Leggett threatens legal action over state school funds
By: Leah Fabel
Examiner Staff Writer
November 5, 2009
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| Montgomery County Executive Ike Leggett said he’s prepared to sue the state over nearly $80 million in school funding. (Examiner file) |
Montgomery County Executive Ike Leggett said he is prepared to use legal action against Maryland to resolve a school funding dispute.
The dispute is over nearly $80 million in funding that the county government by law must give the schools to maintain previous years' spending levels and ensure stability in the school system.
This year, Montgomery County, with a go-ahead from the school system, applied to Maryland for a waiver of the "maintenance of effort" funds. The rationale was that school employees had agreed to forego raises, saving the system more than $80 million that the county could put toward its hard-hit general budget. Maryland's State Board of Education denied the waiver in May, essentially telling the county to give the schools the extra $80 million, anyway.
The county's response was to give the school system the $80 million to pay off construction debts traditionally held in the county's books. In other words, it would be like a parent increasing a child's allowance, but saying the child had to pay his portion of the family's groceries.
The county and the state Board of Education are awaiting a legal opinion from the state's lawyers concerning the legality of the solution. Should the state board determine in the spring that Montgomery did not meet its financial requirement, it could take away more than $30 million in Montgomery school funds channeled through the state.
"I don't think the county is prepared to lose $30 million to $35 million," said County Council spokesman Neil Greenberger.
Leggett spokesman Patrick Lacefield said the executive "reiterated that the decision on denial ... was unjust and that [Leggett] was still prepared to use any means possible -- including legal action or legislation on the state level."
Prince George's County found itself in a similar quandary with about $24 million in maintenance of effort dollars on the line. County officials are awaiting a judicial review of the state board's waiver denial from Prince George's circuit court. State Sen. Nancy King, D-Montgomery, said she is "not hearing of anything right now" regarding a legislative fix, though the concept was discussed last year. "When we're looking at $2 billion to cut out of the next budget, I'm not sure how it's all going to shake down," she said.
