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CHULA VISTA, Calif. (KGTV) -- A new report from a state audit agency shows there is enough evidence that fraud or misappropriation of funds may have occurred within the Sweetwater Union High School District.The 79-page audit, conducted by the independent state agency Fiscal Crisis Management Assistance Team (FCMAT), was presented during Monday’s school board meeting.According to the report, the district’s school board relied on inaccurate financial information when they approved salary increases for district employees, resulting in pay raises they could not afford.RELATED: SUHSD: 90 bus drivers paid over 0K in overtime during 2017, database saysThe agency’s investigation also found the district kept borrowing from capital projects, such as Mello-Roos funds, to pay for operations without a method of repaying that money back into the fund.The report also stated Sweetwater misled rating agencies and bond insurers by “deliberate omissions of material information.”San Diego County Superintendent of Schools Dr. Paul Gothold said, "In short, after investigation of the district’s practices, FCMAT concluded that there is significant evidence to indicate that fraud, misappropriation of funds and/or assets, or other illegal fiscal practices may have occurred by current and former employees."RELATED COVERAGE:-- Sweetwater Union High School District votes to cut over 200 jobs-- State fiscal team reviews Sweetwater Union High School District's finances-- District approves interim budget with million shortfall-- Report: Sweetwater Union High School District incorrectly reported debtThe Sweetwater Union High School District has faced budget troubles dating back to September 2018, when they self-reported a million budget shortfall. Since then, teachers have been cut, bus routes were eliminated, and class sizes have increased.FCMAT recommends the state controller and local district attorney be notified of its findings.Frances Martinez, the former internal auditor for the district, told Team 10 the "people who purposely did wrong should be held accountable." Martinez said she raised the red flag regarding financial issues at the district, but was not taken seriously. She said when it came to some of the district's financial accounts, "that's how the reconciled. They just made up stuff and made a balance."Martinez said she was sitting next to Superintendent Karen Janney when the multimillion-dollar deficit was discovered. "She said, hey it's the business system. It's old, huh? Just making up stuff. I've heard about six different versions of the truth and none of them have been truthful."The former Chief Financial Officer Karen Michel would not participate in the audit. The team also could not make contact with Doug Martens, the director of fiscal services.With the release of the FCMAT report, it will be up to the District Attorney, State Superintendent of Public Instruction, and State Controller to determine if fraud did in fact occur within the Sweetwater District.The district was given 15 days to respond to the audit's findings with its "proposed action."One teacher in the district, who did not want to be identified, said the audit's findings were sad, but not surprising. "Hopefully, the positive that can come out of this is that we become more transparent and have more oversight and this will never happen again," the teacher said. On Tueday, SUHSD spokesman Manny Rubio provided this statement to 10News on behalf of the district: "The Sweetwater Union High School District is currently reviewing the report from FCMAT and its findings and recommendations. The District takes this report very seriously and will be determining next steps. Given that this matter is still pending, we will refrain from any additional comment at this time."The District Attorney's office said they are reviewing the audit. There is also an investigation into the district by the Securities and Exchange Commission. An agency spokesperson would not comment. 4002

CHULA VISTA Calif. (KGTV) - Arson investigators are looking into a fire that damaged a Mexican restaurant in Chula Vista late Thursday evening.The fire at Tacos Y Mariscos Imperial, located on 2490 Main Street, was reported at around 10:15 p.m., according to fire officials at the scene.Firefighters said the blaze started outside and quickly spread to the front of the restaurant.No one was inside the restaurant at the time of the fire.The cause of the fire is under investigation. 491

CHULA VISTA, Calif., (KGTV) — More and more San Diegans are rushing to get tested for COVID-19, but the wait times at some South Bay locations are hours long.Cars wrapped around the South Chula Vista Library as hundreds of people are waited to be tested for the coronavirus."Testing is just something that we all need to be doing regularly right now," Nancy Maldonado, CEO of the Chicano Federation, said.Recently, the lines and wait times at the county's free testing sites have been getting longer, especially in the South Bay. Maldonado says this area is home to many Hispanic or Latino San Diegans who have front line jobs, with greater exposure to the virus."The other reason is the multi-generational housing, and the lack of housing here in San Diego," Maldonado explained.At its peak, Hispanic and Latinos made up 63% of the County's infection rate, despite only being 34% of the population. Most recent statistics show that number dropped to 57.7%."It's still high, and it's still alarming, but we have seen that number start to come down," Maldonado said.It's thanks to community organizations like the Chicano Foundation and the San Diego Latino Health Coalition that take away the stigma of testing. They offer resources for those who test positive, support for families, and even quarantine locations."There are resources available, so they don't have to stay within that household," Maldonado said.But there are still some obstacles. There have been reports of many people going to Aquatica, not knowing about the "appointment only" system. So they are being turned away."A lot of the county sites are switching to 'appointment only,' but that message isn't getting out fast enough," Maldonado said.That is why it is essential to check online before leaving your home, although making appointments is always recommended."It's up to all of us to make sacrifices right now and do everything we can to bring down this infection rate so we can reopen and so our small businesses don't have to keep suffering," Maldonado said.The county is now working with community partners to set up more testing locations where there is the greatest need. 2159

CHULA VISTA, Calif. (KGTV) - A South Bay dentist is donating his time and services to a local Border Patrol agent with ALS.10News first showed you Jeff Miranda’s fight against his deadly disease earlier this month. Miranda was diagnosed three years ago. He is now in a wheelchair and uses eye gaze technology to communicate.Dr. Alex Liu of the Otay Lakes Dental Group saw the 10News story and decided to help. The family has been patients there for a few years.Dr. Liu will now be providing dental work to the entire family free of charge."We've seen it firsthand the effects that ALS has had not just on Jeffrey, but the family as well," said office manager Pablo Rojas. Liz Miranda told 10News reporter Melissa Mecija this “is above and beyond!”“We are extremely grateful to them as well as you and the Channel 10 news team for all of this support!” Liz wrote. 875

CHULA VISTA, Calif. (KGTV) -- The Sweetwater Union High School District said Tuesday that it decided to end the employment agreement of Dr. Karen Janney, the district’s superintendent.Janney had been under pressure to step down following a multi-million dollar budget shortfall that prompted an investigation into possible misappropriation of funds.In June of 2020, the board voted 4-1 to place Janney on paid administrative leave.Tuesday afternoon, a district spokesperson wrote to ABC10 News that a new vote happened in a board meeting on Monday night. Video posted by the district only refers to the termination of an employee. Tuesday, the district spokesperson sent ABC10 News the following statement: "The Sweetwater Union High School District Board of Trustees provided Dr. Janney a 90-day notice to end her employment agreement, pursuant to Article 17b of that agreement. On behalf of the entire Sweetwater community, we want to thank Dr. Janney for her many years of service and dedication to the district, its board, and our students."Janney took over as superintendent of the district in 2015. Three years later, the district reported a million budget deficit.Also in June, a report from California’s Fiscal Crisis and Management Assistance Team reported that there was enough evidence that fraud or misappropriation of funds may have occurred within the district. The report stated that issues dated back to 2018.According to Transparent California, Janney's pay and benefits combined were nearly 4,000 in 2019. 1538