Charter School Audit Reports…Don’t Freak Out!

Each year by December 15th, as required by the California Department of Education, charter schools must submit their annual audit report from the previous fiscal year. The yearly report is a reflection of the financial activity, attendance reporting, and school board actions over the past fiscal year.

The report is compiled thru a collaborative effort led by school auditors, with assistance and documentation provided from charter school officials and back office providers.

And like clockwork, every year about this time I notice charter school directors and leaders become very anxious; stressing over what will be in the report and potential audit findings. And each year I find myself providing the same advice: “relax, it’s just an audit.”

And it’s true; it’s just an audit.

Let’s recall why charter schools and school districts have auditors in the first place. Auditors are there to provide guidance for school operations and give an independent opinion on the school’s ability to remain compliant. Moreover, given the constant changes to the Education Code, your auditors are a great resource for ever-changing laws and amendments. (You as school leaders are busy educating students to keep up with all of these changes).

An analogy I often use when thinking of an audit report is that of an annual doctor’s visit. Each year we subject ourselves to being poke and prodded to ensure everything is working properly under our own hood. We may go into the visit assuming we have a perfect bill of health, but inevitably the doctor will spot a couple problem areas to be worked on the coming year. And we leave the office with the determination to come back next year having lost ten pounds and lowered blood pressure.

Now let’s think of the annual audit in the same manner; an annual check-up of your school and any audit findings are simply the areas to work on in the coming year.

Just as the fittest athletes have areas to improve upon, the best-run charter schools and school districts receive (audit) findings on their reports. And for what it is worth, I believe audit findings are a reflection of your auditor providing a thorough review of your school. (Wouldn’t you become suspicious if your doctor never had any concerns?)

The strongest leaders will look at these findings as an opportunity to improve their charter for the next year, not dwell on the findings as a disappointing reflection of their school. Just because you have a less than exemplary audit, does not mean you have a damaged school. Remember, the audit report says nothing about the tremendous effort your staff put into educating your students.

As December 15th approaches this year, the other “D-Day”, let’s not worry about what the audit report might say or might not say; let’s worry instead on providing the best education possible for our students.