School board accepts 2020 audit

The Wrangell School Board met Monday night for a special work session and meeting regarding the district's FY 2020 financial audit.

According to the audit, the school district has approximately $3.57 million in total assets across different funds: $2.07 million in assets in its general fund, $1.07 million in its capital improvement projects fund, and $437,786 in other governmental funds. Meanwhile, there are approximately $1.65 million in total liabilities. An income statement of the district's major funds show that the general fund's end-of-year balance is $757,486, increasing from $578,999 at the beginning of the year. The capital improvements fund remains the same, according to the audit, at roughly $1.07 million. The other governmental funds balance decreased from $97,741 to $95,760.

In total governmental activities funding, which covers items like instruction, special education, student activities, and other items, the district is in the red for approximately $1.17 million. However, this is a step up from their net position at the beginning of the year, according to the audit, of roughly $1.97 million.

"Overall I think you guys are in really good shape," said Maxim Mamontov, auditor with Altman, Rogers & Co. "You have plenty of liquidity, your fund balance is healthy ... Overall your school district is, it's not a large district but it looks like it's well funded, and you're in a very healthy financial position, in my opinion."

There was some discussion around particular details and other aspects of the audit. Board Member Patty Gilbert wanted to know specifically where about $9,500 in capital improvements money came from and went to. Mamontov said it was his understanding the money came from the City and Borough of Wrangell, for reimbursement for brick work around the high school. Gilbert also expressed some concern that she felt the balance in the capital improvements fund was slightly off, by about $6,000. Mamontov said, after some research, that this was correct. It appeared that one of the categories of funding under "non-major funds" had been combined with capital improvements, he said, creating the discrepancy. That was something he would look into and get back to them on, he said.

The discussion went on for some time, over various portions of the audit. Eventually, the board did decide to accept the FY 2020 audit unanimously. Several school board members commented on the thoroughness of the auditor.

"Really, thank you for this presentation," Board Member David Wilson said to Mamontov. "This is the best that I've ever seen, that we've had."