State officials have told the Parsippany-Troy Hills school district that they will withhold its $3.6 million in state aid unless district officials cut the superintendent's salary by $43,000 to fit under a state-mandated salary cap.

The Daily Record of Parsippany reports that the directive was issued Wednesday after it became widely known that Lee Seitz was getting a $220,565 salary under a contract that the school board had rescinded this summer.

Morris County Superintendent Kathleen Serafino told the district that Seitz's salary must be reduced to $177,500 to meet the cap requirement.

She also said the additional money set aside for his compensation must be used for instruction related to the core curriculum.

School district officials did not immediately comment on the directive.