The state school board will drop its lawsuit against a now-shuttered charter school after accepting a settlement Thursday that will include repayment of funds misspent by administrators there.
The deal was announced after a brief deliberation by the Utah Board of Education that started in an executive session closed to the public. When the meeting reopened, members voted unanimously to work with the American International School of Utah on the debts, effectively ending the court challenge.
The board, along with the Utah State Charter School Board, had originally filed its motion in August. AISU in Murray has owed the state and federal government $418,689 in funds that were meant for special education but were instead illegally misused to pay for salaries and health benefits or otherwise weren’t properly documented, according to an audit of its books.