Muskegon Public Schools is turning its financial operations over to the Muskegon Area Intermediate School District, a move officials said isn’t directly related to the district’s budget deficit but one that will help address the deficit.
The board of education on Tuesday agreed to a “financial services agreement” with the Muskegon Area Intermediate School District. The agreement will save the district between $100,000 and $200,000 per year, said Muskegon Public Schools Superintendent Jon Felske.
Approval of the agreement came on the same day that the board approved a budget amendment that puts the district $2.5 million in the red. The district must now work with the state of Michigan to come up with a plan to erase the debt.