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Bill > SB414
CA SB414
CA SB414School accountability: Office of the Education Inspector General: school financial and performance audits: charter school authorization, oversight, funding, operations, and networks: flex-based instruction: local educational agency contracting.
summary
Introduced
02/14/2025
02/14/2025
In Committee
08/29/2025
08/29/2025
Crossed Over
06/02/2025
06/02/2025
Passed
09/13/2025
09/13/2025
Dead
Vetoed
10/13/2025
10/13/2025
Introduced Session
2025-2026 Regular Session
Bill Summary
An act to amend Sections 14500, 14502.1, 14504, 14504.2, 14505, 14506, 14507, 14508, 41020, 41020.2, 41020.3, 41020.5, 41020.8, 42238.024, 43521, 44258.9, 45037, 45125.1, 46211, 47604.1, 47604.3, 47604.32, 47604.5, 47605, 47605.1, 47612.5, 47612.7, 47613, 47614.5, 47616.7, 47634.2, 51744, 51745.6, 51747, and 51747.5 of, to amend and repeal Section 47607.2 of, to add Sections 14500.5, 14502, 41020.4, 41020.6, 46149, 47600.1, 47604.6, 47605.05, and 47634.3 to, to add and repeal Section 33309.5 of, to add Article 7 (commencing with Section 47670) to Chapter 6 of Part 26.8 of Division 4 of Title 2 of, and to add Article 11 (commencing with Section 51820) and Article 11.5 (commencing with Section 51827) to Chapter 5 of Part 28 of Division 4 of Title 2 of, the Education Code, and to amend Section 17518 of the Government Code, relating to school accountability.
AI Summary
This bill comprehensively reforms charter school oversight, financial auditing, and educational accountability in California. The bill establishes the Office of the Education Inspector General until January 1, 2034, which will conduct forensic audits and investigations of potential fraud or misappropriation of funds in educational agencies and charter schools. It introduces stricter financial reporting requirements for local educational agencies, including charter schools, with more detailed audit procedures and enhanced oversight mechanisms.
The bill replaces the term "nonclassroom-based instruction" with "flex-based instruction" and creates new regulations for funding determinations for flex-based charter schools. It requires charter schools to meet specific expenditure thresholds for certificated staff salaries and instruction-related services, and establishes a process for the State Board of Education to review and approve funding requests.
Key provisions include establishing two new grant programs: the Charter Authorizer Mentor Grant Program to provide technical assistance to chartering authorities, and the Charter School Authorizer Grant Program to help cover increased oversight costs. The bill also introduces new contracting requirements for local educational agencies, including restrictions on spending public funds and requirements for contractor qualifications.
Additional requirements include more rigorous teacher credentialing monitoring, criminal background check standards for contractors, and enhanced audit procedures that require detailed reporting of financial transactions, related party relationships, and specific expenditure categories. The bill aims to increase transparency, accountability, and financial integrity in California's educational institutions, particularly charter schools.
Committee Categories
Budget and Finance, Education, Justice
Sponsors (1)
Last Action
Veto sustained. (on 03/02/2026)
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