Page 12 - Lesson Plan Vol. 33

BALANCING THE BOOKS, M anaging a school district involves far more than

BUILDING STRONGER SCHOOLS delivering quality education. District leaders
must balance transparency, compliance,
and fiscal stability — all while keeping student
opportunities front and center. With limited staffing
resources and ever-changing accounting standards,
these demands can be challenging to meet.

Outsourced accounting services can offer valuable
support for school districts seeking to strengthen
their financial operations. Here are some important
considerations and practical tips for districts exploring
this option:

1. ENSURING COMPLIANCE WITH
NYS MANDATES

Public schools in New York must navigate complex
regulatory requirements, such as oversight from the
Office of the NYS Comptroller and annual audits for
federal funds. It’s crucial for school districts to stay
informed about evolving regulations and maintain
up-to-date accounting systems. Utilizing outside
expertise to monitor compliance can help district
leaders focus on strategic decision-making rather than 3. REDUCING ADMINISTRATIVE BURDEN PARTNERING FOR LONG-TERM SUCCESS
deciphering technical rulebooks. ON DISTRICT STAFF
School districts exist to educate children, not to
TIP: Regularly review updates from state Outsourcing certain accounting functions can alleviate manage balance sheets. Nevertheless, the financial
agencies and consider periodic training for staff workload pressures on district personnel, allowing stewardship entrusted to districts by their communities
on compliance and reporting requirements. staff to concentrate on core educational priorities. By is non-negotiable. Every dollar counts, every decision
delegating specialized financial tasks to professionals, should be clear and accountable, and every report
STRENGTHENING INTERNAL CONTROLS districts can improve efficiency, reduce errors, and must stand up to public and regulatory scrutiny.
2.
AND SAFEGUARDING ASSETS ensure important deadlines are met.
FINAL THOUGHTS
Strong internal controls are vital to protecting taxpayer TIP: Evaluate which accounting functions are
resources. Smaller districts may face challenges in most time-consuming or require specialized As school districts navigate the 2025–2026 fiscal year,
maintaining segregation of duties, a key element expertise and consider outsourcing those challenges will remain: fluctuating enrollments, rising
in preventing errors or fraud. Engaging additional areas to free up in-house capacity. costs, and a need for absolute financial transparency.
support, through outsourcing, can help design, test, But with the right support, these challenges can be
and monitor internal control procedures. One of 4. ACCESSING SPECIALIZED EXPERTISE transformed into opportunities. Partnering with
the most common findings in school district audits AT A LOWER COST experienced accounting professionals helps ensure
is inconsistent reconciliation of bank statements and that every dollar is accounted for, every report is
payroll records. Districts should commit to reconciling Hiring and retaining in-house accounting professionals reliable, and every decision is made with confidence
these accounts monthly—whether handled internally can be challenging due to strong competition for — so districts can stay focused on what matters most:
or through an outsourced provider. This simple habit CPAs and the high costs associated with recruiting, serving students and supporting their communities.
helps catch issues early and provides early warnings training, and retaining staff. Outsource accounting
of issues long before yearend. provides districts with affordable access to specialized
expertise in areas such as governmental accounting, SUSAN STEWART
TIP: Establish clear processes for reconciling fund balance reporting, grant compliance, and capital SENIOR ACCOUNTANT
bank accounts, posting general ledger entries, project tracking. This approach helps districts manage
and reviewing budget transfers. Periodic their budgets more effectively while ensuring that
internal audits can also help identify and critical financial tasks are handled by experienced
address any weaknesses. professionals.

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