Post by slt on Feb 23, 2010 11:33:31 GMT -5
www.suburbanchicagonews.com/beaconnews/news/2063931,2_1_AU23_DOOMSDAY_S1-100223.article
Schools advertise what they're owed
February 23, 2010
By ROSALIND ROSSI Chicago Sun-Times
The cash-starved state of Illinois is months late and more than $700 million behind in paying its education bills, and at some school districts, taxpayers don't have to go far to find out exactly how much their schools are owed.
Districts stretching across Aurora, Carpentersville and Rockford have posted signs outside their schools announcing how much the state owes them.
Elgin, home to the state's second-largest school district, was dotted last week with school signs declaring: "The state owes U-46 $12.4 million."
"We've updated them twice so far," said U-46 spokesman Tony Sanders. "It helps the public to see why we have some of the financial problems we have."
Late state payments have so aggravated U-46's cash position that the district has laid the groundwork to take out up to $15 million in short-term loans. After the school year started, it was forced to make $5 million in unexpected cuts -- including shutting down five swimming pools, dumping some "B-level" athletic teams, cutting five office positions and eliminating auto stipends to top executives, district officials say.
Some U-46 schools are even running out of paper, thanks to a last-minute $600,000 trim to the supply budget,.
The state's unpaid bills total $4.2 billion, with $725 million of that amount owed to K-12 education, said Carol Knowles, spokesman for the state comptroller's office, which pays the bills.
"We would love to pay every bill as soon as it arrives at the office, but unfortunately, the revenues do not exist to be able to do that," said Knowles. "We are doing the best to pay bills with the limited resources we have."
In the Indian Prairie School District, which covers the far East Side of Aurora and western Naperville, school signs blare the debt owed by the state, as does the district Web site. The top of Indian Prairie's home page carries a photo of an Indian Prairie student hard at work, along with the caption: "The State of Illinois currently owes the district $7,834,215."
As of the end of 2009, the state was behind a total of more than $20 million in its payments to Aurora's three school districts -- East Aurora, West Aurora and Indian Prairie. The Tri-Cities districts -- Batavia, Geneva and St. Charles -- were owed a total of about $10 million in late state payments, while Oswego schools were owed $6.8 million and Yorkville $2.3 million by the state.
David Holm, Indian Prairie's assistant superintendent for business, said the district has had to wait as long as 100 days for some state payments. Holm and officials at other districts are especially concerned about making payroll and other bills in April and May, when district tax revenues hit a low point.
Some payments due Sept. 30 only recently arrived, Holm said. And the district is still waiting for its Dec. 31 payment.
State officials "are saying, 'We're going to take this problem and push it off to next year,'" Holm said.
This year's education cash crunch is nothing compared to predictions for the upcoming fiscal year. For the two most recent school years, the state has used $2 billion in federal stimulus dollars to make its general state aide payments to districts, saving what federal officials estimate to be 2,600 education jobs in classrooms across Illinois.
When that stimulus money dries up by June 30, Illinois' education deficit is expected to skyrocket to $1 billion -- what state officials call a "catastrophic" level. Many school boards across the state are voting in the next few weeks on how many teachers might be laid off next school year because teachers must be notified in March if their jobs are targeted.
Schools advertise what they're owed
February 23, 2010
By ROSALIND ROSSI Chicago Sun-Times
The cash-starved state of Illinois is months late and more than $700 million behind in paying its education bills, and at some school districts, taxpayers don't have to go far to find out exactly how much their schools are owed.
Districts stretching across Aurora, Carpentersville and Rockford have posted signs outside their schools announcing how much the state owes them.
Elgin, home to the state's second-largest school district, was dotted last week with school signs declaring: "The state owes U-46 $12.4 million."
"We've updated them twice so far," said U-46 spokesman Tony Sanders. "It helps the public to see why we have some of the financial problems we have."
Late state payments have so aggravated U-46's cash position that the district has laid the groundwork to take out up to $15 million in short-term loans. After the school year started, it was forced to make $5 million in unexpected cuts -- including shutting down five swimming pools, dumping some "B-level" athletic teams, cutting five office positions and eliminating auto stipends to top executives, district officials say.
Some U-46 schools are even running out of paper, thanks to a last-minute $600,000 trim to the supply budget,.
The state's unpaid bills total $4.2 billion, with $725 million of that amount owed to K-12 education, said Carol Knowles, spokesman for the state comptroller's office, which pays the bills.
"We would love to pay every bill as soon as it arrives at the office, but unfortunately, the revenues do not exist to be able to do that," said Knowles. "We are doing the best to pay bills with the limited resources we have."
In the Indian Prairie School District, which covers the far East Side of Aurora and western Naperville, school signs blare the debt owed by the state, as does the district Web site. The top of Indian Prairie's home page carries a photo of an Indian Prairie student hard at work, along with the caption: "The State of Illinois currently owes the district $7,834,215."
As of the end of 2009, the state was behind a total of more than $20 million in its payments to Aurora's three school districts -- East Aurora, West Aurora and Indian Prairie. The Tri-Cities districts -- Batavia, Geneva and St. Charles -- were owed a total of about $10 million in late state payments, while Oswego schools were owed $6.8 million and Yorkville $2.3 million by the state.
David Holm, Indian Prairie's assistant superintendent for business, said the district has had to wait as long as 100 days for some state payments. Holm and officials at other districts are especially concerned about making payroll and other bills in April and May, when district tax revenues hit a low point.
Some payments due Sept. 30 only recently arrived, Holm said. And the district is still waiting for its Dec. 31 payment.
State officials "are saying, 'We're going to take this problem and push it off to next year,'" Holm said.
This year's education cash crunch is nothing compared to predictions for the upcoming fiscal year. For the two most recent school years, the state has used $2 billion in federal stimulus dollars to make its general state aide payments to districts, saving what federal officials estimate to be 2,600 education jobs in classrooms across Illinois.
When that stimulus money dries up by June 30, Illinois' education deficit is expected to skyrocket to $1 billion -- what state officials call a "catastrophic" level. Many school boards across the state are voting in the next few weeks on how many teachers might be laid off next school year because teachers must be notified in March if their jobs are targeted.