PHILADELPHIA (CBS) - The School Reform Commission has adopted an early version of its budget for next year. And right now it includes a huge shortfall.

Even with a $94 million bump in revenue from the city’s new property tax assessment system baked into next year’s budget, there’s still a big gap, says district Chief Recovery Officer Tom Knudsen.

“That, of course, leaves us with a major hole in the budget of about $186 million.”

Knudsen says the district will be streamlining operations as part of some as-yet unannounced recommendations from the Boston Consulting Group, and will likely lean on its unions for more concessions. But he and SRC finance committee chair Feather Houston say there are few places left to cut at the school level…

“The chief academic officer would say that we’re at the bone.

The budget has to be adopted by the end of May.