Gov. David Paterson is releasing as much as $750 million in aid to schools and other services that he delayed in December to keep the state from running out of money.
Paterson says he will send the money to schools and local governments on Friday. That would effectively end a lawsuit brought by teachers' unions and school officials who contended Paterson's delay was a cut and wouldn't be restored.
The lawsuit had sought to force Paterson to use available funds for school aid. The governor says that would have meant an unfair cut nonprofit social service groups and local governments which also had aid delayed.
Paterson says January revenues and a balance of $883 million on Dec. 31 make the action possible.