School districts have been getting millions for empty seats. Are they prepared to lose it?
Rhode Island school districts are to receive more than $34 million over two years for empty seats. But it remains unclear how districts are preparing for that money to run out near the end of 2025.
The so-called "hold-harmless" funds – money the state is giving districts despite enrollment declines – will be disbursed through the end of fiscal year 2025. Under that model, when a district loses students, the state doesn't revoke funding for those seats. Instead, it weans the district off the amount of funding for those students by decreasing it from year to year.
In fiscal year 2024, districts will receive nearly $20 million. The following fiscal year, that will drop to nearly $12.5 million.
"The direction for the General Assembly in the past session was to establish a more systematic way to deal with enrollment declines by providing partial payment for two years," said House Speaker K. Joseph Shekarchi. "This provides districts an opportunity to adjust to the declines. As an example, you cannot always close a classroom when you lose just a few students in each room. This new formula offers some short-term predictable assistance to smooth the transition for the districts."
The math goes like this: When districts lose a student, they will receive 40% of the state per-pupil funding for that student in fiscal year 2024. In fiscal year 2025, the portion will shrink to 25%.
More: How has RI education funding changed? We break it down and what it means.
"Ensuring that our approach to education funding meets the needs of all students, educators, and communities remains a high priority for the Senate," said Senate President Dominick Ruggerio. "The mechanism we created to provide short-term, transitional financial assistance for districts facing enrollment declines will help those districts prepare for future years."
Are districts prepared to lose that money?
But are districts actually prepared? Asked for comment, Providence Mayor Brett Smiley's office directed The Providence Journal to the Providence Public School District and the state Department of Education.
RIDE spokesman Victor Morente said PPSD "has been closely reviewing its budget for the current and upcoming fiscal year" but that "no final budgeting decisions have been made" at this time.
"RIDE will work closely with state partners through the state budgeting process for FY 2025 underscoring the importance of ensuring that school communities have adequate support," Morente added.
Providence is to receive the most in hold-harmless funds, with more than $13 million budgeted by the state. According to a recent report from the Rhode Island Public Expenditure Council, the district has seen one of the most severe enrollment declines in the state, losing 16.7% of its students from Oct. 2019 to Oct. 2023. It was surpassed only by South Kingstown, a far smaller district, that lost a greater share of its students at 18.5%.
RIPEC pointed to the COVID-19 pandemic as a significant factor in the decline, along with population decrease, homeschooling and the dropout rate, which has increased in recent years.
This article originally appeared on The Providence Journal: RI school districts are getting millions for students that never come
