California Controller Candidate Slams Education Spending Waste
California controller candidate Herb Morgan says the state's K-12 education spending jumped from $97 billion to $151 billion since 2019 while student performance declined amid widespread fraud and mismanagement.
Herb Morgan, who is running for state controller — the office responsible for accounting, auditing and fiscal oversight — has exposed what he describes as an educational paradox: California has dramatically increased education spending while student performance continues to lag, according to New York Post.
The numbers tell a stark story. California’s K-12 education funding surged from $97 billion in 2019 to $151 billion in the current budget cycle, Morgan reports through his “California Radical Transparency” website, a political and financial oversight initiative he established to track state expenditures.
During that same timeframe, per-student spending jumped from $16,300 to $27,400, according to Morgan, an investment professional who has made government accountability a central focus of his controller campaign.
Yet despite this massive infusion of resources, student outcomes have worsened rather than improved, Morgan argues, pointing to what he characterizes as a fundamental breakdown in financial accountability that allows taxpayer funds to disappear into bureaucratic black holes.
Fraud and Embezzlement Plague School Systems
Morgan cited multiple instances of alleged financial misconduct involving California schools and districts. The A3 Education Charter Network allegedly diverted $400 million from state coffers by inflating enrollment figures. At Scale Leadership Academy, a founder faces charges for siphoning $16 million in public funds. In Orange County’s Magnolia School District, a former financial executive embezzled $17 million.
The pattern of mismanagement extends across the state’s educational system, Morgan contends, enabled by inadequate oversight from the state controller’s office.
Incumbent State Controller Malia Cohen praised legislation signed in July aimed at strengthening financial oversight of local educational agencies, though Morgan remains sharply critical of her office’s performance.
California Trails States With Far Lower Spending
The spending disparity becomes even more troubling when compared to states with tighter budgets but better results. Mississippi allocates approximately $12,000 per student — less than half California’s per-pupil expenditure — yet reports higher average standardized test scores in 4th and 8th-grade math and reading, according to National Assessment of Educational Progress data.
This achievement gap despite vastly different funding levels underscores Morgan’s central argument: the problem is not insufficient resources but rather systemic failure in accountability and oversight.
AI-Driven Solutions Proposed
Morgan dismissed suggestions that the controller’s office lacks resources to combat fraud, instead pointing to what he characterizes as a deficit of competence and will. Managing California’s economy — the fourth-largest in the world — requires serious expertise, he noted.
Looking forward, Morgan proposed leveraging artificial intelligence to revolutionize oversight of California’s massive state budget. The state controller holds constitutional authority over any recipient of state funds, he explained, making comprehensive AI-driven monitoring feasible.
Fox News Digital has contacted Cohen’s office and the California Department of Education for response.
With information from New York Post
