The New York State Education Department is suspending School Improvement Grant (SIG) funding to all 10 SIG school districts in the state.
The decision was relayed down to the districts in a letter Tuesday by Commissioner Dr. John King Jr.
"This is somewhat unprecedented Commissioner King is committed to make sure reform really happens," said Dennis Tompkins, spokesperson for the State Education Department.
Albany and Schenectady are two of the districts state wide to have their SIG funding suspended. According to the state they did not fully complete the application process.
"They got partially or mostly there but they still have to fulfill all their requirements to keep their funding going," said Tompkins. "The most important requirement they did not comply with is the system for teacher and principal evaluations."
Albany School District said the news caught them off guard.
"It's my understanding that we thought that we had dotted our I's and crossed our T's," said Ron Lesko, spokesperson for the Albany School District.
Hackett Middle School and Albany High School were slated to receive $3.3 million dollars in SIG grant money.
"There's a lot that that money would allow us to do in terms of personnel, in terms of training teachers, additional staff time, additional programs for the students," said Lesko.
The school districts now have 30 days to request a hearing on this issue and try to rescue the funding.
"We're glad for the opportunity, not to have it cut off and say that's it, we're glad for the opportunity to work with them to make it right, allow us to get onto the business of raising achievement to all our students," said Lesko.