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District finance report: audit filed, grants and small contracts noted; board discusses mileage reimbursements

Duluth Public Schools HR Business Services Committee · May 13, 2026
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Summary

Director Simone Zunich presented a revised budget and said the district audit has been sent to state and federal reviewers; the committee reviewed donations, grant applications and contracts and discussed small annual mileage reimbursements paid when parents transport students to out-of-district schools.

Director Simone Zunich (S5) told the HR Business Services Committee the revised budget includes an adjusted special education expenditure and that the district audit is complete and has been sent to the Department of Education and federal clearinghouse.

Zunich said the revised general fund expenditures show a 79% training rate compared with a typical 72% at this point in the fiscal cycle and described the budget adjustments she made for special education costs.

The committee reviewed donations and grants to the district, including a $2,579 award from the Education Minnesota Foundation for early childhood education, and considered revenue and no-cost contracts. Chair (S1) flagged a recurring small contract that reimburses mileage to parents who choose to send their children to an out-of-district school (for example, Stone Ridge Christian School). Staff said reimbursements are typically a few hundred dollars per parent, require Department of Education transportation forms and odometer documentation, and are charged to the general/transportation fund.

The board also reviewed change orders for the First Street build-out and heard that carpet installation is underway; staff said the build-out remains on schedule and within budget.

No formal votes were recorded in the committee session. Directors asked staff to provide additional background on contracts (including union status for on-call trade vendors) and follow up on use cases for digital materials such as the Captivate video referenced for special education funding communications.