State Board places Okolona school district under state control due to financial problems

The Mississippi State Board of Education has placed the Okolona Separate School District into a District of Transformation because of significant financial issues that threaten its ability to provide stable education for students.

According to the board, this decision follows ongoing insolvency in the district, repeated failures to make payroll, and a pattern of fiscal mismanagement. The district also lacked sufficient funds to maintain basic operations and did not have adequate internal controls. Additionally, it failed to comply with Process Standards 4 and 5 outlined in the Mississippi Public School Accountability Standards for 2025.

This action was taken under authority granted by legislation passed during the 2024 session. The law allows the State Board of Education to designate a school district as a District of Transformation for financial reasons if it determines there is a serious lack of resources. Under this new framework, only the board’s determination is required; a declaration from the Governor is no longer necessary.

With this designation, Okolona Separate School District will now be overseen by the Mississippi Department of Education (MDE) and the State Board of Education. The MDE will appoint an interim superintendent who will lead efforts to maintain educational services for students during this period.

"The MDE will appoint an interim superintendent to lead the district and work to ensure continuity of educational services for all students in the district during this transition," according to the statement from state officials.