Audit flags $46,000 ELOP shortfall; board approves auditors, library plan and 2025–26 budget guidelines including solar reserve policy

The district's auditors presented the finalized 2023–24 audit and the board voted on the audit acceptance, the district library plan and budget guidelines for 2025–26.

Auditor's findings and ELOP penalty: District Chief Business Officer (Miss Olsen) summarized three audit findings. The substantive finding involved the Expanded Learning Opportunities Program (ELOP), which funds extended‑day and summer services. Olsen told trustees that the auditor disallowed 11 centralized non‑summer days because transportation was not provided to those centralized sites; as a result the auditor proposed an adjustment of roughly $46,000. "I was expecting some sort of penalty because I wasn't sure what they were going to be looking at," Olsen said; she said the district's 2024–25 budget had already assumed a $100,000 contingency for potential penalties and that staff were considering whether to pursue an appeal and would consult the county office and counsel.

Other findings: Olsen said a School Accountability Report Card entry had a typographical inconsistency and several schools had not run the required teacher attendance verification report; the former drew no financial penalty and the latter resulted in procedural corrective steps; no monetary penalties were assessed for those items.

Budget guidelines for 2025–26: The board approved standard budget guidance for the coming year, with one addition: staff proposed and trustees approved guideline 21, which directs that annual savings from district solar installations be recognized and transferred to the Special Reserves — Capital Facilities Fund 40. Olsen said the district will estimate annual savings based on projected PG&E rates, actual usage and escalation assumptions and then determine the portion that moves to reserves; she said some savings will likely be recognized by the general fund depending on annual needs. The guidelines also set a district minimum general‑fund reserve of 10% (the state minimum is 3%).

Library plan: Trustees approved the district library plan, which the district librarian committee updates annually; the plan documents librarian staffing at each site and collection goals, and it guides library purchases and weeding practices.

Votes at a glance: The board recorded voice votes on several items during the meeting. Motions were made and passed by voice; the transcript does not record individual roll‑call tallies.

- Adopt agenda as presented — outcome: approved (voice vote). - Approve district library plan (action item) — outcome: approved (motion, second; voice vote). - Accept audited financial statements for 2023–24 (auditor's report) — outcome: approved (motion, second; voice vote). - Approve budget guidelines for 2025–26 (including 10% general‑fund reserve and solar savings transfer to Fund 40) — outcome: approved (motion, second; voice vote). - Consent items (balance of consent agenda, with item 8 pulled for separate consideration) — outcome: approved (motion, second; voice vote).

Olsen and business‑office staff said they will discuss appeals with the county office of education and counsel and will provide trustees with options and cost estimates for an appeal if they pursue one.

Ending: The board approved the audited financials, the library plan and the budget guidelines. District staff will follow up on the ELOP finding with the county office and counsel and will monitor solar savings to implement the newly adopted reserve transfer policy.