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Updated 05/27/2011 11:06 AM

Teacher Evaluations Dispute Could Cost City Millions

By: NY1 News

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A dispute over teacher evaluations could cost the city over $40 million.

The state has told the city and the teachers union they must resolve issues of how to evaluate teachers before moving ahead with a plan to bring in non-profits to help 22 struggling schools.

That money was awarded through a federal program giving troubled schools up to $2 million a year for three years.

The city says it is disappointed with the ruling and the teachers union, which it blames for a delay in reaching a deal.

Nine schools have reportedly already lost out on $18 million because of the evaluations dispute.

The sides still have six weeks to reach a deal.