Welcome! Your situation sounds familiar. I would say that even a grade skip can't be a full solution for your son, since he has already learned second grade math skills.
The gifted coordinator's response was DS has to learn he cannot always go at his own pace... She said they will run out of math curriculum to teach him in elementary school if the move him too quickly.
I'm actually shocked to hear of a gifted coordinator saying such things. I mean, it's true that we have to be happy sometimes with a rough fit instead of a perfect one, but your son's extraordinarily fast learning pace must be taken into account. And that last statement... I'm just shaking my head.
Your thinking so far is accurate. Your son needs to be at an appropriate level and allowed to proceed at an appropriate pace, which are not the same thing. If his need for a faster pace is not addressed, it will just cause more frequent level-sets and he will stay bored much of the time. Ideally he would be at an appropriate instructional level for all topics (which in your son's case to me implies at least a further pull-out for math), be able to skip past things he already knows (this is often called "curriculum compacting"), do less repetition on new material because he doesn't need as much, be able to explore topics of interest in depth, and in general be able to stretch himself without boredom.
Is home schooling a potential option? Are there other private schools in the area that might be an option, and would be more accommodating?
DYS sounds like a great idea. I'm kind of sad that here in our part of NH there aren't many kids for DS5 to play with that are really on his wavelength. I'm hoping that you will meet a fair number of young DYS kids near you in Florida after you're admitted. That might make it a lot easier to decide to home-school your son, if that becomes an option, and in any event it would let him enjoy the company of other kids like him.
