Abstract for Joint Meeting - Laserfiche WebLink

Browse Search

49 EXECUTIVE SUMMARY Page 126 Changes in Fiscal Management for FY 2021-22 Through the beginning of the current Fiscal Year(2020-21),the Board of Education requested and engaged in an External Financial Review of various processes related to the budget preparation and fiscal management processes of the District. The goal was to identify deficiencies and seek feedback on the many processes that the Business and Financial Services Division manages to ensure smooth and efficient budgeting,purchasing, and fiscal operations of the District. The External Financial Review produced several recommendations to ensure compliance with board policies and statutes, as well as best practices to maximize efficiency in these processes: Budget Preparation Recommendations I. As stated earlier,budget managers should identify in the budget process the need for all services contracts, and the consultants recommend following a process for service contracts of over a certain dollar threshold(possibly$10,000)that was outlined by a staff member during an interview. 2. As a part of the annual budget process, we recommend identifying needs, bidding the anticipated purchases, selecting one or more vendors, contracting for a realistic"not to exceed" and getting Board approval prior to July 1. As described in the best practices section, the contract should be encumbered in early July so that the software will prompt the budget manager and the finance officer if/when the contracted budget amount needs to be exceeded and an amended contract is required. As stated in the budget preparation process, the District shifted towards "zero-base"budget requests in which each school and department make a request based on their needs for the upcoming year. The budget worksheets provided to each of our schools allowed them to identify service contracts and other needs prior to the start of the fiscal year. Therefore, when the new fiscal year begins, budget managers can encumber the funds necessary to cover those contracts. Fiscal Management Recommendations 3. When staff members consider purchases with vendors who offer both services and supplies, material, or equipment, the consultants recommend that the contract no longer be considered a contract for services and follow the provisions of Policy 6430. 4. In the operations area, the consultants recommend the current practice for purchases above $25,000 (the assistant superintendent of operation's threshold) for all purchases between $25,000 and $90,000: identify three vendors who can provide the supplies, material, or equipment; receive informal quotes from at least two vendors (can be collected by phone or e-mail); select the lowest responsible quotation; document the request and response; and then purchase the supplies, materials, or equipment. 5. If construction work is expected to cost between $30,000 and$300,000 then the informal bid process outlined in Recommendation#7 should be used: identify three vendors who can complete the construction work; receive informal quotes from at least two vendors (can be collected by phone or e-mail), select the lowest responsible quotation, document the request and response, and then construct the project. (G.S. 133-1.1 requires that architectural and/or engineering(A&E) design services be used on certain projects— 00 Chapel Hill—Carrboro City Schools—FY 2021-22 Recommended Budget empower inspire