IOWA CITY, Iowa (KCRG) – The Iowa City School District is explaining why it took out a $10 million loan last August without board approval, but that loan is only a piece of the district’s financial crisis.
In August, the Iowa City School district transferred $10 million from an insurance account so it could pay general expenses, including payroll. The district’s superintendent says he thought it was a normal course of action and not anything to be concerned about. The board retroactively approved the loan months later.
During Tuesday’s work session, Superintendent Matt Degner addressed why the $10 million loan happened without school board approval…