Schenevus Central School District - Financial Condition (2018M-83)

Issued Date
August 17, 2018

[read complete report - pdf]

Audit Objective

Determine whether District officials adequately addressed the declining financial condition of the general and school lunch (cafeteria) funds.

Key Findings

  • Total general fund balance decreased by $567,000 (39 percent) in 2016-17, and officials appropriated $300,000 of fund balance for 2017- 18 when only $226,400 was available. However, the Board has taken steps to increase the fund balance levels by not budgeting uncertain revenues, decreasing staffing costs through attrition and planning to use retirement reserves.
  • The cafeteria fund incurred deficits totaling over $48,700 and ended 2016-17 with a negative fund balance of $57,300.

Key Recommendations

  • Continue to monitor the financial plan for stabilizing the general fund and address any unforeseen expenditures changes to expected funding.
  • Complete a cost-per-meal equivalent analysis and explore methods for increasing revenues and decreasing expenditures to reduce the cafeteria fund’s reliance on the general fund.

District officials generally agreed with our recommendations and have initiated or indicated they planned to initiate corrective action.