District receives clean audit report for 2015-16
December 1, 2016
The Moorhead School Board learned that differences between the original budget, final budget, and actual revenue and expenditures for the 2015-16 school year were close.
Derek Flanagan, Eide Bailly LLP, presented the executive summary of the district’s 2015-16 annual audit report to the board at the Nov. 28 meeting. The report provides an overview of the district’s finances and demonstrates the district’s accountability for the money it receives and spends.
According to the audit, total revenues budgeted were $68.9 million and actual revenue was $70.9 million with a difference of 2.9 percent or $1.9 million. The positive variance was due in part to increased enrollment and issuance of the school building bonds as a result of voter approval of the 2015 bond referendum.
For expenditures the district had budgeted $70.9 million. Actual expenditures were lower at $68.4 million for a difference of about $2.5 million or 3.6 percent. The positive variance was due in part to the timing of construction costs. The district, on a cost-per-student basis, continues to spend just below the state average in the areas of administration and regular instruction.
By spending less than budgeted, the district increased its fund balance by $2.6 million. This means the district’s fund balance is at 17.1 percent of general fund operating expenditures, which is the minimum required according to School Board policy.
The district received a clean, unqualified opinion, which means the financial statements have been prepared using accepted accounting principles and do not contain misstatement.
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