Purpose of Audit

The purpose of our audit was to review cost savings and budgeting related to sending students to a neighboring District for the period July 1, 2012 through August 28, 2014.

Background

The Ripley Central School District is located in the Town of Ripley in Chautauqua County. The District is governed by an elected five-member Board of Education and has approximately 300 students and 70 employees. Operating expenditures for the 2013-14 fiscal year totaled approximately $8.1 million.

Key Findings

• The District had unrestricted fund balance that exceeded the statutory limit.
• The Board did not appropriate or use the unemployment insurance reserve to pay related expenditures and did not reevaluate the need for the substantial balance in the reserve at the end of 2013-14.
• Board and District officials had not yet developed a written and detailed multiyear financial plan.

Key Recommendations

• Ensure the amount of the District’s unrestricted fund balance complies with the statutory limit.
• Ensure the unemployment insurance reserve is reasonably funded and develop and implement a plan for using the excess in compliance with statutory provisions.
• Monitor and periodically update the multiyear financial plan.