Palmer Reacts To Oxford Budget Blunder

Former school superintendent Judith Palmer said book-keeping during her time in Oxford was transparent — and that any deficit in the school budget is not due to mismanagement,” as a current school board member claims.

School board chairwoman Rose McKinnon announced Friday that an audit revealed a $453,383 shortfall in the 2009 – 2010 school budget.

The school board thought they were working with a budget of about $24.2 million. However, the town sent a letter in January 2010 saying federal aid to the school district was about $650,000 less than anticipated.

McKinnon said the former school business administrator and the former superintendent never subtracted the number from the budget, leaving the district with inaccurate information.

The deficit reported by the auditors was shocking and extremely disturbing,” McKinnon said in a prepared statement.

To address this issue properly, the former business manager, Mr. Al Pullo, under the supervision of Dr. Judy Palmer, should have reduced the school’s budget by the corresponding amount of the town’s reduction. This, however, was never made and leadership at central office proceeded with an erroneously high budget.”

A copy of McKinnon’s statement is posted below. Article continues after the document.

Oxford BOE Release

However, Palmer said Monday McKinnon and the school board were kept in the loop about budget matters at every meeting. The deficit is probably due to reasons other than what McKinnon is citing, Palmer said.

The board of education was absolutely aware of how funds were being recorded,” Palmer said. Every single dollar was accounted for.”

McKinnon and Rosemary Hanson, the school district’s finance director, pointed out the information is coming from an independent audit.

The Valley Indy requested a copy of the audit information from both the school and the town Monday. Oxford Finance Director James Hliva said the document is still in draft form and therefore not available to the public.

Minutes from a Jan. 11, 2010 school board subcommittee meeting show the school board was aware that they would have to reduce the budget by $657,238. That fact was pointed out by readers commenting on the Valley Indy.

A copy of the meeting minutes are posted below. Article continues after the document.

Jan. 11 Oxford BOE Subcommittee

McKinnon said Monday the school administrators never made the adjustment discussed at that Jan. 11 meeting. 

Yes, we knew about it, but the point is it was never reduced,” McKinnon said. We thought it was going to be reduced. It was never applied, never reduced. The board knew and agreed to having this reduced. It was a surprise to us that it never was reduced and that we have a deficit. That’s the surprise,” McKinnon said.

First Selectwoman Mary Ann Drayton-Rogers sent out a press release Saturday saying she was outraged with the sloppy bookkeeping.

My office, along with the town’s Finance Director, is ready to meet with any members of the board and the BOE central office to determine the next, best practice methods to solve this financial crisis that has been placed on our town,” Drayton-Rogers said. 

She also questioned whether the Board of Finance was monitoring the budgetary finances. 

Lilla Ferrillo, chairwoman of the Oxford Board of Finance, took issue with the comments from Drayton-Rogers.

I’m not an auditor, I’m not an accountant, I’m a volunteer. She’s throwing blame everywhere except where it belongs, on the former superintendent and former business manager,” Ferrillo said.

In the meantime, McKinnon said the school board has already ordered a spending freeze.

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