Recovery schools say they're owed millions
08:58 PM CST on Wednesday, February 20, 2008
The Recovery School District says it is owed about $67 million from tax money and insurance proceeds from the New Orleans school board and that without payment; it may be forced to layoff teachers and increase class size.
The revelation was made as the RSD presented its first budget to the State of Louisiana.
The problem is that the New Orleans school board says it is owed $72 million from the RSD for money it fronted for school repairs and employee benefits.
The State Department of Education is trying to step in by getting an auditor to help settle the dispute.
Each side believes that they are on the wrong side of the ledger sheet.
“We actually believe that we don’t owe them that money, but they may owe us a great deal,” said Orleans school board member Jimmy Fahrenholtz. “It’s a dispute that needs to be resolved.”
Unless it is resolved to get the RSD more money, its superintendent says it will have to cut back.
“I’m going to have to start increasing class size, cut after school programs and summer school programs,” bemoaned Paul Vallas.
I would make a comment but I don't know what to say. This is why my parents are in Memphis right now.