Wednesday, June 18, 2014

Chicago Public Schools Face $1 Billion Dollar Hole in Coming Budget: Chicago Heads Towards Bankruptcy

NBC News reports:
Hang onto your hat, Chicago. Your next school crisis is right around the corner.

Ten months after the biggest realignment in CPS history, the stage is set for a cataclysmic budget debacle, which could top $1 billion.

"It's completely nuts," says Chicago Teachers Union vice president Jesse Sharkey. "And unless we do something about it, we're going to be facing a billion dollar budget crisis."

At issue is a board plan to take 14 months of revenue for the coming 12 month school fiscal year, essentially borrowing money from the 2015-2016 school budget. School board president David Vitale did not dispute the number.

Is a Chapter 9 Bankruptcy in Chicago's future?