The Oversight Gap Putting School Districts at Risk
Public school districts across North America are under mounting pressure: tight budgets, federal funding freezes, and heightened scrutiny over every dollar spent. Yet, the biggest threat to K–12 finances isn’t cybercrime or external bad actors — it’s the oversight gap between district offices and individual schools.
Key Insights
- A major oversight gap is costing school districts millions.
Many districts have strong financial controls at the central office but limited oversight at the school level, where millions in student activity funds move daily. This lack of real-time visibility creates hidden risks that erode resources, accountability and trust. - The vast majority of K–12 fraud happens from within — and it’s twice as common at the school level.
Nearly 97% of cases involve internal staff or volunteers — people who are often well-intentioned but under pressure and lacking proper tools or oversight. More than two-thirds (68%) occur in schools, twice the rate seen in districts, underscoring that most incidents arise where robust financial controls and dedicated finance systems are not yet in place. - Transparency is the new currency of trust
K–12 districts that invest in real-time visibility and accountability into school-level finances do more than just prevent fraud. They protect their reputations, strengthen community trust and ensure every dollar reaches students.
What’s Inside the Report
- An analysis of 93 verified fraud cases across 39 states and provinces — broken down by type, frequency and financial impact
- Expert insights into the pressures and process gaps that create district-wide risk
- Real-world cases showing how fraud unfolds inside K-12 schools
- A framework for implementing school-level financial controls that reduce risk
- Actionable strategies for superintendents, CFOs, and K-12 finance teams
K–12 School Fraud is Preventable
Fraud isn’t just a financial problem — it directly affects student outcomes. Every dollar counts, and every lost dollar means fewer opportunities and programs cut short.
Download the report to learn how to detect risks early, eliminate the school finance blind spot, and protect your district.