Iowa State auditor Rob Sand on March 26 released the annual audit report for the Greene County Community School District for the year ending June 30, 2020 (FY2020). The audit was prepared by Nolte, Cornman & Johnson P.C.
Financial highlights: The district’s total revenues tallied $29,340,172 for the year ended June 30, 2020, a 40.19 percent increase from the prior year. An increase in capital grants, contributions and restricted interest contributed to the increase in total revenues as compared to the previous year.
Expenses for district operations for the year ended June 30, 2020 totaled $22,363,477, a 22.15 percent increase from the prior year. The increase in expenses occurred in the support services and instruction functions.
The district’s general fund covers primarily instructional costs, with the largest portion being salaries. General fund revenues decreased from $15,536,217 during the year ending June 30, 2019 (FY19) to $15,189,660 during FY20. The decrease in general fund revenues was due to decreases in revenue received from local and state sources.
General fund expenditures increased from 15,074,655 in FY19 to $15,353,871 in FY20. The increase was primarily due to an increase in administration and instructional staff expenditures.
The district’s general fund balance decreased from $2,866,348 on June 30, 2019, to $2,702,137 on June 30, 2020, a 5.73 percent decrease.
Audit findings: Nolte, Cornman & Johnson P.C. reported six findings. The findings address issues related to a lack of segregation of duties (a comment in the report every year due to the small district business office staff); expenditures exceeding the certified budget (without first amending the certified budget); supplementary weighting (data certified to the Iowa Department of Education was overstated by 0.175); interfund loans (a transfer from the capital projects: PPEL fund to the to the capital projects: general obligation bond construction fund as reimbursement for land purchased without specific approval by the board); donations to outside organizations (funds given to the district for student scholarships were given to the Greene County School Foundation, a private nonprofit group) and student activity fund. (This issue has been remedied by a policy revision regarding the way student scholarship funds can be given from student-raised funds.)
A copy of the audit report is available for review on the Auditor of State’s web site at https://auditor.iowa.gov/audit-reports
