PENN HILLS, Pa. — In 2019, a grand jury described the finances of Penn Hills School District as catastrophic, leading the state to place the district in financial recovery.
Now, six years later, the district is celebrating a financial surplus.
“Six years ago, Penn Hills was gasping for breath; that’s how bad it was here,” said Dr. Daniel J. Matsook, the district’s chief recovery officer.
In 2019, the Penn Hills School District had approximately $172 million in debt.
“There were bills on the doors, indicating we were delinquent on our light bills. They were going to shut our lights off; that’s how dire the situation was,” School Board President Erin Vecchio said.
A report showed that in 2009, the district’s debt was $11 million, which skyrocketed to $165 million by 2015. By spring 2019, the district was expected to run out of money, prompting the state to put it in financial recovery status. However, six years later, the district is now celebrating its turnaround.
“We are moving out of survival mode into a growth mindset,” said Penn Hills School District Superintendent Dr. John P. Mozzoci.
The district has balanced its budget for the current calendar year without raising taxes. It utilized $4 million in grant funding for building renovations, including upgrades to the pool and media center.
Additionally, it has established an in-house security team, improved academic performance scores, and introduced new programs in nursing, IT, and robotics. Looking ahead, the district identifies its biggest challenge as the cost of charter schools.
“The number one threat to our sustainability is the expense related to charter schools. Some commonsense changes can be made regarding how they are funded,” Matsook said.
In Pennsylvania, school districts are responsible for funding charter schools, paying a set rate for each student that attends, which costs them thousands in tuition and transportation.
Penn Hills believes that changes can be made at the state level in Harrisburg.
“They are ruining public education, and the people in Harrisburg need to take action to stop it,” Vecchio said.
The district will hold a formal budget meeting on Wednesday at 6 p.m. to present its current budget for board approval.
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