District Receives Best Opinion in Financial Audit

An audit of the Dorchester Two 2011-2012 operation budget has issued an "unqualified opinion" — which is the best opinion the district can receive.

The external and independent auditing firm Greene, Finney & Horton of Mauldin has found Dorchester Two has a good financial management team and has good trends with fund balance, despite less money from the federal government and rising costs of certain programs. A presentation was made of the audit Monday to the school board. 

"If you look at the bookkeeping ... it is to the dime, to the penny," Superintendent Joy Pye said. "There is good management taking place."

The audit is regularly scheduled this time of year, but this year's school bond referendum has put the district's finances in the spotlight — with some accusing the district of being spendthrift. 

The audit showed that during the fiscal year, Dorchester Two had $198.5 million in expenses, and $197.2 million in revenues. Of the revenues, 68 percent come from federal or state money. The audit reported an increase in expenditures is expected due to rising health care and retirement costs. 

According to the presentation, the district's healthy fund balance has helped gain better interest rates for debt issuances and helped the district weather unanticipated expenses. 

General fund expenditures increased $21.7 million to $146.2 million due to an increase in salaries and benefits, technology purchases and other expenditures, according to the report.

The presentation also said more than $5 million was cut from federal money in the district. 

Operating expenses were also increased in food service, due to new USDA regulations and increase of students on free or reduced meals, and in extended day programs.