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Audit investigation finds Superintendent Liggins did not adequately oversee district finances

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LEXINGTON, Ky. (LEX 18) — The Fayette County Board of Education received an independent investigation report that found Superintendent Demetrius Liggins failed to adequately oversee the district's financial situation and keep board members properly informed about budget concerns.

Attorney Leigh Latherow of VanAntwerp Attorneys conducted the investigation after allegations were raised by former district employee Ann Sampson Grimes in August 2025. The report concluded that Liggins violated board policies regarding his duties as superintendent and budget planning by not maintaining appropriate oversight of the district's finance and budget departments.

"Sufficient evidence was presented to substantiate a finding that the superintendent failed to fully comply with the requirements set forth in Board Policies," Latherow wrote in the 13-page report.

The investigation focused on the district's fiscal year 2025-26 budget process, which revealed a $16 million shortfall between projected revenues and expenses. Latherow found that while Liggins did not intentionally withhold information about the district's fund balance from the board, he should have probed deeper into the financial situation by May 2025.

The investigation examined several specific allegations, including claims that Liggins knowingly failed to follow the board's 6% contingency fund procedure and that he silenced Grimes during budget presentations. However, Latherow did not find evidence to support these particular claims.

Grimes had alleged that Liggins changed her presentation language from "deficit" to "difference" when describing the budget shortfall to board members. The investigation found this did not constitute silencing or policy violations, as board members had already been informed about the financial situation in detail during smaller group meetings.

The report also examined allegations of age and sex discrimination against Grimes but found insufficient evidence to substantiate these claims. Latherow noted that Grimes refused multiple requests for interviews, which "impeded those efforts" to fully investigate her concerns.

Board Chair Tyler Murphy said in a statement that the board "takes its governance responsibility seriously and is committed to a thorough and thoughtful review of the information presented."

The investigation was authorized by the board at its September 16, 2025 special meeting. Murphy indicated the board will provide additional updates following its February 9 meeting.

Latherow noted that Liggins has implemented changes to improve communication between the budget and finance departments and strengthen the budgeting process since the issues were identified.

In testimony to the Interim Joint Committee on Education in September 2025, Liggins acknowledged that criticism of the district's budgeting process had been warranted and that community trust had been shaken. He stated he should have demanded more comprehensive detail and that as superintendent, "the buck stops with [him]."

Read Murphy's full statement below:

The Fayette County Board of Education and the parties have received the report from Leigh Latherow of VanAntwerp Attorneys, LLP and will carefully review her findings. This investigation was authorized by the Board at its September 16, 2025 special meeting [youtu.be]. By releasing this Board report, we are upholding our ongoing commitment to transparency and open communication with our community. The Board takes its governance responsibility seriously and is committed to a thorough and thoughtful review of the information presented. We will provide additional updates following the Board’s meeting on February 9.