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10/4/2017 5:52:00 PM
Muncie Community Schools takes corrective action after state financial audit

Seth Slabaugh, Star Press

MUNCIE — Muncie Community Schools is taking corrective action after a state audit addressed weak internal controls, overdrawn cash balances and the district's ability to continue as a "going concern."

"Our biggest concern was that we comply with any corrective action, because Muncie Community Schools has had a history of non-compliance," school board President Debbie Feick said.

Under a new state law, she noted, public officers of state agencies, local schools, cities, counties, townships, etc., who fail to correct audit findings face forfeiture of office. Failures also could be posted on the Indiana General Assembly's website.

The latest State Board of Accounts (SBOA) audit of MCS, for the year that ended June 30, 2016, again cited the school district for overdrawn cash balances on that date.

The overdrawn amount exceeded $16 million, including more than $10 million in special education co-op funds; nearly $2 million in vocational education co-op funds (career center); $3.6 million in Youth Opportunity Center funds; and nearly $400,000 in priority school funds (for suspended and expelled students); along with $158,258 in the textbook rental fund, and $3,367 in the Christmas Sing fund.

"We are working toward correcting that, but that will take some time," Feick said of the negative balances.

The special education, vocational education and youth opportunity/priority funds involve multiple school districts, including some out of county, that send students to MCS.

Related Links:
• Star Press full text

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Editor, John C. DePrez Jr.; Executive Editor, Carol Rogers; Publishers: IBRC and IAR


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