the curricula of their choice, moderately than requiring college methods to pick sure studying supplies.
Smink, the deputy director of the Ok-12 coverage and advocacy group EdTrust-New York,stated there’s some concern that districts will merely add a supplemental curriculum to their combine — what he described as a “phonics patch,” and declare they’re doing the “science of studying once we know that’s not sufficient.”
“What’s actually unclear is how the state goes to confirm whether or not districts are aligned with the science of studying, and what’s going to occur in the event that they’re not,” he stated.