Gov. Christie Accepts State Aid
New Jersey Governor Chris Christie will be accepting money from a recently passed state aid bill in order to help pay teacher salaries:
TRENTON — An infusion of $268 million in last-minute federal money for teachers’ jobs is coming to New Jersey, though it’s still unclear which districts will get help.
After wavering on the issue, the Christie administration today committed to applying for the money — part of a $26 billion spending bill signed today by President Obama — to avoid giving up control of how it will be spent to the U.S. Department of Education, spokesman Michael Drewniak said.
"Guaranteeing New Jersey is in control of these education dollars will ensure that these funds are used by all school districts to help restore some of the federal stimulus funds lost in this year’s difficult budget," Drewniak said.
The education funds could save 3,900 jobs in New Jersey, according to the latest estimate from the president’s Council of Economic Advisers.
The law does not specify which districts will receive cash. Governors have the option of distributing the money based on state and federal formulas — both of which take poverty and wealth levels into consideration — or leave it up to the U.S. Department of Education to give out.
The money, however, must be spent on teacher compensation — not buildings, administration or extracurriculars, U.S. Education Secretary Arne Duncan said.
Republicans in Washington described the funding as a giveaway to teachers’ unions and an example of wasteful spending they predict voters will punish the Democrats for in this fall’s elections. The U.S. House of Representatives approved the bill 247-161, mainly along party lines.
To pay for the aid, Congress is closing a tax loophole used by multinational corporations and reducing future food stamp benefits.
The package also provides $399 million to help New Jersey cover some Medicaid expenses for the first half of 2011 — $180 million less than Gov. Chris Christie planned for in this year’s budget. The governor is not adjusting the budget yet, state Treasury spokesman Andrew Pratt said.
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