(Reuters) – Detroit’s public school district is drowning under $3.5 billion of debt and needs to be rescued by the state of Michigan, according to a report by a nonprofit public affairs group released on Wednesday.
The Citizens Research Council of Michigan said debt payments by the Detroit Public Schools (DPS) are consuming revenue required to fund education services. The findings increase pressure on state lawmakers, who have been reluctant to pass a financial fix for Michigan’s biggest school system.
“For the current year, 40 percent of the district’s per-pupil funding will have to go towards repaying past cash-flow borrowings; borrowings that supported education provided…
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