06-14-05 -- An article in the June third Baltimore Business Journal bore the headline “School’s Gutsy Move Pays off in Bond Rating.” The school system to which the article referred is none other than the once financially troubled Baltimore City Public School System. As most city residents, and indeed, most state residents recall, last year the Baltimore City Public School System announced severe budget deficits. A loan from Baltimore City government was needed to cover the deficits.The school system worked with Baltimore City and its fiscal experts to develop more sound financial practices and to map out a plan to quickly pay down the deficit. And it worked.
As of June this year, the school system has paid off 60% of the deficit from the last year and is on target to have completely eliminated the deficit by the end of FY ’06. Recently, the Fitch Rating Agency gave the City of Baltimore an A+ bond rating recognizing the system’s organizational efficiencies allowing the school system to repay $34 million by the end of fiscal 2004.” In addition, the system has implemented a SchoolStat process, modeled after the Mayor’s successful and innovative CitiStat program in order to make good decisions based on data. In 2003, the Greater Baltimore Committee submitted to the school system a list of 33 recommendations for ways to improve the system’s financial management structure. This year, the system has asked the GBC to assess the progress the system has made in implementing the recommendations.
What is truly remarkable is that the system, while reducing its deficit, was able to increase academic achievement across all grade levels and subject areas. Just recently, the Maryland School Assessment Scores reveal that Baltimore City student achievement has increased and at many grade levels have surpassed the statewide average. According to Maryland High School Assessment Results three Baltimore City public high schools – Poly, City and the School for the Arts – are among the top ten high schools in Maryland.
Because of the system’s success and improvements, it has attracted new partners dedicated to sustaining the momentum and building even better programs. For example, New Leaders for New Schools, a nationally recognized organization that trains and places principals, selected Baltimore as their only expansion site this year. The school system will work with New Leaders to recruit and train 40 new principals over the next three years. Baltimore City public school CEO, Dr. Bonnie Copeland, has a clear vision. She wants the Baltimore City School System to be a district of choice. Studies have shown that students and parents who choose their educational path are more engaged in the learning process. She wants students and parents to want to be in the school system and is working to create the kind of system that will draw and then sustain a thriving learning community. It is a worthy goal and the system has shown that it can come a long way in one year. We look forward to seeing what progress the next year brings.
For the Regional Business Report, this is Don Fry, President of the Greater Baltimore Committee, on 88.1 WYPR, your NPR news station.