Alexandria School District audit: Revenues up, expenses down
The Alexandria School District wrapped up last fiscal year with favorable financials, according to its recent audit.
The school board approved the audit report, which covered July 1, 2012 through June, 30, 2013, during its monthly meeting on Monday.
GENERAL FUND The year ended in the black for the district’s revenues and expenditures:
● Revenues: $38.6 million
Approximately 82 percent of the district’s revenues come from the state; 9 percent from local levies; 5 percent from federal sources; and 4 percent designated as other sources.
Total general fund revenue increased by 3.1 percent from the previous year.
● Expenditures: $36.4 million
The largest expenditure for the district – about 46 percent – is regular instruction costs; 24 percent is special education; 12 percent is instructional and pupil support; 9 percent is sites and buildings; 8 percent is administration; and about 1 percent is categorized as other.
Expenditures decreased by 1.8 percent from the previous year.
● Fund balance: $2.3 million That fund balance increases the district’s total fund balance to $4.8 million as of June 30, 2013.
According to the auditing firm, Eide Bailly, a positive fund balance contributes to a favorable bond rating, produces investment income, provides a source of working capital to meet cash flow needs and offers a cushion for unexpected expenditures or revenue shortfalls.
District 206 meets the state and federal requirements for a fund balance.
The district’s food service and community service funds also increased.
The district’s debt service fund increased about $169,000, according to the audit.
The large-scale construction project of Alexandria Area High School does not figure into the general fund figures.
Trevor Peterson, District 206’s director of business services, explained, “Any construction in progress has its own fund within the district’s books and is not run through the general fund, therefore having its own fund balance as well until the project is complete.”
He said the debt service fund will account for the annual principal and interest payment as an expenditure, and the annual corresponding levy revenue, but does not account for the payments associated with the construction expenditures.
Peterson added, “As a district, we work hard to control and monitor our expenditures throughout the year. For the most part, we have little control over the majority of our revenue sources, so there was a concentrated effort to maximize our resources the best we could. Anytime you can finish a year with favorable budget variances for both revenue and expenditures is always a good thing. Having as positive of an audit as we did put us in a better position to allocate any additional revenue streams where it matters most – to benefit the students of our district.”