Jan 25, 2008 7:45 pm US/Eastern
Salem Delays Layoffs To Seek State Aid
SALEM, Mass. (WBZ) ―
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Salem Mayor Kim Driscoll has blamed former business manager Bruce Guy for intentionally mismanaging the finances and covering it up.
CBS
Salem is delaying the layoffs of about 60 school employees to seek emergency aid from the Legislature.
The city had planned to start on Friday laying off about 15 teachers and 45 other workers because of an unexpected $4.7 million deficit.
Mayor Kim Driscoll says she's been told the aid for the financially troubled district might be passed next week because the city also is raising donations.
State Senator Steven Panagiotakos of Lowell told The Boston Globe the Legislature is prepared to approve $500,000 to $1 million in borrowing as a short-term fix.
Salem police have opened an investigation into the deficit.
Driscoll has blamed former school department business manager Bruce Guy for intentionally mismanaging the finances and covering it up.
Police plan to speak with Guy and others to see if any laws were broken.
Guy has not commented publicly.
District officials said they don't believe Guy stole money but that it was a case of an accountant only giving the district good news and hiding or deceiving the council and board about the bad news.
Salem faced similar problems because of a budget deficit just two years ago.
In 2006, nearly 40 teachers, counselors, aides and custodians were laid off and the hours of several other staff members were cut in order save $1 million. They were facing a $3.5 million budget deficit at the time.
If you'd like to donate, you can make out a check to the Salem Education Foundation and mail it or drop it off at Salem City Hall, 93 Washington Street, Salem, MA, 01970.
You can also donate on-line by clicking here.
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