School District of Philadelphia - - Philadelphia County, Pennsylvania - - performance Audit Report

SCHOOL DISTRICT OF PHILADELPHIA PHILADELPHIA COUNTY, PENNSYLVANIA PERFORMANCE AUDIT REPORT MARCH 2011 The Honorable Tom Corbett Governor Commonwealth of Pennsylvania Harrisburg, Pennsylvania 17120 Robert L. Archie Jr., Esq., Chairman School Reform Commission School District of Philadelphia 440 North Broad Street Philadelphia, Pennsylvania 19130 Dear Governor Corbett and Mr. Archie: We conducted a performance audit of the School District of Philadelphia (District) to determine its compliance with applicable state laws, regulations, contracts, grant requirements, and administrative procedures. Our audit covered the period October 17, 2006 through May 6, 2010, except as otherwise indicated in the report. Additionally, compliance specific to state subsidy and reimbursements was determined for the school years ended June 30, 2008, 2007, 2006 and 2005. Our audit was conducted pursuant to Section 403 of The Fiscal Code, 72 P.S. § 403 and in accordance with Government Auditing Standards issued by the Comptroller General of the United States. Our audit found that the District complied, in all significant respects, with applicable state laws, regulations, contracts, grant requirements, and administrative procedures, except as detailed in four findings noted in this report. For example, we found that the District’s continued lack of an independent ...