Lawmakers, education advocates and the schools chancellor were among those who testified Friday at the State Assembly Committee on Education's public hearing in Downtown Manhattan on the impact of mayoral control of schools.

The current law giving Mayor Michael Bloomberg control of the city school system took effect in 2002.

Many parents argued that they feel shut out of the current system, and want the mayor to loosen his grip on an education panel required to sign off on all major policy decisions.

Among those who spoke in favor of changes to the current system was City Comptroller Bill Thompson, a candidate for mayor.

"When mayoral control works correctly, it is a means of bringing efficiency, transparency, and accountability to decision making," he said. "But it was never intended to be a green light for unchecked executive power."

However, Schools Chancellor Joel Klein said any changes to the current system could be detrimental.

"No matter how or what it is labeled, dividing decision making is not going to be changing, or tweaking, or improving mayoral control," said Klein. "It will end it. And that line, for the sake of our kids, is one we should not cross."

One of Bloomberg's chief political opponents, City Comptroller Bill Thompson, criticized City Hall's handling of mayoral control - a sign that the issue is to become a hot topic on the campaign trail.

"With its top-down approach, the current administration has sought to avoid debate and public scrutiny," said Thompson.

But Thompson said he hasn't yet decided to support a proposal by the teachers union, calling for Bloomberg to be barred from appointing a majority of members to the education board that signs off on policy decisions.

Parents and advocates held a rally earlier this morning prior to the hearing to voice their frustration.

"We are asking the wrong question. The question isn't are you for or against mayoral control," said Chung-Wha Hong of the New York Immigration Coalition. "The question is what kind of mayoral control. What kind of mayoral control will work? What kind of mayoral control we want. The current mayoral control is not working. Unless we make some serious changes to the system, it's going to continue not to work."

Some City Council members also expressed frustration with the system at the hearing.

"One the ground, this is what mayoral control feels like: a very authoritarian, 'we know what's best for you, do as we say, not as we do,' kind of distant, slightly mean father figure," said Manhattan Councilman Robert Jackson.

Bloomberg defended the school system on his weekly radio show Friday morning.

"You can't have it both ways," he said. "Either there is going to be somebody in charge or there's going to be a committee. Either management is going to run it or the people that they manage are going to run it."

Randi Weingarten, the president of the teachers' union, argued that the changes would bring about "a check and balance that ensures proper debate, problem solving and more timely decisions."

The current system is set to end on June 28. State lawmakers are set to vote to extend it in its current form or alter it later in the spring.