The Harrisburg School District facing millions of dollars in long-term debt, but those in charge of stabilizing it say if the district stayed on its current course it would end up paying millions more in potential interest.
In fact, they estimate it would cost the district $171 million more. Add that to the estimated $265 million in long-term debt, for a estimated grand total of $436 million over the next 25 years.
The interest number could change. That figure is just an estimate based on forecasting rates.
However, Chief Recovery Officer Gene Veno said that he is working on restructuring the loans.
“We are looking at the debt load. That's the biggest issue I am looking at right now, and the cost of the interest over the period of time, for retiring those debt loads, ” Veno said.
And he wants more time to put his plan together. On Tuesday, Veno requested a 45-day extension to complete his plan for Harrisburg School District's recovery. That would push his mandated deadline to April 26.
The deadline as it stands right now is Tuesday, March 12.
The State Secretary of Education has until the 12th to approve the time extension.
“This is about recovery and changing the direction of the financial red ink they have been seeing,” Veno said.