Determine whether the Board properly established reserve funds and maintained them at reasonable levels.
The written reserve fund policy does not adequately address funding levels resulting in overfunded reserves that are not used.
Five reserve funds totaling $3.5 million are overfunded.
Adopt a more comprehensive written policy and review reserves to determine whether they are necessary and balances are reasonable.
Use excess amounts in accordance with statutory requirements and in a manner that benefits taxpayers.
The Letchworth Central School District (District) serves the Towns of Centerville and Hume in Allegany County and the Towns of Castile, Eagle, Gainesville, Genesee Falls, Pike, Warsaw and Wethersfield in Wyoming County.
An elected nine-member Board is responsible for the general management and control of operations. The Superintendent of Schools (Superintendent) is the chief executive officer and is responsible, along with other administrative staff, for the District’s day-to-day management. The Business Administrator oversees the business office, maintains financial records and prepares financial reports.
The Board, Superintendent and Business Administrator are responsible for properly establishing and funding reserves.