Democratic state senators from northern Indiana say a school finances bill that enforces more rules on the distressed Gary and Muncie districts will eliminate public participation in public school systems.

The state-appointed manager of the Gary Community School Corporation told state officials Friday the district faces an $18 million annual deficit.

An Indiana Senate committee has decided to postpone voting on a controversial school financials bill because of its effect on Muncie and Gary schools.

States have used different methods to reform urban districts in fiscal and financial peril. In Indiana, the controversial decision was made to give a single manager absolute power of the Gary Community School Corporation. But will it work?

The public school system in Gary, Indiana, used to be considered a model district. Now, it's having trouble meeting payroll and is shutting down some schools.

This November, seven districts are posing nine different ballot questions asking voters to fund construction projects or contribute to the district's general fund.