05/04/2015 – Financial Report

March 2015 Financial Report
05/04/2015 Work/Business
eboard link icon  Agenda Item – Approval of Monthly Financial Report

Preparatory Q&A with DeKalb Schools
Question: Would making board TSA contributions moving forward affect the current TSA lawsuit?
Answer: (RON RAMSEY) Per Counsel for Sutherland, the answer is “No”, as long as the BOE does not discuss the pending litigation in its deliberations regarding such proposed action.
Question: Actual Legal Fees for FY2012 were $5,645,834. Actual FY2014 Legal Fees were $5,294,405. Where did we cut spending on legal since FY2012?
Answer: (DR. MICHAEL BELL) Our records indicate actual legal fees for FY2014 were $4,490,462 after an adjustment for SPLOST related litigation was made (per legal) to the SPLOST fund. In our budget to actuals to clean up outstanding legal issues the following applies:

  • FY2012 Budget – 3,402,816 – Actual – 5,645,834 (prior to this administration)
  • FY2013 Budget – 10,550,000 – Actual – 7,413,285 – under budget 3,136,713 (2013 between 2012 and 2014)
  • FY2014 Budget – 4,850,000 – Actual – 4,490,462 – under budget (359,538) after SPLOST adjustment but before accruals).

Net of Budget to Actuals = $1,253,233 under budget (Does not include $6MM benefit to DCSD from Heery Settlement)
Question: The variance report says we are $7 million under in spending on instruction. Why is that?
Answer: The first page of the March 31 Monthly Financial report indicates in Instruction we are ahead of last year in spending by $13,069,615. The Variance report compares Instruction spending to a projected position based upon the current year’s budget. It does indicate $7.1 million behind projected position. In researching this (and consulting with HR) it appears this is being caused by vacant positions in the Schools.