Muncie school district seeking loan to prevent shutdown

MUNCIE, Ind. (AP) — Officials of an eastern Indiana school system say it won’t shut down despite predictions that it’ll run out of money by the end of the year.

Bob Coddington is the chief financial officer at Muncie Community Schools. He tells The Star Press the district is working to secure funding so it can meet payroll and other expenses. The district is facing an $8.5 million general fund deficit.

Coddington says the district is pursuing a loan from the state’s Distressed Unit Appeals Board. The district could get as much as $5 million from the board.

The district must submit a petition and supporting documentation to the board. The board would then make a recommendation to the State Board of Finance which has final approval over the request.

 

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