The new interim Supt. from Nola Public Schools. is facing a massive funding crisis

NEW ORLEANS (WVUE) – The new interim superintendent of the New Orleans Public School District steps into a position with an immediate, high-stakes challenge: resolving a multi-million dollar financial crisis. The school board has tasked her with addressing the district’s budget deficit.

Dr. Fateama Fulmore will take on the role in two weeks, following the departure of her predecessor, Dr. Avis Williams, with an estimated $36 million deficit.

According to the district, the shortfall stems from an overestimation of ad valorem taxes.

Williams told Fox 8 that some staff members knew about the shortage months ago, but she wasn’t made aware of it until October. When asked by Fox 8 why it took so long to be notified, Williams responded, “Yes, that’s a great question. That is a question I have also asked myself.”

Williams explained that the district is working to obtain a breakdown of the financial figures from the city of New Orleans.

She added that the chief financial officer and their team are responsible for overseeing all financial aid and services within the district.

“I don’t do the blame game, haha, I don’t do the blame game,” Williams said. “In the same way that I tout the great things that have happened within our district, when something like this happens as a leader, I take responsibility for that as well.”

During its business meeting on Thursday (Nov. 14), the Orleans Parish School Board approved a DLFA action item requiring the superintendent to work with an outside financial advisor and the district’s financial advisory group to develop a near-term plan to tackle the consequences of the crisis.

The Superintendent is directed to “incorporate an equitable framework for providing financial assistance to schools that demonstrate material financial distress resulting from their reliance on the Spring 2024 financial projections.”

The action item also requires the Superintendent to identify all available funding sources to help close any budget gaps. She is expected to ensure that financial support through grants or loans is available in a timely manner, subject to approval by the board of directors.

The board also requires the superintendent to encourage schools to compile financial data, budgets, forecasts and other data necessary to apply for financial aid.

Additionally, the superintendent must work with both external and internal financial experts to create a long-term plan for stable funding.

The board will vote on the short-term plan at its business meeting in December.

Looking back on her two-year term, Williams said she is grateful and does not take the decision to step down lightly, although she believes it is time for a change. “I always want to leave better than I found it, and I’m sure we did that,” she said.

At the start of Thursday night’s meeting, board members expressed their appreciation for Williams and recounted numerous accomplishments during her leadership.

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