Education Audit Appeals Panel Summary Review

LEAs may request a summary review with the EAAP for audit findings on the grounds of substantial compliance, pursuant to Education Code (EC) Section 41344.1 . Substantial compliance means nearly complete satisfaction of all material requirements of a funding program that provides an educational benefit consistent with the program’s purpose. A minor or inadvertent noncompliance may be grounds for a finding of substantial compliance provided that the LEA can demonstrate it acted in good faith to comply with the law and/or regulation necessary for apportionment of funding.

Once an audit finding has been issued, several options are available to resolve an apportionment significant audit finding (ASF). An ASF is equal or greater than one unit of average daily attendance; or a finding that is equal or greater than the dollar value of one unit of average daily attendance for the LEA as identified in EC Section 41344.1 .

The process to request a summary review is as follows:

Summary Review Process

• Step 1: LEA receives certification letter for the K–12 LEA annual financial and compliance audit from the State Controller’s Office (SCO).
• Step 2: LEA may submit a Request for Summary Review to EAAP for substantial compliance within 30 days upon receipt of SCO Certification Letter.
• Step 3: EAAP reviews the Request for Summary Review and sends LEA a determination letter. If it is determined that substantial compliance is met, then EAAP may waive or reduce the finding amount.
• Step 4: If the LEA does not agree with the determination, the LEA may file a formal appeal with EAAP within 30 days of the Summary Review determination letter. See EAAP Appeal section.

For more information or to request a summary review, visit the EAAP website.