LAUSD takes step to save $300 million

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Facing a midyear budget cut of up to $300 million, the Los Angeles Unified School District has issued an immediate halt on filling open positions, using district credit cards and spending on a variety of contracts.

While the cost-saving measures are temporary for now, they could lead to closing small schools, combining continuation programs and reducing administrative staff sizes if the budget crisis worsens, said Senior Deputy Superintendent Ramon Cortines. He is also considering "taxing" every department, meaning a percentage of department budgets will be slashed to address looming budget cuts. George B. Sanchez in the Daily News.

"I've got to find a way to deal with a $200 (million) to $300 million midyear cut, or we won't make payroll," he said.

Cortines announced the purchasing freeze Monday in a memo sent to all schools and district offices. Only purchases for health, safety, legal requirements, school construction and school lunches will be allowed.