Purpose of Audit

The purpose of our audit was to evaluate the District’s financial condition for the period July 1, 2011 through September 17, 2015.

Background

The Newfane Central School District is located in the Towns of Newfane, Lockport, Cambria and Wilson in Niagara County. The District, which operates four schools with approximately 1,600 students, is governed by an elected seven-member Board of Education. Budgeted appropriations for the 2015-16 fiscal year total approximately $33.6 million.

Key Findings

• During fiscal years 2011-12 through 2014-15, the District annually appropriated.an average of $2.8 million more in fund balance than was actually needed to fund operations.
• The District overfunded two reserves by as much as $9.8 million as of June 30, 2015.

Key Recommendations

• Ensure that budgeted appropriations are reasonable so that only taxes actually needed to fund operations will be levied.
• Ensure that reserve fund balances are maintained at reasonable levels and take appropriate action, in accordance with statute, to remedy reserves with excess funds.