Crain's Chicago Business
This blog discusses plans announced by Chicago Public Schools (CPS) to drain its unrestricted reserve fund to help balance a proposed $5.16 billion spending plan for 2012-2013. The Government Finance Officers Association recommends governments keep a minimum of two months operating expenses (approximately $850 million for CPS) in reserve. The Civic Federation said the proposed budget would leave CPS in a precarious fiscal position, especially when faced with hundreds of millions in additional scheduled pension payments next year.