Sunday, May 9, 2010

What is fiscal misfeasance?

Often, I have contemplated what fiscal misfeasance is, exactly. I do believe employees in our District's Central Office are working hard and doing their best. However, sometimes a system is broken, organizationally or sound processes are not in place. As a result, fiscal misfeasance may occur.

Recently, our Board was presented with audit findings. Significant deficiencies (pretty serious) were found related to the internal audit and material findings (more serious) were found related to federal fund expenditures (spent on Special Ed and School Lunch). Moreover, if one digs a little, one will find that our District has had deficiencies for as far back as the ORCSD web site allows, about seven years. Yikes!

So, what's going on? Poor filing? Ill-defined checks and balances related to payments? These are easily remedied, but will the solutions stay in place? I hope so, for our children's sake.

The discussion is pertinent because, for every dollar misplaced or not spent wisely, monies could be spent elsewhere. How much extra is our District paying auditors because we are not a "low risk" District when it comes to audits?

In economics, such costs are referred to as "opportunity costs." What are the foregone opportunities? A new running track? Hiring a Spanish teacher for Mast Way/Moharimet? New services for children with special needs? Bringing in an artist in residence to our schools? The list is hypothetical, yet pertinent.

With all this, I look to our Central Office Administrators and School Board to pursue, in earnest, establishing an effective audit committee or budget committee to ensure disbursements and bids are handled with the upmost propriety, and, without fiscal misfeasance.

We need an iron-clad plan to ensure there is no question that operations are sound and disbursements are made in the best interest of our children.

Thank you for reading my post and Happy Mother's Day to all the fellow moms!

3 comments:

  1. Missing the point. We have great educators, and amazing students. But, we have an issue with an audit. Why does this get swept under the carpet and branded with "it must be those who don't support the schools" who are bringing up this issue. How many times must we say, we support the schools. We want more for our schools, in terms of increased program offerings such as foreign language, and maybe full day kindergarten.
    My fear, the money that seems to be spent in a way that is perhaps not with the best eye on supporting programming. Why are we missing authorizaion of receipts on a sample of receipts?
    What else may be missing, does this equate to a mis-usage of funds? Have we lost grants and funding due to our continued marking as a school with audting issues. Enough with the silly, ridiculous smear tactics to keep the focus off of what should be basic questions. Where did the money go? Why are we not doing a better job of accounting, and what are we losing due to this issue? These are questions that I want my school board to ask, and not fear that by asking it shows a lack of support for education. Stop confusing a questioning of accountability with a lack of support towards education. It is actually the strong support of educational programming that promotes my interest in accountability.

    May 11, 2010 5:28 PM

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  2. I could not agree more with the aforementioned comments. I see no reason why the audit findings cannot be addressed AND new processes/organizational structure can be implemented to avoid future issues. Educational programming and teacher/student support are on the line.

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  3. Why won't we see any action taken on this? Because our school administrators are more interested in C.Y.A. than in actually doing a good job.
    And as the discussion of the audit committee at the last SB meeting shows, some Board members are willing and eager to help administrators hide their dirty laundry. Even a hint of a possibility of actually holding those monkeys (Colter's word) accountable makes 'em scurry like roaches.
    "The people's representatives" my A$$! Nothing but lackeys for an administration that avoids responsibility/accountability at any cost.

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