Press Detail

Reserve Fund an Answer for CPS, a Question for Others

Posted on August 11, 2011

Chicago News Cooperative

This article explores Chicago Public Schools’ decision to raise its property tax to the maximum amount allowed while also making program and staffing cuts to balance a $712 million budget gap using some of its reserves. The Civic Federation says that drawing down reserve funds is not a good long-term fiscal strategy, but may be a reasonable decision if it helps maintain class sizes and limits the pressure on taxpayers.