Auditor: Central Valley SD received unmodified opinion but fund balance fell about $1.01 million
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Summary
Charlie of Cypher and Cypher told the Central Valley School District board the FY2025 audit came back unmodified but showed a roughly $1.01 million drop in fund balance and warned the end of ESSER funding will pressure the 2026 budget.
Charlie, an auditor with Cypher and Cypher, told the Central Valley School District board on March 11 that the district’s financial statements for the year ending June 30, 2025, received an unmodified (clean) opinion.
Charlie said the district reported general fund revenue of about $44.5 million and expenditures of about $46.2 million for the year. He reported a fund balance of roughly $3.29 million and described a year‑over‑year decrease in fund balance of approximately $1.007 million. “You received an unmodified opinion,” Charlie said, adding that the audit included an internal control finding related to reconciliation. He cautioned the board to be mindful of the “ESSER cliff” now that one‑time federal ESSER funds have largely ended, and said some routine expenses previously supported with ESSER will now fall to local budgets.
Charlie reviewed the district’s fund and construction accounts, saying the construction fund had about $4.0 million on hand at June 30 and that capital reserve interest earnings were modest. He noted federal program testing (including the cafeteria program) produced no findings and called cafeteria administration “stellar.” He also pointed to higher transportation costs related to a change in contractors and a transition in personnel.
Board members and administrators acknowledged business office staff for recent work to restore financial reporting. A board member said the district should aim for a balanced 2026‑27 budget; the auditor reiterated the need for caution and planning.
What happens next: Finance items on the agenda included a motion to approve the FY2025 audit report as presented and to adopt the Beaver Valley Intermediate Unit general operating budget; the transcript records the Finance presentation but does not include a recorded roll‑call vote for those items in the excerpt.
Sources: Presentation by Charlie of Cypher and Cypher (audit presentation), board discussion as recorded March 11, 2026.
