Report 2019-108 Recommendation 5 Responses

Report 2019-108: Sacramento City Unified School District: Because It Has Failed to Proactively Address Its Financial Challenges, It May Soon Face Insolvency (Release Date: December 2019)

Recommendation #5 To: Sacramento County Office of Education

To ensure that Sacramento Unified takes the steps necessary to address its fiscal crisis, the county office superintendent should do the following:

Ensure that Sacramento Unified implements all of the recommendations detailed below.

Annual Follow-Up Agency Response From October 2023

As indicated in our response to recommendation #3, SCOE is providing a fiscal expert to assist the district in maintaining its budget, monitor the district's staffing and financial transactions, and support the district to address the issues identified in the Audit report. The district provides comprehensive reports throughout the year on the status of its efforts to address the audit items.

California State Auditor's Assessment of Annual Follow-Up Status: Fully Implemented

Recommendation will be kept open until Sacramento Unified makes sufficient progress in implementing our recommendations.

Annual Follow-Up Agency Response From October 2022

Response submitted by email.

California State Auditor's Assessment of Annual Follow-Up Status: Pending

The Sacramento County Office of Education (SCOE) notes in its response that it continues to have a fiscal advisor assist the district in maintaining its budget, monitoring the district's staffing and financial transactions, and supporting the district in addressing the issues identified in our audit report. SCOE notes that the fiscal advisor regularly meets with the district to discuss the status of our audit recommendations.

Annual Follow-Up Agency Response From October 2021

Response submitted via email.

California State Auditor's Assessment of Annual Follow-Up Status: Pending

The Sacramento County Office of Education (SCOE) notes in its response that it has appointed a fiscal advisor to help the district develop its budget and fiscal recovery plan, monitor the district's staffing and financial transactions, and address the issues identified in our audit report. SCOE also notes that the district has completed a comprehensive review of its budget and made improvements to some of its budgeting policies. Nevertheless, SCOE indicated that Sacramento Unified has not fully addressed its fiscal crisis. As a result, SCOE has directed the district to develop and submit a new financial recovery plan and take any immediate actions needed to implement the plan no later than December 15, 2021. In addition, SCOE will monitor the district's implementation of the plan and continue to follow up with the district to ensure that all remaining audit issues are fully addressed.

1-Year Agency Response

Our responses to recommendation #4 address this recommendation as well. Please see emailed response from Nick Schweizer.

California State Auditor's Assessment of 1-Year Status: Pending

The Sacramento County Office of Education provided a summary of Sacramento Unified's efforts to implement our recommendations. As noted in Sacramento Unified's responses to our recommendations, the district has not implemented many of our recommendations.

6-Month Agency Response

See Item #4 above.

California State Auditor's Assessment of 6-Month Status: Pending

Sacramento County Office of Education provided us with a summary of its understanding of the Sacramento Unified's efforts to implement our recommendations. Their summary is consistent with our review that the district is still in the process of implementing many of our recommendations.

60-Day Agency Response

We will send a copy of the letter from the County Superintendent directing the district to submit an Audit Resolution Plan to our office by February 28, 2020. Once Received, we will determine our next steps.

California State Auditor's Assessment of 60-Day Status: Pending

All Recommendations in 2019-108

Agency responses received are posted verbatim.