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Joint Finance Committee advances draft MOU to centralize county and school finance functions

Northumberland County Joint Finance Committee · April 1, 2026
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Summary

The committee reviewed a draft Memorandum of Understanding that would create a County Finance Director responsible for county and School Division finances, move two finance positions under the County, set reporting and invoicing procedures, and preserve School Board statutory authority; attorneys will review the revised draft.

Committee Co-Chair John Kost presented a draft County–School Memorandum of Understanding on March 26 that, if approved by both Boards, would create a County Finance Director position responsible for managing the finances of both the county and the School Division and provide up to two Finance Staff dedicated to the School Division.

The draft MOU specifies that after execution the School Board would eliminate its Accounts Payable Clerk and Payroll Clerk positions and the Board of Supervisors would employ those individuals on a trial basis for a minimum of 90 days; if not retained full-time they would receive two months' salary severance paid from funds identified in the FY2026 School Board budget unless otherwise agreed. The draft sets monthly reconciliation meetings between the County Finance Director and County Treasurer, requires the School Division to provide prompt notice (within two business days) of contracts, invoices, personnel changes and grants, and provides that the County will invoice the School Division quarterly for the Finance Staff costs.

The MOU text explicitly preserves the School Board's authority under Article VIII, —7 of the Constitution of Virginia and Sections 22.1-88 and 22.1-89 of the Code of Virginia. Committee members agreed the draft should be revised as discussed and then routed to County and School attorneys for review before seeking approval by both the Board of Supervisors and the School Board.