St. Louis Park Schools Preparing for Lengthy State Shutdown

While a state government shutdown looms, St. Louis Park school officials say they're ready for it and can withstand any shutdown that runs until mid- or late-August.

"We’re assuming the worst-case scenario," said Sandy Salin, the district's director of business services.

That looks like an increasingly good bet, said Scott Croonquist, a lobbyist who represents Twin Cities-area school districts at the state capitol. Croonquist said Gov. Mark Dayton's government shutdown plan, which would go into effect if legislative leaders and the governor can't reach a budget deal by June 30, does not include provisions to pay the Minnesota Department of Education staffers who send school districts their monthly allotment of money.

This could change, he cautioned, based on what the court approving the shutdown plan decides. 

The St. Louis Park School District currently has a $4.4 million line of credit secured, Salin said, which would keep the district operating for one-and-a-half to two months in the event of a shutdown. If the shutdown goes beyond that, Salin said her office is still trying to make sure the district is prepared. 

"We'll be putting a resolution to the board on Monday, June 27, to start the process, if we have to, of getting approved for the state's Credit Enhancement Program," Salin said.

That program backs borrowing by smaller government entities like school districts with the state of Minnesota's credit, to help them gain access to lower interest rates. Salin said this would help the district keep its future costs down if the shutdown continues through September, when she estimated the district would need to have borrowed at least $12 million in order to help start the school year.