Rockford Schools Using Reserves To Cover Deficit
ROCKFORD, Ill. (AP) — An audit shows the Rockford School District's $8.8 million deficit was the result of an accounting change and higher-than-anticipated salaries.
The Rockford Register Star reports the Rockford School Board has voted to approve a financial audit of the fiscal year that ended June 30.
Cedric Lewis is the district's chief financial officer. He says the $8.8 million deficit represents 2 percent of the district's $412 million annual operating budget.
Lewis says $3.7 million of the deficit is because the district's new auditor recommended counting revenue received in July in the current fiscal year, rather than last year. Higher salaries reached by union negotiations also contributed.
Lewis says the district has enough in cash reserves to cover the deficit. No programs or staff are expected to be cut.
Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.