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Mayor Bloomberg chastised members of the State Senate in Albany via satellite Tuesday, mere hours before the the 2002 law granting him control of the city's schools expired due to the senate stalemate.

Bloomberg warns what happens next is a hard lesson in the unknown.

"Sadly the lawyers take over in New York City -- every decision from personnel to policy-- will be subject to litigation and uncertainty," said Bloomberg.

What is certain -- the system is now set to revert back to the old Board of Education, with the mayor appointing two members and the borough presidents the other five. The new Board of Education would decide the fate of Schools Chancellor Joel Klein, although he would likely remain.

This, while 32 community school boards would also be reinstated to nominate superintendents, who wielded enormous power under the old system. The problem is, elections won't be held until next May.

"We should convene the board of education, with the borough presidents and the mayor, vote to give the chancellor the necessary authority to continue running the school system to me makes sense," said Manhattan Borough President Scott Stringer.

The State Assembly passed a bill reauthorizing mayoral control with some changes -- a bill Governor Paterson says he'd sign.

Senator John Sampson, who leads the Democratic caucus in the higher house, is a critic of mayoral control and says he does not intend to bring the bill to a vote as is.

"In our conference mayoral control is a controversial issue and we would like some input," said Sampson.

Mayoral control isn't the only important piece of city legislation in limbo as state lawmakers squabble.

The city also lost $60 million at the stroke of midnight because the State Senate didn't pass its half percent increase in sales tax.

While the mayor has warned of rioting in the streets if mayoral control wasn't reauthorized, critics of the system were celebrating.

"It has been completely undemocratic and the parent voice has not been heard," said one critic of mayoral control.

Officials say city schools won't be closed and summer school will begin as scheduled Wednesday morning. What happens next, however, may be anything but elementary.