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Haddonfield finance officer reports $9.0M fund balance, $98,003 operating shortfall for period
Summary
The district reported $44.0 million in revenue, $44.0 million in expenditures for a $98,003 operating loss for the reporting period and an ending fund balance of about $9.0 million; board members discussed reserves, bond proceeds and upcoming RFPs.
At its June 3 working session, Haddonfield School District staff reviewed the district’s financial statement for the reporting period ending June 3, 2024, reporting total revenue of $44,000,505.35 and expenditures of $44,000,005.98, yielding a net operating loss of $98,003.62 and an ending fund balance of approximately $9.0 million.
The presenter broke the fund balance into components the district uses for budgeting: a reserve for encumbrances, a capital reserve (noted as designated for next year’s expenditures), a maintenance reserve for the 2024–25 budget and an unassigned (free) surplus. The presenter said the district has the maximum unassigned surplus the state allows and characterized the district’s overall fiscal position as “in pretty good shape.”
Board members asked for clarification on revenue categories and the source of miscellaneous increases. The presenter explained that interest revenue and forthcoming bond proceeds would increase certain lines in the audit report and said the district had recently completed an RFP process for borrowing. When a board member asked where the $98,000 loss would be covered, staff said the district appropriates fund balance each year as part of budgeting and that the annual use of surplus is not necessarily an indication of problems.
Committee and staff reports noted several upcoming procurement and planning items tied to the district’s referendum and operations, including an architect contract for referendum work under attorney review; an RFP for custodial management (five-year procurement cycle); an RFP for environmental consultant services tied to referendum work; and disaster recovery and continuity-of-operations plans required for cyber-liability underwriting. Staff said the disaster recovery plan is technology focused; the continuity plan includes broader succession and operational contingencies.
Board members also discussed the district’s recent bond referendum and the prospect of favorable market rates based on nearby sales, and staff said bond proceeds and higher interest rates are expected to affect the upcoming audit report. No formal votes were recorded on financial items during the session.
Board members requested continued reporting and the posted financial statements; staff agreed to circulate final audited figures when available.
