School construction agency's boss resigns

Friday, August 19, 2005 • By TERRENCE DOPP • The Express-Times

TRENTON -- The chief executive officer of the beleaguered Schools Construction Corp. announced Thursday he will step down next month.

John F. Spencer issued his resignation letter to acting Gov. Richard J. Codey on Wednesday. He is leaving the agency to take an unspecified job in New York City. The job is widely expected to be an engineering position.

Spencer, 57, presided over the agency founded to oversee $8.6 billion in school construction statewide. But the SCC ran out of money ahead of schedule after reporting cost overruns amid an investigation by the Inspector General. Phillipsburg's new $88 million high school project was left out of the picture when the SCC funds ran out, and the building's future is uncertain.

"There is no doubt that the job has had its challenges, but the rewards of building state-of-the-art-schools for the children of New Jersey far outweighed them," Spencer said.

No clear candidates to replace him had emerged by late Thursday. Spencer, an engineer who previously served as deputy chief engineer for the Port Authority of New York and New Jersey, held his SCC post since 2003.

The organization had most recently came under fire from state Inspector General Mary Jane Cooper, who prompted Codey to halt all further spending by the agency until tighter fiscal controls were put in place. This spring, Codey began a series of changes to the SCC, including installinga new chairman for its board of directors and doing away withemployee bonuses.

A spokeswoman for Codey denied he forced Spencer out or that he called for his resignation.

"We have received his resignation. The governor reviewed it and accepted it," said spokeswoman Kelley Heck.

She declined to name any potential successors to helm the agency.

Former Gov. James E. McGreevey created the SCC after taking office to administer the Schools Facilities andConstruction Act, which began as an initiative to renovate and construct schools in the state's poorest, inner-city districts.

Along with the $6 billion earmarked for the 31 poorest, or Abbott, districts, which include Phillipsburg, the construction act contained $2.6 million to fund up to 40 percent of the cost to complete projects in more affluent and middle-class school systems.

In Phillipsburg, district officials learned last month the SCC had cut its planned $90 million high school from the list of projects to receive the final funding round. Phillipsburg is one of the 31 Abbott or poor schools systems in which the state was ordered by the Supreme Court to build new schools.

Last month, the SCC awarded the final $1.4 billion in its coffers to 59 projects. Another 73 have either been completed or are in various stages of completion.


Terrence Dopp is Trenton correspondent for The Express-Times. He can be reached at 609-292-5154 or by e-mail at tdopp@sjnewsco.com.
© 2005 The Express-Times. Used with permission.

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