Ottawa-Carleton School Board Faces $14.4 Million Budget Shortfall

The Ottawa-Carleton District School Board (OCDSB) is grappling with a significant budget deficit, with a shortfall now estimated at $14.4 million for the 2025-2026 school year. Bob Plamondon, the provincial supervisor appointed to oversee the board, addressed this issue during a meeting of the Special Education Advisory Committee (SEAC) on Wednesday. His comments followed a grim financial report from board finance staff, revealing a more severe fiscal situation than previously anticipated.

This latest deficit surpasses the $10.3 million gap forecasted when trustees approved the budget in June 2025. In response to ongoing financial challenges, the provincial government placed the OCDSB under supervision, appointing Plamondon to replace the elected trustees. Education Minister Paul Calandra attributed this decision to what he described as financial mismanagement, citing consecutive years of deficits that have depleted the board’s reserves.

Plamondon has initiated a thorough review of all board expenditures to work towards a balanced budget. However, he has not specified a timeline for achieving this balance. The final budget deficit for the previous 2024-2025 school year stood at $5.4 million, indicating the broader financial difficulties facing the board. According to finance general manager Derek McMaster, without one-time revenues to mitigate losses, the overall deficit could have reached close to $20 million.

Challenges Ahead for Special Education Funding

During the SEAC meeting, Plamondon emphasized that addressing this budget gap will require time and strategic planning. He stated, “We are ultimately looking to balance our budget but it’s not going to happen, I don’t think, in the very near term because we’re starting with a $20 million hole that we have to work our way out of.”

As the OCDSB prepares for the upcoming 2026-2027 school year, Plamondon highlighted the importance of presenting a “credible, complete, honest budget.” The coming months will be critical for determining whether the board can achieve balance within a year or if it will take longer.

The OCDSB’s special education budget, valued at $163 million, constitutes approximately 13 percent of the overall operating budget of $1.2 billion. Special education has consistently faced funding shortfalls, with the previous fiscal year reporting an excess of expenditures over revenues by $8.1 million. McMaster noted that this gap could have been even larger without utilizing deferred revenue to cover part of the shortfall.

Kate Stoudt, superintendent of learning support services, remarked that these funding issues are common among school boards across Ontario. “The reality is that we are overspending in special education based on our current formula,” she stated, underscoring the systemic challenges facing the board.

Concerns Over Funding Allocation

SEAC member Anthony Wong raised questions about the source of the funds needed to bridge the special education gap, expressing concerns that financial burdens could shift to other student programs. Plamondon reassured parents that special education would be the last area he would consider for cuts, emphasizing the critical needs of the most vulnerable students.

In response to ongoing budget discussions, board spokesperson Diane Pernari affirmed the board’s commitment to developing a balanced budget for the 2026-2027 fiscal year. The board is actively reviewing all service delivery models to ensure efficient use of resources while achieving optimal outcomes for students.

Former trustee Donna Blackburn, who was sidelined by the province in June, criticized the government’s decision to appoint Plamondon, questioning the effectiveness of his role in addressing the budget crisis. Blackburn described the special education shortfall as “substantial,” asserting that the funding envelope provided by the province is “woefully underfunded.”

She expressed skepticism about Plamondon’s ability to balance the budget and highlighted concerns regarding the high compensation for his position, which can reach $350,000 annually. Blackburn characterized the assertion of mismanagement as a “complete and total fabrication,” suggesting the takeover was politically motivated rather than financially necessary.

The OCDSB has declined requests for interviews with Plamondon or other officials regarding the budget situation. Pernari stated that media interviews fall outside the mandate of supervisors, which Blackburn argues undermines accountability. As the board navigates these financial challenges, the importance of transparency and communication with the community remains a critical concern.