New London - The Board of Education's Finance Committee voted Wednesday night not to recommend to the full school board a merger of the school and city finance departments.

In a 2-0 vote, committee members Bill Morse and Elizabeth Garcia Gonzalez voted against transferring the district's business operations to the city's finance department because there was no plan in place for carrying out the transfer. Committee member Barbara Major was not present.

Following the meeting, Morse said the committee would look at the issue again when there are more details as to how the transfer would take place.

Last week, the City Council's Finance Committee endorsed merging the school's business office with the city's. Council President Michael Passero said the school board could keep the money it spends to run the business office to use toward the education of students and that the city would absorb the costs of the merger.

Superintendent Nicholas A. Fischer said it cost $539,768 to operate the business office, but figured the money the district would be able to use for other purposes would be only about $183,521.

In March, the mayor endorsed a phased-in plan to consolidate some city and school finance departments and information technology services.

Since then, the city and the school administration have been studying possible consolidation of the two businesses offices as a way to save money.

Two years ago, Passero and Morse rediscovered a 2003 Consolidates Services Study, which recommended an oversight committee be formed to look into the possibility of consolidation. The committee was formed - comprising representatives from the school and municipal side of government - and has met several times but has made no recommendations.

k.edgecomb@theday.com