Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Finance Deficit topic
No spam. Unsubscribe anytime.
Auditor General warns Glocester could face cumulative school fund deficit; urges five-year plan and finance director hire
Summary
Rhode Island Auditor General Dave Bergantino told a Glocester special council meeting the town may face a cumulative school fund deficit and urged a five-year corrective plan, more timely financial information and hiring a capable finance director to avoid compounding shortfalls.
The Glocester Town Council convened a special meeting July 29 to hear the state Auditor General warn that the town’s school unrestricted fund may be headed toward a cumulative deficit and to discuss local corrective options. "We have been tasked by the general assembly to conduct municipality financial monitoring," Auditor General Dave Bergantino said, outlining his office’s role in identifying operating versus cumulative deficits and in sending early-warning letters to communities.
Bergantino explained the difference between annual operating deficits and cumulative deficits that exhaust a fund balance, and said his office issues five-year trend reports to help elected officials see risks before budgets are adopted. "When I use the term cumulative deficit, I'm referring to the fact that your fund balance... we've gone negative in the fund balance for those funds," he told councilors and school officials. He said the single most important local control is having a capable finance director who can provide timely, accurate numbers.
Council chair opened the meeting saying the district is projecting a local-appropriation shortfall near $300,000 for FY2026 and that audited records show consecutive recent deficits. The council and school leaders agreed to pursue a five-year stabilization plan to rebuild fund balance and limit future tax increases, and to reconvene once the district has a new finance director and the FY2026 audit is finalized.
