EXECUTIVE ORDER 2023-005
Order Directing the Governor’s Finance Office, Division of Internal Audits to Review Nevada’s 17 Public School Districts and the State Public Charter School Authority
WHEREAS, Article 11, Section 2 of the Nevada Constitution requires that the State “provide for a uniform system of common schools”; and
WHEREAS, Nevada currently operates 763 public schools that serve more than 480,000 students across 17 school districts and a state charter school authority; and
WHEREAS, Nevada taxpayers invest over $5 billion annually in the operations of the State’s public schools; and
WHEREAS, K-12 education accounted for $3.2 billion in general fund appropriations approved by the Nevada State Legislature for the 2021-23 biennium, more than any other function of state government; and
WHEREAS, it is in the best interests of the citizens of Nevada that its public schools be operated in a transparent and fiscally responsible manner; and
WHEREAS, Article 5, Section 1 of the Nevada Constitution provides: “The supreme executive power of this State, shall be vested in a Chief Magistrate who shall be Governor of the State of Nevada.”
NOW, THEREFORE by the authority vested in me as Governor by the Constitution and laws of the State of Nevada and the United States, it is hereby ordered as follows:
SECTION 1:
The superintendent of each school district and the executive director of the State Public Charter School Authority shall gather, collect and submit all external, third-party audits prepared on behalf of each school district (including sponsored charter schools) and every state public charter school between January 1, 2022 and December 31, 2022 (the “review period”) to the Governor’s Finance Office, Division of Internal Audits on or before March 1, 2023. This shall include, but may not be limited to, the audits listed below. To the extent the most recent audit available falls outside the review period, the most recent audit shall be provided.
(a) External independent financial or single audits
(b) Program or performance audits, including but not limited to: English language learners, students with disabilities, underperforming schools, and extra-curricular activities
(c) Nevada Department of Education compliance audits, including the State Grant Financial Monitoring Report and Pupil Count audits
(d) State of Nevada Medicaid Administrative Claiming audits
(e) Federal agency audits, or site visit monitoring reports
(f) Civil rights compliance audits
(g) Public Employees Retirement System audits
(h) Worker’s Compensation audits
(i) Employee Benefit Program audits
(j) Internal Revenue Service audits
(k) Any reports prepared for Department of Health and Human Services and/or local health authorities
(l) Nevada Department of Agriculture, Administrative Review of Food Operations
(m) Any reports to the Commission on Local Government Finance required by NRS 387.3045
(n) Quarterly Publication of School District Expenditures required by NRS 387.320
SECTION 2:
Having received the information set forth in Section 1, the Governor’s Finance Office, Division of Internal Audits shall review the external, third-party audits prepared on behalf of each school district and each public charter school. The review shall consider the scope of the audits, their application of generally accepted accounting and auditing procedures, any findings and corrective action plans and the extent to which they provide information sufficient to reasonably evaluate the efficacy, efficiency and fiscal responsibility of each school district and each public charter school.
SECTION 3:
The Governor’s Finance Office, Division of Internal Audits shall issue a report on or before December 29, 2023 summarizing the findings of its review, identifying any deficiencies and providing recommendations to remedy the identified deficiencies. The report shall be submitted to the Governor and the Chief of the Budget Division.