Allegany County board cites clean audit and unanimously approves 2026 operating budget

The Allegany County Board of Education on March 10 received a draft FY2025 audit that auditors said will carry an unmodified (clean) opinion and then voted unanimously to approve the superintendent's operating budget.

Jason Estroski, managing director at audit firm UHY, told the board the audit package included a clean opinion and an —emphasis of matter— noting implementation of new accounting standards. —We're expecting to issue an unmodified clean opinion on the fiscal year 2025 financial statements,— Estroski said.

The audit report identified two prior-period adjustments and one material weakness tied to the cutoff of grant revenue and the prior reporting of compensated absences in fund financial statements. Estroski recommended enhanced year-end review procedures and suggested the district consider a pre-audit consultant to assist during close periods.

Superintendent Dr. Martirano framed the budget as the —children's budget.— —When a superintendent presents the budget, the board adopts it,— Martirano said, and the district must steward resources for about 8,000 students. He told the board the proposal prioritizes staffing and compensation, instructional materials in reading and math, early childhood and safety investments.

Chief finance presenter Mister McKenzie and Martirano told the board the operating budget is —rapidly approaching— $150 million and that the district plans to use approximately $6,500,000 from fund balance to help balance the budget, driven primarily by rising health-care and other costs. McKenzie also said state revenues showed a net increase of roughly $5 million (about $2.7 million in unrestricted revenues and $2.3 million in restricted revenues) and noted a 2.7% increase in special-education enrollment.

After the presentation, the board approved the operating budget as presented. A motion to approve passed unanimously; the motion was recorded in the transcript as made by Doctor Bond with a second by Mrs. Widmeier.

Votes at a glance

- Consent agenda: approved unanimously (motion by Mister Green; second by Doctor Bond). - Operating budget: adopted unanimously (motion credited in the transcript to Doctor Bond; second by Mrs. Widmeier); presenters said the budget will rely on an estimated $6.5 million from fund balance and includes placeholders for bargaining-unit contract obligations (four bargaining units). - Guest speakers policy (File IJOB): approved unanimously (motion by Mister Green; second by Miss Lepley). - Animals on ACPS property: referred back to policy committee for further review and community input (motion by Mister Green; passed unanimously). - Student search/seizure/arrest/questioning policy (File JIH): board adopted the recommended new policy and voted to repeal the prior File JIH effective July 1, 2026 (motions passed unanimously). - Use of handheld metal detectors (JIHC): policy recommended for first reading and approved as presented for consideration (motion by Mister Green; second by Doctor Bond; unanimous).

Why it matters

Board members and auditors emphasized that the unmodified audit opinion supports the reliability of the district's financial statements as the board considers a roughly $150 million operating budget. The board highlighted investments in safety (security vestibules at remaining buildings), professional learning and instructional materials while acknowledging inflationary pressures on transportation and health-care costs.

Next steps

The budget was approved at the meeting after presentation and will be implemented under the board's oversight. Audit deliverables were still in draft; the auditor said the firm expected to complete the audit by the end of the week and submit the final representation letter.