FORNEY, Texas – The Forney Independent School District Board of Trustees and District administrators received the 2011-2012 Financial Audit Report from the District’s external audit firm, Whitley Penn, during the Board’s regular monthly meeting on Monday, Nov. 12, 2012. The audit was presented to the Board by Celina Miller, an audit representative from the Whitley Penn Audit Firm.
FORNEY, Texas – The Forney Independent School District Board of Trustees and District administrators received the 2011-2012 Financial Audit Report from the District’s external audit firm, Whitley Penn, during the Board’s regular monthly meeting on Monday, Nov. 12, 2012. The audit was presented to the Board by Celina Miller, an audit representative from the Whitley Penn Audit Firm.
The firm presented the Board with an “unqualified opinion letter” entailing that Forney ISD had earned a clean opinion of the internal controls and financial accounting of the District, with no explanatory paragraph related to a going concern. An unqualified opinion letter is the highest level of assurance an audit firm can give to a school district.
Miller stated that the audit shows the District has an operating surplus of $564,308 and only three non-material compliance concerns. In 2011, the District had an operating deficit of $5,045,069 and 16 material weakness and compliance concerns.
In 2011, Forney ISD learned that the District had been overfunded $17.4 million by the Texas Education Agency (TEA) for the 2010-2011 fiscal year. In an agreement with the TEA, the District is able to repay the State equally over five years.
In addition to the repayment, $3.4 million of revenue was reduced as a result of the statewide cuts made to public education in the 82nd Special Called Texas Legislative Session. Once all true revenues and expenditures were considered, Forney ISD faced more than a $5 million shortfall for 2011-2012 and only had nine months to correct.
To achieve the financial gains the District realized over the course of the year, Miller acknowledged that significant spending reductions were made including $669,821 (26 percent) in athletics, $342,860 (18 percent) in staff development and $320,571 (7 percent) in support services.
In addition, the District changed several operating procedures in an effort to reduce expenses such as closing down the majority of campuses over the summer months and administrators volunteering their time working athletic events and substituting in the classroom.
“The accomplishments referenced by Mrs. Miller were a testament to the Team of Eight (Board of Trustees and Superintendent) as any organization’s success relies on the dedication and support from the top down,” said Lucas Janda, Forney ISD Chief Financial Officer. “This was truly a team effort as all administrators stepped up and helped find ways to operate more efficiently.”
During the question and answer period, Board President Keith Bell expressed his appreciation for each board member and their commitment to Forney ISD as well as to Forney ISD Superintendent Michael Holland for taking on the financial challenge. Bell added that he appreciated that Holland never once lost sight of the main thing – “our students” – while making the necessary changes to improve the District’s financial health.
The Forney ISD Board of Trustees unanimously approved the audit as presented by Whitley Penn. A copy of the final audit report is posted on the District’s website at www.forneyisd.net under the ‘Business and Finance Department’ page.
For more information about the Forney Independent School District, contact Larry Coker, Director of Communications at larry.coker@forneyisd.net or by phone at 972-564-4055.
