The RSU 22 Board of Directors on its March meeting reviewed the district's FY24 audit, discussed the district's unallocated fund balance and deficiencies, and approved a transfer to cover a facilities maintenance overage.

Board members and finance staff told the board the audit lists a general fund balance of $11,686,751. After subtracting a $3,000,000 carryforward included in this year's budget and $1,341,500 in reserves approved last June, the presenters said the unrestricted fund balance effectively totals about $7,000,000, which the board noted represented roughly a 19% reserve against last year's budget (the current statutory target was discussed as 9%, with a planned reduction to 5% next year and a pending bill that would keep it at 9%).

The audit also recorded a procedural deficiency tied to Title funding invoicing. Finance leaders said the district hired a grant specialist midyear and had nearly closed the invoicing gap, and expected the issue to be remedied before the next audit cycle.

On a related item, the audit showed an overspend in the facilities maintenance cost center (article 9) of $39,507. Under state law, the board may transfer up to 5% of an appropriated cost center to cover overruns. The board voted to authorize a transfer of $39,507 from FY24 article 2 (special education) into article 9 (maintenance) to zero out the variance. The motion was presented under Title 20-A authority cited during the meeting and carried unanimously.

Board members clarified that the transfer applies to FY24 budget lines only and does not affect FY25 spending authority. The finance director noted that once the transfer is processed the audit will be finalized, submitted to the state, and posted on the district website.

Board members also asked for clearer year-over-year reporting in the finance packet: several members requested a March-to-March or end-of-month comparison so that percent-remaining figures can be compared to the prior year at the same reporting date.

The board did not take any further spending actions tied to the broader fund-balance discussion at this meeting; board members noted the legal requirement to spend any amount above the statutory cap within a three-year window if the district remains over the cap in future audits.