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AB 84

School accountability: Office of the Education Inspector General: school financial and performance audits: charter school authorization, oversight, funding, operations, networks, and contracting: data systems: local educational agency contractor background checks and contracting.

2025-2026 Regular Session Introduced by Jesse Arreguín and 2 co-sponsors

AB 84 establishes the Office of the Education Inspector General to enhance accountability in California schools, improving audits and reducing fraud in educational funding.

Ordered to inactive file at the request of Senator Grayson.
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Bill Summary · AB 84

Summary of AB 84: School Accountability and Oversight

Bill Number: AB 84
Introduced: February 28, 2025
Status: Ordered to inactive file at the request of Senator Grayson.

Purpose and Intent

AB 84 aims to enhance school accountability and oversight in California by establishing the Office of the Education Inspector General. The bill seeks to improve the financial and performance auditing processes for local educational agencies (LEAs), including charter schools, and to ensure compliance with state regulations. It addresses issues related to fraud, misappropriation of funds, and the overall governance of educational institutions.

Key Provisions

  1. Auditing Requirements:

    • The bill mandates that financial and compliance audits for all local educational agencies, including charter schools and educational joint powers authorities, adhere to specified filing deadlines.
    • It requires LEAs to post their annual financial and compliance audits on their websites.
    • The county superintendent of schools is required to investigate delays in filing audits, rather than being authorized to do so.

  2. Controller's Responsibilities:

    • The Controller will review and monitor audit reports annually and notify relevant parties if audits do not conform to standards.
    • The Controller must establish risk-based criteria for determining which audits require quality control reviews and report non-compliance to the Superintendent, including charter schools and educational joint powers authorities.

  3. Education Inspector General:

    • The bill establishes the Office of the Education Inspector General, appointed by the Governor from a list of nominees provided by the Joint Legislative Audit Committee.
    • The Inspector General will conduct forensic audits and investigations into fraud and misappropriation within the Department of Education and its associated entities.
    • The Inspector General is tasked with keeping the State Board of Education and the Legislature informed about issues and deficiencies in educational governance.

  4. Continuing Education for Auditors:

    • Beginning in the 2027–28 fiscal year, audit engagement partners and staff responsible for local educational agency audits must complete 16 hours of continuing education every two years to maintain their qualifications.

  5. State-Mandated Local Program:

    • The bill imposes additional duties on local educational agencies, which may result in state-mandated local programs.

Impact

  • Who is Affected: The bill impacts local educational agencies, charter schools, county superintendents, and the Controller's office. It aims to enhance accountability and transparency in the management of educational funds.
  • Potential Outcomes: By strengthening auditing processes and establishing an oversight body, AB 84 seeks to reduce instances of fraud and mismanagement in California's educational system, ultimately aiming to improve the quality of education provided to students.

Procedural Aspects

  • The bill has undergone several amendments and committee reviews since its introduction. It was ordered to the inactive file on September 12, 2025, indicating it may not progress further in the legislative process at this time.

This summary provides an overview of AB 84, highlighting its objectives, key provisions, and potential implications for California's educational landscape.

Compiled from official sources — confirm details with the bill’s official record.

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