By DON STACOM

The Hartford Courant

March 18, 2009

The strings attached to nearly a quarter-billion dollars of federal stimulus aid could drive Connecticut schools to launch new summertime and after-school initiatives at the same time they're slashing classroom programs and laying off teachers, educators warned at a conference Tuesday.

Even though the overriding goal of President Barack Obama's stimulus program is to boost employment and jump-start the economy, federal rules could leave some financially battered school systems unable to spend all the money, school administrators said.

At stake is $243 million; the federal government wants it used for innovative new services for special education students and those from poor families, while local school systems want it to fill holes that the recession has punched in their budgets.

"There's not much flexibility in its use," state Department of Education Commissioner Mark McQuillan told a conference at the Hartford Marriott Tuesday that drew about 350 superintendents and business managers from nearly every public school system in Connecticut.

Educators in the crowd asked exactly how they can — and can't — use the money, but McQuillan and his staff insisted there's no simple answer.

"This is still a work in progress. We expected the guidance from [education officials in] Washington to be more robust," he acknowledged.

"It's not free money. There are strings attached," said Brian Mahoney, the department's chief financial officer.

With expenses rising and homeowners unwilling to endure significant tax increases this year, schools across the state have frozen spending. Many communities are contemplating layoffs of teachers, aides, custodians, secretaries and vice principals next year.

Under the stimulus plan, Connecticut's schools are splitting $542 million in unrestricted aid that's targeted to save those jobs. But the cash-strapped state has factored that money into its own grants to schools, so towns and cities won't actually get any increases.

Another $243 million of federal money is targeted to special education programs or Title 1 schools, which have a high percentage of poor children. Federal rules appear to require that the money go to new initiatives, so a school system can't just backfill a general budget shortage with the money. That's why many educators fear they could be powerless to avoid regular education layoffs while at the same time having either to hire extra special education or Title 1 staff — or give back the stimulus money.

"It's frustrating if they're saying we can't use this to maintain programs we currently have now, but are required to use it to create new programs," said Berlin Superintendent of Schools Michael Cicchetti.

U.S. Rep. Chris Murphy, D-5th District, said Tuesday he'll continue pressing federal education officials for more direction.

"The federal Department of Education ... needs to give them clear guidance," Murphy said in a telephone interview.