Norwich ― Saying they had no choice, reluctant city councilors on Tuesday agreed to cover deficits in the 2023-24 school and paid fire district budgets using city surplus funds.

The 2023-24 school budget ended with a $5 million deficit, mostly due to special education costs and an unexpected cut in state reimbursement levels for special education costs.

The council voted 6-1, with Mayor Peter Nystrom in opposition, to use $900,000 from the city’s surplus to cover the final portion of the school budget deficit. Most of the $5 million was covered by savings elsewhere in the school and city budgets and by wiping out the school board’s $1.4 million surplus fund.

The same ordinance approved Tuesday included using $136,100 from the paid fire district’s surplus fund to cover a deficit in the department’s overtime budget.

Aldermen said the school budget deficit was no surprise, and they had no choice to cover the special education costs created by state mandates. The fire overtime costs were contractual obligations.

City Comptroller Josh Pothier said in both cases, the money is already spent and said not paying it would amount to trying to put toothpaste back into the tube.

Alderwoman Stacy Gould questioned the $352,425 in unbudgeted costs for salaries and legal costs of an investigation into complaints that Superintendent Kristen Stringfellow and Assistant Superintendent Tamara Gloster fostered a toxic work environment. Both have been on paid leave since last September.

Gould asked if these were the final costs, but School Business Administrator Robert Sirpenski said the $352,425 was through June 30, and the investigation is ongoing.

Pothier said using $900,000 from the surplus fund leaves the city with about $20 million in the fund, 13.4% of the city’s annual operating budget. Pothier said that is within range of the city’s goal of having a 12 to 15% surplus.

Democratic Council President Pro Tempore Joseph DeLucia said the school budget deficit was predictable. In June 2023, the Republican-controlled City Council voted against the requested increase in the school budget.

“I said then and I say now, we are in a situation mostly because of a dishonest budget being passed,” DeLucia said.

DeLucia, who chairs an ad hoc committee of council and school board members, had recommended a school budget $3.5 million more than the $89 million approved by the council.

So, I’m not the least bit surprised,” DeLucia said. “I’m annoyed. I’m beyond annoyed. I’m angry. Because I said then, and I’m saying now, that you can’t pass a dishonest budget and then be upset when the Board of Ed exceeds their budget.”

Republican Alderman William Nash cited statistics showing increased diagnoses of children on the autism spectrum and said special education costs will continue to rise.

“The costs are going to go up,” Nash said. “Special ed costs are going to keep going up, and there’s only so much we can get from our taxpayers.”

Nystrom also objected to the $136,100 deficit in the paid city fire department’s overtime costs. Nystrom said with the new automatic aid system in which volunteers are called to accompany the paid department on fire calls, overtime should be decreasing.

Democratic Alderman Mark Bettencourt agreed with Nystrom, but said the department was constrained by the collective bargaining agreement on overtime requirements.

c.bessette@theday.com