Board makes plans for loan
The Blue Earth Area School Board is preparing for the worst case scenario, when it comes to receiving its delayed payments from the State of Minnesota.
At last Monday night’s meeting the board heard from Superintendent Dale Brandsoy how it might become necessary for the district to arrange for a line of credit from a local financial institution, in order to pay their monthly bills.
“This is for information purposes only at this time,” Brandsoy says. “But, I want the board to be aware this could become necessary.”
In January, the state began to withhold payments to the Blue Earth Area district, in effect ‘borrowing’ money from the local district. The state has promised to repay the funds by the end of May.
Brandsoy says the district has been using its reserves to continue to fund the school.
To read more of this story, see this week’s Register.