School board member, advocate spar with FCPS on contingency estimate

A Fayette school board member said Monday the district’s contingency, or rainy day fund, for the 2026 fiscal year budget is actually $15.6 million, not $26.3 million as Superintendent Demetrus Liggins has said.

District spokesperson Miranda Scully responded by saying the claims were “misinformation.”

Amanda Ferguson said she will address her concerns at a 5:30 p.m. Monday school board planning meeting at Central Office where the proposed $827. 2 million budget will be presented. The school board is voting on the budget later in September.

Ferguson is one of five bosses who direct and supervise the work of Liggins who acts as the district’s CEO.

“Page 23 of the budget shows last (fiscal year’s) actual revenues of $883,881,789.70 and actual expenditures of $868,276,756.32. That leaves a balance of $15,605,033.38,” Ferguson told the Herald-Leader Monday afternoon.

There has been tremendous scrutiny on the contingency fund balance this summer after it was first presented as around $42 million in the tentative budget and then finally at $26. 3 million in advance of presenting the working budget Monday. At one point, Liggins told school board members the contingency could be as low as $15 million.

The district’s Budget Solutions Work Group that met this summer had wanted to use the contingency to solve a $16 million shortfall shown in the tentative budget presented in May, but Liggins later said the funds were not available.

Under state law, a school district must keep 2% in its contingency fund, but it was unclear Monday afternoon which method of calculating the contingency fund the Kentucky Department of Education is currently using.

Two state documents described different methods.

Matthew Vied, a former school board candidate and a public school advocate, told the Herald-Leader Monday he also thinks the contingency is $15. 6 million.

“FCPS has misrepresented the actual value of the true cash balance and carry forward balance for (fiscal year 2026),” Vied said.

“The $26.3M claimed by the district does not account for the $10.7M net negative balance of the Special Revenue, Capital Outlay, Building, and Food Service funds. This is yet another instance where Dr. Liggins and district officials have obfuscated the truth regarding the state of FCPS finances.”

FCPS fires off response

The Herald-Leader asked repeatedly for Scully to reply to assertions made by Ferguson and Vied. She acknowledged a statement was prepared, but she did not release it until after a version of this story published around 4 p.m.

“It is unfortunate that the Lexington Herald-Leader continues to give voice to misinformation,” Scully said.

“We appreciate Mr. Vied’s continued interest and advocacy. Unfortunately, the statements (reporter Valarie Honeycutt Spears) has asked us to respond to are not only inflammatory, but also incorrect, she said.

“Under Kentucky Department of Education accounting and budgeting standards, the terms carry-forward and contingency refer to discreet figures. To use those terms interchangeably, as Mr. Vied has done ... is misleading the public and fueling conspiracy theories,” she said.

“Carry-forward is the audited figure remaining in the General Fund at the end of the fiscal year after all revenues and expenses are finalized. Contingency is the portion of the General Fund Budget earmarked for emergencies or unexpected costs. One is based on actuals, and the other is based on plans,” she said.

Scully added: “Guidance from the Kentucky Department of Education defines how those figures are calculated. The general fund carry-forward is determined by adding revenue received and revenue outstanding and then subtracting expenses already paid or still outstanding. Although we will not have audited figures until November, current data clearly indicate a general fund carry-forward of $26.3 million.”

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This story was originally published September 8, 2025 at 3:51 PM.