PHOENIX — The Arizona Department of Education says "key controls" have been implemented to prevent individuals from cheating the state's school-voucher program after multiple individuals were criminally indicted earlier this year.
In a letter written in response to the Arizona Auditor General, the education department claims it has taken to steps to reduce the risk of fraud in the state's Empowerment Scholarship Account, which allows students to use public funds on private-school tuition and other educational costs.
Five people, including three former employees of the education department, were indicted earlier this year for allegedly defrauding the ESA program. That criminal case is still pending in court.
The auditor general recently posted a report showing the agency's efforts to follow-up with the education department on controls implemented to avoid fraud.
According to the audit report, "the Department failed to respond to multiple requests made over a 4-month period to provide us with information and documentation to conduct our work."
But the education department claims "the facts are a little different."
In a letter released on Nov. 8, the executive director of the ESA program detailed meetings held with auditors and provided context for how the department responded to the alleged fraudulent activity.
In October 2023, the department became aware of "internal control weaknesses" that could potentially allow employees to commit errors or fraud. As a result, the department made changes so that ESA staff "are no longer able to assign any unreviewed student applications or purchases to themselves without supervisory review."
"This cured the weaknesses connected with the fraud that allegedly previously occurred beginning in fiscal year 2022," the letter states.
Arizona's expansion of the school voucher program has become a hotly-contested issue between the state's Republicans and Democrats. Arizona Attorney General Kris Mayes has said the ESA program is an "easy target" for fraud, while Republicans have defended and championed the growing program.
Auditors wrote in their report that they intend to follow-up with the education department by January 2025.
*Editor's Note: The above video is from an earlier broadcast.*