Financial Health

Hopkins Public Schools is navigating a complex financial landscape brought on by the aftermath of the pandemic. 

Across the state of Minnesota, school districts are facing budgetary challenges at varying levels. We are grateful that, while we are also facing budgetary challenges, our situation is much less severe than what many of our neighbors are experiencing. That said, we expect to cut about $4.5 million from the school year 2024-25 budget. 

A survey of  more than 40 metropolitan school districts projects that districts will experience a total $193.5 million in budget shortfall for next year. Statewide, the shortfalls are a result of unexpected and significant swings in inflation, cost of living increases, enrollment loss, and the expiration of federal pandemic relief funds. 

It will take all of us to come together to think through how we might operate differently into the future. Our district leaders and principals have been heavily involved in the budgeting process to date. 

Budget Update 

The FY 25 Budget was approved in an unanimous vote by the School Board on June 11, 2024. You can view the budget at the link below. 

FY 25 Budget

Our Budget Context

New Requirements for School Districts

Although the state increased its funding formula for schools, giving us a 4 percent increase this year and a 2 percent increase next year, this also came with a historic level of new mandates that are costly to implement - from universal meals and summer unemployment insurance to the READ Act and Earned Safe and Sick leave, these requirements have large price tags that account for a lot of the increase.

Cost of Living

In order to stay competitive with our neighbors, but more importantly, to pay educators what they deserve, Hopkins will need to offer teachers a sizable cost of living increase over the next two years.

Solutions and Steps Forward

Navigating our budget will require us to be strategic and thoughtful. We are working on a variety of solutions to keep cuts away from our classrooms and away from people. In addition to scrubbing all budgets and identifying where we might find efficiencies, here are some areas we can lean into as we navigate next year and beyond:  

Previous Budget Engagement Sessions