UPDATED: Lancaster ISD to hear 2006 financial report at tonight’s meeting

by Jeff Melcher

LANCASTER — Monday night, April 23rd, The Lancaster ISD Board of Trustees will hear the final draft of the greatly belated annual financial report for fiscal year 2006.

That's not a typo. As the 2006-07 school year approaches its final month the LISD is still trying to wrap up the audit of the books from the 2005-06 school years.

Also on the agenda, the superintendent intends to ask the Board to approve another "Tax Maintenance Note" for 2007. At the April 9th workshop, Superintendent Larry Lewis forecast that the district would require between five to six million in this short term note in order to carry the district thru to the end of this fiscal year, next August. Last year, LISD Board Meeting Minutes indicate, the district borrowed only $2.5 million, waited until June instead of jumping in during April, and faulted the state for mis-projecting the Average Daily Attendance of the district's kids.

The dispute between the LISD and the Texas Education Agency about how many kids actually attend the district's schools was discussed again this past April 9th and may be subject of questions again the 23rd.

As the district braces for the third major bond election in 12 months the confidence of voters in the district's financial health is crucial. Lancaster citizens are urged to attend this important workshop.

This story was submitted by a member of the Pegasus News community

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Anonymous

jefmelch, says:

This contributor apologizes to the general public.

The agony continues.

The draft annual report and audit is NOT complete. Lancaster ISD financial officer Cheryl Peoples was not able to quickly produce (or is that reproduce? Re-construct? Create? Whatever.) the cash balance sheet accounts the auditors of Judd, Thomas, Smith and Company requested. Dr Larry Lewis commended Ms Peoples for her diligent work all weekend in collecting (developing? inventing? inferring?) the necessary information. Dr Lewis jokingly assured the board he unlocked Ms Peoples office from time to time to allow her to visit the bathroom but pointed out she was working at a level that only Eugene Smith and she were able to duplicate. Or was that "emulate"? Replicate? Simulate? I'll have to listen to the tape...

In any case once it became apparent that the Lancaster school district could not provide the auditors the documents necessary to complete the audit the district asked the auditors to provide a document necessary to reassure the public. The text of that message follows:

<i> April 20, 2007 Dear Dr Lewis,

As previously stated at the 9th April School Board meeting, and as of the date of this letter we have uncovered no instances of suspected theft, misappropriation of assets or financial mismanagement of school funds. The only condition we have noted relates to the District's financial reporting environment. The internal control structure necessary to facilitate timely and accurate financial information was not operating. This condition has been the primary cause of the delay in the completion of the audit.

Our audit procedures are in the completion stage, and we will inform you of any changes in this assessment of the internal control environment.

Sincerely,

Andrew Moore, CPA Judd Thomas Smith and Company</i>

The distinction between "mismanagment", which the LISD did not do, and "untimely and inaccurate financial reporting", which the district has done, is subtle but vital. And anybody who can explain it is invited to comment.

In other business -- well, there was no other business. Dr Lewis confirmed that the district will seek to borrow $ SIX million dollars in maintenance notes this year, up from $3.1 million last year and one month earlier than last year. However, the board determined that the discussion of that effort could be deferred until the audit was complete (now scheduled for on or about May 3rd) and the next scheduled board meeting of May 7th.

Meanwhile the Superintendent will be appearing at Town Hall Meetings to answer questions (but not to advocate either passage or defeat of) the bond measures of May 12th. Town Hall meetings will be held at:

Lancaster High School, Wednesday April 25th

West Main Elementary, Wednesday May 2nd

Pleasant Run Elementary, Wednesday May 9th

and

Houston Elementary, Thursday May 10th

All meetings will begin at 7 p.m.

Go hear the man and ask him your questions.

Or contact your LISD trustee for other facts about the audit, the short term loan, or the bonds.

Nannette Vick <nannettevick@lancasterisd.org> Ed Kirkland <edkirkland@lancasterisd.org> Sue Mendoza <suemendoza@lancasterisd.org> Marie Elliot <marieelliott@lancasterisd.org> Carolyn Morris <carolynmorris@lancasterisd.org> OR Russ Johnson <russjohnnson@lancasterisd.org><...>

Anonymous

2 years, 7 months ago
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estherspeaks, says:

I think the defintion of mismanagement must have a completely different meaning for Dr. Lewis than what the general public knows it to be. Webester describes it as "to manage or adminster badly." If you are the man in charge and those under your supervision do not do their jobs correctly or if they cannot find where 14 million dollars was spent, then it seems to me that this is bad management or the epitome of very sloppy oversight. Either way the buck has to stop at the man at the top. Regardless of whether or not Lewis takes the blame for this or not-it is extremely poor management of public funds and that is the reason he was hired. When is the board going to wake up and hold this man accountable? If we do not watch it, we will be so far gone that we cannot ever climb out of this hole.

Anonymous

2 years, 7 months ago
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queensheeba, says:

SHOW ME THE AUDIT, show me where the money has gone,quit telling us how the internal control structure necessary to facilitate timely and accurate financial information was not operating. Did the district's finance office personnel not know how to submit and imput our finances. JUST...SHOW ME THE AUDIT!