An independent financial audit of Charles City Community Schools has determined that the district maintains a high level of compliance with state and federal regulations and provides clean accountability in the use of government funds.
A statement from the school district reads that, “The audit, conducted by Nolte, Cornman & Johnson P.C., found that the district qualifies as a low-risk auditee. There are no noted material weaknesses in the internal control over financial reports or major programs. The district remains in compliance with financial procedures of Uniform Guidance. The clean audit report also means that no findings must be reported to state or federal entities due to compliance issues.”
School Board President Pat Rottinghaus noted, “The results of this audit verify that Charles City Community Schools continues to have proper checks and balances for all taxpayer funds and uses them in a legal, ethical, and wise manner for the benefit of all students. The return of ‘low-risk auditee’ is the highest level an organization can receive.”
Over the past fiscal year ending June 30, 2021, the district’s general fund revenue increased by $2.2 million. The general fund is also healthy, with a $900,000 ending balance increase in the last fiscal year. The audit also showed that the school district’s total long-term debt also declined by $1.9 million, representing an almost 19% decrease from the previous year.
Nolte, Cornman & Johnson P.C. noted three minor comments. The comments address issues related to the certified budget, official depositories and certified enrollment. The noted discrepancies are not uncommon among Iowa schools, especially during a pandemic year. Two of the three comments discussed were repeated from the prior year. Comments were addressed and corrected for the fiscal year.
The financial audit is an annual process required by Board of Education policy and the state of Iowa. This year’s audit report was delayed several months due to the illness of an audit partner.
The entire 74-page independent auditor’s report is available online under reports on https://www.charlescityschools.org/ or on the Auditor of State’s web site at https://auditor.iowa.gov/audit-reports
