Finance & Audit Committee Meeting/Notes September 12, 2019

Agenda

 

September 12, 2019 Board Finance and Audit Committee Meeting

11:45 a.m. - Meeting Room A, Panorama Village Building

240 Villa Crest Drive

State College, PA  16801

 

  I.    Call to Order

 

 II.    SCASD Education Foundation

  • 2018-19 Annual Report
  • September  Update (attachment)

III.   2018-19 Financial Report - (Unaudited )

 

 IV.   2020-21 Budget Development Process  (attachment)

 

 V.   Sponsorships Update

 

VI.   Future Meeting Agenda Items Budget Development Process

  •   Annual Financial Report and ESSA Reporting
  •   2020-21 Budget Development Process

VII.  Public Comment

 

VIII.  Adjournment

APPROVED
September 12, 2019 Board Finance and Audit Committee Meeting Minutes
11:30 a.m. - Meeting Room A, Panorama Village Building
240 Villa Crest Drive
State College, PA 16801

 

  1. Call to Order
    Mr. Fozard called the Board Finance and Audit Committee Meeting to order at 11:46 a.m.

    Committee Members Present: ​Amber Concepcion, Scott Fozard, Jim Leous, Laurel Zydney
    Committee Members Absent:
    Others: ​Randy Brown, Gretchen Brandt, Doug Loviscky, Bob O’Donnell, Paul Olivett, Nancy Reese, Donna Reinhart, Donna Watson

    A copy of all materials Distributed to the committee members for discussion are included with the official minutes, unless otherwise indicated.

  2. SCASD Education Foundation
    Mr. Doug Loviscky, President, and Mr. Paul Olivett, Executive Director, of the SCASD Education Foundation provided an update on the 2018-19 Annual Report. Mr. Loviscky reviewed the 2018-19 preliminary results with the committee stating that the annual report is close to being finalized and will be reviewed by the SCASD Board at their meeting on September 23, 2019. Mr. Loviscky reviewed highlights and answered questions.
    A.  2018-19 Results:
         - Donations received - $278,531
         - Interest income - $2,317
         - Expenses paid by the foundation (M&G banquet) - $15,012
         - Net revenue - $265,836Net proceeds - $162,985
    B.  Revenue Highlights: EITC, M&G donations for My Mental Health Matters Fund, Student Opportunities Fund and Memorial Field Campaign.
    C.  Expenses Paid by SCASD: Executive Director, Affinity Connection, Printing/Postage, BakerTilly, Liability Insurance, and other smaller items.
    D.  Disbursement to SCASD to support student Programing: $105,000 was given to the District in 2018-19.
    E.  2019-20 Plans: Public phase of Memorial Field campaign, M&G banquet on May 16, 2020, work to re-evaluate giving direct mail program, fall and spring  teacher grant awards, donor appreciation events, review bylaws, and renewing MOU with SCASD which expires on June 30, 2020.
    F.  2019-20 Revenue Projections/Goals: EITC, M&G Banquet, Student Opportunities Fund. Special projects are Memorial Field and South Track Scoreboard.  Projected total: $390,000.
    G.  Historical Revenue: Showing annual year totals with overall amount of $475,886 since 2015-16.
    H.  Historical Expenses paid by SCASD: Since 2015-16 $371,063 a net of $104,823. Upon approval by the Board, the Annual Report will be sent to the donor list electronically. Hard copies will be available for distribution.


    Mr. Fozard thanked Mr. Loviscky and Mr. Olivett for coming and providing the update to the committee.

  3. 2018-19 Financial Report - Unaudited
    Mr. Brown reviewed the 2018-19 financial results with the committee discussing highlights and answering questions.
    A.  2018-19 Revenue:
         - Actual - $160,323,329
         - Projected - $158,430,845
         - Excess of projected $1,892,484 - 1.2%
    B.  Revenue Highlights: Local revenue higher than projected: real estate, earned income, realty transfer, interim real estate taxes and interest on investments. State - transportation and vocational education.
    C.  2018-19 Expenses:
         - Actual - $152,222,696
         - Projected - $154,325,363
         - Expenses less than projected - negative $2,102,667 or -1.4%
    D.  Actual vs. Projected Expenses: variances in excess of $100,000
    E.  Transfer to Capital Reserve:
         - Original budget - $1,640,000
         - Projected transfer to Capital Reserve - $4,809,000
         - Proposed transfer to Capital Reserve - $8,307,039 staying within the state requirement of 8% of expenses
         - Projected percent of expense was 7.64%, preliminary actual percent of expense was 7.92%
    F.  Proposed Board Resolution:
         - Transfer to Capital Reserve Fund to fund future capital project expense - $8,307,039
         - PSERS Fund Balance - as of June 30, 2019 is $2,640,414
         - Food Service Transfer - no transfer from the general fund to food service is recommended based on financial performance; projected was $70,000
    G.  Unassigned Fund Balance as of June 30, 2019
         - Beginning balance - $12,252,696
         - Revenue less Expense - $1,001,166
         - General fund - Unassigned $13,253,852 or 7.92%

    Mr. Brown provided key review and reporting dates and answered questions that the committee had on the 2018-19 Financial Results.

  4. 2020-21 Budget Development Process
    Mr. Brown reviewed the 2020-21 Budget Development dates that are based on the PDE published requirements.

  5. Sponsorship Update
    Mr. Brown updated the committee on the following sponsorships:
    Advertisement - small sign at the North Field advertising an insurance agency
    Sponsorship - Senior Night that would have a poster/acknowledgment at each senior night event
    Total Revenue - $5,500

  6. Future Meeting Agenda Items
    Annual Financial Report and ESSA Reporting
    2020-21 Budget Development Process
    Cohort Review

  7. Public Comment
    There was no public comment.

  8. Adjourn
    Mr. Fozard adjourned the Board Finance and Audit Committee meeting at 1:33 p.m.

Submitted by,


Nancy Reese