Resjmme to the Findings and Reebmmendations of tbe U107-24@8 Grand Jwy Repart Response to Findings:*

Sra Jacinto Vdey Academy dbqpea whoily witb Finding #I. The entire premise of the Grand Jmy's report is that the San Jacinto Valley Academy ("SJVA") uses a warrant system, which it does not As a &adf the remainder of the analysis in rbis finding is inacclwte. The Grand Jury's confasion over this mat& may have related to the hct hat a bent submitted to the Ehard was titled "Warrantsn. In Ea4these~aotwammts,butsimplyarcpotttotheBOgTdof~t~~aucS . . alrm@adwrbdbyS NA's ldrmnurtret ' l O IL STVA assumed that the word "wanants" was the DRRXT educational tam for checks that have alnadv been cut and that are being report&-to he board as fimds alnsdy spent STVAw as un~wareth at thty @piallyh a;e a different mewiog (that of a mpwst for checks to be cut) in traditional school districts. Thesce%pdiaaesarereportodtotheBoardto~trsnsparencyandacc~~ty rtlatiagtoall~~oftheJchool~to~submittadtotheWAaudit~r. Weaotethatsuchpublic~totheBoardarenotrequiredforchertsscbooIs,W rather this was aa ex* step tidm by the SlVA B o dt o widei ng.errsed accountability and transparesccy for how tax dollars are being spent. Since the aoceptaace of the financial report was simply a &tion of fimds already apglt~thsnaa~mto~#ly~l~totheindividualsandvendors listed, there was no violation of ~oardB ylaws or policies pertaining to cmtlicts of interest. Towoid~onoverthismatterinthe~.theBoardhas~usinn the term "wam&' and instead will call it a "check rcgi& ~" and has r&d the- acceptance of this xpwt into the body of the mutine monthly financial reports that are prtsented to the SJVA B o d The SJVA policy (see Exhibits A and B) on the formation of both the PAC and SAC call forbathcommitteestoreporttothe~@~theSNABosrd.T hepolicyindicates that STVA bas the right to remove individual parents fiom tbe committees if they do not actin~withthemis9ionandp~oftbegroupesde~bythe~. Someindividual~wererem~vedbytheIrderim~attbedoftheschool yearbecauretheywerenotusingthecom mictee in a manner tbat furtlwd the mission of the charter school. (see Exhibit C) TheBoardandIn~~palsppoiotodnav~tstobothcomm~in~ce Wi~thepolicygDvanhrgthe~amlthecommi~have~uedtofimdion since ttmt time. As a zesult, the ah01w as neva in violation of its charter or policy on the cummittees. 4. SJVA disagrees in part with Fidiig #4. Specifically, SJVA d i iwit h the contention that individual board members should abstain when the Board votes to efect Board members to a new term. The reelection of a Board member to a new term of oftice, which is a commonplace practice amoug nonpmfit corporations throughout the country, is a perfectly acceptable practice. It is really no different than the b tt hat a candidate r e gfo r public office has the ability to vote for themselves in the election. Nonprofit board members have the m eri ght to participate in the decision on who qmsents them in office as any other citizen. Their vote carries no more and no less weight than the vote of anyone else. Moreover, this is much Like the process used by school boards, city councils and county boards of supemisom to elect thew officers. The elected officials vote, and typically the . candidate for the position of chair still votes for himselfmerself SNA does not see how this is any different, and this practice is consistent with its charter and its Bylaws.

Bob Duiskmars, Chair-Elect 3. April Delira, Treasurer x - - x - 4. Bob Hamson Seoretary 5. Roger Schultz, Past-Chair x - 6. Robin Reid, Member -X- Motion to adjourn to closed session at 6:40p.m. M,S . C- Schultz, Delira - 5 - 0 2.0 CLOSED SESSION 2.1 Employee # 2.2 "CONFERENCE WITH LABOR NEGOTIATORS Agency Deslgnatd Representatives: Douglas Ferber, Principal Employee Olganiutlon: Califomla Teachen Association" Mr. Schultz leff at 7::OO p.m. Motion to adjourn closed session at 7:02 p.m. - M,S C Reid, Delira - 4 - 0 1.0 CALL TO ORDER PUBLIC SESSION Mr. McKnght calledpublic session to order at 7:04p .m. 4.0 REPORT OUT ON CLOSED SESSION - - 4.1 Employee# 245 Approved to hire for the 2007 - 2008 school year 4 0 - - 246 Approved to hire for the 2007 - 2008 school year 4 0 - 247 Approved to hire for the 2007 - 2008 school year - 4 0 248 Approved to hire for the 2007 - 2008 school year - 4 - 0 249 No action &ken. No action taken. 4.2 "CONFERENCE WITH LABOR NEGOTIATORS Agency Designated Repmaentatlver: Douglas Ferber, Principal Employee Organization: California Teachem Ascoclatlon" Motion to request a petition for investigation and direct legal counsel to submit all forms to the proper agencies neoessary to investigate as provided for In the letter - that we received from the Publia Employment Relations Board 4 - 0 5.0 PUBLIC PARTICIPATON %biic participation is the time when members of the public, Staffand Board may speak to issues not scheduled - Jn this meeting's agenda Understand that the Board is not allowed to take any type of action other than to gather input. If your item is on this ageada, you will be allowed time to speak when the item is called. Please state yow name and your address when recognized by the Board Chair. This portion of the meeting is set aside for members of the audience to make comments or raise issues that are not specifically on the agenda or for those that are on the agenda. These presentations are limited to three (3) minutes per presentation and the total time allotted to non-agenda items will not exceed fifteen (I 5) minutes. There were no public individuals in the audience. c Mr. Ferber discussed hFr meeting with Kevin Fuller from SJUSD and our computer technician. The meeting went very well. We were invited to pbssiblypiggyback on their license for communications software for teachers and sta--f f: This would also be beneficial - in dealings with the board. r Mrs. Delira commented that she spoke to our computer technician and they both agreed that we have outgrown our current system. -----J -- I - 4isemsion onsrred a r d i ~ " 1 t a d q p X e n i ip rogram. &r &stem will -- incorporate the Independent Sfudy program. 6.0 RFr2ORTS AND RECOGNfTiON There were no reports and recognitions. 7.0 CONSENT AGENDA Items on the Consent Agenda are considered routine in nature and will all be enacted on without discussion by a motion of the Board unless a member of the Board, Staff, or Public wishes an item removed for separate discussion andlor action. There were no items on the consent agenda. - 8.3 Landscaping Mrs. Galindo Motion for staffto provide the results of the soil sample from Ag-Laboratoty, Inc. to all bidders and staffto award the job to the lowest bidder. M,S,C -Reid, Delim-4-0 9.0 LNM)RMATION J3'EMS There were no informution items on the agenda. 10.0 ADJOURNMENT Motion to adjourn at 7:40p.m. M, S , C - Reid, Harrison - 4 - 0 @ropmal PROMISED LAND NU*RSE RY F4S5 Patomtr Rd (Canor P ,,, rlormr & WUIMI) ROm,.n,, CA c/gc/ 72( y m c-n U C. mmv71 "u07aB OX 1/87 (951jiza.sci*2 ceu te PROFCSAl, and C~NTEUCX' - - . -. I .- A We temQ!i ?&wit 6peoiliridiuns armd enlmnsD for MASTER LANDSCAPE w 1980 EATON AVENUE ESTIMATE # HEMET, CA. 92545 PHONE: (951) 652-1536 354-2909 FAX: (951) 652-3686 - NAME IA DDRESS Sen Jahta Valley Academy 480 N San Jacinto San JIFinto, CA 92583 - P.O. NO TERMS REP FOB PROJECT 95 1-487-6767 MY DESCRIPTION TOTAL 55,440.00 L A W 1) INSTALL 360 YARDS OF COMPOST / ROTOTILL AND LEVBL 2) MSTALL APPROXIMATELY 66.000 SQUARE FEET OF FESCUE SOD OR 66,000 SQUARE FEET OF HYDROStZEll 38,845.00 OR 40,000 SQUARE FEET OF SOD, 26,000 SQUARE FEET OF HYDROSBBD 50,940.00 4 W k - - - - - - - - - ---------- $145,225 00 SIGNATURE Estimate UCM 418 E. Flwlda Avenue Hemet, CA 82543 Dab 61~812009 (951) 9297173 L h s em 1638 Estimate to: For: San Jecinto Velley Academy San Jednto Valley Academy 480 N. San Jacinto Avenue 480 N. San Jadnto Avenue San Jacinto. CA 92583 San Jacinto. CA 82583 " Duulptbn Amount Subtotslr SOD APROX. 40,000 SQ MAT AND LABOR 15,708.00 FURNISH AND TILL SOIL APROX 40,000 SQ 4,835.00 20,643.00 FURNISH AND INSTALL NEW HEADS ADD 4 NEW ON THREE ZONES OVER ENTIRE AREA. 1,935.00 1,936.00 FURNISH AND TILL SOIL AF'ROX 26,000 SQ 2,800.00 HYDROSEED APROX 26,000 SQ MAT. & LABOR 2,765.00 5.368.00 *,- PAYMENT DUE UPON COMPLETION s n,w.oo TOTAL Bld Armpled By: THANK YOU FOR YOUR BUSINESS1 EXHIBIT G - - P.O.B ox 1269 455 East Alvarado Street Fallbrook, CA 92088 0 (760)7 28-4828. Fax (760)M B-BSOl San Jlcfntwl Valky Academy 480 Norift San Jacfr& Avenue 8an Jadn6o CA 92'683 The result8 of the sol1 analpis are as fqllows: N P K CL Ct . s ~(asa fst) PH EC P P ~ P P ~ P P ~ p pin nleqlL ms SolII .FleId 7.8 U.84, 8 2.6 129 57 i .8 2f8 SaII It 8A 0.32 7 6 f23 28 0.8 206 a.w SOB 20 8 15 IQO 28 0.8 zad Optimum Soil: 6.0 e.60 22 22 225 <70 2€ 464 % of Meal sdll 132% 100% 36% 114% 57% 100% 100% 100% % of Meal Soil11 140% 100% 32% 27% 55% 100% 100% 100% % of kleetl Soil 20 138% 100% 27% 68% 44% 100% 100% 100% % of ideal K C L G L T D S p p n p p n p p n p p n - " --- ppprppp-p- ------- CQIw Kay: Uptlmum Ranges: god pH:5.56.5 EC:e.80 mho Nmn(N):1 5-30 Phosphorus/P): 15-30 Potesrium(K):lM)300 ChMe(CL):qO ppm, <2 mq/L TDS:*384 San Jaclnto Valley Academy iadpw Page Two re:Wrbr Analyals The regub of your water analys'i are as follows: w Cb CL Watsr ( W a ) pH EC ppm m W - TDS * W6Bt Zkmpb 7.5 7710 85 2.4 440 Optknum Water 7.0 Thank you for your business! Tofa1 I ooa. I ' IU~Wu ulldlng 5603.1 . New Bullding BoH Checking Accou Sod and Hydroseed & Mower WVA GENERAL ACCT. - United Communities Network . 7693.1 New Building 7693.1 . New Building BoH Checking Accou Sod and H y d d& Mower lnvoic United Conrunitiea Network 4 18 E. Florida Avenue Hemet, CA 92543 I Date I lnvolce# (951) 929-7173 EIN: 33-0532424 BM To San Jacinto valley AcadePny 480 N. San Jacinto Av~nue San Jacinto, CA 92583 Job# Tern 0575 Due on racei~ m Rate Amount Fid billing for extra costs for spnading fatilizsr 6,600.00 6.600.1 # Thank you for you bushess! Tofa1 I BoH Checking Aocou Landscaping SJVA GENERAL ACCT. San Jacinto Nursery 7693.1 New Bullding BoH Checking ACCM~ Landscaping ~O(UDIIIUPUS~ UWMIOI rwMlrrm NURSERY EXHIBIT I EXHIBIT J San Jacinto Valley Academy Certificated Teacher's Salary Schedule Effective July 1, 2003 WHERSC AN BE CREDITED 1VWTH UP TO 12 YURS EXPERIENCE QUART~Rm n ram M COWERED m sa~rmmW TS. A CNJARTER lmrr m tn OF A SEWESTER UNIT EXHIBIT K -R.r -NovankK 18, #wn Fabnray 1B-% 2M8 RaJdemd.y F e & u u y 1 8 , 2 0 0 8 ~ ~ a S m . Mueh 6,2008 w - m Febnury222008WWPldu~~ Mreh 4, 2008 mR.r W D y M S Y ~ ~ , M ~ ~ O F ~ MyP,2M8 w7-11,- -LMtthyOfsdlWl JWW, 12,2wB LreneP Ekwammm # of^ FbatFrirbydthoronth July 13, XI07 must 16,2007 - I7 -m Se9tmbr20,2007 (schmld.vsn9atE12WW] Tl Nomm~27,2007 Odobw 18,2007 Recess T2 Mreh 20.2008 t&vmb~1 5.20(37 T3 June 10. MOB Dewnb~20.2W7 January 17,ZWB Fsbrusry28,2008 . ConfmmmDays S1 ~ U S 3Q1,2 008 Matdl 20, XK)8 (sehoold.ysnola EI:~WS~XIO) S2 June 11,2008 AprU 17,2008 T ~ ~ ~ & P D k y1 6,2M8 June 19, MOB NewTeacherOriBntBtkn EXHIBIT L EXHIBIT M 1826 Palomar Oalm Way, Sulte 204 (760)7 31- 6262 Portable Services Date: Inc. Fax (760) 731 -725ZCwtomer Se~lce Invoice #: Fax fi'Sdl7319280 Account. Receivable PO / Job#: Project: SAN JACIMO VALLEY ACADEMY SAN JAClNTO VALLEY ACADEMY 480 NORTH SAN JACINTO ST 480 N. SAN JACINTO AVE SAN JACINTO, CA 92583 SAN JACINTO. CA 92583 Order #: 28943 Payment Due By: OBI0 112006 Account #: 6769 Qty Dsscrlpt~on Rental- P eriod Days Renl Rale Amount 4 HANDICAP WI INSIDE SINK 08/22 09/18 28 510.00 $40.00 T - 4 Delivery Charge 08/22 08/22 1 $50.00 $200.00 - 4 SERVICE. FIRST SERVICE DAY 08/22 0908 28 5135.00 $540.00 1 Fuel Surcharge 1 542.90 $42.90 Due to fluduation in fuel prices, you may no- a change h your fuel surcharge. SuMotal Please review beck of invoice for rental terms and conditions. Sak.Tax 7.75% Payments/Credlts Balance Due 1926 Palomor Oaks Way, Suite 204 Cedebad, CA 92008 (760) 7914252 K r t a b ' k p M&y Date: Fax 1n t - ~ ~ 2 ~ ~ u s tsoernviwcer lnvolce #: Fax (760 7319280 Account. Recelwble PO 1 JOM Project: SAN JACINTO VALLEY ACADEMY SAN JAClNTO VALLEY ACADEMY 480 NORTH SAN JACINTO ST 480 N. SAN JACINTO A M SAN JACINTO, CA 92583 SAN JACIMO, CA 92583 28943 Order #: Payment ~ uBeY: 09/29/2006 Account #: 6769 QLy Description Rental -P eriod Days Rent Rate Amount 4 HANDICAP WI INSIDE SINK 09/19 - 10116 28 $10.00 540.00 7 4 SERVICE - FIRST SERVICE DAY 09/19 10116 28 $135.00 $540.00 I Fuel Surcharge 1 $31.@0 $31.90 *Spankye Portable Services pmvides Concrete Washout pumping for your Subtotal convenience. Please call today to schedule your next service. Sales.Tax 7.75% Please review back of Invoice for rental terms and cordtions. PaymenWCredlts Balance Due 1926 Palomar Oab Way, Suite 204 C8rl.b.d. CA gZMHI (760) 791-1252 Date: Fax (760) 731-7262 Customer 8ervlce lnvolce #: Fax (760)T BIJ280 Accounts Receivable PO 1 Job*: Project: 6AN JACINTO VAUEY ACADEMY SAN JAClNlO VAUEY ACADEMY 480 NORTH SAN JACINTO ST 480 N. BAN JACINTO A M SAN JACIMO. CA 82583 SAN JACINTO. CA mb83 Order #: 28943 Payment Due By: 10/2712006 Qty Description Rental P- eriod Days Rent Rate Amount 4 HANDICAP WI INSIDE SINK 10117 - 11H3 28 $10.00 $40.00 7 - 4 SERVICE FIRST SERVICE DAY 10117 11113 28 $135.00 $540.00 1 Fuel Surcharge 1 $31.00 $31.90 'Remember Cal OSHA mandabs that a mlnimurn of one wssh station shall be Subwal provided for each 20 employees or fractian thereof. Call Spanky's to ensure Sales Tax 7.75% ywr job site is in compliance. Peyments/crecms Please revkw badc of lnvolce for renal terms and conditions. Balance Due Date: lmrdce I: PO I JoM: Project: SAN JACINTO VAUEY ACADEMY SAN JACINTO VALLEY ACAMMY 480 NORM SAN JACINTO ST 480 N. SAN JACINTO A M SAN JACINTO. CA gp583 SAN JACINTO. CA 92583 Order #: 28943 Paymenl Due By: 1,124t2006 Account #: 676g My Description Rental Period Days Rent Rate Amount 4 HANDICAP WI INSIDE SINK - 4 SERVICE FIRST SERVICE DAY 1 Fuel Surcharge W ew ant to wish you e Happy HolMays, from our family to yours! Please review back of invoice for rental terms and condliions. 1925 pa lo^ Oaks Way suite Carlabad, CA 92008 Tel: (760) 731-5252 Fax: (780) 791-7252 lnvolce t: 640463 Involw Date: Dec 12,2006 Page I: 1 PO Number: Sari Jaclnto Valky Acrdemy 9 0N . Ssn Jadnto Ave S8n Jachto. CA 92583 m pWlkvrM e Shk - Rentel Dss 12. - Jan W. ZW7 5 10.00 28 1xWeskSavlor Dee 12. aOOB Jan 08.2007 1135.00 28 Fuel S w6 . W 6.50 % MWCanty 7.75 % -.. _r_...*. ..... .,"-* is25 Palomar Oaks Way Suit. cadsbad. CA 82008 re#:( 760)731-5252 Fax: (760) 731-7252 lnvolca I: 64581% lnvolca Date: Jan 09,2007 Paga #: 1 PO Number: San Jaclnto Valley Academy 480 N. SM Jadnto Aw San Jadnto, CA 92583 r (41 Son Jadnto Vahy academy, 480 ~ormsa n h t o a ,' n Jadnlo. a. 92 583 mm!cap w~lmldsS hk - R& Jan 08. M07 Feb 05,2007 1 xWeakSWic~ Jan09.2007-Feb05,2007 Fuel Swsharge 5 59% San aepo ccwy Carlabad, CA 92908 Tel: WO) mbzsz Fax: @J) 73f-7252 lnvolu C: 6WD85 lnvolce Date: Fob 06,2007 page C: 1 PO Number: San Jdnto Valley Academy 480 N. &n Jacinto Ave San Jadnto. CA 92683 - -. .. .< --.- --...-- 1925 PalOrmr Oaks Way Suite Carlobad, CA 92008 Tel: (760) 7314252 Fax: (760) 791-7252 Involce #: 657215 Invoice Date: Mar 08,2007 Page I: 1 PO Number: San Jacinto Valley Audemy 480 N. San Jaclnto Ave San Jaclnto, CA 92583 - C - ~uan-n -b. - -- DncripUa, -- - IM.1 hM UnRPw DayrRenI Exantion (4) San &to V a ~~yo ademy 480 Nmh San Jaanlo 61 San Jadnm. CA 92683 Hardcap wAnstde Slnk 4 Rental Mr06,2007 &$s102,2W7 51000 28 140 . I x Weak Savm k 06,2007 Apr 02. XX17 S13500 28 $540 FudSunhsrp.55M( 560% 131 SanmCamy 775% Invoke ToUl T0pennt8q~durcIge,pkasa&tlDlu~l,~WWS~lraSh~~ such Items; bevenpe MW.sd t-dmk cans, nempppsr,p abW ahWws, wood. nalh,ndotherikms. lnvdw R 662952 lnvdce Date: Apr 03,2007 Page R 1 PO Number: San Jaclnto Valley Academy 480 N. 8an Jacinto Avo San Jaclnto, CA 92563 (4) San Jadnto V&y Academy 480 Nmlh San %to St San JMO, CA 82683 Aln03,2007.-A @r30,2007 Aln 03,2007 Apr 30,2007 INVOICE Bpnnky'. Portlbk Services 1825 hlormr Oliu Way Sub 2( Culsbad, CA #ZOO8 nl: ( 7 ~73)1 .~52 Fa: (760)7 31-7252 lnvdw dl: 068355 lnvdce Datw May 01,2007 Page #: 1 PO Number: S8n Jadnto VJhy Academy 480 N. San Jdnto Avo San Jadnto. CA 92583 (4) San &&to VaMy Acwhmy 4e€lNorhSsnJadntoSt San kdnm. CA 82583 wndfi.p WllMIde Shk Rental IXWoekSwulcs 1xwrkSrv*a Fuel Swchnrp 8.m -- kDi.goCanty Inwla To111 S a7.E , lnpaM~~nadltm~-vmh(hirln~hRpwdttom ~kuaeB¶ahwrrWNrnhM.yT.ha nk you. .- - . y,,-'.', -.--".--I 1025 palomar oak way suite : Carlobad, CA 92008 1.1: (760) 731-5252 Fax: (760) 751-7252 Invoice #: 673430 Invoice Date: May 29,2007 P.gs fl: 1 PO Number: San Jadnto Valley Academy 480 N. S.n Jacinto Ave San Jadnto, CA 82583 (4) sm Jacinto V*y Academy 480 NwVl San Jadmo St San Jadnto. CA 1€2683 H a mwl inside Sid - 4 R9nw May 29,2007- An 25,2CQ7 4 1 x Week %vim MPy 28. M07 Jun 25.2W7 Fusl- 5.50% oaOo San Counly INVOICE SpanW PO~tlMaS orvice~ 1025 Palomar Oaka Way Sulte 20 Catisbad. CA 9200.9 Tel: (760) 731-6252 Fax: (760)7 31-7252 Invoice 2: 678859 lnvolce Dlt.: Jun 26.2007 Paga R 1 PO Numbar: San Jaclnto Valley Acaduny 480 N. San Jadnto Avo San JaclMo. CA 92583 I san (4) Jadna vahy Acsdemy 480 hthS an Jadnb 81 San J w .C A 82589 H a mw ll#lSkk Shk Rent.1 Jun 26.2007 - - Jul23.2007 1 X week swim Jun 2s,m 7 JUI 23,2007 Fuel Suehsge 5.SOK sari m-1~ GT2 Spank fs INVOICE 8plnky's Porloblm SsMws 1- Palomor OIkr Way Suite 204 ca-d, CA 91001) TC~:( 7w) nfrm Fax: (160) 739-7252 lnvolu k 66421 8 invoice DaW. Jul 24,2007 P.0.1: 1 San J8cinto V8Ihy Academy PO Nmnbrr: 480 N. San J.cinto Aye San heinto, CA 92663 RnrmbrC .I OSHA ~ n d r histn t a rnMmum d or* vnd~itr um rhlll be p m Wb r- 20 w wor h.Etio n lhwd. CdS pnkfs to mmun your nwa ir in eanpkanee, - - PRI.mvmwMe,kdkvMCImrenwtffrmmaeonmuon~. I $ m Cvrroni j mom SIW : t 0.I son I rUIORWUOHlAtmRAWI*U)IVRrORIIQlmniVWllPAYYN1 - San .lacinto V8lky Acad.my Cuctemer lt. 0WIU 000004 Invoim #. 684zIS hrvola Dab: Jul21.2007 PO Ntttnkr: 'rr In-Totar $q.W Smnky's Poltlble Services 1928 Palomw O.k. Way Suite 201 Carhbad, CA 92008 INVOICE Spankfa P eSewk m la26 Palomar Oaks Way SUHe 204 Invoice ll: -67 Invoice Date: Aug 23,2007 Page ll: 1 San Jadnto Valley Academy PO Number: 4.90 N. Sm Jaointo Aw San Jadnto, CA S2583 D=mk- Puled Un** (5) &an Jadr~~VausAyc &my 480N. SenJscMDAve San Jadnto. CA 92583 Hs~vnlnMeSW - - ( lsnm dey ) Hsndlcap wllnside Sink Work Order 15780 Rntaf AW 23.2007 -Sap i9.1007 1 xWe&Sw& Aua23.MO7-~19.Z0O7 F dS uchageS.SM( -Cour(y ve*ed-,~~ywrinwlcarrfora28dypericd.nd~pn, fm WlMlsf or emiy muma ~rsvlewbadcothVdmlor~ntal~adomdHhms. Qunn( Sbm IMO w-la0 PfqecthhnmDU . ,' 1 . ,, - .. INVOICE Spanws Polt.bk Osnrlces 1825 Pal0ln.r oaks way Sub 204 Cat1sb.d. CA 92008 Td: (760)7 314 25 Fax: (70) 791-7252 Involw I: 890746 Invoice Dalw Aug 31,2007 Page X: 1 &ni Jadnto V8Iley Academy PO Numbec 480 N. San Jidnto Aw San Jecinto. CA 92583 C)SnmV*lsyhdew 48ONor(h8snJIdntoSl San .kinlo, CA 02583 anqech--w G r d P d a n d W o n m i l 8 ~ u p ~ 7 liulobw-shk - - Aaup mdhs45a Sink Wolk Order 15978 Fud 8uohsrpe 6.60% I ~ , ~ ~ w r ~ k ( o r s 2 8 d . y p r l o d a n d t h . m s n Ions for auiy rs(w. San Jadnto Valley Aad-a my CrPtomrr X: 005164 000004 lmolo n: ow748 Invoice Date: Aug 51,2007 PO Nunb.r: r' --~qs+-- +' 1 8panl~%Po rtable &rvkes la25 Palomv Oaks Way Sub 204 Catisbad, CA 920011 CnditCard#: I I I I I I I I I-~-~-l-l-l-~-~-~-~-~E~:-~- Signature: EXHIBIT N Home I My MSJC 1 Blackboard I &-I: Index I Contact 1 SIC Whd Damage Photos Rdatwl S k San Jadnto Campus Wind Damaua, Omher MSJC in the News zQQ2 - _.- . .. ~. ... ..~ ... . .. - .. .. .. - . . . -~ - , . The San ladnto campus alone was hit wlth gale-force winds, SIC Wind Dmaw Photo6 toppllng about 50 trees, Mowlnp air wndltioner unlts off kilter and scndlng sand and dust lnto~oflcu,d sssmoms and the CPiond8r Ilbmw. Even though wlndows and doors were closed, sand and dust lnfllbateciwmputen, alr ducts and the elecbical master switches,' These must be deaned and lnswctcd before power chn be restored, sald Jon Tyler, lntirlm president of Mt. San Jadnto College. Freak Oct. '07 windstorm left damage, dust, red tape for San Gorgonio Pass and San Jacinto Valley Hi k t I t) (8 CI"T:k ..., id11 Qownload story podcast OR14 AM PDT on Monday, April 21,2008 By STEVE FETBRANDT The Press-Entcrprlse File video: Oct. 21,~windstonnde strovs barn and pet supvlv shoi~n San Jacinto Six months to the day after a devastating overnight windstorm turned the northern San Jacinto Valley and San Gorgonio Pass upside down, some homeowners and businesses are still climbing out from under the mess while others have moved on. The Oct. 21-22 freak storm had winds measured by the National Weather Service in excess of 50 mph for 19 hours. Unofficial sources measured gusts at more than 100 mph. It killed or maimed as many as 20 dairy cows, leveled a pet-supply business, toppled trees into yards and onto homes, tore off roof tiles and shingles, snapped utility poles, and blew down block walls. In some parts of San Jacinto and Beaumont in Riverside County, sand drifts buried streets and yards waist high and fine sand seeped inside homes and vehicles. A sampling of homeowners and business owners indicates mixed recovery success in the private sector six months later. Some say they are pretty much whole again, while others continue to negotiate outstanding insurance claims. Nearly everyone interviewed remained bitter, however, about the federal govenunent's refusal to help offset the costs. Dairy Cows Killed J .^1 Among the hardest-hit businesses was R&J Haringa Dairy in San Jacinto. Blowidg'pieces of metal and wood killed four or five cows, owner Ron Haringa said recently, and injured another 15 so badly they could no longer produce milk. Haringa also lost money due to two skipped milkings of the dairy's 2,800 COWS. Haringa said his losses came close to $1 million. While pnvate insurance covered most of it, he had $33,000 in out-of-pocket cost for the cows, which were not covered. "You just deal with the way it comes and do your best," he said. "If I had my choice, I'd never see another windstorm." To date, the Riverside County Office of Emergency Services has put the total wind damage at $7.1 million for public facilities and $5.2 million for private homes and businesses. The hardest-hit town was San Jacinto, which experienced an estimated $3 million in damage between public and private property. So far, the city has spent $293,000 cleaning up and repairing public property and facilities, while residents and businesses have shelled out about $2.7 million for damage to private property, drawing mostly on private insurance. Disaster Declaration City and Riverside County ofticials declared a local state of disaster within hours of the windstom. Gov. Schwarzenegger sought to add the wind damage to the disaster declaration President Bush issued for the numerous wildfires that were raging throughout Southern California at the time. FEMA denied the request, saying they were two separate events and the wind damage did not meet the threshold for federal assistance. Story continues below 2007 / The Press-Enterprise Winds that swept across the San Jacinto Valley on Oct. 22 piled sand into drifts that nearly buried vehicles and did millions of dollars in damage to homes and businesses. San Jacinto, which had an estimated $3 million in damage, was hardest hit. Bonnie Reed, administrative services officer for the county Office of Emergency Services, said homeowners "got absolutely nothing" born the federal government. However, public agencies were eligible to receive up to 75 percent of their wind-damage costs reimbursed by the state under the governor's emergency declaration. FEMA press secretary James McIntyre said the federal govemment could not provide assistance because most of the wind damage was covered by private insurance. "We cannot duplicate the assistance given," he said. To meet federal disaster standards, McIntyre said, a catastrophe must involve a large number of uninsured people with damage so overwhelming that local jurisdictions cannot cope. FEMA representatives assessed the area, he said, and did not find those circumstances. County and state officials, meanwhile, note that FEMA approved a similar state request during the 2003 Southern California wildfiies. Peter Lent, who heads the Riverside County Office of Emergency Services, said FEMA needs to better define "disaster," clarify the rules for obtaining federal assistance and apply them more consistently. Bob Duistermars, head of Hemet-based Cenfral County United Way, is still bristling over the federal government's response: "The city of San Jacinto did a wonderful job. The state did its job. A lot of the insurance companies did what they contractually had to do," he said. "I would thiit he feds would have given tremendous weight to the state and the governor declaring a disaster. To use a technicality just to walk away bothers me tremendously." Help Here and There The October fallout still has not settled for Mt. San Jacinto College. State aid and a college self- insurance pool helped pay for cleanup and repairs totaling $3 million so far, said Karin Marriott, a college spokeswoman. Story continues below been hasn't replaced. An adjacent pet supply store is now closed. San Jacinto resident Calvin Smith, owner of C.L. Smith Hay Co. and C.L. Smith Pet Supplies on the Ramona Expressway, had to move out of his house for three months while repairs were made. The wind also blew down most of his pet-supplies store on the same propmty, forcing him to permanently close the retail business he started in May 2000. Smith has had 14 insumce adjusters visit his property for claims he made on four policies. "We were pretty well destroyed," he said. "Insurance-wise, we're still dealing with some of that. Most of the things have been settled. I'm not bagging on my insurance company. They've been as good as can be expected." Riverside County and San Jacinto both set aside small pools of money to help senior citizens and low- income homeowners meet their insurance deductibles or pay for housing repairs. Carolyn Hicks, 66, who lives in the Country Lake Mobile Home Community on State Street just outside San Jacinto, was uninsured. Friends, church'members and mix of nonprofit and Riverside County assistance helped repair the damage to her home. "We shared resources, we shared information and when you're in this disaster, you just have to share and share the love," she said. In Beaumont, Thornas Cheekmore moved his pregnant wife and two children into a San Bernardino hotel from their Daisy Drive home. Ten weeks later, the farpily moved back into their home with their newborn baby, Alyssa. Creekmore estimated his recovery costs at $30,000. "I try to not think about it," he said. His homeowner insurance has paid his mortgage company. As for lessons learned, Creekmore said: "I guess the lesson is patience ... (and) don't do anything unless it's authorized. And take time, before disaster hits, to review insurance with someone who is knowledgeable and make sure the policy is up to date." Staffwriters Herbert Atienza and Gail Wesson contributed to this report. Reach Steve Fetbrandt at 951-763-3473 or [email protected] EXHIBIT 0 .. . . . -..Y ... . .. - EXHIBIT P Policy No. SAN JACINTO VALLEY ACADEMY BUSINESS: PROCUREMENT POLICIES AND PROCEDURES 1. General It is the intent of San Jacinto Valley Academy ("Charter School") to conduct all procurement activities consistent with the guideline set forth herein. The Charter School practices have been designed to give fair and equitable treatment to all persons who deal with our procurement system, to provide maximum economy in our procurement activities, and to foster competition within the free enterprise system.

Procurement Policy Any procurement of goods and services shall be made by the (governing boardprocurement officer/authorized agent), in their best judgment, upon considering the totality of the circumstances surrounding the procurement, which may include but not be limited to price, quality, availability, timelines, reputation, and prior dealings.

Informal Bidding All purchases over $10,000 but less than $20,000 must include documentation of a good faith effort to secure the lowest possible cost for comparable goods or services of similar value. The Academy shall not approve purchase orders or check requests lacking such documentation. Documentation shall be attached to all purchase order and check requests indicating that at least three vendors were contacted and such documentation shall be maintained for three years. Informal quotes or proposals- for goods andlor services may be requested and received in writing by mail, email, facsimile, and/or verbally, such as by telephone, so long as properly documented. >. Formal Bidding All purchases in excess of $20,000 must be bid by the competitive bidding process described in No. 8 below. Use of Com~etitiveB idding I. The Charter School shall not be precluded from using a competitive bidding process as a method of entering into any contract for the purchase of goods or services that is not SAN JACMTO VALLEY ACADEMY BUSINESSP:R OCUREMENT POLICIES AND PROCEDURES covered under this policy.

SJVA disagrees partially with Finding #5 in that SJVA believes that no funds were ever misused in the operation of SJVA The finding of a misuse of SNA funds appeam to center on three issues: the landscape project done at the school, the credit card use (as explained above), and gift cards purchased for teachers. We already addmsed the credit card use issue above, but will address the other two issues in greater detail now as we believe that erroneous information led to this tinding. With regard to the landscaping project, the SJVA did not hi an unlicensed landscape contractor. SNA hired UCN (see Exhibit F) to spread soil amendments and lay sod in aumdauce with the guidelines established by a retired landscape contractor (see Exhibit G). The SNAd id the project as an owner-builder. SJVA paid for all materials and paid UCN for the labor. Although it is true that a member of the UCN staff is the son of a Board member he is also a l i c dG eneral Contractor but he was not hired as an individual or a Contractor for this project. His UCN salary was in no way impacted by this project. The staff members of UCN are on fixed salaries that are not changed by individual jobs. The grand jury inaccurately states tbat the project cost was $70,000. In fact it was $37,951.12 (see Exhibit H). This price includes the additional labor that was required to spread the fertilizer r e ~ ubyd th e landscape contractor. SNA was informed that one of the fertilizer brands the contractor selected was not available in bulk due to it being on the homeland security explosive materials list. Therefore smaller bags were purchased and it added to the total cost of labor because it was more time consuming to use the d e rba gs. The grand Jury inaccurately portrayed this lawn as failii when in fact it is flourishing and is in heavy daily use by hundreds of children (See Exhibit I) Although SJVA acknowledges that there is a ridge in the lawn &, this is the dividing line between the sod and the hydro seed pations of the lawn. 'Ibe depth of the "ridge" cited is less than what can be found between varying play sdaca on tbe San Jacinto Unified School District playgrounds. No one has rn been injured at the SJVA due to the ridge, nor has anyone been injured at the District playgrouads to best knowledge of the SJVA. With regad to the gift cards in the amount of $25 that were given to each of the teachers, staff aud Board members, SJVA maintains that this was not a gift ofpublic funds but ratbef a incidental mount of compensation pruvided to the t&d~&aadB oard memh. Teethe? and &salaries from the San Jacinto Unified School District ("Ma"a)re signiticantly higher than.* paid to SJVA teachers and staff. (see ExhibitJ) The~ooofSNAwastNj-n g- to&som~nicetoke~~&all herd of their work, particulurly in light of the diffeffmx in saltuiesbetween the District and SJVA. SNA would like to note, since the grand jury did not do tborougb research on this matter, that otha chatter schools throughouI Califwtlia have given sigoificant cash bonuses to teachers. By comparisoa, SJVA's action was a token amount that was intended to convey appreciation for a job well done. Further, SJV.4 would like it noted that its BoaFd saws on an entirely voluntary basis and d v e sn o compensation for its WodL The District's l3oard members, by contrast, receive a $240 monthly stipend and 58,150 per year toward medical benefits. SNA has been very hqalw ith the public's money. A gift card of $25 to thaBk Board members who have spent lumdreds of how. on. school business throughout the year is oertainly a good deal i%r rhc axpayens consdenng.b y~thernorethanS10,OOOpery~ provided i0 salary aad bensfits to District B o dm emben.

SJVA porbhlly .gras with Ehdhg Y6 that dPring an approved and scheduled teachc18' hb&g sadon on November 17,2007, wUb a paid comalhnt, the Principal .ad ~es-tatantP rWpdr emoved teachem hit he training session to conduct perfow*nee evll~tions. The Academy is commbd to professional development aad inco~pomtesm ore training days and -ties tban traditid disiricts. (see Exhibit K) Because of the turmoil @by& terminsted principal, the new principal was behind in the teacher review pl.ocess He invited a variety of teachem for a 10 minute discussion of their reviews. Becsuse of the we numbs of additional scheduled tmbhg days, the Aon - may movev arious teachers from parti& traiaiag eve& for otha duties, or assign a variety ofdiflkmnt teachers to various trainimp if the Administrator feels that to do so is in the. b .es t intgest of the school andlor M. At no time did any teacher complain to the Administration nor the BoPrrd about the pmtice. And m yw ere thenkful that that timely e mall owed the Board to offer raises and contracts to most teachers. 7. SJVA d mwholly with Finding #7 relating to the safefy of the buildings operated by SJVA. SJVA has Certificates of Occdpancy for all clas~roomsa t SJVA and the City of San Jacinto has never asked SJVA not to use any classmom a other build'i for any reason. Additionally, SJVA took photos of its restroom tkilities, some facilities nearly 10 years old to deraonstrate the level of cleanliness in the facilities. (see EKhibit L) lkm has never been a complaint against the Academy 6om any of the agencies listed in this Wag. Not ~ I KtheI D epartment of Health, the F i M arshal, nor the City Building Depailment. SNA contracted with a local company to provide ports-potties for emagmcy use while new bathom% ere comtmded. Then? bave always been adequate bdroom fadities on ampus, but tbe Adminisbation felt that the existing facilities might not be close enough in an emergemy. In In wntmct with the company, the Academy included weekly cleaaing of t h.e- P In addition, Academy staff cleaned them as needed betweenvi&. 61VAisprovi~copiesofits~~forregularmain~offhe kilities. (See Exhibit M) The photos of the pm-potties included in tbe Grand Jury report were taken imm&diately after a wkhorm that caused millions of dollan of damage to the city, and thousands of dollam in damages to SNA. (m Exhibit N) The P ~ ~ & ~wKereW tiSppe d over by the windandsomeoftheircontentsspilled. Studartewexerestrictedfiomtheareaaudthe porta-potties were removed by the contrectjng company. Thetanmdmpdidfilwhaaasftrdsntj@ontheramp. Itwas immedkrtely repaiRd with difkmt materials and soon after was replaced by a metal ramp when new bathmorns wcre installed. 'Ibe failure was not a mhtemm issue, but an uokmwn wealmess in the bbcr. No one was injured in the event and mai&maa staB solved the problem. The baseball field is a dirt field, not too dissimilar fmm dirt playfields throughout our valley. (see Exhibit 0) It has bam graded and is in mnable shape for a dirt field The pbDtos &luded in t h e u dwesrde a~&n talren immediately follow& the catastmphic sacad storm and the u n e v k s bowa is the rewJt of blown sand that had not yet been leveled. No child used the field until the sand was bladed away.

Professional Services Contracts The Charter School has the authority to hire such professional services as are needed for the operation of the School without complying with the bidding procedures described herein. Such professional services include, without limitation, services provided by the following professionals: attorneys, architects, engineers, accountants, computer technician, construction management, and financial advisors. In selecting professionals for engagement, the School may consider all relevant factors, including experience, education, expertise, reputation, and cost. The selection of professionals shall be within the discretion of the School Board.

SJVA dhpces wboUy with Finding M. SJVA is a closed campus. Gates are locked at 8:30 am. and are not opened until the close of^ VemtorsmustcomethroughtbSJVAofficetoaccess.t .h ecampus argetagategateffarrucLacces SJVAisasmall~andtheadmuustrat'orn is well aware of who is on campus tml fix what purpose. Additionally, omx the vendor states that the work is comp1- all work is verified by staff prior to payment. 9. SJVA disagrees parti.uy with Pindhg #9. The report incorrectly cites to public agency bidding laws applicable to school districts (Education Code Section 39802 and Public Contract Code Section 201 11) as justification for its finding that bids were split and that the bid process required by law was not followed. However, SNA is not subject to the public bidding laws that are applicable to school districts because Education Code Section 47610 exempts charter schools h m most laws goveming school djstricts. J3ucation Code Section 47610 states, in relevant w: "A charter school shall comply with this part and all of the provisions set forth in its charter, but is otherwise exempt tiom the laws governing school districts, except all of the following: (a) As specified in Section 4761 1 (b) As specified in Section 41365. (c) All laws establishing minimum age for public school attendance. ." (d) The California Building Standards Code.. Fducation Code Section 39802 is pt of a statutory scheme psrtaining to bid for transportation services pvided by school districts, not charter schools. It does not even mention charter schools and -on services wav not even the subject of this srandjlny repd statin& Additidy, Public Contract Code Section 201 11 begins by "The governing ." board of any school district.. SJVA is not a school W c ta nd thus even by the plain meaning of the statote, Public Colrtract Code Won 201 11 was never intended to apply to SJVA. Unfortw&ly, the grand jury's completely erroneous misstatemmt regarding the applicability of tbese laws has alnedy cawed gwat harm to the reputation of SJVA and its Board We believe an apology from tbe grand jury is in serious order. We would like to note that m spite of the flexibility provided to charter schools under the law, SNA has establii an iafiwmal b i ipr ocess tbat bas worked well for 10 years. SJVAis~oftfiecempusamdtbefscttbatitcan~ine~~e88of500saldentswith a total debt load of less than $150,000. (see Exhibit P) The process is simple but extremely effective. W h y so ut the project and asks local companies to bid on it Staff takes dl bids received to &e B o df or a decision. No one has ever been prevented firombiddhgonacwtractatSJVk Noo~ntractorhasevercometotbe~orwritten alet&rto the~oardobjectingtothisprocessor~laininthga ttbey wmpnvented fnnn biddine SNA has used a lame m b e ro f different local contractors for the work a t h performed school. (See EXbiiit Q) The !UV4 split bids as tbis report concluded On occasion, SJVA has divided proj~intophasessothrrtitcanoompletephasesastbeSNAhes~ngtodoso.T he SJVA does not receive wdmction funding firom the state and does not borrow money to pay for projects. As a result, it can only complete large projects in phases over time. The SNAh as had 10 yeam of clean indepdent audit nports and is confident that all financial tmmsadiolls are reported to the Board in a timely and accurate manner. Finally, the SJVA did not select or pay for an u n l i d c ontractor. Rather, the school usad, and uses, an owner builder pmmss, which is used by millions of pcople and c~mpmiensa tionwide, and accepted by all cities operrrtiag under the Uniform Building Code. Response to Recommendations Recommendation #I. This was a l d yi mplemented prior to this report as noted in SJVA's response to the findings. mY2.