The province took over London's largest school board to curb spending. Here's the budget plan
Education minister says ballooning deficit a sign the province had to get involved
A budget report released by the Thames Valley District School Board (TVDSB) lays out a dire financial situation defined by a projected budget deficit that's almost double what was originally predicted for this school year.
The report, released Monday, also includes a new plan for the region's largest school board to dig itself out of its financial reality in the upcoming years.
What's unique about this budget is that it was drafted with the oversight a provincial supervisor appointed to take over operations, and is being implemented without publicly elected trustee input.
CBC News requested an interview with supervisor Paul Boniferro Monday, and multiple times since he was appointed in April, but none has been granted.
The size of the deficit
This latest budget report predicts the deficit for the 2024-25 fiscal year, which at last count was projected at $16.8 million, will actually rise to almost $32 million by the end of August.
The preliminary budget for the next fiscal year aims to cut the deficit to $10.6 million.
Provincial rules state school board deficits cannot be more than one per cent of their budgets, or roughly $12 million for the TVDSB.
"TVDSB is in a structural deficit position – a result of an imbalance in revenue and expenditures, as opposed to an imbalance based on one-off or short-term factors," the report reads.
"As such, difficult decisions and prioritization of resources are required."
Boniferro took control of the TVDSB after a 10-month long external audit found financial mismanagement, including a spending scandal involving a pricey retreat for upper management.
It was the first school board in Ontario to lose control, with supervisors currently overseeing the Toronto District School Board, the Toronto Catholic District School Board, the Ottawa-Carleton District School Board and the Dufferin-Peel Catholic School Board.
How London's public board will save
The preliminary budget for the 2025-2026 fiscal year seeks to save money through a number of avenues, including spending on employees.
The report outlines cutting $7 million on salaries and benefits, with a total expected decrease in operating expenses of $9.6 million.
The budget for next fiscal year lays out total reductions in its full-time staffing equivalent, which includes part-time jobs, of roughly 115 full-time positions.
Just shy of 47 of those positions are teachers, staff in library and guidance, and learning support teachers. Eighteen positions are early childhood educator positions and two are educational assistant positions.
Additionally, 14.5 of the positions are in board administration and governance.
A large number of the expected staffing reductions are attributed to a projected drop in enrolment.
The report also makes mention of "future property sales" that "will help achieve some amount" of a future surplus, but doesn't elaborate on the nature of those property sales, or include information on which properties are being sold.
In late May, interim director of education Bill Tucker sent a memo to staff warning of cuts. In March, almost 60 positions were declared surplus, meaning those employees would be put on a leave of absence until their services were needed.
The report says the TVDSB "remains committed to prioritizing reductions that minimize impacts in the classroom," with much of the focus on measures that "do not compromise the quality of education and the learning environment."
Education minister 'disappointed'
CBC News requested an interview with Tucker on Monday but was directed to the province for comment. The Minister of Education said in a statement that he's disappointed the TVDSB is projecting such a large deficit for this school year.
"This reaffirms just how profoundly trustees failed in their duty to manage public funds and why it was necessary to place the board under supervision," Paul Calandra's statement said.
"It also underscores the need for the ministry to have a more proactive role in the management of school boards across the province."