Contracts for Excellence

The NYC Department of Education receives some of its annual budget from the NY State Foundation Aid program. Every year, the State allows some of the additional aid to be used for growth in general operating costs and investment in ongoing programs. However, some of the funding must be used according to the State’s “Contracts for Excellence” law. New York City schools received Contracts for Excellence (C4E) funds for the first time in the 2007–2008 school year. These funds under State law must be given to certain schools and must be spent by those schools in specific program areas.

To see all the Contract for Excellence information, including from past years, visit the InfoHub.

How it Works

  1. Funds must support specific programs areas. C4E dollars must be spent to support new programs and activities or to expand existing programs and activities in the following six program areas:
    • Class-size reduction
    • Time on task
    • Teacher and principal quality initiatives
    • Middle school and high school restructuring
    • Full-day pre-Kindergarten and
    • Model programs for English Language Learners (New in 2008-09)
  2. Funds must go to students with the greatest need. C4E funds must be used to improve the performance of students with the greatest educational need, including:
    • English Language Learners (ELLs)
    • Students with disabilities
    • Students in poverty and
    • Students performing below State learning standards or students who are at risk of not graduating.
    • Funds must supplement, not supplant. Funding is intended to provide additional educational resources.

Contract for Excellence 2026-2027 Annual Hearings

State law requires DOE to submit a contract for excellence for the 2026-2027 school year. The contract for excellence provides information on how certain State aid will be used for designated activities that are designed to improve student achievement, with a focus on students with the greatest educational need.

The contract for excellence must be developed through a public process, which must include a public hearing held within each New York City county. In addition, public meetings must be held in each community district related to district-specific contracts.

Under amendments to State law made in 2022, 2023, and 2024, DOE’s contract for excellence must also include a plan to reduce class sizes, beginning in September 2023. DOE must submit the draft contract to the State for preliminary review within two weeks following the completion of the public process, after analyzing public comments received about the proposed plan.

Public Hearings

The public engagement process begins no later than 30 days after the State enacts their budget and must conclude 30 days after it begins. This year, public hearings will begin June 25, 2026.

Comments may be submitted at the hearings or by sending emails to ContractsForExcellence@schools.nyc.gov.

The deadline for submitting public comment is July 29, 2026.

Borough Hearing Schedule

Hearings will be online via ZOOM.

Registration for each event will be posted prior to the start of the hearings. 

The virtual meeting room will be open one hour before the start of the meeting to allow members of the public to sign up for public comment.

Scheduled Start Time is 6:00pm.

Comments may be submitted at the hearings or by sending emails to ContractsForExcellence@schools.nyc.gov. The deadline for submitting public comment is July 29, 2026.

DateBorough
Thursday, June 25, 2026Bronx
Monday, June 29, 2026Manhattan
Tuesday, June 30, 2026Staten Island
Wednesday, July 1, 2026Queens
Thursday, July 2, 2026Brooklyn

District Hearings

Community Education Council (CEC) hearings that present the district-specific C4E information will be held between June 25, 2026 and July 28, 2025.

Comments may be submitted at the hearings or by sending emails to ContractsForExcellence@schools.nyc.gov. The deadline for submitting public comment is July 29, 2026.

Budget

This preliminary plan is a proposal to solicit public feedback and should not be used for school budgeting purposes.

For the 2026-27 school year, existing C4E funding will continue to be distributed to schools in the same manner as currently distributed. New C4E funding will be prioritized to support class sizes needs.

For the proposed allocation of the additional FY2027 C4E funding see the FY2027 Planned Allocation of Funding Above the FY2026 C4E Amount 

Spending restrictions apply to C4E allocations, as described in the FY2026 Contracts for Excellence SAM, available at: School Allocation Memorandum No. 05, FY 2026

Class Size Reduction Plan

The draft SY 2026-27 Class Size Reduction Plan has been posted as of June 10, 2026.  

Links to Class Size Reduction Plans from previous years can be found on the C4E InfoHub annual pages.