jefmelch Anonymous

Lancaster ISD fans will want to consider arriving early for Monday's meeting. At 6:30 or so, a personnel issue will be discussed. The employee involved may or may not choose to air the gripes in open session. If it IS open the public won't want to miss it.

The financial audit is in draft. The cash flow paperwork and fund balance estimation pages that were still in production two weeks ago are - maybe -- ready for review. There is as yet no evidence uncovered of theft, fraud, or mismanagment.

The open question is whether or not the technical auditor's definition applies.

http://www.tea.state.tx.us/school.fin...

According to state law and Government Finance and Accounting Rules, " a reportable condition is a matter coming to the auditor’s attention that, in his judgment, represents significant deficiencies in the design or operation of the internal control, which could adversely affect the organization’s ability to record, process, summarize, and report financial data consistent with the assertions of management in the financial statements. "

As we have already learned, district auditors Andrew Moore advises the public that "an internal control structure necessary to facilitate timely and accurate financial reporting was not operating" within Lancaster ISD during the 2005-06 fiscal year.

Slightly worse than a "reportable condition" would be a "material weakness". Again, from the TEA definition:

"A material weakness is a reportable condition in which the design or operation of one or more of the components of internal control does not reduce to a relatively low level the risk that errors and irregularities in amounts that would be material in relation to the general-purpose financial statements being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions."

So, timeliness matters.

The PAC, "Friends of LISD" have -- presumably via expensive and extensive consultation with the Psychic Hotline -- already published that "the Lancaster ISD audit reveals a stable thriving district capable of supporting a bond initiative." We'll be looking to see if the Friends are correct.

will fall within the definition of a CPA's "reportable condition", a "material weakness", or

1 year, 5 months ago ( Link to this comment | Suggest removal )

queensheeba Anonymous

As usual the agenda for Monday night's meeting is not posted as should be, by district policy. I guess Jeff this is just another reportable condition and material weakness in the district. I wonder since it is not posted yet, are they waiting until the last minute to see if the Audit is ready for approval??? It just keeps going and going and going.....

1 year, 5 months ago ( Link to this comment | Suggest removal )

jefmelch Anonymous

"Reportable condition" and "Material weakness" are technical terms of the CPA's art and solely within the auditor's discretion.

You would be safe to refer to "stupidity" I suppose. I mean, it's legal to draw a $300 cash advance against your credit card and buy a bunch of lottery tickets. It's legal. It's not theft. It's not even mis-management... provided you faithfully promise to make the minimum payment on the card each month for the next forty years. How dare anyone criticize such a decision! Don't you realize that every dollar spent in the Texas Lottery supports our schools? If you don't like the credit/advance/lottery plan, why, it's just proof you hate children and hope to destroy our schools.

1 year, 5 months ago ( Link to this comment | Suggest removal )

jefmelch Anonymous

The district published official notice that a Public Meeting to discuss the Lancaster Independent School District's financial rating under the Financial Integrity Rating System of Texas (F.I.R.S.T.) will be held at the district's Board Auditorium, at 7:00 p.m. 10 September 07.

This is in conjunction with the regularly scheduled board meeting. As of Monday 3 September the agenda for the 10th has not been published to the district website.

The rules by which the public is to "discuss" the rating have likewise not yet been published. The minuts of last year's public meeting on the FIRST rating are published at

http://www.lancasterisd.org/sections/...

If the same procedure is followed this year as last, the CFO will present, while the public is expected to silently listen, watch and raise no question, comment or objection. The board president will direct the CFO to fix deficiencies, and the CFO will agree to do so. This verbal agreement will not depend on the CFO's actual ability to fulfill the bargain.

(As noted in the Pegasus News story of 12 Aug

http://www.pegasusnews.com/news/2007/...

the PEIMS data quality indicator continued to worsen for Lancaster each year from 2004 thru 2006. )

1 year, 1 month ago ( Link to this comment | Suggest removal )