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Pennsylvania Gov. Josh Shapiro’s newly proposed budget would add $151 million more for Philadelphia schools and increase public school funding statewide by more than $660 million.
The Philadelphia school district would get a total of $2.2 billion in general funding under the new proposal, including money for basic education and special education, and funds meant to go to the state’s highest needs school districts.
Shapiro is also seeking $420 million for publicly funded pre-K programs, $158 million for career and technical education programs, and $35 million for the popular student teacher stipend program.
Speaking at the state Capitol Tuesday, Shapiro said the new proposal follows his administration’s promise to make school funding statewide more fair after a judge ruled in 2023 that the state’s previous school funding formula was unconstitutional.
“We’ve invested a record amount of money in public education, and created a brand-new formula that drives that money out to the schools that need it most,” Shapiro said.
But the proposal still leaves poor school districts, including Philadelphia’s, underfunded and leaves out funding advocates say is essential for some education programs.
In addition, Shapiro is calling for further reform to how school districts fund cyber charter schools. In last year’s budget, lawmakers reduced the amount districts had to reimburse cyber charter schools compared with brick-and-mortar schools. That change was estimated to save school districts at least $178 million statewide.
The new proposal would allow school districts to write off more of the money they used to send to cyber charters and creates new limits on how cyber charter schools calculate tuition rates. It’s estimated to save an additional $75 million for districts.
Shapiro called for several changes to statewide education law in his address. He called on lawmakers to move forward with legislation that would ban cell phones use for kids while they are in school. And he said he has directed members of his administration to explore legal options to require the developers of AI chatbots to require age verification and parental consent.
Shapiro also said he has directed the State Board of Education to develop recommendations for schools to guarantee recess for all students.
The spending plan comes at a crucial time for Philly schools. Superintendent Tony Watlington last month released a wide-ranging facilities plan that would downsize the district, close 20 schools, merge others, and renovate some buildings. But even with Shapiro’s proposed funding boost, the district would still need to find more government and grant funding to pay for the $2.8 billion facilities plan.
Philadelphia is in a unique and difficult funding position. It’s the only school district in the state that cannot raise its own revenue and, as such, 99% of its operating budget is controlled by state and city officials.
Mayor Cherelle Parker in 2024 increased the district’s share of city property taxes from 55% to 56% in the 2025 budget, which her office claimed would send an additional $250 million to the city’s schools through 2030. Parker said she would increase that percent again in 2030, but her four-year term concludes in 2027. There’s no guarantee that a 2030 increase would materialize.
Still, the district is staring down a multimillion annual deficit. And Shapiro’s proposed increase is not a done deal. The state Legislature will deliberate and must offer its own spending plan by July 1. Last year, the final budget arrived four months overdue, forcing school districts to take out millions in loans.
Shapiro’s proposal leaves districts underfunded by more than $3 billion
Many education advocates welcomed the increased investment in education and said they would urge state lawmakers to support the proposed boost to school funding.
“The governor is making good on his commitment to fully fund our public schools and bring real opportunity to kids in Pennsylvania,” said Laura Boyce, Pennsylvania executive director of Teach Plus. “We will be fighting alongside him to ensure these commitments are passed into law in this year’s budget.”
Still, Pennsylvania schools remain underfunded by more than $3 billion compared with what they should get under the state’s adequacy formula, which was developed by a bipartisan commission to determine how much money schools need to operate. Some groups also worry the proposal leaves some education mandates unfunded.
Last year’s budget, for example, created new requirements for all districts to use evidence-based reading curriculums and implement new literacy training for teachers. But the new budget proposal does not include more funding for early literacy initiatives. The Pennsylvania Literacy Coalition, which has advocated for increased early literacy support, has called on state lawmakers to invest $50 million in those initiatives.
“In recent years, our commonwealth has taken important steps forward, but there is more work to be done,” said Pennsylvania Literacy Coalition leader Rachael Garnick. “We must meet this moment with the urgency, leadership, and sustained investment required to ensure that no child’s future is determined by whether the system was prepared to teach them to read.”
Some advocates also say the student teacher stipend program needs more money to effectively address the state’s severe teacher shortage. Though this proposal boosts funding for the program by $5 million, Lenny Sweeney, a leader with the group PA Needs Teachers, said in a statement the program needs further investment to meet the need.
The group is calling for state legislators to commit $40 million toward the program. “It is a practical, cost-effective, bipartisan strategy to rebuild Pennsylvania’s educator pipeline, bolster local economies, and support student success across the commonwealth,” Sweeney said.
Shapiro, who is broadly rumored to be seeking a presidential bid in 2028, took several hits at the Trump administration during his address, including its move to freeze some federal education funds last year. He also highlighted statewide gains since he took office, including improved statewide attendance and graduation rates.
Rebecca Redelmeier is a reporter at Chalkbeat Philadelphia. She writes about public schools, early childhood education, and issues that affect students, families, and educators across Philadelphia. Contact Rebecca at rredelmeier@chalkbeat.org.
Carly Sitrin is the bureau chief for Chalkbeat Philadelphia. Contact Carly at csitrin@chalkbeat.org.
