(The Center Square) – Louisiana Treasurer John Fleming says reducing unnecessary school spending could help fund permanent teacher raises or maintain annual stipends, following reviews of school financial records.

In a statement Tuesday, Fleming called for reevaluating the state’s Minimum Foundation Program formula but did not identify a confirmed amount of recurring savings available for teacher pay or propose specific formula changes.

Treasury separately referred approximately $12.1 million in school expenditures for additional scrutiny, emphasizing that the referrals do not constitute determinations of wrongdoing or noncompliance.

As The Center Square previously reported, Fleming outlined the referral in a response attached to the legislative auditor’s report. Treasury’s spending review covered July 2024 through December 2025.

“Eliminating unnecessary spending and identifying systemic inefficiencies is the most practical way to secure permanent raises or maintain annual stipends for our teachers and support workers,” Fleming said.

According to Treasury, its K-12 School Transparency Project launched in 2025 to make school financial information more accessible to the public.

The legislative auditor’s Sept. 30 report examined financial information for the 2024-25 school year through specified procedures agreed upon with Treasury. Seven of 10 selected school systems underwent testing; Treasury had not approved the submissions from the remaining three.

The report identified insufficient supporting documentation for nine sampled expenditures totaling $74,995 in the East Baton Rouge Parish school system and four sampled contracts totaling $84,925 at JS Clark Leadership Academy.

The legislative auditor’s office did not express an overall opinion or conclusion on the financial information. Treasury’s approval of submissions concerned whether the information was provided in an acceptable format.

Those documentation concerns are separate from Treasury’s referral of approximately $12.1 million in expenditures for further review.

Categories Treasury highlighted included approximately $7.45 million in additional employee payments, $1.09 million in meals and entertainment, $692,000 in retreats and special events, and $175,841 in DoorDash and Uber Eats purchases.

Treasury also listed $310,836 in gifts, gift cards and sponsorships, and $627,835 in expenses categorized as lobbying or political activities. The six categories account for approximately $10.35 million of the total referred for review.

The statement did not specify how much of the additional employee payments went to teachers or support workers, or which referred expenditures could be eliminated and redirected toward compensation.

Fleming said teacher pay should be a central consideration as state officials and school leaders examine spending.

“Before asking taxpayers for additional money, we must ensure the money already being provided is used properly,” he said.

Fleming’s statement did not include a timetable for pursuing changes to the funding formula. He said the transparency project was intended to make financial information available for scrutiny without prejudging individual transactions.

“This report is about accountability, not accusation,” Fleming said. “We need to follow the facts, complete the reviews, and determine whether these expenditures were justified and properly documented.”

Treasury said it would continue working with the legislative auditor and other appropriate state agencies as the reviews proceed.