Auditors give Toms River Regional Schools a clean opinion, flag food-service cash balance

Auditors from the district's outside firm reported an unmodified (clean) opinion on the Toms River Regional Schools' financial statements and said the auditor's internal-control and compliance testing produced no findings that require corrective action. "We have an unmodified opinion on the financial statements," auditor Jerry Conedy told the board, calling that "the best opinion that we can give."

Conedy and audit manager Chris Bodecker said a separate single-audit review of federal and state grant spending likewise produced no findings that would require corrective measures. They did, however, repeat one regulatory management comment about the food service fund: the district holds more than the Department of Agriculture's three-month cash limit because of large federal COVID-era inflows. Conedy said the district has begun implementing the previously developed plan to reduce the balance by upgrading cafeteria equipment and reducing meal prices so funds are used over time. "Corrective action's already been implemented and is working on it," Conedy said.

The auditors said they were largely ready to file the comprehensive annual financial report with New Jersey and were completing a few punch-list items. The clean audit opinion reduces near-term compliance risk for the district, but the auditors told the board the food service issue will require ongoing monitoring. The auditors also reminded the board of the district's pending litigation with the state seeking restored aid, which factors into the district's fiscal planning.