LAS VEGAS, Nev. (FOX5) – The State Superintendent is demanding answers on the potential budget shortfall from the Clark County School District, and members took about 30 minutes Wednesday evening to see why things aren’t adding up.

The President of the State Board of Education, Felicia Ortiz, poked holes in the district’s recent response, saying the “potential central budget deficit is because of litigation and cybersecurity,” asking this question.

“Are school districts not required to carry cyber security and like legal insurance?” Ortiz was given this answer from a fellow board member.

“Certainly yes, each school district chooses what their line item budget line item would be in creating the budget for legal counsel.”

Ortiz goes on to ask about funds to cover lawsuits, and her colleague immediately says this, “As I understand, they had a reserve, but they went $23 million over,” said Dr. René Cantú.

Because of potential budget blunders, the State Board of Education wants answers, and could get them on the inside with a Compliance Monitor.

The Compliance Monitor is basically a mole, and will work at CCSD, attend high-level meetings, and report everything they’re seeing back to the State Superintendent, Jhone Ebert.

That’s in addition to her power to file a notice of non-compliance, and ask for a plan of correction, demanding the district fix the budget issues.

And if the district doesn’t comply or make changes?

“The next recommendation I would give to superintendents that we’d file a lawsuit against them and enforce it in a court of law,” said Deputy Attorney General, David Gardner.

But some state board members like Maggie Carlton say these money problems didn’t just happen overnight.

“When Mr. Goudie came in years and years and years ago, we did a briefing, and their reserve was so low it was just totally fiscally irresponsible,” Carlton said. “I really hope somebody will get off the stick and actually go audit this district so that our kids don’t keep getting hurt.”

The district is regularly audited every year.

That same board member says she knows a bunch of schools have money that she thinks could be used towards backfilling the mistakes that were made.

But the deputy attorney general explains the problem with that idea.

“There exist large funds there. The concern is that they’re restricted, and so the central just can’t grab them and then use them willy nilly they have to be used at the local school precinct,” Gardner said.

Multiple teachers have told FOX5 about cuts they’re already seeing in schools, including some positions and after school programs.

When FOX5 asked CCSD about these cuts, we were not given an answer to those questions.

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