Chicago school board votes to approve more than $1B in new borrowing
CHICAGO (AP) — The Chicago Board of Education has voted in favor of plans to borrow over $1 billion to help the cash-strapped school district immediately and in the coming budget year.
The Chicago Tribune reports that the board voted unanimously on Wednesday. The move comes a day after the Illinois House rejected a measure to delay an over $600 million pension payment until Aug. 10 when more funds become available. But lawmakers are likely to take another vote next week.
Board president David Vitale told the newspaper before the meeting that the consequences of not getting an extension on the June 30 deadline could be drastic, including layoffs.
Vitale says he expects state lawmakers to act and he hopes the district can then come up with a longer term solution.