Arizona charter schools display financial warning signs
10:35 AM, May 9, 2018
PHOENIX (AP) - A newspaper's analysis of Arizona charter school data indicates that dozens of schools displayed financial warning signs last year.
The Arizona Republic reports that charter operators representing 138 schools failed three of four measures reported in financial performance dashboards, which rate financial health of charters based on metrics including net income and cash flow.
The newspaper's analysis of the financial reports shows charter holders of 62 schools failed all four measures in the 2016-17 school year.
The charter holders of 41 schools were labeled as "going concerns" by their auditors, meaning there was concern that closure was possible within a year.
The state cannot intervene in a charter school's operation based on financial reasons alone. Charter holders are required to submit financial audits to the state each year.