MPS Board of School Directors Approves $1.6B Budget for 2026-27 School Year
Balanced budget invests in more classroom teachers, raises educator salaries, and closes a $46 million deficit
MILWAUKEE – The Milwaukee Board of School Directors overwhelmingly approved the district’s $1.6 billion FY2026-27 budget on Thursday. The balanced budget will allow the district to prioritize managing and lowering class sizes, increasing educator salaries, and eliminating a $46 million budget gap that was identified earlier this year.
A key element in the budget includes adding 159 more teaching positions and more paraprofessional positions to manage and reduce class sizes as well as continued support for art, music and physical education. The budget also includes a 2.63% cost of living increase for all employees, with 1.5% starting July 1 and an additional 1.13% in January 2027.
In an effort to better support teaching and learning, the budget also increases hours for paraprofessionals and children’s health assistants up to 40 hours across the district.
“Students deserve a budget that puts them at the center. And teachers deserve classes that allow them to give students personalized attention,” said MPS Superintendent Brenda Cassellius. “This budget invests in our valued employees, tackles our deficit head on, and takes important steps toward financial stability with an eye toward the difficult economic realities ahead. I have great optimism about the future of Milwaukee Public Schools if we continue to work together with students at the forefront.”
“Board members have been committed to smaller class sizes and despite a difficult financial reality, we held true to our values, put students first, and are delivering on this key promise to our families and students,” said Board President Missy Zombor. “We will continue to work with the administration to make MPS a first choice for families – and to utilize our strengthened financial controls to ensure resources remain closest to our students.”
To better support students with the highest needs, the budget dedicates $18.7 million in critical needs funding for additional classroom support, social workers, nurses, counselors, psychologists, and library and arts staffing.
All MPS employees will receive a 2.63% cost-of-living adjustment — 1.5% effective July 1, and an additional 1.13% beginning January 1, 2027 — along with steps and lanes that reward longevity and continued education. The budget also expands paraprofessionals and children’s health assistants to 40-hour work weeks across the district. (Because positions are measured in full-time equivalent (FTE) positions, higher numbers may appear for positions where hours have been added.)
The 2026-27 budget also addresses the $45.6 million deficit. Savings were found through a review of central office functions that generated $18.2 million in cost reductions, a strategic reduction in force that yields $29.5 million, and a decrease in purchased services including $6 million in contract reductions. The district also reduced its vacancy adjustment, which the district historically overrelied upon to balance the budget, from $74 million two years ago to $34 million in this budget, moving toward a more accurate and accountable approach to financial planning. Administrative reductions were focused on central office and non-classroom functions.
The final budget reflects direct feedback gathered through public hearings, board meetings, nine listening sessions with high school students, meetings with families and staff, and ongoing engagement with community partners including the Wisconsin Policy Forum, the Rotary Club of Milwaukee, and the Greater Milwaukee Committee. Changes made in response to that input include additional teaching positions in alternative schools, expanded art, music, and physical education staffing where specific school needs were identified, and increased hours for paraprofessionals and children’s health assistants.
The budget also includes a $3 million investment in the Milwaukee Recreation Fund to sustain the community schools model, supporting 11 new positions and making community school programming available across eight sites. The investment adjusts the tax mill rate from 9.80 to 9.86.
The budget funds a dedicated team focused on Black and Latino Male Achievement, Gender Identity and Inclusion, and Positive Behavior and Restorative Practices, areas where MPS has committed to focused, sustained work.
The 2026-27 budget takes effect July 1, 2026. Full budget materials are available at milwaukeepublicschools.org.
NOTE: This press release was submitted to Urban Milwaukee and was not written by an Urban Milwaukee writer. While it is believed to be reliable, Urban Milwaukee does not guarantee its accuracy or completeness.
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