CARBONDALE -- The auditor general announced Tuesday that the lack of a state budget has forced at least 17 school districts to borrow more than $345 million to keep classes going.
Once you tack on interest fees, that borrowed money could cost taxpayers an extra $11 million.
Several school districts in northeastern and central Pennsylvania are among those that have borrowed millions of dollars just to operate since they're getting no money from the state.
At one of those districts, Carbondale Area in Lackawanna County, the emergency money is running out and shutting down the schools and even suing the state are the options now being considered.
The district borrowed money to keep the kids in class and the teachers paid while waiting for state funding from a budget that's three months late.
"Where we're at currently is who do we pay? Do we pay vendors that we're behind already with? Do we pay retirement that we're already behind on? Or do we pay our own people who are here working hard every day?" Carbondale Area Superintendent Joseph Gorham said.
Schools in our area borrowing money include Stroudsburg Area at $10 million, Mid Valley at $3 million, *Canton Area at $2 million, and Carbondale Area at nearly $1 million.
Now Carbondale Area is talking with other districts about suing the state to get funding. The district is also considering shutting down until there's a budget.
"For school districts in this day and age to be in that situation is absolutely ridiculous," said Gorham.
"If there was a break in the education system right now, the gains that we made in the beginning of the year would be lost again," said teacher Laura Tolerico.
Tolerico certainly wants to stay in class, but now her pay is borrowed money.
"I want to get paid, yes, but as a teacher for 30 years, pay is secondary."
Despite the lack of funding, the superintendent at Carbondale Area is supporting Governor Wolf in this budget. The governor says he wants a budget and he will not approve any temporary funding.
"There's no question this is creating all kinds of hardships for schools and other organizations who depend on the state. The question is do we want to put up with this fight and the inconveniences of the fight in the short term to get to a real budget," Wolf said.
Wolf vetoed a Republican plan with emergency funding on Tuesday. He says that would lessen the urgency under the capitol dome to compromise.
"I think we need to hold out for a real solution, again not a phony stopgap that gives money in the short run, but something that puts education on a reasonable foundation a solid foundation."
The Republican party responded to Wolf's veto, saying:
"It's shameful to watch Governor Tom Wolf single-handedly withhold funding for our schools and social services so he can try and force tax increases."
As for Carbondale Area, the school board has an emergency meeting Thursday to figure out what comes next.
*9/30/29 - Although Canton Area was listed in the Auditor General's report as having borrowed money due to the state budget impasse, school district officials say that's not accurate. In an email to Newswatch 16, the district says the $2 million figure involves the recent refinancing of existing debt that has nothing to do with the budget stalemate. Newswatch 16 regrets any confusion.