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MUSKEGON HEIGHTS, Mich. (WZZM) -- Just two days after leaders agreed to part ways with the private company operating Muskegon Heights schools, the district emergency manager says he's getting calls from other charter schools interested in taking over operations.

On Saturday, the school board voted to end its agreement with Mosaica Education, whose five-year contract was canceled after two years because of ongoing budget issues.

RELATED: Muskegon Hts school ends agreement with charter operator

Mosaica says it had to front money to the district to cover its $2 million deficit. The school district will take out an emergency state loan worth $1.4 million to pay Mosaica for staff salaries until the current school year ends.

"Mosaica came in and took the risk in and in the process, a lot of things took them by surprise," said Emergency Manager Dr. Gregory Weatherspoon.

Charter school operators have through May 23 to apply to the school board. The emergency manager believes a company will be in place to take operations over on July 1.

The school system was created in 2012 as a solution to debt that put Muskegon Heights Public Schools into financial emergency.

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