“poor poor poor might have to lock the door”

In July 1, 2021, the school district begins the school year with a fund balance of $1,122,161.00. This is the amount that was left over in the checking account and was available for use in the FY 21-22 school year.

It is important to understand that there should always be money in reserve and the state recommends 3 months worth of funds.

In addition, there are also several accounts in a state program referred to as the Local Government Investment Pool where the district has money.  The following table illustrates the different accounts held in the Local Government Investment Pool and the balances as of March 25, 2024 

In December 2021, the board began discussions on seeking another levy.  The school year started in July with the fund balance of $1,122,161.00 and would be collecting another $400,000.00 through the current levy expiring on June 30, 2022

On January 5, 2022 the school district held an Informational Meeting on the proposed levy that would be voted on in March 2022 with collection starting in July 2022.  This Informational Meeting began with the board stating they would not be answering any questions.

For the school years 22-23 and 23-24, the school district requested the voters pass a $500,000.00 levy for each of year.  On March 8, 2022 the levy narrowly passed with a vote of 161 (55.14%) In favor and 131 (44.86%) Against

These funds were claimed to be needed to balance the budget for the school year beginning July 1, 2022 or dramatic cuts would have to be made. The district knew the whole time as they stated the money was needed to balance the budget that the district had sprinklered over one million dollars throughout the budget. 

In November 2022, after the annual audit, the school district realized that there was less money in the fund balance than expected.  Instead of the 1+ million that was expected, the fund balance was reported to be $669,709.00.

Two questions need to be asked:
1)  Why did it take the completion of the audit before the district realized that there was a shortage of $452,452.00 in the fund balance?

2) Where did it go?

What followed was very interesting and illustrates the kind of transparency and accountability the school embraced.

Superintendent Randy Thompson is removed with a payout of his current contract and Pat Goff is appointed as the Interim Superintendent working one day a week at the school and was subsequently provided a contract for the 23-24 school year with a salary of $45,000.00 and still working one day a week at the school.

At the April 19, 2023 school board meeting, Superintendent Pat Goff reads a statement which he says in part:

“The amount of money that was spent put us in a scenario hoping we can make payroll through August” 

“We are barely going to have enough funds to get the bills paid which involves payroll mind you through the month of August”

“They (Board Trustees) have not responded to emails or question per the GVSD school’s attorney that advised them not to”

To this date, the district is unable to provide the answer to “Where did the money go?”

The audit for the 2023 school year indicates a fund balance of $778.380.00.  An increase of $108,671.00 from the start of the year.

Below is the video from that meeting.