WDET News
- DPS Has Six Weeks to Fix Financial Problems
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May 16, 2008General
The Detroit Public Schools District is staring at the possibility of another state takeover.
The Council of Great City Schools conducted a review of the DPS books earlier in the year. Its preliminary report shows $102 million in unbudgeted expenses in the current budget. Now, the district’s Chief Financial Officer Joan McCray says the shortfall is $45 million.
“The finance office will be working with the Michigan Department of Education and state financial officials to revise the district’s plan and address options. The finance office is also addressing the district’s future operational needs to assure the district is operating in a fully budgeted manner. This administration is working with union on possible mutually agreeable contract language that would address teacher staffing issues.”While not spelling out the details of how to fix the problem, McCray says staffing cuts are possible since the district continues to lose students and, in turn, money. She says the district’s deficit elimination plan will be revised to reflect the budget hole.
McCray says the district is working out the particulars of how to fix it the problem. But it will have to move quickly, DPS’s fiscal year ends on June 30th.