School overhaul fund to need boost

State agency chief calls $6 billion 'insignificant' compared to urban districts' needs
Monday, November 08, 2004 • BY CHANDRA M. HAYSLETT • Star-Ledger Staff

The chief executive of the Schools Construction Corp. said yesterday the state Legislature will need to come up with additional funding to complete the court-ordered overhaul of urban schools.

Addressing about 300 parents and students from some of the 31 poorest districts during a gathering in New Brunswick, SCC chief executive officer John Spencer said the $6 billion initially set aside was insignificant compared to what the state will eventually pay to replace and repair schools.

"We know when we look at the money that was originally allocated, it was a starting point," Spencer said. "It was insignificant. We are working with the governor, the Assembly and senators to address this issue."

Funding is expected to dry up in early 2006 -- far sooner than legislators or superintendents expected and short of ensuring that all necessary construction projects are completed. The $6 billion was the lion's share of $8.6 billion the Legislature appropriated in 2000 to revitalize New Jersey's schools. The SCC, a public agency, is responsible for implementing the $8.6 billion overhaul of the educational infrastructure of hundreds of schools in districts throughout all 21 counties in New Jersey.

Spencer told the group he will ask Gov. James E. McGreevey for more money to further fund school construction before the governor leaves office in a week. McGreevey has promised to resign Nov. 15 in the aftermath of a sex scandal involving former aide Golan Cipel, who accused the governor of sexual harassment.

Reached at his home last night, Senate Minority Leader Leonard Lance disputed that $6 billion was insignificant, calling it "a great deal of funding." The Hunterdon County Republican also said any decision on future appropriations for school construction should be made by the public.

"School construction bonding should require voter approval," said Lance, a longtime critic of state borrowing who successfully sued McGreevey earlier this year after the governor said he planned to use $1.9 billion in borrowed funds to balance the current state budget.

In 1998, the state Supreme Court ordered the overhaul of decaying school buildings in New Jersey's poorest systems, known as Abbott districts, after finding them "crumbling and obsolescent." In Abbott vs. Burke, the court ordered the state to close the gap between poor districts and wealthier districts.

By the end of this school year, the SCC will have funded 20 new Abbott district schools, Spencer said. An additional 30 Abbott schools will be built in 2005 and another 40 in 2006, he said.

Spencer said it is unclear how much it will take to finish the job because long-range facilities plans for each school district are not due into the state Department of Education until October 2005. Once those plans are in, the education department and SCC will be able to determine funding needs to continue the program.

"That is the key document, which says what are the true requirements," Spencer told the group gathered as part of a two-day workshop sponsored by the Statewide Education Organization Committee and the Housing and Community Development Network of New Jersey. "We have to analyze them to say what is needed to build schools."

Assemblyman Craig Stanley (D-Essex) said another bond must be passed within five to six months to make sure the funds are there for the state-sponsored program to continue after February 2006.

So far, the SCC has signed contracts for $1.8 billion of the $2.6 billion available for schools in the suburbs. In the cities, it has signed contracts worth $3.2 billion, more than half the allotted $6 billion.


Chandra M. Hayslett covers Middlesex County. She can be reached at chayslett@starledger.com or at (732) 404-8089.
© 2004 The Star-Ledger. Used by NJ.com with permission.

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