The end of the budget narrative puts it well:
The FY10 budget of the Worcester Public Schools relies so heavily on federal stabilization funds in order to reach the foundation level of spending. These revenues may not exist in FY11 and the state economy does not appear to show signs of recovery for the FY11 budget process. As a result, the Worcester Public Schools will likely face significant budget reductions in FY11. The current projected deficit indicates over 400 positions will need to be reduced next year... Decreasing revenue and increasing fixed costs will further erode our quality education system. The collective resolve of the entire community is needed to maintain the quality education that the students of Worcester have received and deserve.
Emphasis added
And, in fact, it looks as though the federal funds will not exist in FY11, and thus we really are going to be in that hole.
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