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Paterson delays $750M in payments; schools hardest hit

A first-grade student at Centennial Avenue Elementary in

Photo credit: Newsday File / Danielle Finkelstein | A first-grade student at Centennial Avenue Elementary in Roosevelt practices spelling. (Oct. 19, 2009)

With New York running out of money, Gov. David A. Paterson today delayed $750 million in state payments to school districts, cities, counties and health insurers.

The reductions equal between 10 percent and 19 percent of the $4.9 billion in state money owed to the recipients, depending on payment type.

School districts will be hit particularly hard.

Of the $1.5 billion in school...

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