The Cleveland Metropolitan School District could lay off 13% of its workforce and shutter seven schools in an effort to close a $47 million shortfall and stabilize its bottom line.

The school board’s interim chief executive officer last week proposed more than $74 million in cuts. The plan would lay off 835 employees, including 650 teachers.

Peter Raskind, formerly chairman and CEO of National City Corp., said his proposal would stabilize the district’s finances and help offset a long drop in enrollment, which currently totals about 44,000, according to the Cleveland Plain Dealer.

“There are no easy answers to the district’s budget woes,” Raskind said in a statement. “We have only to look at the deficit conditions in Ohio, in states throughout the nation, and at the federal government to know we must make tough choices at the local level, if we are to overcome our current and future fiscal challenges.”

The board is holding public hearings on the measure this week, and could vote on the plan as early as next week.

Raskind took over after the former district CEO left in December. He is earning $1 a year and has said he is not interesting in taking over permanently.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.