Campaign For Fiscal Equity v. State of New York
Jan 01, 2001OUTCOME: In the victorious landmark decision, CFE v. State of New York, the court ordered New York City public schools be provided an additional $5.6 billion for operating aid and $9.2 billion in capital funding.
In 1982, the Court of Appeals ruled that although school funding inequities are not unconstitutional, students in New York are entitled under the state Constitution to a “sound basic education.” In ... 1993, the Campaign for Fiscal Equity filed suit, claiming that the underfunding of New York City schools by the current system denies students their constitutionally protected right to quality education. In 2001, the State Supreme Court ruled in favor of CFE and ordered the state to reform the school system. State Supreme Court Justice Leland DeGrasse found that the current state school funding system was unconstitutional. Governor George Pataki appealed the decision, which was overturned in 2002, by the Appellate Division of the New York Supreme Court. CFE appealed to the Court of Appeals, which again found in favor of CFE in 2003. The Court of Appeals gave the State of New York until July 30, 2004, to comply with its order. The state failed to meet this deadline, however, and the court appointed three referees who were given until November 30, 2004 to submit a compliance plan to Justice Leland DeGrasse of the State Supreme Court. Justice DeGrasse agreed with the referees' recommendations and in 2005, ruled that New York City schools needed an additional $5.6 billion in annual operating aid and an additional $9.2 billion over five years for building, renovating, and leasing facilities in order to provide students with their constitutional right to the opportunity to receive a sound basic education. Governor Pataki appealed again to the Appellate Division. In March 2006, the Appellate Division upheld most of the Supreme Court's ruling, ordering the state to provide between $4.7 billion and $5.63 billion in annual operating aid and $9.2 billion in capital funds. On April 1, the legislature enacted capital funding that met the court's requirement, but it did not comply with the operational funding order. In November 2006, the Court of Appeals reaffirmed its 2003 decision, but citing the limited authority of the courts to direct the manner in which state money is spent, merely ordered the state to consider providing at least $2 billion more in annual operating aid to New York City's public schools.
