Purpose of Audit

The purpose of our audit was to evaluate the District’s financial condition for the period July 1, 2011 through April 13, 2015.

Background

The Jamestown City School District is located in the City of Jamestown and Towns of Busti, Carroll, Ellicott and Kiantone in Chautauqua County. and has a population of approximately 5,800. The District operates nine schools with approximately 5,000 students and is governed by an elected seven-member Board of Education. The District’s budgeted appropriations for the 2014-15 fiscal year were $76 million.

Key Findings

• To bridge the funding gap in the 2015-16 budget, District officials expect to use approximately $800,000 of the remaining reserve funds and appropriate $1 million of fund balance.
• Fund balance has been reduced to a dangerously low level.
• The Board has not developed a multiyear financial plan.

Key Recommendations

• Develop and adopt a budget in which recurring expenditures are funded by recurring revenues, thereby reducing the reliance on fund balance, reserves and other one-time financing sources.
• Develop and adopt a fund balance policy that establishes an adequate amount of unrestricted fund balance to be maintained, within the legal limit, to meet the District’s needs.
• Develop and regularly update a multiyear financial plan for a three- to five-year period that is sustainable and includes information related to anticipated, significant changes in expenditures, and funding sources for operations and capital needs.