On May 18, the City Council voted to approve the Board of Public Education’s recommended $179.3 million school budget for fiscal year 2027 (FY27), sending it out to Portland voters for a final say on Tuesday, June 9. The vote was unanimous on the part of all the councilors present and Mayor Mark Dion.

Councilor April Fournier, chair of the City’s Finance Committee, praised the work that went into this year’s budget process, and described the budget as one that “really supports our students, supports staff and supports the community. I’m very, very proud of our schools and think the investment is worth it.”

The budget is designed to continue the progress the district has seen over the past two years of implementation of its five-year Strategic Plan: improved outcomes for students in reading and in math, particularly for economically disadvantaged students, multilingual students learning English, and students with IEPs.

The budget consists of a local budget of $167 million and $12.3 million in additional funds, totaling $179.3 million. It would raise the school portion of the property tax rate an estimated 5.68%. For the owner of a median-priced $566,600 home, the budget would raise property taxes by $201.60 per year or $16.80 per month.

Superintendent Ryan Scallon told the Council prior to its vote that “the challenge of this budget is one of managing both fiscal stewardship and experiences and outcomes of our students.” He said it contains difficult tradeoffs “that the [Board’s] Finance Committee and the overall Board wrestled with.”

He describes the final budget as "a balanced approach—one that is fiscally responsible while ensuring we stay the course to success for every student, in alignment with our Strategic Plan."

He noted that the local budget actually only increases by 2.6% “but it’s the loss of state funding of $4.1 million that results in the overall challenges we faced in our budget and the need to make some fiscally challenging decisions.”

The budget was passed by the Board on April 14 and sent to the Council’s Finance Committee, which unanimously endorsed it on April 28. The Council held a first reading and public hearing on the budget on May 4 and also provided a public comment opportunity at its May 18 meeting, prior to the vote.

Throughout the budget process, Board members considered a series of amendments and reductions to address fiscal challenges. Under the state’s Essential Programs and Services (EPS) formula, Portland’s share of state funding for FY27 decreased by $4.1 million, due to lower enrollment and the City’s increasing property values. In its budget, the Board worked to balance addressing reduced enrollment and funding while making strategic investments to maintain the district’s momentum for student success.

Among changes to the budget that the Board approved was an additional $420,000 in revenue for FY27 that is included in the state supplemental budget recently passed by the Legislature. Scallon also told the Council that, thanks to advocacy on the part of the district and Portland’s state representatives regarding changes to the EPS formula, “we do feel confident that we will get some additional funding next year.”

The Board also removed from the budget $250,000 in savings anticipated from the closing of the city-owned Central Office building because the timeline for that is unclear. The budget adds $250,000 in revenue the district plans to realize with more efficient billing for MaineCare services for students. The Board also restored several staff positions, including a half-time Latin teacher and a half-time guidance counselor, both at Portland High School.

The budget cuts some positions at Central Office and at schools, many of which are vacant.

Learn more on the FY27 Budget page on our website. Watch our Budget in Brief video series for a greater understanding of the budget process. View the City Council’s May 18 meeting. Get information on voting in the June 9 municipal election on the City’s Elections & Voting page.