Paulding County schools report clean FY25 audit, lay out FY27 budget foundation

Anna Durham, the district’s business‑services presenter, told the Paulding County Board of Education on March 10 that the district received an unmodified (clean) audit opinion for fiscal year 2025 and will again receive a certificate of excellence for financial reporting.

“We have received the certificate of excellence from for financial reporting again this year from the department of audits and accounts,” Durham said, adding that both the financial statements and federal‑grant compliance received clean opinions and auditors identified no internal‑control issues, material weaknesses or significant deficiencies.

The presentation also included the district’s January financial update: with 58.3% of FY26 elapsed, year‑to‑date revenue variance to budget was 12.6% (compared with 12.1% last year) and expenditures were showing a negative 2.0% variance. Durham said the district’s unassigned fund balance could support about 3.1 months of FY26 expenditures.

Superintendent Barnett and budget presenter Amber Thesmond used the budget foundation document to frame fiscal risks heading into FY27: Paulding’s tax digest is heavily residential, limiting local revenue capacity, and state‑to‑local shifts in responsibilities and costs have pushed more expenditures onto the district.

Barnett highlighted recent growth in health‑insurance costs, saying total health costs rose from about $32 million (earlier years) to roughly $62 million by FY26, and that the district now carries a much larger local share. “That grew to $15,000,000 we had to absorb in those years,” Barnett said, underscoring the budget pressure created when state funding or responsibilities shift to local budgets.

Thesmond summarized key demographic and economic indicators that will inform FY27 planning: about 980 building permits were issued in Paulding County in 2025 (a 51% decline from the 2021 peak) and roughly 2,400 residential home sales were recorded in 2025 (a modest year‑over‑year decrease). Enrollment trends show a net loss of 572 students in FY26, with preliminary FY27 projections indicating a slight increase of about 32 students.

Thesmond also said 59% of district revenue came from state sources in 2025, compared with a statewide average of roughly 48%, and that the district’s local revenue per pupil remains below comparable districts while its state revenue per pupil ranks relatively high.

What’s next: the district will post the full FY27 budget foundation document and continue public engagement; the next budget update is scheduled for the March 24 board meeting, when the board will see preliminary 2027 revenues, expenditures and allotments.

Sources: Presentation to the Paulding County Board of Education by Anna Durham and Amber Thesmond on March 10.