CPS Watchdog Highlights Problems With How District Compiles Family Income Data
CPS Staffers Mislabeled Incomes
The Chicago Public Schools watchdog agency is pressing for changes to how the district collects and uses family income information after finding "scores of employees" abused or mishandled the process – issues the agency has repeatedly called out in the past.
In its annual report for the 2024 fiscal year, the district’s Office of Inspector General (OIG) found that hundreds of CPS employees appear to have significantly understated their incomes on forms used to determine hundreds of dollars in fee waivers for students and additional funding for campuses serving many low-income students.
The office also investigated a school where clerks mislabeled income information for at least 90 students, resulting in an influx of unwarranted additional funding for that campus.
Families’ Inaccurate Reporting
Families of CPS students share information about household size and income on paper forms, which once determined whether students qualified for free or reduced-price lunch. Since 2015, all CPS students receive free meals, but the form still carries high stakes for both families and schools.
However, the district makes no attempt to verify the numbers families report, and no one is responsible for ensuring information from the paper forms is accurately entered in the district’s systems, the district’s watchdog said. Unlike other large districts, CPS offers no options to fill out the form online.
Watchdog’s Recommendations
The watchdog is urging the district to take action. It wants CPS to make the form optional and available online, audit information provided in a random sample of forms, and stop basing a portion of school funding on that information. Families caught providing false income information should be barred from ever receiving CPS fee waivers, the office said.
CPS Response
CPS said in a statement that it formed a committee this fall working to "enhance transparency, accountability, and equity in the student fee processes, including the waiver process," with new guidelines to be rolled out in 2025-26. The district told the OIG it would also reconsider the role self-reported family income information plays in its new formula aimed at steering more money to higher-need schools.
Conclusion
The investigation comes as CPS has seen its portion of low-income students decrease amid demographic shifts and gentrification in some neighborhoods. The district watchdog noted that weeding out misuse is all the more important as CPS enters leaner financial times.
Frequently Asked Questions
- How does the district compile family income data?
The district relies on paper forms completed by families, which are then entered into the district’s systems. - Is the district responsible for verifying the accuracy of this data?
No, the district makes no attempt to verify the numbers families report. - What are the consequences of inaccurate or fraudulent reporting?
Inaccurate or fraudulent reporting can result in unwarranted additional funding for schools and families, and may be used to determine school funding and fee waivers. - What is the district doing to address these issues?
The district has formed a committee to review and improve its student fee processes, including the waiver process, and is considering making the form optional and available online.