Chicago faces potential teachers’ strike, highlighting national school troubles.
In many ways, this is a story about the hazards of running a district deeply into debt. With a projected $500 million annual deficit and holding a whopping $9.3 billion in long-term debt, the district depends on the city of Chicago, which also runs in the red, to provide most of its $9.9 billion in funding. Making matters more precarious, the district has to rely on short-term loans at high interest rates to make payroll. It is also the largest issuer of junk bonds in the U.S.
