PORTLAND, Ore. (KOIN) – Preschool for All is still under the microscope with its leader resigning amid scandal. Now the Multnomah County chair is sharing what she knew and when she knew it.

Last week, enrollment records and a bombshell audit showed that the program’s director of four years, Leslee Barnes, had wasted state dollars

while running a childcare service in North Portland.

According to the audit, Barnes’ own Village Childcare collected more than $800,000 from the state’s separate Preschool Promise Program to care for 65 children over a three year period -but only enrolled nine students.

Multnomah County Chair Jessica Vega Pederson said she knew Barnes was operating her own school when she was initially hired in 2021. However, she thought Barnes’ ownership had been in the past.

“It was a surprise and something that I thought was important to investigate immediately,” Vega Pederson said. “It was news to me that she continued to own the preschool until this day.”

Vega Pederson said she is waiting on recommendations from her chief operating officer on whether to independently investigate questions of ethics and conflict of interest.

But Commissioner Brim-Edwards said an independent review — separate from county leadership — is necessary.

“Commissioner Singleton and I are bringing forward a resolution which will call on the county to initiate an independent investigation,” Brim-Edwards said. “I have a lot of respect for the COO of the County -and he also reports to the Chair. And I feel like to really make sure that we build trust with the community the investigation needs to be independent.”

Brim-Edwards said she would like a deeper look not only into the circumstances surrounding Barnes’ resignation but also into the efficacy of the program -noting the number of Preschool for All slots available to families vastly differs depending on where in the county they live.

“How are we building a program that is making sure that every child and family that wants and needs preschool will get a high quality preschool experience, and that there will actually be a space for them, and to taxpayers that we’re spending their money effectively?” Brim-Edwards told KOIN 6 News.

This development comes after Gov. Tina Kotek posed strong concerns about the efficacy of Preschool for All, noting that the program is sitting on more than $480 million in unspent funds with roughly 11% of licensed sites participating.

“The governor is rightly concerned about the impacts on the future of Portland and Multnomah County and our ability to thrive,” Vega Pederson said. “I think there are some differences of opinion in what the impacts are and the potentially the really positive benefits of the program in attracting young workers and families.”

As of August 2025, the county says more than 4,800 children are getting ready to start Preschool for All, which is a 70% increase from 2024. 

Stay with KOIN 6 News as this story develops.