SSD Righting the Ship Update

Special School District of St. Louis County (SSD) is implementing a comprehensive plan, Righting the Ship, designed to address the District’s declining fund balance and reinforce the District’s commitment to student achievement. Following a thorough review of District operations and finances, conducted since Superintendent Dr. Michael Maclin took office in October 2023, the Righting the Ship plan aims to secure fiscal stability while ensuring that the District continues to meet the diverse needs of students across the county.

This initiative includes targeted measures to manage costs while prioritizing instructional quality and support services. Key elements of the plan include a multi-year strategy to reallocate capital project funds, balance staffing, and implement non-wage cost containment measures. Together, these steps will maximize resources for educational priorities while strengthening the District’s financial foundation.

“Our top priority remains ensuring the best possible educational experience for our students as we move forward with Righting the Ship,” said Dr. Maclin. “By making strategic adjustments now, we’re building a stronger foundation for long-term sustainability and success in the future.”

For the 2024-25 fiscal year, the District faces a projected $74 million budget deficit, driven by rising costs, a decrease in the state funding formula (expiration of the pandemic ADA provisions), a projected increase in expenditures, providing competitive compensation and benefits to our staff, and a need for sustainable operational efficiency. Due to the proactive measures SSD has taken as part of the Righting the Ship plan, the District has been able to reduce the current budget deficit from $74 million to $50 million. The plan will stabilize the District’s fund balance by 2028-29, resulting in an approximate fund balance of 30-35%, which is enough to cover the District’s expenses for four to five months. Without the corrective measures, the fund balance would be depleted by 2028-29.

An important component of the Righting the Ship plan is reallocating funds designated for capital projects. Each year, SSD allocates seven cents to its capital project fund to maintain and improve building infrastructure. The plan calls for allocating three cents to the capital projects fund and reserving the other four cents for the general operating fund. By reserving the four cents for the general operating fund, the District is adding approximately $13.4 million in revenue to the budget.

Currently, the District’s buildings are in good condition, allowing some funding previously earmarked for capital projects to be allocated to general operating needs. Fewer capital projects were planned for the 2024-25 fiscal year, leaving some capital project funds available. This allowed the District to allocate additional funding to the general operating fund, adding approximately $16 million in revenue to the budget.

Funding for capital projects will be re-evaluated annually to ensure the District’s facilities remain in strong condition.

SSD is taking a proactive approach by developing a five-year comprehensive staffing plan that includes reallocating and right-sizing staffing to ensure support is directed to areas of greatest need. This plan involves streamlining personnel costs by conducting a meticulous review of existing staffing structures and identifying vacant positions that can be eliminated. The District will not be eliminating positions deemed essential to meeting the needs of our students.

The current imbalance in staffing distribution limits our ability to meet students' needs equitably across the county. To address this, SSD is enacting an immediate hiring pause for the 2024-25 school year, with only essential roles being filled. During this time, qualified substitute personnel will be utilized to ensure continuity of services, allowing SSD to reassess where new hires can have the most impact.

Additionally, the staffing plan includes reallocating existing staff—whether it be teachers, administrators, or support personnel—to address areas experiencing shortages, promoting a more balanced and responsive educational environment. This process will involve reallocating employees to ensure that skilled staff members are strategically allocated to best align with current student needs. Staff in positions identified for reallocation will be notified in January and February 2025, with the changes taking effect for the 2025-26 school year. By carefully evaluating and right-sizing our staffing structure, SSD can better serve its mission, focusing resources on effectively supporting students and enhancing fiscal sustainability.

Another aspect of the Righting the Ship plan is the focus on non-wage cost containment strategies, which are essential in managing the District's finances. The District will closely examine operational expenses, such as supplies and services, in such a way as to maximize funds supporting student needs. SSD aims to redirect any captured savings into the classroom, educational resources, and support systems. Prudent fiscal measures like these will sustain educational quality while alleviating some of the budgetary strain, ultimately allowing the District to allocate more funds directly toward student services and programs.

The Righting the Ship plan underscores SSD’s mission to serve as a leader in special education and career and technical education while operating with fiscal responsibility. By implementing cost-saving measures and aligning resources with student needs, the District is building a sustainable framework to ensure long-term success.

“We’re committed to ensuring that SSD remains a district where every student can succeed and every staff member feels valued,” Dr. Maclin said. “Our mission is clear, and our vision for the future is built on stability, service, and support for all.”

As SSD moves forward with the Righting the Ship plan, the District is committed to transparency and will provide regular updates to staff, families, and the community. Recognizing the importance of open communication, SSD will keep stakeholders informed on the progress of these initiatives, any adjustments made, and their impact on students and staff. Through clear, consistent updates, SSD aims to build trust and engage the community in our shared mission to support student success and ensure fiscal stability. Staff and stakeholders with questions are encouraged to contact their SSD administrator.