Washington — The U.S. Department of Education Office of Inspector General announced today that it would conduct an audit of the Elizabeth Public School District's (District) compliance with federal cost principles in its expenditure of No Child Left Behind (NCLB) funds.

The objective for this audit is to determine, for the year ended June 30, 2006, whether the District's expenditure of funds for its most heavily funded NCLB programs were allocable, allowable, and reasonable. The District received more than $11 million in NCLB funds for Fiscal Year 2005.

"The Office of Inspector General is committed to ensuring that education dollars reach the intended recipients," said John P. Higgins, Jr., Inspector General of the U.S. Department of Education. "We're going to take a look at the District, and determine if federal funds were used in accordance with applicable federal cost principles. Elizabeth families and students deserve nothing less."

It is its long-standing policy to keep confidential the details of its on-going work. The final report will be issued to the New Jersey Commissioner of Education, the District, and the U.S. Department of Education, and will be available to the public and media.

For more information on the mission and activities of the Office of Inspector General, visit our website at: http://www.ed.gov/about/offices/list/oig/index.html?src=oc

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