Wipfli Audit Reports Clean Financial Status for Local School District

The RSU 40 School Board meeting on June 18, 2025, highlighted significant financial updates and decisions that will impact the district's operations and budget management moving forward.

One of the key discussions centered around the 2024 audit presented by Christian Smith from Wipfli, an independent auditing firm. Smith reported a clean audit opinion, indicating that the school district's financial statements are complete and accurate. This positive assessment reflects well on the district's financial management, with revenues exceeding budget projections by approximately $66,000 and expenditures coming in under budget by nearly $950,000. As a result, the district's fund balance increased to nearly $4.1 million, which is a strong position for future budgeting.

Smith noted that the district's unassigned fund balance stands at about $3.2 million, which is under the state’s allowable limit of 9%. However, upcoming changes in state regulations will reduce this limit to 5%, prompting discussions on how to effectively manage and potentially reduce the fund balance in the coming years. Smith reassured board members that the state would work with the district to ensure compliance without jeopardizing funding.

In addition to the audit results, the board approved the minutes from the previous meeting and discussed various operational matters, including the management of the school lunch program, which currently operates at a loss but maintains a healthy fund balance.

The meeting concluded with a sense of optimism regarding the district's financial health and a commitment to addressing future budgetary challenges as state regulations evolve. The board's proactive approach to financial management aims to ensure that resources are effectively utilized for the benefit of students and the community.