The on-again, off-again meeting of the Lancaster Board of Trustees regarding the 2005-06 annual financial report and audit is on again. The agenda is posted for April 9th. No time for the meeting has been released on-line, but hardcopy of the agenda available at 422 Centre Street indicates the meeting will be at 7:00 p.m.
Unlike the recent meeting regarding Superintendent Larry Lewis's annual performance review and evaluation, the financial workshop is, at present, scheduled for an open session at which the public may be in audience.
The annual report was due to the state January 31st. Shirley Neeley, Texas Commissioner of Education, has released to the press reports that Lancaster was not the only district late with their filing. For the 2004-05 school year, 5 out of 1079 Texas ISDs filed late. Region Ten financial officials report that the only district in the last decade other than Lancaster to file late was Wilmer Hutchins. Superintendent Lewis has assured the community that problems were minor. "The checkbook and general ledger were not in balance." If so, this is the second year district financial records showed discrepancies. The FIRST (Financial Integrity Rating System of Texas) indicator seven for the 2004-05 school year showed the district's various PEIMS categories failed to reconcile within the TEA's tolerance of 45, being in fact out of agreement by 121.02% .
In August of 2006 Superintendent Lewis set as a performance goal for himself and the district that:
Lancaster ISD will be a financially responsible school district.
Measurements:
1) The district will show an increase in fund balance ... meet the 15% fund balance requirement.
2) ... will pay off the existing M&0 debt of $1.6 million
3) ... maintain its rating of "superior" on the FIRST mechanism.
4) ... improve its management reporting process...
The Trustees' evaluation of the Superintendent's performance on these financial goals and measurements were all conducted in "executive session" -- unheard by the public in attendance -- on March 26th. The April 9th meeting, in open session, will provide the first public hearing of what steps the district administration was taking between August and January to achieve these goals, and what led up to the actual outcomes:
1) a negative fund balance, unless
2) additional Tax Anticipation notes (new debt and loans ) for current year M&O are taken out against next year's state ADA payments -- current estimates of TAN requirements exceed $3 million.
3) the FIRST rating will be "unacceptable" and
4) the management reporting process is, if nothing else, slower than in previous years.
