Navigating Milwaukee's School Finance Crisis: A Lesson in Accountability

The Milwaukee Public School (MPS) district has found itself in a financial quagmire, facing scrutiny from the public and the Wisconsin Department of Public Instruction (DPI) for its failure to submit its financial audit report for the 2023 academic year on time. This oversight has led to a series of high-profile resignations and a concerted effort to restructure the district's finance office and address the underlying issues.

Uncovering the Cracks in Milwaukee's School Finance System

Staffing Shortages and Lack of Guidance

According to MPS Interim Superintendent Eduardo Galvan, the delay in submitting the 2023 finance reports was primarily due to a lack of staffing within the MPS finance offices. "There was a number of vacancies at upper and higher finance positions and so a lot of the staff were left kind of without guidance or a way to move forward," Galvan explained. This staffing shortage has not only contributed to the delayed reporting but has also highlighted the need for professional development among the remaining finance team members.

Restructuring the Finance Office

In response to the crisis, MPS has taken steps to restructure its finance office. MPS Chief Financial Officer Aycha Sawa has assumed a hands-on role, stating that she will be "evaluating and making decisions that will be taking place in the short term." This includes the search for a new comptroller, a critical position that has been left vacant.

Ongoing Compliance Challenges

The delayed submission of the 2023 financial audit reports is not the only compliance issue facing MPS. According to Tricia Collins, Interim DPI Assistant State Superintendent, a number of additional documents still need to be submitted, including the auditor aid certification, the annual report, and the audited financials. Furthermore, there are ongoing fiscal financial reports that must be submitted to various programs.

Collaboration and Corrective Action

Both MPS and DPI officials have acknowledged the need for collaboration to address the district's financial challenges. They have stated that they are working together to ensure that all issues from the Corrective Action Plan (CAP) implemented in June are being addressed. However, they have yet to specify which parts of the plan still require completion.

Ambitious Timelines and Future Reporting

MPS has set an ambitious timeline, aiming to submit its 2023 financial audited reports by Thanksgiving of this year. Additionally, the district is working ahead on the 2024 financial report to ensure it is turned in on time in 2025. This proactive approach is a step in the right direction, but the district must remain vigilant in its efforts to maintain financial transparency and accountability.The financial crisis facing Milwaukee's public schools is a complex issue that requires a multifaceted solution. By addressing staffing shortages, restructuring the finance office, and collaborating with state authorities, MPS is taking the necessary steps to regain the trust of the community and ensure the district's financial stability. However, the road ahead remains challenging, and the district must continue to prioritize transparency, accountability, and timely reporting to overcome this crisis and secure a brighter future for its students.