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District audit delayed; $22M reimbursement expected and $9M in CTE grant requests filed
Summary
Business services reported an audit delay due to a late OMB compliance supplement but said auditors are working; the district expects $22,000,000 in facilities reimbursements in spring 2026 and submitted three CTE grant applications totaling $9,000,000.
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Arcadia Unified business services told the Board on Dec. 9 that the district's financial audit is delayed because the federal Office of Management and Budget's (OMB) 2025 compliance supplement arrived late, but auditors now have guidance and work is underway.
"The completion of our audit has been delayed due to a lack of federal guidelines, specifically the 2025 compliance supplement from the Office of Management and Budget," said Mr. Esselin, who added that the district has received a deadline extension from county authorities and aims to present the audit in January or, if necessary, February.
On facilities funding, Mr. Esselin said the district expects to receive approximately $22,000,000 in reimbursements for ongoing projects in spring 2026; those funds would be subject to an audit of project expenditures before being re-allocated to other facilities work. He also reported the district submitted three Career Technical Education (CTE) Facilities grant applications totaling $9,000,000 for stage production, engineering design and food service & hospitality pathways.
Board members asked for clarification on the pathway names and on the origin of the $22,000,000; Mr. Esselin confirmed the pathway titles and said the reimbursement is tied to a Proposition funding process and will flow back into the district's facilities program after audit review.

