Inflation may threaten school finances

05/12/2008 | Houston Chronicle (tiered subscription model)

Rising costs for fuel, insurance and other expenses are crippling Texas schools, and without legislative action may soon bankrupt some districts, school officials say. "It's an untenable system. No business in the world would be able to survive with fuel, health insurance and salary increases and a flat revenue source," said Mike Falick, president of a Houston-area school board that anticipates such added expenses will use up $53 million in reserves and millions more.

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