Mayes County School District Unable To Pay Its Employees

Thursday, August 19th 2010, 6:18 pm
By: News On 6

MAYES COUNTY, OKLAHOMA -- A Mayes County school district admitted Thursday it is broke.

Chouteau-Mazie Schools said it ran out of cash from the past school year and hasn't been able to make good on obligations to pay employees and vendors.

Teachers have e-mailed the News On 6 saying their paychecks have bounced.

School administrators say they stuck to the budget but didn't wind up with the cash they thought they would have.

Chouteau-Mazie Schools says it shouldn't have a problem paying its bills now that the new fiscal year has started.

The school district issued the following statement on Thursday:

The actual revenue of the Chouteau – Mazie School District for the 2009 – 2010 school year was less than had been forecast.  Based upon projections of revenue the Chouteau – Mazie School District incurred some contractual obligations that, while they were within its approved budget, could not be paid from the reduced revenue that the school district received for the 2009 – 2010 school year.  As a result, certain debts of the school district from the 2009 – 2010 school year will not be paid in the ordinary course.  However, the school district is working with the employees and vendors who are impacted to make arrangements for those debts to be satisfied as promptly as possible.  This situation does not affect obligations owed to employees or vendors relative to the 2010 – 2011 school year, which began July 1, 2010.  Those obligations will be paid as they have in the past.