Gallup-McKinley County Schools Issues Statement on Education Funding Misunderstandings

Gallup-McKinley County Schools Clarifies State Education Funding Process



In response to recent public discussions surrounding state education funding, Gallup-McKinley County Schools (GMCS) has issued a detailed statement clarifying how funds are allocated to local school districts in compliance with New Mexico law. GMCS aims to address the inaccuracies surrounding claims that the state owes the district additional funding.

A significant point of confusion arose following statements made during a New Mexico legislative meeting. Contrary to the claims that GMCS terminated online education services in May 2025, GMCS clarifies that on May 16, 2025, the Board decided to end its contract with Stride/K12. This decision stemmed from serious allegations concerning illegal activities and unethical practices at the expense of students. The contract termination took effect on June 30, 2025, and GMCS promptly notified the New Mexico Public Education Department (NMPED), the New Mexico Attorney General, and the New Mexico State Auditor's Office regarding Stride/K12's misconduct.

Further investigations revealed that NMPED had received a whistleblower complaint from an administrator within Stride/K12, detailing various alleged illegal activities. GMCS managed to understand the extent of these issues only after obtaining records through the Inspection of Public Records Act request directed to NMPED.

In light of this, the GMCS Board moved to approve a new online education provider for the upcoming 2025-2026 school year on May 27, 2025, ensuring continuity in online learning for students. Despite GMCS switching providers, NMPED permitted other districts, such as Santa Rosa Consolidated Schools and Chama Valley Independent School District, to contract with Stride/K12 starting at the same time, highlighting differing approaches to educational partnerships among districts.

As part of its clarification, GMCS emphasized that the funding process followed by NMPED is primarily based on prior-year student enrollment numbers. When districts like Santa Rosa and Chama Valley experience significant enrollment increases, NMPED adjusts current-year funding to accommodate this growth. Therefore, claims suggesting that GMCS’s funding during the previous year should have been redistributed to other districts are misguided and conflicting with existing state law. The funding received by GMCS compensates the district for services provided in the prior school year, not for immediate adjustments based on enrollment changes.

It is concerning that NMPED was aware of the new virtual programs at Santa Rosa and Chama Valley since August 2025 but did not brief legislators on these developments before the December meeting. This lack of communication may have fed into misunderstandings about funding formulas and misrepresentations regarding GMCS’s responsibilities.

In the context of budget discussions, recent mentions of a statewide funding

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