Audit questions $318,836 in charter oversight fees

What happened

The 2024-25 audit found the district charged South Sutter Charter School the full 1% oversight fee, $318,836, but could not show records of the oversight work it did. The auditor called it a significant weakness. The board approved the audit on February 9, 2026 and certified a fix on April 13.

Why it matters to families

The fee is a large share of a budget of about $3.6 million. The law only allows charging for actual oversight costs, so the district needs records to keep this money.

The evidence

Finding 2025-001 (Charter Oversight Fees) in the 2024-25 audit by Michelle M. Hanson, CPA, included in the February 9, 2026 board materials. It lists questioned costs of $318,836 and earlier fees of $293,730 and $236,516.

The source