ST. PAUL, Minn. (AP) — The state of Minnesota is ready to make good on some of its IOUs to public schools.
Minnesota budget officials will reveal Monday how much back-pay will be going to schools. Lawmakers temporarily shaved more than $2 billion in payments to schools in recent years to patch holes in state government’s budget. Much has been paid back already, but the outstanding bills still are in the $800 million range.
With the improving state economy, schools are first in line for any excess tax collections. A law passed last spring gave finance officials until Monday to determine what was left after the last fiscal year closed on June 30.
School leaders are sensitive about the payback, fearing that money previously committed to them will be perceived as a windfall.