The Ottawa-Carleton District School Board (OCDSB), already under provincial supervision, is confronting severe financial difficulties that include a projected $20-million deficit for the upcoming school year, according to newly appointed Director of Education Stacey Kay.
Mounting Financial Pressures
During her appearance before the OCDSB's audit committee on Monday, Kay delivered sobering news about the board's financial health. The current school year is projected to end with a $5.4-million deficit, while next year's shortfall could reach approximately $20 million without intervention.
Kay, who was recently appointed following the unexpected departure of Pino Buffone on November 11, stated that she has thoroughly reviewed the financial statements and confirmed the board faces "significant financial challenges." The situation is compounded by the fact that the board received special one-time funding that won't be available in future years.
Background of Financial Troubles
The financial crisis comes despite trustees approving $18.1 million in cuts to the board's $1.244-billion budget in June to achieve a balanced budget. Shortly after these cuts were made, the province placed the board under supervision, citing financial "mismanagement" and suspending trustees' authority over budget decisions.
The board's financial instability has been further complicated by the resignation of Chief Financial Officer Randy Gerrior earlier this fall. The cumulative deficit now stands at $12.1 million, which the board will need to begin repaying.
Impact on Classroom Resources
Recent audit reports highlight specific areas of concern, including $7.1 million more than anticipated spent on staff replacement costs. In an effort to save money, the board also spent $12.8 million less on textbooks than planned.
Bob Plamondon, the provincially-appointed supervisor, expressed serious concerns about these financial decisions affecting educational quality. "The concern I have is that we're taking money out of the classroom," Plamondon stated. "Teachers are in the classroom with less textbooks, materials and supplies, and so our most valuable resource, what we're spending the most amount of money on, is now having to be constrained with the tools that they would use in the classroom."
The board's financial challenges come at a time when parents, students, and educators are seeking clarity about how provincial supervision will affect daily operations and educational quality moving forward.
