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Posted: 9:34 AM Mar 10, 2010
Detroit Schools Deeper in Debt
Report: DPS deficit grows nearly $100M under Bobb.
Reporter: Associated Press |
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DETROIT (AP) -- Emergency financial manager Robert Bobb's pledge to curb overspending in Detroit Public Schools has resulted in nearly $100 million in additional red ink.
The Detroit News' review of budget documents indicates the district faces a $98 million deficit for the budget year ending June 30, instead of the $17 million surplus Bobb had projected. A projected $317 million deficit would be largest year-end deficit the district has ever recorded.
Bobb said a lack of labor deals, rescinded layoffs and staffing level adjustments caused the deficit. He said the district should be in the black by 2013.
Bobb was appointed last March by Gov. Jennifer Granholm. He recently received an $81,000 raise, mostly from private foundations, as part of a one-year contract extension. He will make $425,000, up from $344,000.
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