Who signed $200K FCPS contract without board, superintendent approval?

Fayette school district records obtained by the Herald-Leader under the Kentucky Open Records Act explain more about a six-figure contract for financial services that was signed without being authorized by the school board or the superintendent.

The contract was with the Texas-based software company KEV and was signed by the district’s longtime finance director, Rodney Jackson, according to public records.

FCPS did not answer questions prior to publication about Jackson’s current status with the district. Liggins and Koch confirmed last month that three employees in the district’s finance office had been placed on leave — two pending an investigation and one on medical leave — but did not identify those staffers.

According to the contract, KEV was to provide an online payment system called SchoolCash, which parents can use to pay for school activity and other fees online. The contract was for two years, $95,975 for the 2024 and 2025 school year and $108,500 for the second year, which ends June 30, 2026. The total contract was for $204,475.

However, the contract says the school district will have to pay an annual software fee after June 30 if it wants to continue to use the software. The amount of that software fee after June 2026 is not clear.

FCPS’ interim Chief Financial Officer Kyna Koch talked about the contract last month after revealing the district’s decades-long financial missteps and current crisis.

Koch said the contract was being paid out of an instructional account, although it was not providing instructional services and was not properly accounted for through accounts payable and purchasing processes, Koch said.

The school board never approved the software contract, Koch said. District officials did not immediately say Friday if the online purchasing contract was bid.

FCPS, the second-largest school district in Kentucky, has gone through multiple investigations of its finances in the last year. Some of those are still active, including a review by state Auditor Allison Ball.

When Koch revealed the contract had been signed without proper approval, she and Superintendent Demetrus Liggins also laid out how extensive FCPS’ current finance problems are. Since then, more than 100 FCPS employees have been laid off as a cost-cutting measure.

This is a developing story and may be updated.