By: Peter Babinsky
New York City Schools Chancellor Kamar Samuels is facing growing scrutiny after signing off on what investigators determined was an illegal $180,000 consulting contract that was allegedly split into smaller payments to avoid oversight rules, according to reporting by the NY Post.
The contract, detailed in an investigation cited by the NY Post, involved payments that were broken into separate amounts to stay below the Department of Education’s financial review thresholds, allowing the agreement to bypass standard approval procedures that would normally trigger additional scrutiny. The findings have intensified questions about financial controls inside the nation’s largest public school system.
According to the NY Post, the contract was awarded to an outside consultant and divided into multiple smaller transactions rather than being processed as a single agreement.
Investigators concluded that the arrangement violated established city procurement rules.
The NY Post reported that splitting contracts into smaller payments is prohibited because it can be used to avoid the formal bidding and approval process required for larger expenditures. Those safeguards are designed to ensure transparency, competition, and proper oversight of taxpayer funds.
The report found that Samuels personally approved the agreement.
That detail has fueled criticism from education watchdogs and city officials who argue that senior Department of Education leadership should have been fully aware of the rules governing outside contracts.
According to the NY Post, investigators found evidence suggesting the payments were intentionally structured to remain under the threshold that would have required more extensive review by city procurement officials.
The allegations are particularly significant because they come amid broader concerns about contracting practices inside the Department of Education.
As the NY Post has previously reported, investigators have already been examining other questionable contracts tied to top education officials. The latest revelations add to mounting criticism over whether sufficient safeguards are in place to prevent improper spending within the city’s school system.
The NY Post reported that the Department of Education has defended its contracting practices and said it is reviewing the findings.
Officials have not publicly indicated whether disciplinary action will be taken against Samuels or others involved.
Still, the allegations have triggered calls for deeper oversight.
Critics cited by the NY Post argue that the case raises serious concerns about accountability inside an agency responsible for overseeing billions of taxpayer dollars and the education of more than 900,000 students. They say any effort to circumvent financial review rules undermines public trust and raises broader questions about leadership at the top of the department.
The controversy comes at a difficult time for New York City schools, which are already under pressure over budget constraints, academic performance challenges, and ongoing debates over administrative spending.
The NY Post reported that city lawmakers are now demanding greater transparency regarding how contracts are approved and monitored.
Some have called for an independent audit of Department of Education procurement practices
