N.J. Withholds $30 Million in U.S. Aid From Newark

By Karen Diegmueller

In the latest skirmish between the New Jersey education department and Newark school officials, the state has withheld $30 million in federal aid from the district.

Last week the district submitted to Trenton its response to the impasse over Chapter 1, which funds compensatory-education programs for disadvantaged children.

The dispute over the funds is but the latest clash between state and district officials since Commissioner of Education Mary Lee Fitzgerald last spring announced the state's intention to take the final step in the lengthy procedure leading to seizure of districts under the...

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