Source: NC Policy Watch
State Auditor Beth Wood’s office completed an audit of the North Carolina Department of Public Instruction’s financial statement from 2019. The results uncovered “significant mistakes and omissions,” according to NC Policy Watch, “including one error that led the agency to overstate the payable claims balance in its Public School Insurance Funds by $23 million.”
The audit ended with the resignation of DPI Chief Financial Officer Barbara Roper.
Wood’s audit determined that NCDPI did not report a $7.1 million estimate for Hurricane Florence-related claims. Were the audit not completed, the mistake would have gone unnoticed. NCDPI also failed to report $5.3 million and $23.1 million expected in hurricane-related claims, according to NC Policy Watch.
“They didn’t report those claims that they were going to get money for,” Wood said. “So, when you’re trying to get the financial picture of NCDPI based on the financial statements they put together; they’re misleading.”
NCDPI also failed to report $20 million in civil penalty and forfeiture funds that would be sent to school districts.
“They showed they got the money but then they didn’t show they owed it to somebody else, which is a net zero to them,” Wood said. “They’re showing $20 million more in assets than they really have.”
Wood’s office released an audit in March that also showed financial issues at NCDPI with federal grants. One oversight “cost the state $18 million it could have spent on special education,” NC Policy Watch reports.
Read the full story from NC Policy Watch.