Illegal Use of Capital Money to Support Small Business Program

Over a two year period, the Seattle School District used close to $2 million of capital project funds to pay for  costs to administer a Small Business Development Program designed to help small businesses "overcome barriers to growth." 

According to a recent audit finding issued by the Washington State Auditor's Office, the Seattle School District was unaware that Washington state law (RCW 28A.530.010) prohibits the use of capital project money for such purposes.

The school district has agreed to reimburse the Capital Projects Fund for ineligible expenses.

Click here to read a copy of the audit finding that begins on page 5 of the report containing other audit findings as well