CHICAGO (AP) — Chicago Public Schools has turned to JPMorgan Chase for a $275 million loan to keep operating through June and make a contribution to teacher pensions.
JP Morgan purchased “grant anticipation notes,” a short-term loan meant to be repaid with state education aid.
Chicago schools have plans to borrow close to $400 million. In addition to the JPMorgan loan, the school district officials say they plan to pursue another $112 million loan.
The district said the $275 million “creates sufficient cash” for CPS to meet its obligations to the Chicago Teachers’ Pension Fund.
Originally published by CBS Chicago. Click here to read the entire article.