State Asks Schools to Watch Expenditures

TRENTON – State Education Commissioner Lucille E. Davy issued an email to school districts statewide Jan. 16 asking them to eliminate purchases of non-essential items.
She noted as a result of the national economic crisis, state tax revenues are rapidly declining while the demand for social services is climbing, leaving the state with at least a $2.1 billion gap in this year’s budget.
Gov. Jon Corzine implemented budget cuts across all state departments and agencies totaling over $800 million in addition to reducing state spending by $600 million as outlined last spring.
Corzine has frozen all discretionary spending.
“I am recommending that you immediately take the same steps that we have taken in the department: freeze all non-essential and discretionary district spending and carefully review the necessity of all expenditures for the remainder of the school year,” said Davy, in her email.
She has begun a process of seeking input from a broad cross-section of educators to identify state mandates and requirements that can be lifted to help reduce costs to local school districts.
“We will work with the governor, legislature and state Board of Education to take swift action once such mandates have been identified and reviewed,” said Davy.
She said there was no news at this time regarding kindergarten through 12th grade funding. Davis said while the governor remains committed to expansion of high quality preschool programs for children at risk because of poverty, the state was awaiting decisions from the Obama Administration and Congress regarding the federal economic stimulus package.
“Given the state’s fiscal crisis, it will be difficult to fund preschool expansion for September 2009 without federal funding,” said Davy.
She said she was aware schools needed a decision as soon as possible for planning purposes and to notify parents and more information would be available in mid to late February.
“Under any circumstances, however, we will not ask local taxpayers to the fund these programs,” said Davy.
County Executive Schools Superintendent Terrence Crowley said the email was just a recommendation based on tough economic times.
“Typically districts do that anyway,” he said.
Crowley said it was not a directive but something to consider.
As an example, he said a school district may budget for additional textbooks but then discover enrollment does not justify the purchase.