The Tidioute Community Charter School has received a clean audit for the 2011-2012 fiscal year.
CEO Doug Allen said that the CPA firm of Root, Spitznas and Smiley, Inc, of Erie, submitted the audit to the TCCS board of trustees at Wednesday night's meeting.
"The audit commended the TCCS board for having no material financial weaknesses, adequate internal controls and compliance to applicable charter school laws," Allen said, thanking the board for "seven years of careful attention to the current and future needs of the school."
While the audit was clean, a few fiscal hurdles remain.
"The state of Pennsylvania changed the laws relative to Social Security payments to charter schools and, as a result, TCCS saw $70,000 less revenue in 2012 over 2011," Allen said. "In addition, the PSERS retirement rate contribution for employers increased to 8.65 percent, causing an increase to payments...compared to 2010." TCCS also lost funding as a result of the pre-kindergarten program, which does not generate revenue from sending school districts.
But these challenges likely won't cause drastic changes at the school.
"We do not plan to reduce staff despite revenue reductions because our enrollment has remained close to 300 students throughout the year," said Allen. As of February 15, 299 students were enrolled at TCCS. "As of now, we intend to use some fund balance to balance our budget for next year. For now we have seen state revenue decrease due to Social Security reimbursement but have absorbed that loss."
But the pre-kindergarten program will be reviewed.
"We will not, most likely given our anticipated expenses, realize a significant budget surplus at June 30, we believe, because of our decision to fund PK and the loss of state revenue," Allen explained. The program, which costs $70,000 annually, "will be discussed for for 2013-2014 in April and May as the budget develops; but the TCCS board believes that this early education program has merit."
In other news, the TCCS board accepted the resignations of trustees Rob Burris and Marjorie Manning. Both resigned citing personal reasons. Also, the 2013-2014 school calendar was approved.