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Updated: 7/14/05
State Education Aid

School districts may sue over funding

By Chris Dornin
Golden Dome News Services

A dozen towns in the Southern Tier, including Concord, Hooksett and Amherst, are close to filing a lawsuit to block the recently enacted Gatsas school-funding plan. It targets state aid to needy towns with struggling schools like Claremont, Pittsfield and Berlin.

State Sen. Lou D'Allesandro (D-Manchester) serves Goffstown and sponsored Gov. John Lynch's plan in the upper chamber, which failed 13-11. It got six months of vetting, he said, and the Gatsas plan appeared at the last minute with no hearings. He complained the continuing lawsuits are forcing many school districts to revise their revenue figures after school meetings.

"We have a problem as long as that situation exists," D'Allesandro said. "I voted against the Gatsas plan because ours was more sustainable. You could predict your aid six years ahead, and we had heard former Attorney General Peter Heed thought it was unconstitutional. The governor's plan could have withstood the test. We promise every two years to solve the problem and we don't."

Goffstown, New Boston and Weare do slightly better under the new law. Goffstown and New Boston gain $100,000 in aid. Weare gains $300,000. But the state capital drops from $12.2 million this year to $10.9 million under the new formula.

Places with relatively high median incomes and tax bases per child have raised $140,000 for a Supreme Court fight. All these fast-growing towns have the same problems when it comes to getting school aid under the new aid plan. Most have soaring real estate prices and strong wealth by any measure. They feel the rest of the state treated them like cash cows in the rush to get rid of donor communities and help the have-nots.

Londonderry has spearheaded the legal battle about to start. It loses more than $2 million the first year.

"We've been interviewing attorneys for a lawsuit," said Londonderry school superintendent Nate Greenberg. "We should be ready to pick a firm this week. Then we'll take all appropriate legal action."

Londonderry school board chairman Steve Young said every law firm that's looked at the case deems the new law unconstitutional on its face. That's because the court wants the collection and distribution of aid equal throughout the state, Young explained.

"The law violates that principle by targeting aid by median income and other need factors," he said.

Young said the lawsuit is only step one of a longer process that has to solve the education crisis for good.

"The answer has to give fair funding to every child," Young said. "The way we.re heading on this, I could see the Claremont communities joining with us eventually."

"I don't think the state is ready to raise those kinds of taxes," said state Sen. Roberge (R-Bedford), a co-sponsor of the Gatsas plan. "Maybe Mr. Young thinks taxes are a good idea, but the majority of people are not ready for that. We have to do the best we can without a broad-based tax."

State Rep. Jim Craig (D-Manchester) is a lawyer, the House minority leader and a long time court watcher.

"It's looking at tea leaves to figure out what the court will do," he said, "but I agree the solution Londonderry is talking about takes money. It hasn't been politically possible. The statewide property tax is a shell game. This fight is going to move at the speed of a glacier. Manchester does well, though."

State Rep. David Hess (R-Hooksett) is a retired lawyer and a key player in the funding debate. He said the plaintiffs have a couple of ways to get a quick decision. They can intervene in the Claremont case, because the high court still has jurisdiction over it. Or they can skip Superior Court because the case is so urgent. The first education checks go out before the start of school.

"The lawsuit is a close call," Hess said. "A number of people think Gatsas will fail the test. It's different, but not too different, from the Gatsas plan Peter Heed said was indefensible a couple of years ago."

There's no definition of an adequate education in either dollar value or its components, Hess explained. On the other hand, the reduced statewide property tax still increases the aid total by $350 million.

"That makes it more defensible than anything the governor proposed," Hess said.

State Rep. Fred King (R-Colebrook) has been writing education aid plans for almost a decade. He was key player in the debate again this year.

"I.m disappointed those rich southern tier towns have decided to go to court," he said. "Have you ever lived on a farm? It reminds me of when the hogs come up to the trough."

Londonderry Council chairman Tom Dolan had little sympathy for former donor towns like Waterville Valley and Lincoln. He's asking the governor to get an advisory opinion on the law to save southern taxpayers the cost of getting that ruling themselves.

Concord has pledged $10,000 for the fight, Hooksett $8,280, Amherst $5,000, Auburn $4,000, Merrimack $30,000 and Londonderry $30,000. Other partners in the litigation include Nottingham, Candia, Dover, Hampstead, Pelham, Plaistow and Windham.