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District advances capital projects; Trust Lands carryovers trigger corrective-action notice
Summary
Business Administrator Scott McMillan told the board that multiple capital projects remain on schedule and that the district is in a corrective-action process for Trust Lands carryovers affecting four of five schools.
Business Administrator Scott McMillan told the Morgan County School District Board that the district’s major capital projects are proceeding on schedule and that the district is also implementing corrective actions tied to Trust Lands carryovers.
McMillan said masonry and sheetrock work is underway on the high school shop and third-floor addition, and a secure vestibule design will be built in summer. On the Morgan Middle School gym replacement — funded by a Small Schools capital grant — construction documents are being finalized and six prequalified contractors will bid; the district expects to begin demolition in mid‑March and proceed through the fall once a contractor is selected.
He described the maintenance-shop work as “dried in” on the main building with an outbuilding of four storage bays starting footings. McMillan said the district is also working on options to address space constraints at Morgan Elementary for summer capital work.
On Trust Lands revenue management, McMillan said four out of five schools showed a positive or negative carryover highlighted in the packet and that the district is formally in a corrective-action process. He explained the practical causes: timing of purchases and salary accounting and the way schools manage three overlapping Trust Lands plans. “What we need to have for our corrective action plan is to have the minutes reflect that the board was notified of this and is aware that we’re taking these actions,” he said.
Board members asked whether carryovers put the district at risk of losing funds. McMillan answered that if a school has more than 10% carryover for more than three years, the carryover could be at risk of being reclaimed, and that state reviewers are more active than in the past. “If it went on for three years, then we would [be at risk],” he said, while noting that historically no district had funds taken but that review has become more aggressive.
McMillan asked board members to note the corrective actions in the minutes; no board vote was required to record the notification.
