Chicago schools plan to empty bank account in 2013
July 6, 2012
Crain's Chicago Business
This blog discusses plans announced by Chicago Public Schools (CPS) to drain its unrestricted reserve fund to help balance a proposed $5.16 billion spending plan for 2012-2013. The Government Finance Officers Association recommends governments keep a minimum of two months operating expenses (approximately $850 million for CPS) in reserve. The Civic Federation said the proposed budget would leave CPS in a precarious fiscal position, especially when faced with hundreds of millions in additional scheduled pension payments next year.