Freeze, panic, release: Jeffco schools federal funds saga
Jeffco Public Schools, like districts across the country, spent the final weeks of summer break managing a crisis that ultimately never materialized.
After the federal government abruptly froze nearly $80 million in education funds intended for Colorado, including $3 million earmarked for Jeffco, the district scrambled to assess at-risk programs and prepare for potential cuts.
Then, with little explanation, the U.S. Department of Education reversed course and announced the money would be released after all.
“There was a lot of wasted time, energy, effort, angst, as we worked through figuring out what to do if these funds were not delivered,” Superintendent Tracy Dorland said. “And then all of a sudden they are delivered. So that’s good news, and we’re grateful for that, but it really was a waste of time.”
The last-minute reversal offered relief, but also underscored how vulnerable the district remains.
The district is already facing a projected $60 million structural deficit heading into the 2025–26 school year, with reserves expected to run dry by 2027–28 without significant intervention.
Before the disruption
Even before the freeze, Jeffco had closed 21 schools and trimmed $20 million in recurring costs. But rising expenses driven by inflation, special education demands and staff compensation have outpaced those savings.
District leaders prioritized minimizing disruption to staff, encouraging employees to apply for other open positions while warning that vacated roles might not be backfilled.
“Then we mapped our staffing and the employees in the roles that were paid for with the frozen grants,” Superintendent Tracy Dorland said. “We didn’t want our employees to be impacted immediately.
“We did tell employees… that we may or may not have backfilled their position once they took a position,” she said. “That did happen in a couple of circumstances, but… I don’t believe it’s going to impact programming this year.”
Among the programs most in jeopardy were newcomer supports, which provide academic and emotional transition services for immigrant students and their families. Dorland said that the program remains a top priority as the district begins its next round of budget planning.
“That program is really important to me,” she said. “We have to take care of our most vulnerable students and their families.”
Jeffco serves more than 4,700 English learners and has seen a growing number of newcomer arrivals in recent years, according to data from the Colorado Department of Education.
Cuts on the horizon
The freeze may be over, but the district’s broader financial woes are not. At a June 4 board meeting, Chief Financial Officer Brenna Copeland laid out three bleak scenarios to close a $60 million shortfall—all of which involved significant staff reductions.
“If we just keep doing what we’re doing, we do not right the ship,” Copeland warned.
With more than 80% of the general fund tied to salaries and benefits, board members acknowledged that even aggressive central office cuts won’t be enough.
“We’ve got to prepare our community for the fact that there are going to be significant reductions in force,” said board member Paula Reed.
Lessons for the future
Looking back, Dorland said the experience has compelled her team to prepare for a future in which federal support may no longer be guaranteed.
“We’re trying to get ahead of that funding concern,” she said, “and put some contingency plans in place for if this funding… is not released as part of next year’s budget.”
She cited Medicaid reimbursements, which bring Jeffco nearly $9 million annually for student services, as one of her biggest concerns and said Jeffco is already working with Colorado’s U.S. senators Michael Bennet and John Hickenlooper to help federal officials understand what those funds mean for schools on the ground.
“Eyes are wide open right now that this could happen again with these funds and other federal funding,” Dorland said. “We are currently talking about what kinds of contingency plans we need to put in place.”
The post Freeze, panic, release: Jeffco schools federal funds saga appeared first on Colorado Community Media.
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