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Audit spurs governance and financial reforms at Utah Schools for the Deaf and Blind
Summary
Auditors and staff described decades of governance and financial weaknesses at USDB, progress under HB537 and ongoing work on data systems, internal controls, and salary adjustments (WASA/steps-and-lanes). The audit recommended stronger oversight, educational benefit reviews, and consideration of fee‑for‑service models to address double funding.
The committee received an extensive audit and agency response about the Utah Schools for the Deaf and Blind (USDB), focusing on governance, financial management, data reliability, and compensation methodology.
The Legislative Auditor General’s office led by Jake Davis said repeated financial and management problems have resurfaced over decades and called for durable governance fixes. "We found that the State Board of Education had not given adequate time or attention to USDB, and this insufficient oversight had allowed repeated financial and management issues for many decades," Davis said. The auditors recommended governance changes and adoption of processes to better monitor student outcomes.
USBE vice chair Leanne Wood, who also chairs USDB, described steps taken since HB537 (2025) restructured the agency under the State Board: creation of an ongoing committee, internal audit work, policy updates and a cross‑functional effort to implement internal controls. Deputy Superintendent Scott Jones said a centralized outreach data system will be implemented by March 2, 2026, to improve reliability and reporting for outreach services.
Ben Leishman and other staff walked the committee through financial recommendations, including a proposed FY27 adjustment that replaces a steps‑and‑lanes salary increase with a standard statewide inflationary compensation adjustment and a move to a five‑year recalibration cycle; that change reflects a $1,140,800 ongoing reduction in the line item. Leishman said the weighted average salary adjustment (WASA) was originally created to keep USDB educators competitive with districts and to address a prior retention problem.
Committee members expressed divergent views about the five‑year proposal, debating whether the unique recruitment and retention risks for specialized USDB educators required a more frequent review or a different merit‑based approach. USBE and staff suggested statutory amendment options—shorter recalibration cycles or hybrid triggers—could preserve competitiveness while reducing year‑to‑year automatic growth.
Audit presenters and staff also raised two related finance issues: double funding when LEAs generate weighted pupil units (WPUs) for students who also receive outreach services or extension‑classroom services from USDB; and the commingling of transportation funding in the minimum school program. Staff recommended a board‑directed fee‑for‑service plan for outreach ( FY2028 target) and moving USDB transportation funding into a separate program to avoid unintended district impacts.
The audit presentation and the USBE/USDB response signaled progress on internal controls and data fixes while leaving significant policy choices—statutory changes, costing models and the frequency of salary adjustments— for the legislature to decide.
