The Benton Harbor School system has applied for an emergency loan from the state of Michigan.
The superintendent tells Newscenter 16 without the loan the district is in danger of failing to meet its end of August payroll obligations.
The amount of the emergency loan being requested is six-million dollars.
A meeting will be held next week with the state treasury department to discuss the situation.
“Our challenge is the next couple of months,” says Benton Harbor school superintendent Leonard Seawood. “If we can get through that and if we can get this emergency loan, we can move forward and start paying down our debt,
our 17 million debt.”
Tuesday night the Benton Harbor school board voted to privatize its security and secretarial services in the name of reducing costs by 600-thousand dollars a year.