The audit also found that Canyon Crest Academy Foundation in particular was missing employee I-9 files required by federal law for employment eligibility verification \u2014 an issue that auditors said could expose the foundation to legal penalties.<\/p>\n
The audit report released Monday raises questions about whether there is sufficient accountability and oversight for San Dieguito\u2019s four high school foundations.<\/p>\n
The foundations raise private money from students\u2019 families and other donors to fill in gaps in programming, supplies and other needs at schools that aren\u2019t covered by state funding. The foundations are nonprofits run independently of the district, typically by a few hired staff members as well as parent volunteers.<\/p>\n
According to the audit, the foundations \u2014 which altogether report millions of dollars in revenue \u2014 do not have comprehensive written policies or procedures to guide their operations.<\/p>\n
They also have not been following proper financial controls. For example, some foundations have not been regularly reconciling their accounts and have made some expenditures without proper prior approval or supporting documentation, such as receipts or invoices, according to the audit.<\/p>\n
Among the audit\u2019s other findings: Foundations were failing to report in-kind donations, were not tracking which assets have donor restrictions and were not recording investment activities in general ledgers.<\/p>\n
For Canyon Crest Academy Foundation, the audit found discrepancies between the foundation\u2019s own records and previously audited balances and filed tax returns.<\/p>\n
Meanwhile, the foundations have been operating with no formal oversight from the San Dieguito school district \u2014 even though the foundations are included in San Dieguito\u2019s own financial audit.<\/p>\n
The school district does not have a formal written memorandum of understanding or agreement with any of the foundations, the audit found. The district should have such MOUs, the audit said, to establish expectations regarding operational responsibilities, use of district facilities and oversight, such as requiring regular financial reporting from the foundations to the district.<\/p>\n
The audit, which focused on the foundations\u2019 activities for the 2023-24 fiscal year, was completed by the San Diego-based CWDL auditing firm.<\/p>\n
Its review was prompted by an investigation<\/a> into the Canyon Crest Academy Foundation published almost a year ago by Litong Tian and Kevin Wang, then high school seniors at Canyon Crest. Both graduated in June.<\/p>\n Their report scrutinized the foundation\u2019s financial practices, particularly its practice of taking a hefty cut\u00a0of the donations made to student clubs to pay for general funds and foundation administrative costs. They also noted that the nonprofit had failed to report its executive director\u2019s pay\u00a0for multiple years of federal tax filings, as required.<\/p>\n Canyon Crest Academy Principal Brett Killeen responded to their report by attacking it in a school-wide email to families, calling it \u201cgrossly erroneous\u201d and saying the student authors needed to be educated on how \u201cto communicate effectively, following appropriate norms and with civility and accuracy.\u201d<\/p>\n![\"Kevin](\"https:\/\/www.europesays.com\/us\/wp-content\/uploads\/2025\/08\/SUT-L-foundation-audit_0009.jpg\")
Kevin Wang (left), and Litong Tian (right), at Pacific Highlands Ranch Park in Carmel Valley on Aug. 5, 2025. (Ariana Drehsler \/ For The San Diego Union-Tribune)<\/p>\n