Treasurer flags posting errors and tight cash projection as board reviews February financial report

The Stow‑Munroe Falls district treasurer presented the February financial report and five‑year forecast, telling trustees the district currently shows about $16.5 million in deposits, $39,000 in interest earned and $847 in bank fees for the reporting period. The presentation prompted questions from trustees about large monthly variances and a posting error that affected the forecast.

Nut graf: Trustees asked for corrected accounting detail and for a clearer forecast because the report shows projected ending cash balances under the state’s preferred benchmark of roughly 60 days of cash on hand; staff said a posting error earlier had shifted approximately $2 million between lines and that an updated forecast will appear in the next month’s materials.

Key details from the report and discussion

- Bank balances and interest: The treasurer presented total deposits of about $16,500,000 and interest received of $39,000; bank fees were listed at $847.

- Forecasted cash and “true days cash”: The treasurer reported a projected deficit scenario that would leave about 40 days cash on hand; another scenario in the forecast showed approximately 43 days cash. The treasurer emphasized that more savings now would improve future flexibility.

- Posting error and reconciliation: Board members identified a significant discrepancy between last month’s forecast and the current report. The treasurer said a posting error had allocated approximately $2 million to the property tax line rather than the intended account (personal tangible property), which created a temporary double‑count effect; staff said the error would be corrected and reflected in upcoming reports.

- Projected transfers and obligations: The treasurer noted staff had included a projected transfer of roughly $275,000 out of the general fund to cover field‑house and athletics-related costs; the number is subject to change as year‑end closing progresses.

- Concerns about third‑party vendors: A trustee raised concerns about a $12,496 payment to Riverside Insights and expressed unease about student data collection via third‑party systems; the treasurer and others said payment had been made and recommended further review.

Board direction and next steps

Trustees asked the treasurer to produce corrected and clearer monthly reports as soon as possible and to address the posting error in the April meeting materials. The treasurer said updated forecasts would be published and that staff would continue month‑end closing and PO deadlines to finalize the fiscal year numbers.

Speakers (selected)

- Patrick (Treasurer) — presented the financial report and explained the posting error and forecast methodology. - Board members who questioned the report — E. Jenkins, Tina Marletti, Michael Sheehan and Sudolnick.

Clarifying details extracted

- Reported deposits: $16,500,000 (rounded as presented). - Interest earned in period: $39,000 (presented by treasurer). - Bank fees in period: $847 (presented by treasurer). - Projected transfer for field house/athletics: $275,000 (presented during discussion). - Payment to Riverside Insights: $12,496 (identified on check register; board member requested follow up).

Why this matters: The forecast and any posting errors affect the district’s view of its available cash and decisions about year‑end transfers and purchases. Trustees asked for corrected detail and an updated forecast to restore confidence in the financial statements.

Ending: The treasurer committed to correct the identified posting error, to update the forecast for the April meeting and to provide clearer breakdowns of revenue and expenditure lines for trustees to review.