43 Michigan school districts operating in the red statewide

Hundreds of Michigan schools are running low on savings, and many administrators say they are unsure how they'll avoid deficits if state lawmakers cut education funding as proposed by Gov. Rick Snyder for the fiscal year starting in October.

Financial concerns are escalating from urban districts in metro Detroit to the sprawling, rural Upper Peninsula. School finances also contribute to the rising tensions between the state's largest teachers union and Republican lawmakers who dominate Michigan's Legislature.

State records show 43 Michigan school districts and charter schools were in deficits as of June 30, 2010. Roughly 150 more had fund balances at less than 5 percent of their annual operating expenditures. More...