Purpose of Audit

The purpose of our audit was to review the District’s financial condition and the Board’s budgeting practices for the period July 1, 2012 through August 5, 2013.

Background

The Valley Central School District is located in Orange County and is governed by a Board of Education. The District served 4,652 students during the 2012-13 fiscal year. Budgeted general fund appropriations for 2012-13 totaled approximately $90 million.

Key Findings

• Fund balance has declined as a result of planned operating deficits and appropriation of fund balance to finance the planned deficits.
• District officials did not consider prior years’ trends and future conditions while developing budgets.

Key Recommendations

• Closely monitor the use of unrestricted, unappropriated fund balance.
• Develop realistic budgetary estimates using actual financial results from prior years.