LANSING, Mich. — The Michigan Association of Superintendents and Administrators (MASA) today released survey results from more than 260 school districts across the state, highlighting the urgent need for lawmakers to pass a state budget that provides schools with the resources they need to serve students and communities.

“These numbers and stories should stop everyone in their tracks,” said Dr. Tina Kerr, MASA Executive Director. “Students are losing access to free meals, programs are being canceled, and schools are being forced to borrow money at taxpayer expense, and it all comes down to lawmakers failing to do their jobs. Every day of delay hurts children, families, and communities. The legislature must put politics aside and work together to provide our schools with the stability and resources they need.”

The survey was open to MASA members from September 17 to 19, and results paint a dire picture of the impact the legislature’s failure to pass a budget is already having on Michigan schools:

• 54% of districts have already left positions unfilled
• 36% have paused student programming
• 16% have increased class sizes due to layoffs
• 11% have already instituted layoffs
• 18% have kept employee contracts open pending a finalized budget

If the state fails to pass a budget by September 30, the situation will worsen:

• 50% of districts plan to pause student programming
• 42% will suspend free school meals
• 24% will move forward with layoffs
• 20% plan to increase class sizes

Kerr notes that the fact the House and Senate budget proposals have been different from each other has complicated the budget decision local district leaders have had to make. 

“It would be unfair for districts to open programs or hire for positions when they don’t know if the funding will be available for the entire year. So they are being forced to spend their time and energy creating multiple contingency budgets, which is something that could have been avoided had the legislature followed the law and passed a budget by July 1 like they are supposed to,” said Kerr.

Districts are also being forced to take on debt to keep schools open. Because loans can take time to apply for and process, nearly 16% of districts have already borrowed money in anticipation of the state budget standoff impacting the funding needed to meet their payroll obligations. 

These emergency loans range in the hundreds of thousands to millions of dollars per district costing an average of 4% interest. Without a budget, those costs could balloon to more than $125 million in principal and nearly $1 million in interest by December.

Anonymous superintendent comments from the survey underscore the gravity of the situation:

• “Healthy fund balance or not, we’ll be paying interest on loans—wasted money due to the delay.”
• “We will have to close our district in early October until a budget is approved.”
• “Massive disruption for working parents with younger students (PK-5) with no place to get childcare if we close our doors.”

While budget negotiations continue this week, school districts across the state will be urging lawmakers and Gov. Whitmer to work together to pass a sustainable, responsible education budget that ensures districts have the resources they need.