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Superintendent of Guideline for the California schools, Jack O'Connell, started an audit more than a year back into
the fi...
requirements as finest they could with their understanding of the policies. Even O'Connell conceded that none of
the cited...
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The Golden State Of California Schools' Examination Suggests Unwanted Costs And Overpayments To Chain Of Charter Schools

Superintendent of Direction for the California schools, Jack O'Connell, initiated an audit more than a year earlier into the fiscal issues of the Options for Youth and Opportunities for Learning (OYO) schools. The OYO is a chain of independent research study charter schools within the California schools system, which are privately run but moneyed by the state.

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The Golden State Of California Schools' Examination Suggests Unwanted Costs And Overpayments To Chain Of Charter Schools

  1. 1. Superintendent of Guideline for the California schools, Jack O'Connell, started an audit more than a year back into the financial issues of the Alternatives for Youth and Opportunities for Learning (OYO) schools. The OYO is a chain of independent study charter schools within the California schools system, which are independently run however funded by the state. The OYO California schools serve trainees who have actually dropped out of the standard high schools. They presently have about 15,000 trainees in 40 storefront locations throughout the state. These California schools trainees do most of their work at home, meeting with teachers twice a week. According to state records, student achievement test and high school exit examination ratings are above average, as compared to other alternative high schools within the California schools system. According to a Los Angeles Times article of August 10th, only 11 percent of OYO trainees graduated throughout the 2003-2004 academic year. The rest of trainees that left school that year either left, were expelled, or transferred to other schools. The California schools' audit was carried out by the Financial Crisis and Management Support Team, who concluded their analysis and provided their findings in a report that was launched in August 2006. The audit cites accounting flaws, overpayments by the state, conflicts of interest, nepotism, excessive payment, and mixing private company concerns with public schools. The OYO was established and still run by John and Joan Hall, previous instructors from Hollywood High School. They have actually totally complied with the California schools' audit, but disagreement the majority of the findings. Some examples from the audit report are: • Accounting Flaws and car donation title transfer Overpayments. The Halls count each of their instructors as 1.92 full-time positions. Their representative, Stevan Allen, mentioned that this is a common practice for charter schools in the California schools system and is a legitimate technique for compensating school personnel for longer days and year-round schedules. California schools superintendent O'Connell believes instructors must be counted only as one full-time position each. The auditors disagreed, mentioning that traditional California schools teachers spend much less time working each year than those at OYO. Nevertheless, the auditors thought the 1.92 amount is pumped up. This example, alone, represent over half of the $57 million overpayment. Additionally, the report noted numerous questionable expenses. One example of unrestrained costs, provided by the Times was an $18,000 personnel party held at Disneyland. Allen protected that event as an attempt at relationship building between employee, who are scattered across the state. He kept in mind that the expenses was less than $50 per employee. • Disputes of Interest and Mixing Private Service with Public Schools. Besides the charter schools, the Halls own and operate a number of personal organisations that offer materials and services to schools. The Times kept in mind that the Options in OYO was the not-for-profit part of the setup, with the Opportunities part being for- profit. The audit calls this practice and setup into question. • Extreme Settlement. The audit also questions the combined salaries for the Halls, which is $600,000 yearly. The report specifies that it may be excessive for the quantity of time the couple actually works. • Nepotism. The Halls developed a separate charity with $10.8 million of the California schools' financing, called Pathways in Education. The charity is run by their daughter, Jamie Hall. Little cash has actually been spent towards education therefore far. The Halls compete that they previously had asked for assistance on their operation from the California schools often times, however never ever received any response. Hence, they attempted to follow California schools
  2. 2. requirements as finest they could with their understanding of the policies. Even O'Connell conceded that none of the cited practices are prohibited. The audit suggests the California schools ought to try to recuperate the $57 million in overpayment from the OYO. O'Connell has actually sent out the report to the state's lawyer general's workplace for evaluation and any needed action.

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