Strapped Chicago Schools Taps $200 Million From Credit Line (1)

The Chicago Board of Education tapped $200 million from its short-term revolving credit agreement with PNC Bank.

The amount is part of a $450 million deal with the bank dated Oct. 9, according to a bond filing on Friday. The draw from the credit line is secured by proceeds from tax-anticipation notes that the district sells each year to maintain revenue while it waits for property tax payments, its largest source of revenue.

The move comes as fiscal pressures ramp up for the cash-strapped school district. Federal pandemic aid is coming to an end and it is in the ...