2026 Fraud Prevention: What Montessori Owners Need to Know

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In early 2026, Governor Abbott and the TWC launched new anti-fraud measures aimed at enhancing “program integrity” within the Child Care Services (CCS) system. This shift has resulted in more frequent requests for audited financial statements from schools that were previously only required to provide reviews or compilations.

For Montessori administrators, this means the margin for error in financial reporting has disappeared. The TWC is now using a new “CCS Program Integrity” tracking system to monitor how taxpayer dollars are being utilized. If your school receives grants—such as the Child Care Expansion Initiative or TRS-related bonuses—the state wants a high level of assurance that those funds are being used appropriately.

A professional audit provides the “Reasonable Assurance” the state demands. By engaging a CPA to conduct a formal audit, you protect your school against the risks of a state-led investigation. Beyond compliance, these audits offer a roadmap for your school’s growth, identifying weaknesses in your internal controls before they become liabilities. In this new era of TWC oversight, a clean audit is your school’s strongest defense and its best asset for future expansion.

If you need financials statements audits, review, or compilations, please Contact Us

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