California school districts have misappropriated millions of dollars intended to provide subsidized meals to low-income students, according to a state Senate report released Wednesday.

The California Department of Education recently ordered eight districts to repay nearly $170 million to programs that provide free and reduced-price lunches and breakfasts, according to the investigation by the Senate Office of Oversight and Outcomes.

The districts, which have been struggling with state budget cuts, used the misappropriated funds to pay for employee salaries and other expenses, according to the report prepared for the Senate Rules Committee.

The meal fund diversions have led to cost-cutting moves, such as shorter lunch periods, inadequate staffing and serving processed foods instead of fresh fruits and vegetables, the report said.

READ MORE