California Education Audit Appeals Panel

The Education Audit Appeals Panel (EAAP) serves as the neutral arbiter in informal and formal administrative appeals by K-12 local education agencies, correcting errors of fact or law and applying where appropriate a statutorily defined test of substantial compliance. EAAP adopts as regulations, according to a statutory timetable, the audit guide used in those annual audits. These activities set clear standards for compliance with education funding requirements, and allow both the state and local education agencies to avoid lengthy and expensive litigation over disputed funding.

The Panel consists of the Superintendent of Public Instruction, the Director of the Department of Finance, and the Chief Executive Officer of the Fiscal Crisis and Management Assistance Team.

Statutory Authority

Education Code Sections 14502.1, 41344 and 41344.1.

2015-16 Audit Guide

At its April 27, 2015 meeting, the Panel adopted a set of emergency regulations to amend the audit guide and directed staff to begin the regular rulemaking process leading to eventual adoption, following public comment, of the same amendments as permanent regulations.

The emergency regulations were approved by the Office of Administrative Law and filed with the Secretary of State on May 21, 2015.  The emergency regulations will be effective for the annual audits, required by Education Code Section 41020, for the 2015-16 fiscal year until replaced by the permanent regulations through the process explained below.

The Notice of Proposed Rulemaking for the permanent regulations was published in the California Regulatory Notice Register on June 19, 2015.  The Notice, which provides information on the public comment process; the Initial Statement of Reasons, which describes the proposed changes to the audit guide; the text of the proposed permanent regulations; and the proposed permanent 2015-16 Audit Guide were posted on this website under the Audit Guide Rulemaking tab and distributed to all persons who have requested notification of EAAP regulations on June 19, 2015.

After adoption of the permanent regulations, an updated audit guide booklet will be made available.

The documentation may be viewed under the Audit Guide tab, Rulemaking Activity for 2015-16.

2014-15 Audit Guide

At its February 23, 2015 meeting, the Panel adopted a set of emergency regulations to amend the audit guide to address legislative changes in the conditions of apportionment of school funding that affect the current audit year.  The Panel also directed staff to begin the regular rulemaking process leading to eventual adoption, following public comment, of the same amendments as permanent regulations.

The emergency regulations were approved by the Office of Administrative Law and filed with the Secretary of State on March 12, 2015.  The emergency regulations will remain in effect as part of the 2014-15 audit guide until replaced by the permanent regulations through the process explained below.

The Notice of Proposed Rulemaking for the permanent supplemental regulations was published in the California Regulatory Notice Register on March 27, 2015.  The Notice, which provides information on the public comment process; the Initial Statement of Reasons, which describes the proposed changes to the audit guide; the text of the proposed permanent supplemental regulations; and the proposed permanent supplemental 2014-15 Audit Guide were posted on this website under the Audit Guide Rulemaking tab and distributed to all persons who have requested notification of EAAP regulations on March 27, 2015.

After adoption of the permanent regulations, an updated audit guide booklet will be made available.