New York state releases funds withheld from schools

FromThe Rochester Democrat and Chronicle: The state of New York is releasing $750 million in aid to schools and local governments that was withheld last month because of the state's fiscal woes. Gov. David Paterson also is recommending steps to lower state-mandated costs on schools and local governments, including a four-year moratorium on new unfunded mandates. From The New York Times: A coalition of teachers’ unions and local school officials in New York state have sued Gov. David A. Paterson. They argue that his decision to unilaterally withhold hundreds of millions of dollars in scheduled payments to school districts violated New York’s Constitution. Earlier...from The New York Times: School superintendents across the state of New York — and particularly in smaller and poorer districts — were recalibrating their budgets after Gov. David A. Paterson announced that he would temporarily withhold $146 million in school aid payments and an additional $436 million in property tax reimbursements due to be paid to districts later this month.