The biggest finding in the Oskaloosa Schools reaudit was - there wasn’t any impropriety or conflict of interest, only areas of growth to strengthen accounting systems
The reaudit examined concerns related to consulting services, hiring practices, conflict of interest, and financial oversight. The report confirmed that district expenditures were supported and aligned with public purpose while also identifying areas where internal controls can be strengthened.
“The community asked for transparency, and we’ve had it all along,” says Matt Sherlock, Board President. “The facts are clear, no conflicts, no unethical behavior, no abuse of authority. The facts are straightforward; this reaudit did not find wrongdoing by the district. It confirmed that our people acted appropriately and within policy. The areas of growth the auditor identified, we are embracing and making the appropriate systems changes. I’m grateful for the auditor’s office identifying how our schools operate in a safe and healthy manner in the work we do. It’s unfortunate the waste of time and taxpayer resources at Oskaloosa Schools and at the state level that were used to confirm the above-board work that was already occurring.”
The reaudit reviewed more than $1 million in district transactions over a three-year period and found that the vast majority were properly documented and aligned with their intended purpose. 1.5% of those transactions had reporting gaps, and even in those cases, the expenditures were still determined to be reasonable. The 1.5% percent represented less than $16,000 of over $1 million examined by the auditor’s office.
The reaudit found:
* No evidence of conflicts of interest involving district staff or vendors.
* All reviewed expenditures were determined to meet the definition of reasonable and aligned with services provided.
* Hiring practices followed established procedures, including scoring candidates and Board approval.
* Payroll and employment agreements, including for administrative positions, were consistent with approved contracts.
The report did identify areas for improvement, including:
* Monitoring costs associated with consulting services and ensuring alignment with request-for-proposal expectations
* Ensuring all disbursements are consistently reflected in Board approval summaries
* Strengthening documentation practices and internal tracking systems
* Enhancing processes for monitoring licensure requirements for staff
Over the course of three years, the district exceeded an internally set RFP estimate. Every expense tied to that effort was presented to and approved by the School Board. At no point were funds spent without oversight or awareness. The overage occurred in part because the project evolved over time and did not initially have a detailed line-item budget, a gap that was corrected in April, 2024.
In addition, a portion of the work served as a pilot program, in which participation and engagement exceeded initial expectations. Importantly, there was no violation of Board policy or the Iowa Code regarding how these funds were invested. The auditor’s recommendation was not based on wrongdoing, but on improving how future special projects are defined, tracked, and budgeted. The district has already taken steps to implement those improvements.
The superintendent’s license briefly expired, and the issue was resolved as soon as it was discovered. The lapse happened because the district’s reminder system was not sending renewal notices to administrators. That was corrected in December 2025, and all licensed staff receive automatic reminders moving forward. Once the issue was identified, the superintendent took personal leave while it was reviewed, and his license was quickly reinstated. Based on guidance from legal counsel, requiring repayment of work already completed before the district was aware of the lapse could violate wage-and-hour laws.
“Our focus remains on serving students and being responsible stewards of public resources,” Sherlock said. “We are confident the steps we’ve taken position us well moving forward.”
A full copy of the reaudit report is available through the Iowa Office of Auditor of State.