Tecumseh Public Schools has spent money it wasn’t supposed to. 

After returning from closed session and voting to appoint an interim director of business services at the Monday, October 13, meeting, comments from the board and Superintendent Matt Hilton provided the only insight into the discussion that took place out of public view regarding the budgeting blunder. 

“In my whole time here at Tecumseh, I remember only one time we had this same type of situation,” said trustee Greg Lewis. “It doesn’t happen very often, but when it does, it’s a mess and it’s a mess in a hurry. Payroll and things like that—you want to kill morale in a school district—don’t get people paid, that does it in a hurry.” 

According to the discussion, the district had intended at the end of the budget year to deposit more than $900,000 into the fund balance. However, the district had overstated revenues and only deposited $200,000 after spending the rest—$750,000—on “student services.” 

“I just want to make sure people understand—we didn’t lose $750,000. Our budget was off $750,000. We still put $200,000 in the fund equity,” said trustee Tim Simpson. “We did not lose the money—our budget was overstating how much we were going to put into the fund balance.”

“Did money get overspent? Yes, but it also went to student services. It wasn’t like it got flushed down the toilet,” Simpson added later. The board did not disclose what “student services” the $750,000 funded.

“For me, trustee Simpson, I think that is the most important piece that I want everyone to understand is that while there was a variance in what revenue to our actual, we did, at the end of the budget year, deposit money into our fund equity while also using those dollars to serve kids. It gives us an opportunity to evaluate,” said TPS Superintendent Matt Hilton. 

The new interim director will review the expected revenue for 2025-2026 and the projected expenses for 2025, “so we can act sooner than later if we need to,” according to Hilton.

“We don’t know that yet, but that’s what we are doing right now,” he added.

The district is searching for a new, permanent director of business services to replace Kelli Glenn who previously held the job. Lynne Davis will move back to chairing the budget committee while Lewis will join the curriculum committee that’s chaired by trustee Jacob Martinez.

You can view the discussion in the time-coded video below. The board enters closed session, in a 5-2 vote, at the 32:25 mark. You can view the meeting’s agenda here.

Check out more coverage of the meeting at Educate Tecumseh.