Greater Clark County Schools board approves independent financial review

Clark County

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August 22, 2012

Greater Clark County Schools board approves independent financial review

$1M loan for technology approved

By JEROD CLAPP jerod.clapp@newsandtribune.com The News and Tribune Wed Aug 22, 2012, 08:02 AM EDT

JEFFERSONVILLE — A contract for fiscal analysis of Greater Clark County Schools and a loan of $1 million were approved at Tuesday’s board of trustees meeting.

The fiscal analysis — added to the agenda by a 4-3 vote with board members Becka Christensen, Ernie Gilbert and Nancy Kraft opposing — could cost up to $5,000 and would give the district a baseline of where they stand financially.

Andrew Melin, superintendent, said an outside consultant would review the budget.

“We both believe it’s important that a fiscal analysis be completed so that we have a baseline for where we are financially,” Melin said. “I think it’s just a way to show the community where we are financially and as we’re working toward a balanced budget program and building our cash balance over time so we know where we’re starting.”

Melin said the consultant is the business manager of Brownsburg Community Schools, Marvin Ward. He said the analysis could be completed in two or three weeks.

Kevin Satterly, board member, said he thought the independent review was something the corporation should have done regularly.

“I’m really surprised that a corporation of this size doesn’t do this as a matter of policy already,” Satterly said. “[Thomas Dykiel, chief financial officer] couldn’t do it because [he’s] an employee.

Christensen asked Dykiel if he was able to do the assessment himself, to which he responded that he could.

The board voted to approve the independent review with a 5-2 vote with Christensen and Kraft opposing.

The board also voted to apply for a Common School Fund Loan from the Indiana Department of Education in the amount of $1 million.

Amy Schellenberg, director for educational services, said the loan would be used to complete the installation of SMART boards — interactive white boards — in the middle and elementary schools, install Wi-Fi infrastructure for the offices of elementary schools and possibly computer replacements.

The interest rate for the loan is set at 1 percent, payable through five years. Gilbert said while it sounded like a good deal, the board needed to carefully consider what it adds to the district’s debt service account.

“It’s awfully hard when you get in situations where they offer you money that is almost free, but it has to be paid back ...,” Gilbert said. “We’re tough up against these things. When we borrow a million here for this for 0 percent or 1 percent, it’s pretty good. It’s starting to get where we need to be very careful with all these things, even though they’re very valuable and good for promoting what we need to do, we need to think about them.”

The board approved the measure unanimously, Gilbert voting in favor in spite of the concerns he raised.

The board also voted unanimously to pay $20,000 to Communities in Schools of Clark County, an organization that provides multiple services to all the school districts in the county.

Cathy Graninger, executive director, said the group had provided numerous services to GCCS schools to help improve academics as well as 984 eye exams last year. She said CISCC normally wouldn’t ask for money, but they lost a CAPE grant from the Lilly Endowment. She said they’ve also asked for help from West Clark Community Schools and Clarksville Community Schools.

She said the request was well below market value for the services they provided and next year, they will ask for as little as possible, but continue to raise funds to offset what they ask for from school districts.