Response to MNPS Budget Reforms

This discussion topic was requested by Council Member Zulfat Suara in response to a CouncilConnect post regarding reforms to the budget process and Metro Nashville Public Schools.

From CM Suara:

CM Webb. Thank you for raising these ideas. I fully support efforts that promote transparency and accountability in our public institutions. At the same time, it is important that our discussions are grounded in a clear understanding of what oversight mechanisms already exist, what authority the Council has under state law, and where there is room for improvement.

To provide clarity, I have organized my response into three sections:

Oversight measures that already exist
Actions the Council cannot take under current law
Opportunities for additional oversight and engagement

1. Oversight Measures Already in Place

Annual Audits

MNPS already undergoes an annual independent audit as part of the Metro Government audit conducted by Crosslin, which is submitted to the State Comptroller. Metro Internal Audit has also conducted program audits of MNPS in the past. If there are specific areas of concern, any Councilmember may request a targeted audit through Metro Internal Audit.

Monthly and Quarterly Financial Reporting

MNPS provides monthly financial reports to the Council. These are distributed by Maria Caulder, and the most recent report was sent on January 7. Like Metro’s own financials, these reports often lag by a few months because they rely on state data.

Public Access to Budget Information

MNPS publishes its operating and capital budgets online at:

https://www.mnps.org/departments/budgets

2. Actions the Council Cannot Take

Attaching Conditions to Budget Approval

State law limits our ability to condition or reduce MNPS funding. Tennessee’s Maintenance of Effort (MOE) requirement (T.C.A. § 49‑3‑314) mandates that local governments fund schools at least at the prior year’s level. This prevents the Council from reducing or conditioning MNPS funding based on performance metrics or other criteria.

Because the state has reduced its share of funding over time, Metro has had to increase its contribution to maintain compliance. I discuss this in more detail on my blog, which includes analyses of MNPS budgets over the past five years: https://zulfatsuara.com/blog/

Mandating Council Votes on MNPS Expenditures:

The authority to approve MNPS expenditures rests with the MNPS Board, not the Council. We cannot require votes on spending above certain thresholds.

3. Opportunities for Additional Oversight

Reestablishing Regular Committee Engagement

Metro previously had an Education Committee, which I chaired. During that time, we held regular meetings with MNPS leadership to review expenditures and discuss budget variances. Although the committee is now part of Budget & Finance, it would be reasonable to schedule quarterly MNPS budget discussions—either with the full committee or a working subgroup.

A real-time spending dashboard is a reasonable idea. Metro Finance recently implemented one, and MNPS could consider adopting a similar tool.

Information Requests:

Councilmembers may request information from MNPS at any time, and MNPS has historically been responsive.

Community Engagement: Residents

Can attend MNPS Board meetings and communicate directly with their elected school board representatives.

Additional Context

MNPS student performance has improved in recent years, and I encourage reviewing their achievement data. Many of the challenges MNPS faces stem from state-level decisions, including the voucher program and the state’s funding formula. Currently, the state funds MNPS at a 25/75 ratio—Metro pays 75% while the state pays 25%. In contrast, the state funds some other districts at a 75/25 ratio.

Conclusion

While I appreciate the call for increased transparency, the creation of a new oversight committee is neither necessary nor permissible under current law. Much of what you propose already exists, and where improvements are possible, we can pursue them within the authority granted to the Council.

If deeper involvement in school governance is the goal, the most direct path is through service on the MNPS Board.

I am happy to provide additional information or discuss any of these points further. My blog includes several years of budget analysis that may be helpful for understanding both MNPS and Metro’s broader financial structure.