The figures just don’t add up.
New York City has already spent a staggering $43 billion on its public school system, which is significantly more per student than any other large district in the U.S., even as enrollment has sharply declined and test results remain lackluster.
As Mayor Zoran Mamdani approaches the completion of his first budget proposal, the city is already shelling out $44,000 for each student. It seems likely that the already hefty costs of education could climb even higher, according to budget watchdogs and education experts.
Analysts argue that this spending is problematic, especially since students in the city are performing only moderately well compared to other urban districts on standardized math and English tests.
“Even with a per-student spending of $44,000, many schools are just not succeeding, prompting some parents to consider charter schools instead of the traditional public options,” stated Andrew Lane, Executive Director of the Citizens Budget Committee.
“Cities should prioritize resources towards improving student learning and rethink the funding as enrollment dips, along with consolidating underperforming schools that may no longer be financially viable.”
However, even with falling enrollment numbers, critics claim that adjusting the education system in NYC could become increasingly challenging as state lawmakers have imposed expensive class-size reduction mandates.
Gov. Kathy Hochul and Democratic legislators are contemplating extending the timelines for the city to adhere to these laws, a move that has strong backing from teachers’ unions, amidst ongoing budget discussions.
“This law is simply not practical—it’s difficult to enforce,” commented Daniela Souza, a researcher with the Manhattan Institute.
Enrollment in the city’s public school system is down by 157,900 students over the past decade, yet the number of schools has increased by 39. Alarmingly, approximately 15%, or 249 of the 1,600 schools, are operating at less than 50% capacity.
Nearly half of the public schools are below 400 students in enrollment, with 134 serving fewer than 150 students.
This trend seems poised to worsen, as a report from the City Schools Construction Authority predicts additional declines in traditional public school enrollment, estimating a loss of 153,000 students by 2034-35.
“The continued increase in the Department of Education’s budget doesn’t match the decreasing number of students,” Souza observed. “School closures and consolidations seem unavoidable.”
Federal data indicates that NYC spends 50% more per student than the largest urban school districts in the nation, well ahead of places like Los Angeles and Chicago.
Regrettably, the high spending has not translated into impressive results, as shown by the 2024 National Assessment of Educational Progress, which serves as a national report card.
Only one-third of fourth graders achieved “proficient” status in math, with a mere 28% proficient in reading. For eighth graders, just 23% were proficient in math and 29% in reading.
Many urban districts face similar challenges with enrollment declines due to lower birth rates and immigration trends. Yet, in New York City, parents are actively seeking better educational opportunities for their children elsewhere.
Currently, there are more than 150,000 students enrolled in NYC’s public charter schools across 285 institutions, representing nearly one out of every six schools. Performance data shows that many of these charter school students outperform their peers at traditional public schools.
In 2023, NYC allocated 61% of its education budget for teacher pay, which compares to 52% in Los Angeles and 43% in Miami, according to an analysis from the National Center for Educational Statistics.
When the Citizens Budget Committee examined spending data, they found the following allocations:
- $35.3 billion for 1,600 K-12 schools
- $13 billion in salaries for teachers and staff
- $8.1 billion for pensions, benefits, and debt services
- $3.5 billion for charter school funding
- $3.1 billion dedicated to early childhood programs
- $1.5 billion for legal processes involving special education students and private tuition
Transportation spending reached $1.9 billion, an increase from $1.4 billion in 2019. Meanwhile, costs for school facilities and maintenance rose to $1.3 billion from the previous $1 billion.
Additionally, the city is putting forward $700 million for general contracts, which includes consulting fees.
City Auditor Mark Levin pointed out that spending for special education is growing dramatically. The costs associated with due process lawsuits brought by parents demanding their special needs children be placed in private schools rose from $500 million in 2019 to $1.5 billion now.
Prime Minister Kamal Samuels, alongside Energy Ministry representatives, indicated that while the administration intends to tackle these challenges, they stopped short of rolling out any major reforms.
“Investing in our children is vital,” said DOE spokeswoman Nicole Brownstein. “New York City Public Schools are committed to ensuring every student gets a high-quality education, while striving to be economical and efficient.” Mayor Mamdani is working on making the city more affordable for families, collaborating on compliance with class size laws, reducing unnecessary expenses, and enhancing the school system.
“Enrollment patterns are a reflection of wider demographic changes, such as fluctuating birth rates and shifting populations,” Brownstein added. “As the city navigates these national trends, we’ll keep seeking ways to provide a rich and varied education for every student, ensuring all schools meet class size regulations. Community-driven initiatives are also key to this goal.”
