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The Stewartville School Board was presented its annual financial audit from Smith Schafer and associates. The firm issued an unqualified “clean” opinion on the District’s June 30, 2012, financial statements. In a summary of the audit Smith Schafer

stated, “The audit provides reasonable, but not absolute, assurance that the Stewartville District’s financials are free of material misstatement.”

The strength and health of the District’s finances was apparent in the three main components of the budget with revenues exceeding expenditures in each of the areas.The General Fund revenues exceeded expenditures by $32,718 in Fiscal Year 2012; the unassigned General Fund balance at June 30, 2012 is 11.8 percent of current expenditures. Also, the Food Service Fund revenues exceeded expenditures by $58,690 for FY 2012 and the Community Service Fund revenues exceeded expenditures by $52,920 for FY 2012.

Superintendent Dr. David Thompson was pleased with the audit and expressed pride in the work that went into maintaining this financial health. “You know, we have done a good job, we have been very conservative, and we have done some very good things as far as maintaining this budget.” Thompson said.

Thompson also pointed out that the District has experienced a steady increase in enrollment over the last several years, but noted that while this does help increase the revenue base, it also adds to total expenditures due to an increase in need for more teachers and curriculum materials.

In recent years, school districts across the state of Minnesota have faced varying degrees of financial stress in lieu of reductions in local government aid (LGA) from the State Government and fund shifts that occurred as a result of the budget negotiations during the Government shutdown. When asked what he feels about the prospects of the new legislature as it related to school funding Thompson said, “ It certainly will help us to know one way or another what actions the legislature will take, because when they draw it out over multiple budget years it really hurts us. Hopefully there will not be this legislative conflict because it’s all Democratic now. We are hoping that one way or the other we will not be faced with another storm of budget shifts.”

For its financial performance the Stewartville School District received the State Finance Award, which only about 18 percent of districts in the state receive. When asked what he would like the parents and members of the community in the district to know about their finances Dr. Thompson said, “I’d like them to know that they can put their trust in us and certainly see the results. We have done well, even though we are below the state average as far as the money we get on referendums.” Thompson said that they will again try to achieve the state finance award and strive to continually make improvements.

“We have a system that is working well, and we want to keep working the system the way we do it, and we will continue to be good stewards of our tax payer money.” Thompson said.