The state panel that has been evaluating Myron B. Thompson Academy’s hiring and financial practices voted yesterday to refer the matter to the attorney general and the Ethics Commission for investigation, because those authorities are better equipped for the job.

“We do not have the tools and capacity — we are not investigators,” Charter School Review Panel Chairwoman Ruth Tschumy said. “We can’t subpoena witnesses, we can’t take sworn testimony. That is not our reason for being.”

The vote was unanimous with member Francisco Hernandez recusing himself.

The panel’s concerns center on whether the online school followed the fair-treatment provisions of state law in hiring the principal’s sister and her three sons; whether that sister, who is a vice principal and works full time as a flight attendant, ever flew on state time; and whether the school’s transfer of $175,000 to a nonprofit was a proper use of state funds.

As a charter school, Thompson Academy is publicly funded and offers a free education but reports to its own school board rather than the state Board of Education. Myron K. Thompson, co-chairman of Thompson’s board, said it is already cooperating with Ethics Commission members.

“They have begun their investigation of these matters,” Thompson said. “They sent us a bunch of questions. We responded to that. We’ll cooperate with them.”

“Can we go back and fix everything in the past?” he added later in the meeting. “No, we cannot. Can we assure that we’re operating in the pres­ent properly? That’s what we can attest.”

The issue came to public light in early December in a Star-Advertiser article quoting former academy employees who complained of favoritism at the school and erratic attendance by relatives on staff. They noted that the vice principal held down two full-time jobs, and her son was the athletic director although the school had no sports teams. Another son is the video teacher, and a third son works as a clerk. The sons were hired with just high school diplomas several years ago.

Documents submitted to the review panel said no other applicants were considered when each family member was hired. The video teacher earned his associate’s degree last year. The athletic director’s title was changed last month to “student support assistant.”

An independent financial audit of the school noted that Vice Principal Kurumi Kaapana-Aki received a $35,000 pay differential in addition to her regular salary. Kaapana-Aki told the panel yesterday that the money is to compensate for the fact that although she has been a vice principal since 2004, she chose to remain a member of the Hawaii State Teachers Association and remains on a teacher’s salary. She said she teaches at the school during the summer.

She also assured the panel that her job as a flight attendant doesn’t conflict with her duties.

“I’ve been flying for Hawaiian Airlines for over 30 years, and I’ve always been a full-time teacher,” Kaapana-Aki said. Asked whether it had ever posed a problem, she replied, “Never.”

The auditor also highlighted an unusual “donation” of $175,000 in state funds in the last fiscal year to Ho‘i­lina Inc., a nonprofit formed to support the school. Panel members have questioned why the school is giving away public money to a charitable entity.

Thompson contended that the auditor was mistaken in calling the transfer a “donation.”

“It is not a donation,” he said. “The money was to provide services to the school.”

He said the nonprofit was tasked with finding a new site for the school, among other things.

Ho‘ilina’s federal tax form for 2009, reviewed at the Foundation Center website yesterday by the Star-Advertiser, listed $175,000 under “contributions, gifts, grants and similar amounts received.” It reported no “program service revenue.” The only other income listed was $55 in “investment income.” The charity also reported spending $47,000 on “facility management” of Thompson Academy, its total program service expenses.

The Charter School Review Panel voted in January to conduct a special evaluation of Thompson Academy, the first step toward putting it on probation. Panel members voted 5-4 yesterday to take the next step and issue a “notice of intent to place the school on probation,” but because seven votes were needed to pass, the motion failed.

“I personally feel like we’re making prog­ress and they’re trying to respond to everything we’re asking,” said Vice Chairwoman Nina Bu­chanan, who voted against issuing the notice of intent. “I see them as a local school board doing things that should have been done 10 years ago: school board training, having good, adequate minutes, hiring policies. But I also see them running to catch up with those years.”

Thompson had told the board before the vote that putting the school on probation could affect the school’s survival. “Teachers are insecure, students are insecure, parents are concerned,” he said. “It is devastating to us.”