New York City is now investing a record $43 billion into its public school system, a number so large it is difficult to wrap your head around. To put it in perspective, that works out to roughly $44,000 per student -- more than any other major school district in America. And yet, by nearly every measurable outcome, the results are not keeping pace with the price tag.

That tension is at the heart of an urgent conversation playing out in school board meetings, city council chambers, and kitchen tables across the five boroughs. Mayor Zohran Mamdani, who finalized his first city budget this week at $124.5 billion, has been direct about the stakes: "Government must deliver for working people -- and every dollar in our budget must work as hard as they do." But with enrollment falling and test scores stagnating, New York City families deserve a clear-eyed look at where all that money is going, what it is producing, and what it means for your child's school this fall.

The Numbers Don't Lie -- and They're Not Reassuring

Let's start with the basics. New York City's Department of Education (DOE) budget has ballooned steadily over the past several years, even as the student population it serves has shrunk significantly. According to data from the Citizens Budget Commission, NYC K-12 enrollment has fallen nearly 10 percent since 2020, with 793,300 students now enrolled for the 2025-26 school year. Just five years ago, the system was educating well over a million students.

The most recent enrollment figures released by the DOE confirmed another year of decline, dropping 2.3 percent from the prior year -- the steepest single-year fall in four years. This is not a blip. It is a trend line, and it is heading in the wrong direction. Mamdani himself acknowledged the scale of the problem when briefing reporters on his preliminary budget in February, telling them the city is "firmly within a budget crisis." Governor Kathy Hochul stepped in this month with a revamped package of $8 billion in state aid over two years to help the city close its deficit, but even that significant intervention does not resolve the underlying enrollment freefall. Enrollment projections prepared for the School Construction Authority estimate that NYC public schools could lose an additional 153,000 students by 2034-35, driven by falling birthrates, an exodus of residents seeking more affordable cities, and families choosing alternative schooling options. Hochul, who has made student outcomes a centerpiece of her own agenda, has been clear about what she believes is at stake. "As New York's first mom Governor, I understand how important the quality and outcomes of schools can be in deciding where to raise a family," she said earlier this year. "My hope is for New York students to be the most academically-prepared in the country."

Meanwhile, 112 city public schools now have fewer than 150 students enrolled -- up from just 80 schools two years ago. Some of those buildings are still fully staffed and fully funded, which is where the math starts to get uncomfortable.

Where Is the Money Going?

The $43 billion total breaks down across several categories, and not all of it goes directly into classrooms. Transportation costs have climbed to $1.9 billion. Building maintenance sits at $1.3 billion. The city is also spending $700 million on general contracts and consultants. Pension contributions, fringe benefits, and debt service add billions more on top of operational costs.

One of the sharpest areas of cost escalation is special education. City Comptroller Mark Levine has acknowledged that spending on "due process" cases -- which involve placing special education students in private schools at public expense when the DOE fails to provide required services -- has exploded from $500 million in 2019 to $1.5 billion this year. A 2023 federal court order found the city out of compliance with special education service requirements, and as of August 2025, payment orders were fulfilled on time in just 1 percent of cases. That is not a typo.

Mamdani campaigned on a DOGE-style push to root out waste inside the DOE, vowing to "overhaul procurement infrastructure across the DOE." He made a pointed case for why efficiency is not just a right-wing concern: "For too long, we have allowed individuals like Elon Musk to pretend as if concerns of efficiency and waste are that of the right wing, when in fact, they should be the bedrock of any progressive politics." His administration has since ordered the Education Department to cut $58 million in the current school year, targeting duplicative technology contracts, consulting services, and administrative overhead -- though that figure represents a fraction of a percent of the overall budget.

Test Scores: New York City students are scoring in the middle of the pack nationally

Despite being the highest-spending large school district in the country, New York City students are scoring in the middle of the pack nationally -- and in some cases, near the bottom. According to research from the Citizens Budget Commission, New York's fourth grade math scores ranked 46th nationally on the National Assessment of Educational Progress (NAEP). That is not 46th among large cities -- that is 46th among all 50 states.

Families are responding to these outcomes in the most direct way possible: by leaving. A 2024 NYC Public Schools survey of former families found that 41 percent cited the need for more academically rigorous instruction as their top reason for leaving the public school system. Among families who left New York City entirely, 50 percent listed concerns about schools among their top five reasons for relocating. And an eye-opening 72 percent said the lack of academically challenging experiences substantially contributed to their decision to leave.

The Charter School Factor

One of the clearest signals of what families actually want is the ongoing growth of charter school enrollment. While traditional public school rolls have shrunk, enrollment in publicly funded but independently run charter schools has risen to 150,000 students citywide -- a 14 percent increase since 2019.

A 2023 Stanford University study found that students in NYC charter schools learn the equivalent of 80 extra days of math instruction compared to peers in district schools. Charter students are overwhelmingly from low-income households -- 82.9 percent qualify as low-income -- which dismantles the narrative that charters are somehow exclusive.

This is relevant now because Mayor Mamdani has expressed skepticism toward charter school expansion, indicated plans to audit charter finances, and opposed the practice of charter schools sharing buildings with traditional public schools. That puts his administration at odds with the families most actively choosing those schools -- and with the enrollment trend lines the DOE itself is tracking.

What the "Hold Harmless" Policy Means for Your Child's School

Here is a policy detail that does not get enough attention in the public conversation: the city has spent $1.6 billion in recent years keeping school budgets steady even as enrollment drops through what is called a "hold harmless" policy. In plain terms, schools that lose students are not losing proportional funding, which means some buildings are receiving far more money per remaining student than others -- not based on those students' needs, but based on historical enrollment numbers.

Budget experts warn this creates inequities across the system and detaches spending from actual student need. But rolling it back is politically dangerous. Former Mayor Eric Adams tried to align spending with enrollment and faced enormous public backlash, ultimately continuing the policy throughout his term. Mamdani now inherits the same dilemma -- and his chancellor is being careful with his words. "When we think about declining enrollment, we see the impact of that across our schools and specifically many of our schools who serve the most vulnerable populations," Chancellor Kamar Samuels told City Council members during a budget hearing in March. "No decision has been made on hold harmless," he added, while stressing the city's goal of "making sure those schools are sustainable and can withstand the impact of the declining enrollment."

Amy Ellen Schwartz, a public policy professor at the University of Delaware who has studied the city's budget policy extensively, summed up why this is such a hard problem to solve: "Nobody gets points for taking money away."

Andrew Rein, executive director of the Citizens Budget Commission, put the deeper challenge plainly: "Despite the City spending $44,000 per student, too many of its schools are delivering middling results, and some parents are increasingly choosing charters over traditional public schools. The City should focus its effort and dollars on student learning and shrink spending that's not delivering results."

What Should Families Do Right Now?

Understanding the budget is one thing. Navigating your options within it is another. Here is what matters most for NYC families right now.

If your child's school is among the 112 schools with under 150 students enrolled, pay attention to any announcements about potential consolidations or mergers. The current chancellor has indicated school right-sizing is on the table as part of upcoming budget decisions.

If academic rigor is your primary concern, know that you have options beyond your zoned school. Gifted and Talented programs, specialized middle and high schools, and charter school lotteries all remain available pathways -- though each carries its own application process and timeline. The G&T landscape in particular is worth watching, as Mamdani has expressed interest in overhauling those programs.

If your child has an IEP or 504 plan, the data on special education service delivery failures should be a call to action. Document everything, attend every meeting, and do not hesitate to request a due process hearing if services are not being delivered. The Mamdani administration did include $70 million in renewed funding for preschool special education services in its preliminary budget, which advocates acknowledged as a positive step. Maria Odom, executive director of the nonprofit Advocates for Children, welcomed the funding but issued a clear warning: "As the City moves forward with its plans for universal child care, it must ensure that young children with disabilities are not left waiting for the support they need and have a right to receive."

The Bigger Picture

There is no question that educating nearly 800,000 students across one of the most complex urban environments in the world is a massive undertaking. New York City schools serve students who speak over 150 languages, include tens of thousands of children from migrant families, and operate in a real estate market that makes every square foot of school space expensive.

But spending $43 billion -- $44,000 per child -- and ranking near the bottom of the country in fourth grade math is a result that demands honest accountability, not defensiveness. The families leaving are not abandoning public education as a principle. They are responding rationally to an experience that is not meeting their children's needs.

The question for Mayor Mamdani, for Chancellor Kamar Samuels, and for every elected official with a stake in this system is not whether New York City is investing enough money in education. That question is settled. The real question is whether the system is investing it where it actually changes a child's educational trajectory. 

Mamdani's own words set a standard he will be held to. "Working New Yorkers cannot be asked to sacrifice as we sit in the wealthiest city in the wealthiest country in the history of the world," he said this week. Governor Hochul, for her part, has framed the state's goal in equally direct terms, pushing a "back-to-basics" approach to math and reading instruction across all districts, because, as she put it, New York parents deserve to be assured "there is no better place for their children to learn and thrive than here in our state."

Those are the right aspirations. Now the city has to produce results that justify them. New York City families deserve a straight answer on whether this unprecedented level of investment is truly reaching their children -- and they should keep pressing until they get one.