Norwich ― School and city leaders heard some sobering budget news Thursday about the preliminary 2024-25 school budget as it topped $100 million for the first time, an 11.9% increase over a budget that is expected to be $1.9 million in the red by June.

The budget was presented to the school board’s budget expenditure committee ahead of Tuesday’s vote by the full Board of Education on a budget to be presented to City Manager John Salomone. Six of the nine school board members were on hand, and Mayor Peter Nystrom and alderwomen Stacy Gould and Shiela Hayes attended Thursday’s meeting.

School district Budget Administrator Robert Sirpenski said the budget will fluctuate between now and its adoption in early June when state grants and any new legislation are finalized but he foresees no major changes by Tuesday. The proposed budget totals $100,084,846, an increase of more than $10 million over this year’s $89.4 million budget.

“This is a work in process, and right up until May or June, when we get everything finalized, we will always be making adjustments,” Sirpenski told the board.

Gould called the budget total “a tremendous amount of money,” and implored state legislators to provide relief for special education costs as well as unfunded and underfunded state mandates.

“The state has got to help us,” Gould said. “We’re drowning.”

Special education driving increases

Sirpenski said dramatically escalating special education costs are unsustainable statewide, and surprise changes by the state in mandates and funding have been frustrating.

This year, Norwich had expected to receive 91% reimbursement from the state for any special education costs that exceed what a local school district is supposed to pay.

But with so many school districts in the same boat, the state cut the reimbursement to 72.8%, the lowest rate in five years, Sirpenski said. That drop cost Norwich $801,000 in reimbursement.

“But if costs are higher, we won’t even get the 72.8%,” Sirpenski said. “It’s just an unworkable, unsustainable bad situation. I hope they figure it out one of these years.”

Another surprise at the end of last year’s legislative session called for special education students to be educated through the end of the school year after they turn 22, rather than on their birthdays. That cost $450,000 more, he said.

For the 2024-25 budget, special education continues to be the biggest budget escalation factor and dominated the the committee discussion Thursday. Acting Superintendent Susan Lessard said two pending new hires, a teacher for the hearing impaired and a speech pathologist will enable Norwich to bring some special education students back to the district, saving on some outside tuition costs.

The budget reviewed Thursday did not yet reflect those potential savings.

In the $100 million preliminary budget, special education contracted services were projected to jump by $895,710 to a total of $2.7 million. Overall tuition, including Norwich Free Academy and other high schools totals $38.89 million, up by 38.8%, with special education outplacement tuitions making up $11.78 million of the total.

Overall salaries are projected to total $20.2 million, up by $514,365, or 2%.

The city has used its final federal COVID-19 recovery grant to fund 52 full-time or part-time positions, including three school resource police officers. The district expects to receive a $3.7 million increase in its state Alliance District school improvement grant, but it is unclear so far what positions, including the SROs, could be moved into that grant.

“We’ve got to find some funding somewhere for our SRO program,” board Chairman Mark Kulos said, “because that is proving to be very helpful.”

The Board of Education also faces the ongoing, unresolved investigation of suspended Superintendent Kristen Stringfellow and Assistant Superintendent Tamara Gloster. Both were placed on paid administrative leave last September amid allegations they fostered a toxic work environment of fear and intimidation.

Kulos said the board could receive a report on the investigation being conducted by Hartford attorney Kyle McClain by the end of March. The board also has started a performance evaluation of Lessard for her tenure as acting superintendent.

“It’s winding up,” Kulos said. “It’s the beginning of the end process, I really don’t know how long that’s going to take. That will be a lot of conversations with lawyers.”

c.bessette@theday.com