Even before seeing the school budget, which Superintendent Philip Thornton and the School Committee are in the process of drafting, Mayor Scott Avedisian and City Council President Donna Travis have agreed for the city to pick up half the annual interest and principal costs of an additional $5 million in bonding.

That agreement was hailed last week by School Committee chairwoman Beth Furtado and the mayor as the dawn to a new era of communication and cooperation between the city and schools. Indeed, it is out of character from the separate and sometimes-contentious paths the two have taken since the days when the late Robert Shapiro was superintendent.

Personalities aside – and that has been a part of the disconnect – the city has been thrown off balance by the weak economy and growing pension and post-retirement costs, while the schools, until the last year, have been incapable of addressing declining enrollments and aging buildings. With no growth in the tax rolls and, in fact a decline in commercial values attributable to the recession resulting in court cases and abatements, the mayor and the council have had to turn to the taxpayers to carry increasing fixed costs and any contractual increases. During these years, the mayor and the council have virtually level-funded schools. That action has resulted in outcries that schools have been shortchanged and that we are not adequately funding education.

Yet, Warwick taxpayers fund Warwick schools $119.5 million on a total budget of $159.5 million, as compared to the $91.6 million Cranston taxpayers fund of a $145.1 million school budget. The two systems have equal enrollment. The difference paid in property taxes – $27.9 million – is equivalent to about $3 on the Warwick tax rate. In addition, with few exceptions, Warwick schools have run a surplus year after year, money that gets rolled back into the school budget.

So why this gesture of splitting the carrying new bond costs, at least for one year? The money will be used primarily to make improvements to Vets and Pilgrim.

School Committee Vice Chairman Eugene Nadeau argues that the city should pay the full freight on general obligation school bonds. We see his point; the bonds were approved by the voters and the city is obligated to pay them. Likewise, we see the administration’s frustration with a department that until relatively recently has been reluctant to trim costs and consolidate. Having schools carry those costs was a compromise when the administration balked at issuing more debt.

To answer the question, the agreement is truly an olive branch.

A $200,000 savings for schools and an equal amount in city costs is not hugely significant relative to the overall budget. The real savings for schools is in consolidation. In salaries alone, Thornton estimates nearly $5 million. Such savings won’t come easily – schools have yet to reach a contract with teachers – but if they are realized, Mayor Avedisian has committed to having them stay with schools. That’s a huge endorsement of our schools.

We are encouraged by the initiatives taken by the School Committee in the past year. (See today’s story about the change in committee leadership and what Jennifer Ahearn faced during her tenure.) We are also encouraged by Thornton’s openness, building of bridges with the council and administration, and especially a reorganization plan. The City Council and the School Committee need to approve this agreement and get on with the work ahead.