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Published October 12, 2008 11:29 am - State audit pointed out changes needed in financial procedures.

Moriah School makes adjustments after audit


By LOHR McKINSTRY
Staff Writer

MORIAH — The state says Moriah Central School Board members must have detailed monthly financial status reports.

They weren’t getting the information at their meetings, but Superintendent William Larrow said that changed in January.

“They get appropriations, line item by line item. We have an auditor review the same materials.”

He said that in the past a designated School Board member would review the school’s financial information and report back to the board. The board always got monthly financial statements to review, but those reports were not as detailed as the state wants.

The State Comptroller’s Office recently completed an audit of Moriah Central School that district officials said was the first in many years.

“District management did not provide the board with budgetary status reports,” the audit said. “As a result, board members were not properly informed in a timely manner as to whether district appropriations were significantly overexpended or whether revenues were significantly overestimated.”

School Board member Terry Decker said they now see the total spending picture.

“We have plenty of information now. It provokes a lot more discussion. Board members should bring ideas into the process.”

FUND BALANCE

The audit covered chiefly the 2006-07 school year, during which $11.6 million was spent.

The audit said the general-fund balance dropped from $183,000 in 2003 to $39,800 by 2007, and a cafeteria program deficit grew from $3,500 to $47,890.

School Business Manager Erin Gilbo said the district raised the fund balance to $298,000 at the end of the last school year.

“That’s been corrected,” Larrow said. “We’re taking steps to correct everything that was pointed out to us in the audit. We see it as a win-win situation. It (the audit) was a great experience.”



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