Error In School Bond Issue Could Cause Shortfall

Tuesday, December 16th 2008, 7:56 am
By: News On 6

Associated Press

OKLAHOMA CITY (AP) -- Officials from the Oklahoma City Public Schools say an error in a bond issue could result in a shortfall of as much as $40 million.

District voters approved the $248 million bond issue in October 2007, with the money earmarked for construction, security, technology and transportation upgrades.

The bond called for those upgrades to be completed within five years, but Superintendent Karl Springer says that it would take more than 10 years to generate that much revenue.

District Board Chairman Kirk Humphreys says that during the extra five years, inflation could increase the cost of the projects, but the money from the bond sale would not grow, causing the shortfall. Humphreys says the difference could be as much as $40 million.

Springer says it was fortunate that the district discovered the problem before spending any of the bond money.