The state of Michigan has stepped in to help Detroit Public Schools with a cash flow problem that would have meant a payless payday for school employees. WWJ Lansing Bureau Chief Tim Skubick reports that the state has advanced the district $20 million on a school aid payment.
Skubick says DPS came to the Granholm administration asking for an advance. Normally the district would get a check for $70 million dollars on July 20th.
Treasurer Bob Klein told Skubick this is unusual, but the state has done it before. Klein said he doesn't think the district is headed for insolvency.
Senate Republicans wanted an audit of the district, but that is not in a school aid bill that was approved last week. State representatives take up the school funding legislation Wednesday.
So is Detroit headed for a state takeover?
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