Disclaimer: If you and your family have a "Santa" tradition, I am OK with that!
First, about Santa: we thoroughly enjoy Santa under his more formal title, "St. Nicholas." The kids know about the conventional North Pole/reindeer silliness, but we present it as made up stories and we tell them the real stories about St Nicholas. When they ask, we explain that we don't call him "Santa" because the made up stories featuring "Santa" tend to get kids focussed on what they are getting, whereas St Nicholas helps lead them to Jesus and helps them think about what they will give. I've always thought that Zorg didn't really buy this.
Second, about CCD: it's the equivalent of Sunday School or Catechism class (it actually stands for Confraternity of Christian Doctrine). I am co-teaching Zorg's class this year and it is the first time I have taught kids who have not been taught the Faith at home.
I asked the group if they knew the story of Christmas. Hands shoot up! Pick me! Pick me! The answer: Santa comes and brings us presents. CLUNK.
The CLUNK was Zorg's jaw hitting the floor. In point of fact, the kids with that answer collectively had a hazy idea that there was something about Jesus and animals, but that was a minor detail to the Santa side of Christmas.
OK. I always wanted to be a missionary and proclaim the Gospel to the "pagan babies who had never heard of Jesus." Here was my chance...
It all ended happily with each child able to explain the actual Christmas story with the help of their own nativity set, but I don't think Zorg is quite the same. They really didn't know...