THE VIRGINIAN-PILOT
Copyright (c) 1996, Landmark Communications, Inc.
DATE: Friday, June 21, 1996 TAG: 9606200151
SECTION: VIRGINIA BEACH BEACON PAGE: 12 EDITION: FINAL
SOURCE: Aleta Payne
LENGTH: 84 lines
The School Board has delayed taking any action on reimbursing the city for an expanded audit into the division's finances until board minutes of an earlier meeting can be reviewed to determine what was agreed to in authorizing the audit.
Early in a marathon meeting Tuesday, that lasted almost 11 hours, the board agreed to defer transferring $35,839 needed to pay back the city for the services of KPMG Peat Marwick. The accounting firm reviewed the division's finances for the 1994-95 fiscal year that ended in a $12.1 million budget shortfall. School officials said the company has been paid, but that the city is expecting to be reimbursed.
Tim Jackson, one of the four members left on the board from the group that began the school year, said that a board request to have the audit probe finances in previous years was ignored.
``To this day, we have not been answered with regard to those particular years,'' Jackson said. ``We're paying $35,000 and our concerns were not addressed.''
Board member Thomas E. Fraim Sr. said a letter from Peat Marwick regarding the audit makes no mention of expanding it beyond 1994-95. While the board's instructions may not have been followed, the problem may not have been with the accounting firm, he said.
Board chairwoman Karen O. O'Brien suggested reviewing the board minutes to determine what had been agreed to with regard to the audit. The members voted unanimously to defer the matter until July.
The board approved the transfer of almost $2 million into the Operations and Maintenance category of the budget. The transfer had been anticipated since last fall when problems with this year's finances were first discovered. The money came from other categories in the budget.
The board spent more than half of the meeting in closed session discussing disciplinary, personnel and other issues that do not have to be discussed publicly.
In other action:
Board members were told they were very close to a break-even budget for the current school year. Savings in expenditures may balance out a revenue shortfall of $4.5 million, but Superintendent Timothy R. Jenney said there was still the possibility of a $700,000 shortfall.
Jenney said the division was continuing the strict spending measures and other restrictions first put in place last fall, and that the schools might well end the fiscal year with the books balanced. However, Jenney said he officially would stand by a figure of a potential $700,000 shortage in revenue.
City officials have agreed in writing to cover a shortage of up to $2.3 million. According to an attorney general's opinion, the city would have to make up any shortfall caused by a shortage in anticipated state and federal revenue. Although the fiscal year ends this month, it will likely be August or later before school leaders know the final status of this year's finances.
The board deferred action on changes suggested by the administration to bylaws governing when and on what topic community members can speak at a given meeting.
Several speakers said during the public comment period that they thought the changes would hamper communications between the community and the board and could undermine trust. The current board was hesitant to proceed with five new members joining their ranks next month.
The changes would have allowed the public to address any topic at the first monthly board meeting. But the public comment period at the second meeting each month would be limited to action items on the published agenda.
On a motion by Daniel J. Arris, the board voted unanimously to defer a decision until the second meeting in July and to discuss the matter at the board retreat.
Because of the late hour, the board received but did not discuss a report that offered options for increasing instructional days in the calendar for the coming school year and for providing parent-teacher conferences in the evening.
The school calendar committee suggested that no changes be made for 1996-97, but that the committee preparing the calendar for 1997-98 begin work early with the recommendation of providing additional days and evening meetings.
While the committee did not recommend changes for the coming year, it offered options that the board may still consider, such as shifting some teacher work or training days to teaching days and changing the schedule on a couple of work days to allow for later meetings with parents.
Tuesday was the last meeting for two veteran board members and three relative newcomers. Chairwoman O'Brien and board members Ferdinand V. Tolentino, Roger L. ``Buddy'' Riggs, Fred G. Benham and Fraim were thanked by Delceno C. Miles for their service to the board and received a standing ovation from those in attendance. by CNB