Each member of the board of directors overseeing Highlands Community Charter and Technical Schools in Sacramento either resigned or was removed weeks after the release of a report by the California State Auditor that found the school improperly received over $180 million in education funding.
In addition, the report, published June 24, says the adult charter school engaged in “questionable financial transactions” and conflicts of interest, including unlawful gifts, luxury travel and the hiring of unqualified individuals.
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“This moment is about accountability at every level,” Jonathan Raymond, who recently came on as executive director of the school, said in a statement obtained by ABC10. “I asked for these resignations because I believe Highland’s future depends on a clean break from past governance failures.”
According to the local broadcaster, the California Department of Education (CDE) has requested Highlands return the $180-plus million in misallocated funds.
Board members resign en masse
The audit report states Highlands wasn’t eligible for $177 million in funding it received in fiscal years 2022-23 and 2023-24. It also estimates millions of dollars in overpayments were issued due to misreported attendance figures.
During a special board meeting on July 7, members voted to remove Sonja Cameron. The report suggests an employee in a leadership role — with a salary of $145,860 — may have originally been hired by the school with the help of their board-member mother, and lacks qualifications for their current position, including a bachelor’s degree. ABC10 identified the employee as Cameron’s daughter.
After Cameron’s removal, the remaining six board members — Ernie Daniels, Matt Powers, Rick Jones, Sharon Rocco, Mike Reid, and Mary DeChance — announced their resignations. At least three members, however, will remain until replacements are named in order to keep the school operational.
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Meanwhile, pressure is being applied for the school to pay back the funds it apparently wasn’t supposed to receive.
“Those were taxpayer dollars that were wrongfully received by Highlands’ operators,” Al Muratsuchi, chair of the state’s Assembly Education Committee, told ABC10. “So, it’s only right they have to pay that money back.”
Raymond provided a statement to the broadcaster, saying the school is reviewing its legal options, calling the repayment demand “political theater” and warning that returning the funds would force the school to shut down.
“Lawmakers, regulators and CDE cannot let that happen — not to tens of thousands of immigrants, refugees and second-chance students who count on Highlands as a lifeline,” he said.
Hidden costs to students
Beyond the political fallout, families and students may face challenges.
For many adult learners, including immigrants and working parents, Highlands served as an affordable path to diplomas, job training and a second chance at education. If the school shuts down or scales back its services, students may need to seek more expensive alternative options.
Here are some ways students can cope:
- Set up an emergency fund: Building a cushion now, if you’re able, can help you avoid going into debt, or further into debt, in the future.
- Reassess your monthly budget: Trim non-essential expenses and begin building a budget for future educational costs.
- Look for outside financial support: Apply for scholarships, employer tuition reimbursement or nonprofit education grants.
- Request your transcripts now: Secure official records in case your school closes or it becomes more difficult to transfer credits.
For now, Highlands’s future remains uncertain, but the audit has sent a clear message about the importance of oversight in school boards.
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