The Mississippi Charter School Authorizer Board is starting the process of revoking the charter of SR1 College Preparatory and STEM Academy. State officials say the Canton school has a day’s worth of money on hand. 

The school, which opened in August 2023 and is located in the metro area north of Jackson, will undergo a corrective action plan after its leaders meet with members of the authorizer board. The school can salvage its charter by proving it’s financially sound.

The school “continues to fail to comply with applicable laws, regulations and the terms of the charter contract based on the framework,” authorizer board Chair Candace Hunt read from the motion to start the revocation process.

It was the only charter school with “material weaknesses” tied to late financial reporting, according to an audit by Letitia Johnson, bureau director of the Mississippi Department of Education Office of School Financial Services. The school had turned in its most recent audit 23 days late, which does not meet the standard set by the authorizer board.

“This is a really big issue,” said board member Erin Meyer. It’s an issue, she said, because school boards “are not holding themselves accountable.”

The school has $24,000 of cash on hand, according to the audit. The authorizer board recommends that charter schools have between 30 to 60 days of cash. 

Leaders of SR1 (Scientific Research), the Ridgeland-based organization that operates the school, disputed the audit findings. School business manager Iraiz Gonzaga sent Mississippi Today a screenshot of the school’s November bank statement from Trustmark, which showed a $171,079 balance.

Authorizer board members also criticized the school for projecting a 300 student enrollment for 2027, which would be an increase in 197 students from its current enrollment of 103. The school had already amended its enrollment target for the past year’s financial paperwork.

If the Mississippi Board of Education finds SR1 didn’t meet its enrollment target, the school could lose funding. Funding is tied to enrollment, and can be taken back by the Education Department in future budget allocations.

“They have not met their enrollment target since they’ve been operational,” authorizer board Executive Director Lisa Karmacharya said. “This is not just about the (performance) framework. These are continuing concerns around enrollment.”

In 2023, just months after the school opened, state officials considered pulling its charter because it had enrolled 15 students instead of the 150 students in kindergarten and first grade projected to attend in the school’s approved charter application. 

On Monday, Karmacharya also raised concerns that enrollment dropped from 23 students in first grade to 16 in second grade the next school year. Overall enrollment rose from 12 students in 2023-24 to 84 in 2024-25. 

“So what that says to me is potentially they’re not staying,” Karmacharya said. “You want your kiddos to matriculate through and stay over time.”

The school introduces courses in science, technology, engineering and math (STEM) at the elementary level. Its curriculum was set up to be informed by “the latest in neuroscience, psychology, and other fields,” embracing principles of “biophilic design” and “neuroarchitecture.”

SR1 College Preparatory and STEM Academy is not the only school in Mississippi that officials say is in financial trouble. In November, the state Department of Education voted to take over the Okolona Municipal Separate School District for the second time in 15 years. District officials couldn’t make the school system’s November payroll.

But leadership for the Canton charter school denied that they are unable to pay staff like Okolona schools. 

Gonzaga, the school’s business manager, challenged the inability to fact check claims made during the authorizer board’s discussion about the motion. The Mississippi Charter Authorizer Board allows school representatives to make speeches during a designated public comment period, but does not allow representatives to fact check claims during debates surrounding votes.

“SR1 CPSA remains committed to transparency, academic excellence, and respectful collaboration,” Gonzaga said.

Editor’s note: SR1 has previously advertised on Mississippi Today’s website. Advertisers do not influence Mississippi Today’s editorial decisions.