Valerie Dolan, the district's external auditor, told the Bound Brook Board of Education that the district's annual comprehensive financial report for the year ending June 30, 2025, earned a clean audit opinion with no formal recommendations. The report notes an improved fund balance that the district can use for capital projects and maintenance and shows roughly $2.8 million in federal and state grants flowed through the district this year.

Dolan said the district's food-service program saw a designed reduction of roughly $48,000 as the district spent down pandemic-era surplus per U.S. Department of Agriculture guidance. She also told the board the audit includes two management suggestions related to changing accounting standards and other forward-looking items, but emphasized there are no corrective actions required.

The audit matters matter because a clean audit preserves flexibility for near-term capital and maintenance investments while also setting the baseline for next year's budget planning. "You landed yourself in a very good financial position," Dolan said, adding that careful budget monitoring produces the surplus that enables choices about future capital and maintenance. The auditor recommended continued vigilance on budgeted spending, particularly in categories such as special education that can produce unplanned costs.

Board members followed the presentation with questions about 2026 risks. Members were advised to watch expense trends and special-education costs and to expect reporting changes when accounting standards are updated. Operations committee members separately summarized a recent health-insurance presentation from Gallagher, noting that costs for medications and specialty treatments are driving large increases nationally and locally. "Health insurance is definitely an Achilles' heel for all of us," the operations chair said, urging the administration to evaluate plan options that balance coverage and cost.

The board moved and seconded a resolution to accept the annual comprehensive financial report and the auditor's management report and to authorize the school business administrator to submit required documents to the New Jersey Department of Education; the motion passed by roll call.

Next steps: administrators will monitor budget lines closely as they prepare the 2026 budget and will continue to evaluate health-plan options; the business administrator was authorized to file the audit with state education authorities.