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04/24/2024 11:43 AM
Pennsylvania House of Representatives
https://www.legis.state.pa.us/cfdocs/Legis/CSM/showMemoPublic.cfm?chamber=H&SPick=20150&cosponId=19495
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House of Representatives
Session of 2015 - 2016 Regular Session

MEMORANDUM

Posted: January 15, 2016 04:03 PM
From: Representative Angel Cruz
To: All House members
Subject: SUBJECT: Resolution directing the Legislative Budget & Finance Committee to review and report on the funds allocated to the school district of Philadelphia and urging the Auditor General to conduct a forensic audit.
 
In the near future, I plan to introduce a resolution directing the Legislative Budget & Finance Committee to undertake a comprehensive review of the Federal, State and City funds allocated to the school district of Philadelphia and how these funds have been spent. The review and subsequent report submitted to the General Assembly and the Auditor General would aim to provide a greater degree of transparency in the district’s finances and ensure that allocated funds are being utilized appropriately and responsibly.

As many of you know, the Philadelphia School District's finances appear to reflect a gap between revenues and expenses that will continue to grow if left uncorrected. The school district’s expenditures have outpaced revenues, requiring significant reductions in services to students. These cuts to education programs and services are an injustice to the students who continue to suffer as a result of the district’s financial turmoil. The Commonwealth cannot in good conscience continue to spend increasing amounts of taxpayer money on the School District of Philadelphia without a greater level of accountability regarding how the district and School Reform Commission spends the funding it currently receives.

This resolution is similar to HR 1061, which I sponsored and this chamber unanimously adopted on October 15, 2014. HR 1061 urged the Auditor General to conduct a forensic audit of the finances, expenditures and use of funds and grants of the school district of Philadelphia over the last five years. The purpose of the audit was to provide a complete picture of the district’s finances, address any improprieties, negligence or misuse of funds received and provide recommendations in order to fix the district’s financial crisis. I again urge the Auditor General to conduct a forensic audit upon receipt of the committee’s report.

Although HR 1061 was adopted, no audit has been conducted. My hope is that a comprehensive review and report by the LBFC will provide some insight into the school district’s finances and prompt the Auditor General to conduct the forensic audit that we have urged to be done.

I ask that you again join me in calling for answers regarding the finances of the Commonwealth’s largest school district. Thank you in advance for your consideration.

If you have any questions or concerns, please contact my Harrisburg office at 717-705-1925.

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Introduced as HR681