District finance update: $5M funding, grant reconciliations and a disputed $421,000 true-up with Merit Academy

District finance staff reported the Woodland Park School District RE-2 has received roughly $5 million in recent state disbursements and is reconciling multiple grants and program balances as auditors complete work on the fiscal-year close.

The audit team has prepared numerous journal entries to reduce previously unidentified balances and is moving toward issuing the auditor’s opinion. Staff said most grants (Title I–IV, CTE, pre-K, concurrent enrollment and others) are now reconciled so grant expenses match funding but emphasized that final auditor commentary remains pending.

A separate and material variance was raised by Merit Academy, which contends the district owes about $421,000. District staff said the discrepancy likely stems from differences in how per-pupil revenue components and reimbursement grants (for example, gifted/talented reimbursements and transportation true-ups) were treated, and that Merit had not provided required receipts for some reimbursements. Finance staff scheduled a meeting with Merit’s CFO to reconcile the items.

Staff also noted that the district has been withholding some pass-through transportation funds pending the FY25 true-up and that the district currently has operating funds sufficient into early May given recent receipts and expected state shares in April.

Board members asked for an updated timeline for the audit opinion and further documentation around Merit’s claims; staff said the auditor (Chris) will determine remaining steps and timing and that legal/contract clarifications will follow once reconciliations are complete.