Rainy Day Fund to Cover State Shortages
Ann Arbor, MI – Ann Arbor school district officials say it's too late in the year to make major budget changes if state funding is cut by 90 to 125 dollars per student, so the district may need to take as much as two-million dollars from its fund equity to make up the difference.
State officials warned last week that the per-pupil spending cut will happen if no agreement on resolving the state's budget deficit is reached by May first. Ann Arbor schools Superintendent Todd Roberts says any money taken from the fund equity, or rainy day fund, will be difficult to replace.
School board member Glenn Nelson says the collective of lawmakers in Lansing has become disfunctional. He says it's difficult for school districts to work on budgets for the next fiscal year when they still don't know actual funding levels for the current school year.