Trustees press for clearer audit of Community Education fund after members cite irregularities

At the workshop portion of the meeting a trustee asked how the board could pursue a forensic audit of the Community Education enterprise fund, saying community ed spending had "become out of control" and asking for transparency on purchase orders, assignments and whether volunteer coaches are also paid through community programs.

Administration responded that every New Jersey school district receives an annual audit and that enterprise funds such as the cafeteria and Community Education must be audited individually. The administration said the audit for the prior fiscal year had just arrived and will be made available to trustees and then voted on at the June 30 meeting. The administration recommended the board review the annual audit first and said it can pursue a deeper forensic audit later if warranted.

A trustee asked that the auditor who prepared the report attend a board meeting to explain findings in person; administration agreed to arrange for the auditor's presentation and to email an electronic copy of the audit to trustees in advance. The board recorded the audit firm name during the discussion as PK O'Conor Davies.

Administrators also clarified that Community Education is a self-sufficient enterprise fund and that its dollars must be spent within the fund (they cannot be transferred to other operating lines). Trustees asked for a meeting to discuss the audit summaries and recommendations before any votes and for enough time to review materials prior to required actions.

No formal motion to commission a forensic audit was passed at the meeting; trustees who raised concerns said they would first review the annual audit and then decide whether to proceed with a more detailed engagement or bidding process for forensic services. The administration said a forensic audit would be bid out and that costs depend on scope.