Overview
- The Massachusetts Inspector General said the FY23 shortfall resulted from a critical failure of leadership by the superintendent, CFO, school committee, and mayor.
- Finance staff raised concerns in July 2023 about unbudgeted costs and funding losses tied to declining enrollment, but the alerts were not acted upon.
- Spending exceeded revenue across personnel, transportation, out-of-district tuition, police details, and energy while the budget relied on unrealistic enrollment assumptions.
- The school committee and mayor received monthly reports showing line-item overages yet did not discuss or address the growing deficit.
- The report recommends budget best practices, fiduciary training, and a culture that encourages reporting concerns, and city officials said they will submit a comprehensive response.