Wednesday, February 24, 2016

I thought we had already written off Detroit

Bloomberg: "This month the amount of state aid that’s siphoned off to service debt will jump to roughly what is spent on salaries and benefits, pressuring the district’s ability to pay its bills," Bloomberg writes, and that means "the district may have to stop paying workers if lawmakers fail to reach an agreement."

Detroit's school system is sitting on more than a half a billion in debt to the state loan authority and will be insolvent in less than 60 days. Last month, some schools were forced to close because teachers called in sick to protest poor conditions.

 There are still students in the town.  It would be cheaper to ship the remaining families out to Los Angeles, let the Brown administration sort it out.

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