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Following issuance by the TEA of findings reflecting a number of
improprieties, the commissioner directed the agency to conduct an
on-site investigation into the fiscal management of the school.
The on-site investigation took place on March 25-29 and 31, 1999,
and the TEA issued its final report of findings on June 23, 1999.
Given that the investigative audit had revealed legal and
material violations of petitioner’s open-enrollment charter, the
report recommended that the TEA institute proceedings for adverse
action, i.e., revocation of the charter, by the SBOE.
Accordingly, the TEA instituted a proceeding before the
SBOE. An administrative law judge was assigned to preside over
the resultant hearing and to render a proposal for decision in
the matter. A 2-day hearing, which included the presentation of
documentary evidence and witness testimony, was conducted on
November 9 and 10, 1999, and petitioner was represented by
attorney Roger Stephens. On November 18, 1999, the
administrative law judge issued a proposal for decision
containing 48 separate findings of fact, a discussion summarizing
those findings and their import, and specific conclusions of law.
The proposal ultimately recommended that petitioner’s charter be
revoked.
The following excerpt from the proposal’s discussion
encapsulates the enumerated findings and conclusions:
It is clear from the evidence that RSSAT was being
operated without a functioning board of directors. Two
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