Finance and Management Services
Finance and Management Services focuses on efficient and effective operations that support a high-quality, K-12 educational program while being fiscally responsible and accountable to South Orangetown taxpayers. Our department oversees district budget development and implementation, purchasing, payroll, and the operations of Facilities, Food Service and Transportation.
June 30, 2019 Audited Financial Statements
Dear School Community,
I wanted to share some good news with you regarding the outcome of our annual audit and the issuance of our financial statements for fiscal year 2018-2019. Once again, the external auditors reported no deficiencies or weaknesses in our internal controls over the District’s financial processes. We continue to provide the oversight, controls, and effective practices that guarantee our financial resources are allocated appropriately in support of our strategic goals for academic programming and ensuring effective organizational systems and structures are in place.
I would like to share some key highlights on the District’s strong financial position with you:
- The Board of Education and District Administration continue to utilize our long range planning process to strategically ensure our school district is financially stable for the long term. This has allowed us to maximize our fund balance dollars that can be used to offset any potential negative impacts to our financial plan (i.e. decreases in State Aid, unexpected emergencies, uncontrollable cost increases) and protect the high-quality program and opportunities we offer our students. For the 2018-2019, fiscal year due to our financial performance, we were able to maintain a maximum 4% unassigned fund balance as allowed by Law.
- The District replenished our reserve balances by distributing approximately $4.0 million into these reserves established for various legal purposes. Our reserves are another avenue that can be used to offset increased expense in the current year’s operating budget.
- Total assets are four (4) times greater than our total liabilities.
Also, due to a new accounting requirement (GASB 75), the District is now required to record the full amount of the post-employment benefits (OPEB) liability in one year instead of the previous requirement (GASB 45) which required school districts to spread the full amount of this liability across many years (i.e. 30 years). As a result, the 2018-2019 financial statements reflected a negative net position. Many school districts are experiencing the same impact to their net positions. Please know that the negative net position in no manner affects our actual, operating financial plan, nor our credit rating with credit agencies, like Moody’s. The District’s Net Position did increase by $396,070 over fiscal year 2017-2018, mainly due to a decrease in the healthcare cost trend rate used to determine our liability among other factors.
Please click the link below to view the audit and financial statements. As a reader of the statement, you may want to focus your attention on page 18 which best reflects our strong financial performance.
Should you have any questions, please feel free to give the Office of Finance & Management Services a call at (845) 680-1005.
Thank you for your continued support and I look forward to collaboratively working with you,
Alicia D. Koster
Executive Director of Finance and Management Services
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