The Tecumseh Public Schools Board of Education reviewed the district's April financial report and discussed cash flow challenges tied to state aid timing and summer expenditures.

In a presentation to the board, Business Manager Kelly Glenn said, "Cash on hand as of April 30 is $3,138,477.38." Glenn told trustees the district records seven months of state aid on the April report while showing 10 months of expenditures, a timing difference she said will flip to a positive as the district recognizes late state aid payments after fiscal year end.

The financial summary Glenn presented shows accumulated revenue from July 1 through April 30 of $25,605,069 and accumulated expenditures of $26,001,341, leaving estimated expenditures greater than revenues of $396,002.72. Glenn said that amount has decreased month to month and that final audit adjustments and the two state aid payments that post after June 30 will move the district into a positive position.

Trustees pressed for more detail on cash flow and contingency options. Trustee Miller raised the cost of prior short-term borrowing, saying, "It cost us $40,000 in interest," while trustees noted the board was previously informed a $1.5 million state-aid note had been paid back early and that early payoff reduced interest expense compared with the full-term projection.

Trustees and staff discussed other revenue timing items: Glenn said federal revenues are recorded on a reimbursement basis and that requested quarterly drawdowns should appear on the next monthly report. She also told the board she will present a June budget amendment and the formal budget the board must adopt by June 30.

Board members asked for improved access to monthly detail and for formal sign-offs on internal reviews. One trustee asked that balance-sheet detail and monthly forecasts be shared with the finance committee before the audit, and Glenn agreed to provide additional information and to meet with building directors as part of the budget projection process.

The discussion also covered operational drivers of summer expenditures, including construction and one-time purchases. Glenn advised trustees these costs are cyclical and explained that accruals and audit adjustments will affect final numbers.

Trustees directed staff to continue detailed budget forecasting and to return in June with finalized budget materials, forecast scenarios for possible cash-flow borrowing, and the balance-sheet detail the committee requested.