Fayette County Public Schools is navigating a turbulent financial crisis, as a projected $16 million budget shortfall for the 2025-26 fiscal year has prompted an intense investigation from the state.
An independent investigation found that three FCPS board members failed to fulfill their responsibilities in their role in the budget, according to a report by a Missouri law firm that the district hired to complete the investigation.
While Superintendent Demetrus Liggins has faced most of the public scrutiny, the recent investigative report and high-profile lawsuit has shifted the spotlight to other key members within the administration.
One of the most vocal figures in this investigation is Ann-Simpson Grimes, the district’s former budget director. Grimes filed a lawsuit claiming that she was placed on administrative leave for “retaliation” after expressing her concerns about the budget. She claims that throughout 2024, and early 2025, she repeatedly warned leadership that the district was facing a “flailing” financial state.
While the internal investigation didn’t substantiate Grimes’ claims, it did highlight a massive communication breakdown of all parties. The investigation also scrutinized the roles of Superintendent Liggins and his executive cabinet, including the Deputy Superintendent Dr. Houston Barber, who has stated that he will retire in September, and Rodney Jackson, then-executive director of budgeting and financial planning.
Investigators found that Jackson didn’t collaborate with Grimes in comparing actual expenditures against projected amounts when finalizing the 2025 fiscal budget. Jackson claimed he was unaware that the fiscal year 2025 budget failed to incorporate actual salary expenses from the previous year.
The report found that Barber didn’t adequately implement necessary financial changes, despite his awareness of many factors contributing to the deficit. It also states that Barber didn’t fulfill his responsibilities that require him to hold meetings consistently among the budget, finance, and human resources departments. He claimed that he “probably should’ve asked better questions,” and that he trusted Grimes and Jackson were communicating effectively.
In late 2025, Kentucky Auditor Allison Ball opened an investigation into FCPS operations, following concerns over transparency and fiscal management. While initially expected to take longer, Ball announced that the audit is on track to be completed this spring.
“We’ve figured out a path forward where we can isolate the financial issues,” Ball said. She noted that the goal is to provide a roadmap to get the district’s “financial house in order.”
This investigation sparked several controversies, particularly when it was revealed that FCPS paid a lobbying firm $38,000 without notifying all board members. Additionally, Superintendent Liggins suggested using the district’s contingency fund to cover the deficit, only later to reveal that the fund was millions of dollars lower than anticipated.
Just this week, FCPS proposed a movement to raise meal prices for the first time in four years. Under the new plan, high school students would have to pay $3.75/meal to eat, compared to the previous $3.00.
To help bridge the gap created by the deficit, the Board of Education just approved the sale of the former Southside Technical Center for $5.5 million to the Plumbers & Pipefitters Local 452. While the sale contributes to reversing the deficit, community leaders warn that it still doesn’t solve the long-term problem.
