DETROIT (Michigan News Source) – The Detroit Public Schools Community District is projecting deficits totaling $29 million from 2027-28 through 2029-30 but insists it will not be over budget when the time comes.

The district projected a $8 million deficit for 2027-28, $12 million for 2028-29 and $9 million for 2029-30 in recent budget documents it released.

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“The District has conservatively forecasted deficits before; these particular forecasted deficits are small (0.74% of the budget) and can easily be managed,” the district said in a statement to Michigan News Source. “As was the case previously and for this forecast as well, we use a low expected per pupil increase amount in the future while keeping current revenues the same with a modest increase. This administration will not allow the District to run a deficit. We would simply reduce expenditures to meet revenue in future budgets. We did this after enrollment dropped after the pandemic and COVID funding expired.”

The key to Detroit public schools’ financial condition was stopping the exodus of students from the district, which Superintendent Nikolai Vitti has been able to stabilize.

Detroit’s K-12 enrollment was 50,176 in 2018-19 before the pandemic. It fell to as low as 48,476 in 2023-24 but rebounded back to 49,038 this year. The district’s financial analysis projects a 1% increase in enrollment. Detroit’s public school district had 156,182 students in 2002-03.

Detroit’s General Fund revenues have increased from $74.2 million in 2018-19 to $89 million in 2023-24.

In 2023, the district received $94.4 million from the state Legislature as part of a literacy lawsuit settlement. In 2016, students who attended Detroit’s public school district filed a lawsuit claiming they didn’t receive an adequate education. Detroit has use the settlement money to hire more staffing to lower class sizes.