Bill > A2948

This bill requires that if the Department of Education (DOE) determines that a school district spent public money on "non-allowable costs," meaning expenses that are not permitted by law or regulation, then certain individuals or entities must repay that money to the school district. Specifically, if the DOE finds that legal fees paid by a school district were non-allowable costs and reduces the district's state aid as a result, the law firm that received those fees must refund the full amount of the non-allowable legal costs to the district; the DOE will also maintain a list of non-compliant law firms, and school districts will be barred from hiring them. Furthermore, if the DOE determines that a school district spent public funds on non-allowable costs that were for the personal benefit of a superintendent, school board member, or any school district employee, and this leads to a reduction in state aid, then that superintendent, board member, or employee must personally refund the non-allowable costs to the district. The bill also outlines that any penalties imposed under these provisions will be collected through a summary proceeding.