Auditors, journal entries and urgent facilities work top business-office report

Deirdre Sherrill, the interim school business manager, reported that external auditors are conducting FY21 and FY22 reviews. She said staff made year-end journal entries and adjustments (about $353,000 in entries referenced in the packet) to allocate expenses to their proper fiscal years.

The committee reviewed several line-item deficits driven largely by rollover and encumbrance timing; facilities and maintenance lines showed the largest audit adjustments, including a move of approximately $174,000 of prior-year expenses (paving and similar projects) to FY22. Deirdre and the auditors explained that some encumbrances and purchase orders had not been rolled forward as open purchase orders on June 30, requiring journal entries to correct the fiscal-year attribution.

Members asked how long reconciliations would take and expressed concern about large minus balances on some lines; administration said most salary transfers and adjustments are about 90% complete and that a small number of deficits will be tracked and presented with options to address them in future financial updates.

Facilities manager Scott reported that parts for boiler pressure-relief valves arrived and a remote boiler shutoff was installed to meet state requirements. He said the middle-school building experienced a VFD failure that temporarily prevented boiler startup but has been managed manually. At Millville Elementary, a power failure in August damaged air-handler units serving the kitchen and cafeteria; two units remain limited and quotes are being obtained for repairs. The superintendent said he had informed the Millville town administrator and the town selectmen about the issue and that repairs will be prioritized.

Committee members asked for continued monthly updates on encumbrances, purchase order validity and projected year-end balances.