Purpose of Audit

The purpose of our audit was to evaluate the District’s financial management practices for the period July 1, 2014 through January 20, 2016.

Background

The Stamford Central School District is located in the Towns of Stamford, Harpersfield, Kortright and Roxbury in Delaware County and the Towns of Jefferson and Gilboa in Schoharie County. The District, which operates one school with approximately 340 students, is governed by an elected five-member Board of Education. Budgeted appropriations for the 2015-16 fiscal year total approximately $9 million.

Key Findings

• Over the five-year period ending June 30, 2015, the District’s unrestricted fund balance exceeded the 4 percent legal limit.
• None of the appropriated fund balance for the 2011-12 through 2015-16 fiscal years was used to finance operations.
• Restricted fund balances were significantly overfunded.

Key Recommendations

• Develop a plan to reduce the amount of unrestricted fund balance in a manner than benefits District residents.
• Discontinue the practice of adopting budgets with the appropriation of unexpended surplus funds that will not be used.
• Review all reserve balances and transfer excess funds to unrestricted fund balance, where allowed by law, or other reserves in compliance with statutory directives.