CHCCS Financial Update

This message was sent to all CHCCS staff and families on Friday, July 19, 2024. It is for informational purposes only, and no action is required.

Last night, at our July 18 regular meeting, the CHCCS Board of Education received preliminary financial results for the fiscal year that closed on June 30. We are reporting to you today that our district ended the year with an approximate $5 million deficit. This means our overall expenses in 2023-24 (including staffing, salary raises, instructional supplies, services, building maintenance, etc.) exceeded what we received in state and county funding by approximately $5 million.

[WATCH ON YOUTUBE: July 18, 2024, Budget Update]

In the short term, this $5 million gap was absorbed by what’s called our fund balance, sometimes known as a “rainy day fund”. But in the long term, the unfortunate reality is that our fund balance, now, is nearly depleted.

It’s a message we’ve been sharing for almost two years, when we told the Board of County Commissioners and the public in September 2022 that due to reasons including declining student enrollment, the high level of services, staffing and compensation that CHCCS provides, inflationary pressures and the insufficient allocation of state and local funding “...we face the possibility of cutting services and positions a year from now that will directly impact students.” Since then, we have indeed reduced services and some student-facing positions through attrition (known as our “Corrective Action Plan”.) We regret to share that more will need to be done, at both the district and school levels, in the coming months.

The Board and district leadership recognize and agree that we must either receive additional financial support from the state and the county, or we must take action to reduce our current spending by several million dollars annually. Last night, the Board of Education directed district administration to return at the August 15 Board meeting with various options for difficult decisions that the Board will consider in August, September and beyond.

The CHCCS administration will work with the Board, along with school and district leaders, to outline additional plans to restructure our district and operate effectively within the current budget realities. For now, all we need is for you, our staff and families, to continue to stay aware and informed about the current situation. We will encourage you to follow the Board’s deliberations and guidance at the next appropriate times. 

We thank you for your time and attention during the summer. 

Sincerely,

George W. Griffin, Ph.D., Board Chair

Riza Jenkins, J.D., M.B.A., Board Vice Chair

Nyah D. Hamlett, Ed. D., Superintendent