CLAREMONT, N.H.- The Claremont School board has voted to authorize a $4 million bank loan to help combat the district’s multi-million-dollar deficit.

District officials say the Loan, also known as a Reimbursement Anticipation Note, or RAN, is similar to a payday loan, advancing funds from a state education grant, but note that it does not reduce the district’s deficit… and is intended to cover daily expenses, including payroll and health insurance.

Following the decision interim Superintendent Patrick O’Hearn addressed the crowd with the hope of calming fears regarding the fate of the new year, “I’m committed to continuing to communicate whatever knowledge I have on the status of schools, on our financial health, to the public, and I just want to assure people the plan is to keep school open for the entirety of the school year.”

School officials Wednesday evening also discussed long-term recovery plans, such as reducing next year’s operating budget to lower the overall deficit. As for exactly just how much the district owes, remains to be seen, as some think the budget shortfall could reach $5 million.