The board reduced its per-student spending on part-time and full-time special education classes, though special education still absorbs about one-quarter of the $8.2 billion budget.

But in addition to the generous per-student spending that in 2002 ranked 23rd in the state, there were millions in expenses that passed undetected until recently.

Financial resources: per-student spending (10%)

New York's per-student spending does exceed Philadelphia's at $5,704 and Los Angeles's at $4,675.

Arizona is second to last in per-student spending and has the highest average classroom size.

And, with per-student spending of $9,200, less than three-quarters of the average statewide, M.S. 45 typifies the financial plight of public schools in New York.

The two urban school districts with the highest rates of per-student spending around the country - Washington and Newark - have among the lowest rates of performance.

And even with the cuts, New York City still has one of the highest urban rates of per-student spending in the country, though suburban areas tend to spend more.

"The federal government is doing something it has never done before," Education Secretary Margaret Spellings said, referring to a 10-fold increase in federal per-student spending.

It is an Ivy League town with a minority population of slightly more than 10 percent and per-student spending well above the state average.