Minneapolis Public Schools could run into “financial crisis” within the next two years if nothing changes, according to district officials.
During a presentation at Tuesday’s finance committee meeting, district leaders told school board members that the district simply cannot sustain its current spending model based on declining enrollment. The district is also losing COVID relief funding that has artificially padded the bottom line while enrollment has continued to drop.
The presentation showed that the district’s general fund would go into the red in 2025, with dangerously low levels by the end of 2024.
The district continues to spend too much compared to how much it takes in from the state based on that per-pupil allotment from the state, according to district leaders.