Lawmakers address DPS administrators salaries

Posted at 5:27 PM, Feb 24, 2016
and last updated 2016-02-24 17:27:15-05

Our Fix My School investigations continue to influence dialog in Lansing.

It happened most recently during a house committee meeting on bills to help DPS address debt. State Treasurer Nick Khouri painted a picture of the disaster DPS faces without action from lawmakers. 

The district is on track to run out of money as soon as April if state lawmakers don't take action. If that happens the district could face bankruptcy.

"We're talking six to eight months of pure chaos and probably $100 million of fees going out to lawyers," said Khouri.

Plus he warned the state would likely be found liable in bankruptcy court for about $1.8 billion in debt. He suggested the bill to provide just over $700 million to help DPS address its debt was a better deal for the state.

Lawmakers asked what they could do to be certain the district made wise financial decisions moving forward should it get this funding.

"We got the administration with these bloated salaries," said Rep Harvey Santana (D-Detroit).

He was referring to information exposed in a 7 Action News Report.

"DPS has some of the highest paid administrators in the country. What assumes that it won't stop?" asked Rep Tim Kelly (R-Saginaw Township).