Planning the budget document shall be a continuous process and shall involve long‑term thought, study, and deliberation by the Superintendent of schools, the Board, the administrative staff, the faculty, and the citizens of the school district.

Planning shall be done in three major phases:

1. Assessment of the educational program and its impact upon the budget;
2. Assessment of the district's estimated income;
3. Assessment of the districts estimated expenditures.

Prior to certification of the budget, the Board will review the projected revenues and expenditures for the school district and make adjustments where necessary to carry out the education program within the revenues projected.

A budget for the school district shall be prepared annually for the Board's review. It shall be the responsibility of the Superintendent to prepare the budget for review by the Board prior to the April 15 deadline each year.

The budget shall include the following:

1. the amount of revenues from sources other than taxation;
2. the amount of revenues to be raised by taxation;
3. an itemization of the amount to be spent in each fund; and,
4. a comparison of the amount spent and revenue received in each fund for like purposes in the two prior fiscal years.

Prior to the adoption of the proposed budget by the Board, the public shall be apprised of the proposed budget and shall have an opportunity to review and comment on the proposed budget. A public hearing for the proposed budget of the Board shall be held each year in sufficient time to file the adopted budget no later than April 15.

The proposed budget filed by the board with the Board secretary and the time and place for the public hearing on the proposed budget shall be published in a newspaper designated for official publication in the school district. It shall be the responsibility of the board secretary to publish the proposed budget and public hearing information at least ten days prior to the public hearing.

The Board shall adopt and certify a budget for the operation of the school district to the county auditor by April 15. It shall be the responsibility of the Board secretary to file the adopted and certified budget with the county auditor and the Department of Management.

The Board may amend the budget for the fiscal year in the event of unforeseen circumstances. The amendment procedures shall follow the procedures for public review and adoption of the original budget by the Board outlined in these policies.

*Reviewed:  05/13/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Revised: 12/08/14

*Reviewed: 12/09/19

The preparation of the formal budget shall be the responsibility of the superintendent of schools.  At its regular meeting in March, the Superintendent/designee shall present to the board a preliminary projection of the needs of the school district for the ensuing fiscal year.  A complete budget shall be prepared by the Superintendent and presented to the Board for certification at the board’s regular meeting in April, but not later than April 15.

 

*Revised:  12/13/99

*Revised:  06/17/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 12/08/14

*Reviewed: 12/09/19

The budget document must include the following information:

1. The estimated amount of income for the several funds from sources other than taxation;
2. The amount proposed to be raised by taxation;
3. The amount proposed to be expended in each and every fund and for each and every purpose during the ensuing fiscal year.
4. A comparison of the amounts proposed to be expended with amounts expended for like purposes during the two preceding years;
5. Estimates of expenditures by function including the amounts as required by the State.

The budget document shall also contain a brief explanatory section to show any program changes for the ensuing year that may be responsible for changes in expenditures.

 

 

*Reviewed:  05/13/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Reviewed:  12/13/10

*Revised: 12/08/14

*Reviewed: 12/09/19

The Board shall adopt, for publication, an approved budget* for the ensuring fiscal year.

The approved budget must be published in the legal newspaper of the school district, together with the time and place established for public review of the budget.

*Note:  This refers to the certified budget, not to the line item budget.

 

*Revised:  09/16/91

*Reviewed:  12/13/99

*Reviewed:  05/13/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Revised: 12/08/14

*Reviewed: 12/09/19

The Board shall establish and publish the time and place for public review of the budget document.  This public hearing shall be held in sufficient time to file the adopted budget no later than April 15th of each year.

The verified proof of the publication of such notice, together with the certified budget, shall be filed in the office of the county auditor and preserved by that office.  No levy shall be valid unless and until such notice is published and filed.

 

*Revised:  12/13/99

*Reviewed:  05/13/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Revised: 12/08/14

*Reviewed: 12/09/19

The Board shall, after the public budget hearing, adopt the final budget for the ensuing fiscal year and certify it to the county auditor.

The final budget shall be certified by the president of the board in duplicate to the county auditor no later than April 15 of each year, on forms prescribed by the state.

 

*Revised: 12/13/99

*Reviewed:  05/13/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Revised: 12/08/14

*Reviewed: 12/09/19

The final certified budget shall be considered the authority for all expenditures to be made during the fiscal year.

Any expenditure to be made that exceeds the final certified budget shall be made only in accordance with procedures specified under Iowa law.  These procedures permit the expenditure of closing cash balances of the preceding fiscal year and the expenditure of unanticipated income from sources other than taxation during a fiscal year by amending the budget.  The Board, upon approving an amended budget, shall file and publish it and give notice of a public hearing within twenty (20) days after approving an amended budget.

 

 

*Revised:  06/17/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 12/08/14

*Reviewed: 12/09/19

The Board of this school district adopts as its system of financial accounting the Uniform Financial Accounting for Iowa School Districts and Area Education Agencies.

 

 

*Reviewed:  05/13/02

 *Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 12/08/14

*Reviewed: 12/09/19

Revenues and expenditures of the school district shall be properly classified in the accounting system.  The general fund, special revenues, proprietary and fiduciary funds may be composed of several sub-accounts at the discretion of the Superintendent or Board secretary.

 

*Revised:  06/17/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Reviewed:  12/13/10

*Revised: 12/08/14

*Reviewed: 12/09/19

All income received by the school district shall be classified under the official accounting system and be placed in the hands of the secretary and treasurer of the Board, to be deposited into the official school district depository or depositories set by the Board in accordance with the laws of the State of Iowa.

 

*Reviewed:  05/13/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 01/12/15

*Reviewed: 10/14/19

 

 

The Superintendent of schools shall establish the necessary regulations governing the use of the school buildings or school‑owned equipment by outside groups.  These regulations shall be consistent with the law of the State of Iowa.  The Superintendent shall also set up a schedule of fees for the use of the buildings or equipment; these regulations shall be submitted to the Board for approval.

The Board will permit school equipment to be loaned to staff members when such use is directly related to their employment, and to students when the equipment is to be used in connection with their studies or extra‑curricular activities.  Proper controls will be established to ensure the borrower's responsibility for, and return of, all such equipment.

 

*Reviewed: 05/13/02

*Reviewed: 12/11/06

*Reviewed: 04/12/10

*Revised: 12/13/10

*Reviewed: 01/12/15

*Reviewed: 10/14/19

The Board shall, under legal provisions, conduct an election for authorization to issue bonds.  The election, the issuance, the sale, the receipts from sale, and the payment of the bonds shall be made in accordance with the statutes of the State of Iowa.

Once the purpose on the ballot is completed, any balance remaining in a capital projects fund may be retained for future capital projects in accordance with the purpose stated on the ballot or any remaining balance may be transferred by board resolution to the debt service fund or the physical plant and equipment levy fund.

Revenues received from the issuing of bonded indebtedness are deposited into the capital projects fund.

Warrants shall be issued in accordance with Iowa law.

*Reviewed: 05/13/02

*Reviewed: 12/11/06

*Revised: 02/12/07

*Reviewed: 04/12/10

*Revised: 12/13/10

*Reviewed: 01/12/15

*Reviewed: 10/14/19

• To provide safety of the principle.
• To maintain the necessary liquidity to match expected liabilities.
• To obtain a reasonable rate of return.

• Interest bearing savings, money market, and checking accounts at the school district's authorized depositories.
• Qualified investment pools.
• Obligations of the United States government, its agencies, and instrumentalities.
• Certificates of deposit and other evidences of deposit at federally insured Iowa depository institutions.

 

 

Gifts, grants, or bequests involving money, equipment, or furnishings may be accepted by the school district.  All gifts, grants, or bequests shall be approved by the Superintendent or designee, shall be consistent with district programs and goals, shall be administered in accordance with the terms of the gift or bequest, and shall become the property of the school district under the control of the board.  Gifts, grants or bequests requiring financial involvement or permanent alternations of district property must receive prior approval of the Board.

Memorials After Student/Staff Death

The Board reserves the right to reject any and all memorials donated or purchased in memory of a current student or current staff member.  Furthermore, the board reserves the right to cause all memorials currently on school properties to be discontinued.  The following memorials are discouraged and may be rejected by the board:

1.     Memorials that contain the picture of the deceased;

2.     Memorials that may alter the conducting of a regular school instructional

        day;

3.     Memorials that require the retirement or discontinued use of school

        property;

4.     Memorials that require the altering of school property or school publications;

5.     Memorials that require the altering of school activities or the school activities

        schedule;

6.     Memorials that infringe on the separation of church and state and;

7.     Memorials that require the use of public funds to purchase, develop or       

        maintain.

 

 

*Revised:  07/15/02

*Reviewed:  12/11/06

*Revised:  09/08/09

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 01/12/15

*Reviewed: 10/14/19

 

At the annual meeting, the Board shall designate by resolution, which shall be entered in the official minutes of the Board, the name and location of the bank or banks selected as the official school district depository or depositories.  The Board shall also designate the maximum amount that may be kept on deposit in each bank.  The maximum deposit amount to be kept in the depository shall be stated in the resolution. The amount stated in the resolution must be for all depositories and include all of the school district's funds.

 

*Reviewed:  05/13/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 01/12/15

*Reviewed: 10/14/19

Revenue raised by students or from student activities is deposited and accounted for in the student activities fund.  This revenue is the property of and is under the financial control of the Board.  Students may use this revenue for purposes approved by the Superintendent or designee. 

Whether such revenue is collected from student contributions, club dues, and special activities or result from admissions to special events or from other fund-raising activities, all funds will be under the jurisdiction of the Board and under the specific control of the Superintendent or designee.  They will be deposited in a designated depository and will be disbursed and accounted for in accordance with instructions issued by the Superintendent.

It is the responsibility of the Board secretary to keep student activity accounts up-to-date and complete.

Any unencumbered class or activity account balances will automatically revert to the activity fund when a class graduates or an activity is discontinued.

 

 

*Adopted:  02/12/07

*Reviewed:  04/12/10

*Reviewed:  12/13/10

*Reviewed: 01/12/15

*Reviewed: 10/14/19

 

 The board supports economic development in Iowa, particularly in the District community. As permitted by law, purchasing preference will be given to Iowa goods and services from locally owned businesses located within the District or Iowa based companies if the cost and other considerations are relatively equal and meet the required specifications. However, when spending federal Child Nutrition Funds, geographical preference is allowed only for unprocessed agricultural food items as a part of response evaluation. Other statutory purchasing preferences will be applied as provided by law, including goals and reporting with regard to procurement from certified targeted small businesses, minority owned businesses, and female-owned businesses.

GOODS AND SERVICES

The Board shall enter into goods and services contract(s) as the Board deems to be in the best interest of the District. It shall be the responsibility of the Superintendent to approve purchases, except those requiring Board approval as described below or as provided by in law. The Superintendent may coordinate and combine purchases with other governmental bodies to take advantage of volume price breaks. Joint purchases with other political subdivisions will be considered in the purchase of equipment, accessories, or attachments with an estimated cost of $50,000 or more.

Purchases for goods and services shall conform to the following: 

• The Superintendent shall have the authority to authorize purchases without prior Board approval and without competitive request for proposals, quotations, or bids for goods and services up to $25,000.

• For goods and services costing at least $25,000 and up to $55,000, the Superintendent shall receive proposals, quotations, or bids for the goods and services to be purchased prior to board approval. The quotation process may be informal and include written or unwritten quotations.

• For goods and services exceeding, $55,000, the competitive request for proposal (RFP) or competitive bid process shall be used and received prior to board approval. RFPs and bids are formal, written submissions via sealed process. 

In the event that only one quotation or bid is submitted, the Board may proceed if the quotation or bid meets the contract award specifications.
 
The contract award may be based on several cost considerations including, but not limited to the following:

• The cost of the goods and services being purchased; 

• Availability of service and/or repair; 

• The targeted small business procurement goal and other statutory purchasing preferences; and 

• Other factors deemed relevant by the Board. 

The Board may elect to exempt certain professional services contracts from the thresholds and procedures outlined above.

The thresholds and procedures related to purchases of goods and services do not apply to public improvement projects.

PUBLIC IMPROVEMENTS

The Board shall enter into public improvement contract(s) as the Board deems to be in the best interest of the District. Public improvement means a building or construction work which is constructed under the control of a governmental entity and for which either of the following applies: (1) has been paid for in whole or in part with funds of the governmental entity; (2) a commitment has been made prior to construction by the governmental entity to pay for the building or construction work in whole or in part with funds of the governmental entity. This includes a building or improvement constructed or operated jointly with any public or private agency.

The District shall follow all requirements, timelines, and processes detailed in Iowa law related to public improvement projects. The thresholds regarding when competitive bidding or competitive quotations is required will be followed. Competitive bidding is required for public improvement contracts exceeding the minimum threshold stated in law. Competitive quotations are required for public improvement projects that exceed the minimum threshold amount stated in law, but do not exceed the minimum set for competitive bidding. The Board shall approve competitive bids and competitive quotes. If the total cost of the public improvement does not warrant either competitive bidding or competitive quotations, the District may nevertheless proceed with either of these processes, if it so chooses.

The award of all contracts for the public improvement shall be awarded to the lowest responsive, responsible bidder. In the event of an emergency requiring repairs to a District facility that exceed bidding and quotation thresholds the District will follow the legal requirements governing emergency repairs.

The District shall comply with all federal and state laws and regulations required for procurement, including the selection and evaluation of contractors.  The Superintendent or designee is responsible for developing an administrative process to implement this policy, including, but not limited to, procedures related to suspension and debarment for transactions subject to those requirements.

 

*Revised: 12/12/00

*Reviewed: 05/13/02

*Revised: 12/11/06

*Revised: 04/13/09

*Revised: 12/13/10

*Revised: 04/11/11

*Revised: 08/15/11

*Revised: 02/13/12

*Revised: 09/16/13

*Revised: 02/09/15

*Revised: 07/09/18

*Reviewed: 07/08/19

*Revised: 01/13/20

*Revised: 03/09/20

*Revised: 12/11/23

The procurement of all supplies, equipment, and services shall begin with the issuance of an official purchase order signed by the superintendent of schools or by an authorized member of the staff.  Only those supplies, equipment, and services procured by formal contract shall be exempt.

 

If an authorized purchase order is not used the cost of the supplies, equipment and/or services could become the liability of the person placing the order.

 

*Revised: 12/13/99

*Revised:  06/17/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 02/09/15

*Reviewed: 07/08/19

All supplies, equipment, and services purchased in the name of the school district shall be cleared through the business office.  Whenever this procedure is impossible the business office shall be notified by the school personnel who receive goods or services that these have been delivered directly.

 

It shall be the duty of the business office to certify the receipt of all goods and services.

 

*Revised:  06/17/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Reviewed:  12/13/10

*Reviewed: 02/09/15

*Reviewed: 07/08/19

The Board authorizes the issuance of warrants for payment of claims against the school district for goods and services.  The Board will allow the warrants after the goods and services have been received and accepted in compliance with Board policy and the claims audited by the Board.

Claims for items pursuant to the terms of a written contract approved by the Board, such as payment of freight, athletic officials, express, postage, printing, water, lights, telephone, rents, and payment of salaries pursuant to the terms of a written contract may be paid by the Board secretary prior to formal audit and approval by the Board. In addition, the secretary, upon approval of the Board president, may issue warrants for approved registrations, claims offering a discount for early payment, approved travel expenses, approved goods and services delivered C.O.D., and other verified bills filed with the secretary when the Board is not in session prior to payment of these claims and prior to audit and approval by the Board. The Board secretary shall examine the claims and verify bills. The Board will approve the bills at its next regular meeting.

The Board president and Board secretary may each sign warrants by use of a signature plate or rubber stamp corresponding to their own signature, but the Board secretary shall neither sign nor stamp on behalf of the Board president. If the Board president is unavailable to personally sign warrants, the vice president may sign warrants on behalf of the president.

 

*Revised:  10/14/92

*Reviewed:  11/09/92

*Reviewed:  12/13/93

*Reviewed:  05/13/02

*Revised:  02/12/07

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 02/09/15

*Reviewed: 07/08/19

*Revised: 01/13/20

Only in the case of absolute necessity will the board issue warrants for which no funds are available.  In such a case, the treasurer shall institute the procedures required under Iowa law for payment of the warrants.

 

*Reviewed:  05/13/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 02/09/15

*Reviewed: 07/08/19

It shall be the policy of the board that all personnel of the school district be paid in accordance with the terms stated on their contracts, and that all personnel shall be paid on the day(s) of each month stated in their contracts or the last day of service of each month, whichever is earlier.

 

 

 

*Reviewed:  05/13/02

*Revised:  02/12/07

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 02/09/15

*Reviewed: 07/08/19

Payroll deductions shall consist of federal income tax withholding, Iowa income tax withholding, social security, Iowa Public Employees Retirement System, insurance, dues, and annuities.

 

Licensed Employee Tax Shelter Programs

 

Any employee of the district may elect to have a payroll deduction to pay premiums on an individual annuity contract.  The employee must submit a written, signed request by the 15th of the prior month to the payroll department to request to begin the deduction the following month.  The payroll department will then forward the request form on to a third-party for processing.  The insurance company or mutual fund must be authorized to do business in Iowa, and must comply with district regulations for payment to the funds or companies.

 

Each employee shall be allowed to change or amend the amount of contribution one time per calendar year.  An additional change will be allowed at the time of a "significant" event such as employee change in marital status, birth or death of an immediate family member, or a life threatening or prolonged illness of the employee or an immediate family member.

 

 

*Revised:  11/11/96

*Revised:  06/17/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 02/09/15

*Reviewed: 07/08/19

The District Travel Expense Form

*Adapted: 02/13/23

When it is deemed necessary, the board and/or superintendent shall seek the advice of its attorney in cases of special assessments against the school district.  The recommendations of the attorney shall be given careful consideration in formulating any recommended action of the board in a special assessment case.

 

 

 

*Reviewed:  05/13/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 02/09/15

*Reviewed: 07/08/19

The Secretary and the Treasurer of the board shall file each month with the Board a financial statement of the preceding month's business.  This statement shall be sent to the members of the Board together with the agenda of the regular monthly Board meeting.

 

*Reviewed:  05/13/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 03/09/15

*Reviewed: 03/09/20

The Board shall cause to have published monthly, in at least one newspaper published in the District, a statement verified by affidavit of the Secretary of the Board showing the financial matters of the District for the previous month.  This statement shall include a list of all warrants issued by the Board (except payroll); the names of persons, firms, or corporations receiving the warrants; and the amount of each warrant.

 

 

*Reviewed:  05/13/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 03/09/15

*Reviewed: 03/09/20

The Board shall cause to have published, at the end of June payroll, annual payroll disbursements, listing total annual payments to each individual.

 

 

*Revised:  10/14/91

*Reviewed:  05/13/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 03/09/15

*Reviewed: 03/09/20

The Board shall employ an auditing agency to perform an annual audit of the financial affairs of the District.  The administration shall cooperate with the auditors.

It shall be the responsibility of the Superintendent to recommend to the Board an auditing agency to review the District's financial affairs.

Results of the audit shall be made part of the official records of the Board.

 

 

*Revised:  10/14/91

*Reviewed:  05/13/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Reviewed:  12/13/10

*Reviewed: 03/09/15

*Reviewed: 03/09/20

The Board authorizes the development of a comprehensive hazardous chemical communication program for the District to disseminate information about hazardous chemicals in the workplace.

Each District employee shall review this information about hazardous substances annually.  Further, when a new District employee is hired, the information and training, if necessary, shall be included in the orientation of the employee.  When an additional hazardous substance enters the workplace, information about it shall be distributed and training shall be conducted for the appropriate employees.  The Superintendent shall maintain a file indicating when training and informing takes place.

District personnel who will be instructing or otherwise working with students shall disseminate information about the hazardous chemicals they will be working with as part of the instructional program.  District personnel are required to disseminate the information when the materials are used in the instructional program.

It shall be the responsibility of the Superintendent to develop administrative regulations regarding this program. See 804.5R1 for details. Program records shall be available for review upon request.

 

 

*Revised:  06/17/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Reviewed:  12/13/10

*Revised: 03/09/15

*Reviewed: 03/09/20

 

 

At the annual meeting, the Treasurer will give the annual report stating the amount held over, received, paid out, and on hand in the general and other funds.  This report is in written form and sent to the Board with the agenda for the Board meeting.

It is the responsibility of the Treasurer to submit this report to the Board annually.

 

*Adopted:  02/12/07

*Reviewed:  04/12/10

*Reviewed:  12/13/10

*Reviewed: 03/09/15

*Reviewed: 03/09/20

Fraud, financial improprieties, or irregularities include, but are not limited to:

• Forgery or unauthorized alteration of any document or account belonging to the District.
• Forgery or unauthorized alteration of a check, bank draft, or any other financial document.
• Misappropriation of funds, securities, supplies, or other assets.
• Impropriety in the handling of money or reporting of financial transactions.
• Profiteering because of “insider” information of district information or activities.
• Disclosing confidential and/or proprietary information to outside parties.
• Accepting or seeking anything of material value, other than items used in the normal course of advertising, from contractors, vendors, or persons providing services to the District.
• Destroying, removing, or inappropriately using district records, furniture, fixtures, or equipment.
• Failing to provide financial records to authorized state or local entities.
• Failure to cooperate fully with any financial auditors, investigators or law enforcement.
• Any other dishonest or fraudulent act involving district monies or resources.

The Superintendent or designee shall investigate reports of fraudulent activity in a manner that protects the confidentiality of the parties and the facts.  All employees involved in the investigation shall be advised to keep information about the investigation confidential.

If an investigation substantiates the occurrence of a fraudulent activity, the Superintendent or designee or Board Vice-President if the investigation centers on the Superintendent, shall issue a report to the Board and appropriate personnel.  The final disposition of the matter and any decision to file or not file a criminal complaint or to refer the matter to the appropriate law enforcement and/or regulatory agency for independent investigation shall be made in consultation with district legal counsel.  The results of the investigation shall not be disclosed to or discussed with anyone other than those individuals with a legitimate right to know until the results are made public.

 

 

*Adopted:  02/12/07

*Reviewed:  04/12/10

*Reviewed:  12/13/10

*Reviewed: 03/09/15

*Reviewed: 03/09/20

Inasmuch as GASB 54, Fund Balance Reporting and Governmental Fund Type Definitions, which establishes accounting and financial reporting standards for all governments that report governmental funds requires the District to disclose certain requirements, the District identifies the following as District operating policy.

The fund balance identified as ‘committed fund balance’ will be determined by the Board and will require formal Board action.  An identified committed fund balance should be for a specific purpose pursuant to constraints imposed by the formal action of the Board .  The Board will take action to ‘commit’ a fund balance prior to year-end (June 30) of the year the original committed amount is determined.  The exact amount of the committed balance may be determined after the year-end; however, in compliance with GASB 54 the intended committed purpose must be identified, prior to year-end (June 30).

In the event that a committed fund balance is identified subsequent to year-end (June 30), the amount will be reflected on the balance sheet as assigned for that year.

The committed amounts cannot be used for any other purpose unless the Board at a public meeting by formal action makes changes or rescind the committed balance.

The Board authorizes the Business Manager to assign amounts to a specific purpose in compliance with GASB 54.  An assigned Fund Balance should be reported for constraints by the District’s intent to be used for specific purpose, but are not restricted or committed.

In accordance with the GASB 54 the District identifies that when an expenditure is incurred, it is applied to the highest level of classification of fund balance and then subsequently applied to honor constraints on the specific purposes for which amounts in those fund balances can be spent. 

Legal Reference: Governmental Accounting Standards Board (GASB) Statement 54

 

 

 

*Adopted:  07/11/11  

*Reviewed: 03/09/15

*Reviewed: 03/09/20

The secretary of the Board shall keep records according to the schedule in Code 805.1R.

All personnel records shall be kept and preserved by the Secretary of the Board and shall be housed in the Administrative offices of the School District.  All personnel records shall be retained permanently and periodically scanned to be stored electronically.

The Superintendent may electronically store and/or back-up or use any other reliable mass storage method to preserve school district records and may destroy paper copies of the records if they are more than three (3) years old.

 

*Reviewed:  05/13/02

*Revised:  02/12/07

*Reviewed:  04/12/10

*Revised:  12/13/10

*Revised: 03/09/15

*Reviewed: 09/09/19

All personnel records shall be kept and preserved by the secretary of the Board, and shall be housed in the administrative offices of the school district.  The Board secretary shall be the school Board's authorized deputy of the records.

The secretary of the Board shall be required to preserve personnel records permanently.  A properly authenticated reproduction of any microfilm record meets the same legal requirements as the original record.

                                                                                                             

*Revised:  07/15/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 04/13/15

*Reviewed: 09/09/19

The Superintendent of schools shall cause to have initiated and maintained a complete individual permanent record for each student.  The school Board secretary shall be the Board's authorized deputy of the records and shall have the care and custody of all student records.  All permanent records of students are to be preserved, either in original form or on paper free technology.

 

*Reviewed:  05/13/02

*Reviewed:  02/12/07

*Reviewed:  04/12/10

*Reviewed:  12/13/10

*Reviewed: 04/13/15

*Reviewed: 09/09/2019

The secretary and treasurer of the Board shall be bonded by the school district in such amount as the board may require, with sureties to be approved by the Board.  Bonds shall be filed with the president of the Board.

All other employees shall be covered by a blanket bond in the amount of $5,000.

 

*Reviewed:  05/13/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Revised: 5/11/2015

*Reviewed: 09/09/19

An annual inventory of all furniture and other equipment shall be maintained under the supervision of the Superintendent of schools.  All items of equipment that are not consumable shall be included in the annual inventory.

A perpetual inventory shall be maintained for all items that are consumable.

 

*Reviewed:  05/13/02

*Reviewed:  09/16/02

*Reviewed:  12/11/06

*Reviewed:  02/12/07

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 04/13/15

*Reviewed: 09/09/19

All assets purchased by the Glenwood Community School District are subject to the following capitalization policy:

 

General Fixed Assets/Capital Assets:

 

Capital assets are recorded as expenditures in the Governmental Funds and are capitalized in the General Fixed Assets Account Group.  Assets in this account group are recorded at historical cost, and must have a useful life greater than one reporting period and have a value of at least $2,500.  The district will not utilize salvage value.

 

In accordance with Standard 34, set forth by the Governmental Accounting Standards Board, depreciation will be recorded for general fixed assets, utilizing the straight-line method with a full-year convention over the following asset lives:

 

Asset Class	Examples	Est. Useful Life in Years
Site Improvements	Paving, flagpoles, retaining walls, sidewalks fencing, outdoor lighting	20
School Buildings		50
Equipment	Classroom and office furniture, Fax, copiers, computer hardware, grounds equipment	5
Licensed Vehicles	Buses, other on-road vehicles	7

 

Enterprise Fund Assets or Business-Type Assets

 

Enterprise fund type property and equipment is accounted for at historical cost for assets with a useful life greater than one reporting period and with a value of at least $500.  Depreciation is recorded over twelve (12) years, using the straight-line method.

 

*Adopted:  07/14/03

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 5/11/2015

*Reviewed: 09/09/19

 

 

I.          Definition of Intangible Assets

            A.         Intangible Assets

 

Intangible assets are assets that are:

            (1)       Identifiable – Either the assets:

(a)       Can be separated or divided from the district and sold, transferred, licensed, rented or exchanged; or

(b)       Arose from some legal right (i.e., a contractual right), regardless of whether those rights are separable or dividable;

            (2)       Lacking physical substance;

            (3)       Non-financial in nature – The assets are not in a monetary form, such as cash or investment securities; and

            (4)       Possessing a useful life that extends beyond a single financial reporting period.[1]

 

Examples of intangible assets include the following:

(1)       Easements or land use rights (i.e., water rights, timber rights and mineral rights);

(2)       Patents, trademarks and copyrights; and

(3)       Computer software or websites that are purchased, licensed or internally generated.

 

Examples of assets that are not intangible assets for purposes of this policy include only the following:

(1)       Assets acquired or created primarily for purposes of obtaining income or profit,as these are considered investment assets;

(2)       Assets from capital lease transactions reported by lessees, except licensing agreements to lease commercially available computer software; and

(3)       Goodwill established or created between the district and another entity.

 

            B.        Outlays Associated with Internally Generated Intangible Assets

 

Intangible assets that are generated or created internally likely have outlay expenses associated with the generation or creation.  Intangible assets are considered to be generated or created internally if they are:

(1)       Created by the district;

(2)       Created by a third-party contracted by the district; or

(3)       Acquired by the district from a third-party and require more than minimal incremental effort on the part of the district to begin to achieve the          expected level of service capacity.

 

           C.        Outlays Associated with Internally Generated Computer Software

 

Computer software that is generated or created internally likely has outlay expenses associated with the generation or creation.  Computer software is considered to be generated or created internally if it is:

(1)           Developed by the district;

(2)           Developed by a third-party contracted by the district; or

(3)           Commercially available software acquired, purchased or licensed by the district from a third-party that is modified using more than minimal      incremental effort before being put into operation.

 

II.         Measuring of Intangible Assets

 

            A.         Threshold for Capitalization of Intangible Assets

 

The district shall adopt an intangible asset capitalization threshold of $150,000 to govern the amount at and above which intangible assets must be reported in the District’s annual reporting statements and audits.  More specifically, the threshold will be applied to individual intangible assets and shall prohibit the aggregation of items, including intangible assets and outlays, to meet the threshold.[2]

 

             B.           Recognition of Intangible Assets

 

The district shall record individual intangible assets exceeding the threshold amount outlined in the district’s intangible asset capitalization threshold policy as follows:

(1)           Intangible assets received in an exchange transaction or purchased shall be recorded at actual historical cost, which includes direct costs, and  excludes indirect costs;     

(2)           Intangible assets in the form of business activities and enterprise funds received in an exchange transaction or purchased shall be recorded at actual historical cost, which includes direct costs, specifically capitalized interest and ancillary charges, and excludes indirect costs; and

(3)           Intangible assets received in a non-exchange transaction or donated shall be recorded at estimated fair market value at the time of                  acquisition, which requires implementation of a rational method to determine or estimate the value at which the asset could be exchanged                       between willing parties not involved in a forced sale.

(4)           Intangible assets reported retroactively[3] shall be recorded at actual historical cost,[4] regardless of whether the asset is fully                amortized prior to June 30, 2009.  If an intangible asset reported retroactively is fully amortized prior to June 30, 2009, the district shall record                 the value of the intangible asset separately from the value of the amortization.

 

III.        Accounting for Intangible Assets

 

A.         Intangible Assets

 

 

1.         Compliance Coordinator:

 

1. The Treasurer ("Coordinator") shall be responsible for monitoring post-issuance compliance.
2. The Coordinator will maintain a copy of the transcript of proceedings in connection with the issuance of any tax-exempt obligations.  Coordinator will obtain such records as are necessary to meet the requirements of this policy.
3. The Coordinator shall consult with bond counsel, IRS publications and such other resources as are necessary to understand and meet the requirements of this policy.
4. Training and education of Coordinator will be sought and implemented upon the occurrence of new developments and upon the hiring of new personnel to implement this policy.

2.  Financing Transcripts.  The Coordinator shall confirm the proper filing of an 8038 Series return, and maintain a transcript of proceedings for all tax-exempt obligations issued by the School District, including but not limited to all tax-exempt bonds, notes and lease-purchase contracts.  Each transcript shall be maintained until eleven (11) years after the tax-exempt obligation it documents has been retired.

 

3.  Proper Use of Proceeds.  The Coordinator shall review the resolution authorizing issuance for each tax-exempt obligation issued by the School District, and shall:

 

1. obtain a computation of the yield on such issue from the School District’s financial advisor; 
2. create a separate Project Fund (with as many sub-funds as shall be necessary to allocate proceeds among the projects being funded by the issue) into which the proceeds of issue shall be deposited;
3. review all requisitions, draw schedules, draw requests, invoices and bills requesting payment from the Project Fund;
4. determine whether payment from the Project Fund is appropriate, and if so, make payment from the Project Fund (and appropriate sub-fund if applicable);
5. maintain records of the payment requests and corresponding cancelled checks showing payment;
6. maintain records showing the earnings on, and investment of, the Project Fund;
7. ensure that investments acquired with proceeds are purchased at fair market value;
8. identify bond proceeds or applicable debt service allocations that must be invested with a yield-restriction and monitor the investments of any yield-restricted funds to ensure that the yield on such investments does not exceed the yield to which such investments are restricted.

 

4.  Timely Expenditure and Arbitrage/Rebate Compliance.  The Coordinator shall review the Tax-Exemption Certificate (or equivalent) for each tax-exempt obligation issued by the School District and the expenditure records provided in Section 2 of this policy, above, and shall:

 

1. monitor and ensure that proceeds of each such issue are spent within the temporary period set forth in such certificate;
2. if the School District does not meet the "small issuer" exception for said obligation, monitor and ensure that the proceeds are spent in accordance with one or more of the applicable exceptions to rebate as set forth in such certificate;
3. not less than 60 days prior to a required expenditure date confer with bond counsel if the School District will fail to meet the applicable temporary period or rebate exception expenditure requirements of the Tax-Exemption Certificate; and
4. in the event the School District fails to meet a temporary period or rebate exception:
    

i.          procure a timely computation of any rebate liability and, if rebate is due, file a Form 8038-T and arrange for payment of such rebate liability;

 

            ii.         arrange for timely computation and payment of "yield reduction payments" (as such term is defined in the Code and Treasury Regulations), if applicable.

 

5.  Proper Use of Bond Financed Assets.  The Coordinator shall: 

 

1. maintain appropriate records and a list of all bond financed assets.  Such records shall include the actual amount of proceeds (including investment earnings) spent on each of the bond financed assets;
2. with respect to each bond financed asset, the Coordinator will monitor and confer with bond counsel with respect to all proposed:

 

             i.         management contracts,

             ii.        service agreements,

            iii.        research contracts,

            iv.        naming rights contracts,

             v.        leases or sub-leases,

            vi.        joint venture, limited liability or partnership arrangements,

            vii.       sale of property; or

            viii.      any other change in use of such asset;

 

3. maintain a copy of the proposed agreement, contract, lease or arrangement, together with the response by bond counsel with respect to the proposal for at least three (3) years after retirement of all tax-exempt obligations issued to fund all or any portion of bond financed assets; and
4. In the event the School District takes an action with respect to a bond financed asset, which causes the private business tests or private loan financing test to be met, the Coordinator shall contact bond counsel and ensure timely remedial action under IRS Regulation Sections 1.141-12.

 

6.  General Project Records.  For each project financed with tax-exempt obligations, the Coordinator shall maintain, until three (3) years after retirement of the tax-exempt obligations or obligations issued to refund those obligations, the following:

 

1. appraisals, demand surveys or feasibility studies,
2. applications, approvals and other documentation of grants,
3. depreciation schedules,
4. contracts respecting the project.

 

7.  Continuing Disclosure. The Coordinator shall assure compliance with each continuing disclosure certificate and annually, per continuing disclosure agreements, file audited annual financial statements and other information required by each continuing disclosure agreement.  The Coordinator will monitor material events as described in each continuing disclosure agreement and assure compliance with material event

disclosure.  Events to be reported shall be reported promptly, but in no event not later than ten (10) Business Days after the day of the occurrence of the event, and shall include, but not be limited to:

 

1. Principal and interest payment delinquencies;
2. Non-payment related defaults, if material;
3. Unscheduled draws on debt service reserves reflecting financial difficulties;
4. Unscheduled draws on credit enhancements relating to the bonds reflecting financial difficulties;
5. Substitution of credit or liquidity providers, or their failure to perform;
6. Adverse tax opinions, the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701-TEB) or other material notices or determinations with respect to the tax-exempt status of the bonds, or material events affecting the tax-exempt status of the bonds;
7. Modifications to rights of Holders of the Bonds, if material;
8.  Bond calls (excluding sinking fund mandatory redemptions), if material, and tender offers;
9. Defeasances of the bonds;
10. Release, substitution, or sale of property securing repayment of the bonds, if material;
11. Rating changes on the bonds;
12. Bankruptcy, insolvency, receivership or similar event of the Issuer;
13. The consummation of a merger, consolidation, or acquisition involving the Issuer or the sale of all or substantially all of the assets of the Issuer, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms, if material; and
14. Appointment of a successor or additional trustee or the change of name of a trustee, if material.

 

 

*Adopted:  02/13/12

*Reviewed: 5/11/15

*Reviewed: 09/09/19

The Board shall maintain a comprehensive insurance program that will provide adequate coverage against major types of risk, loss, or damage, as well as legal liability and dishonesty.  Insurance will only be purchased through legally licensed Iowa insurance agents.            

 

The comprehensive insurance program shall be reviewed at least once every three (3) years.

 

A private appraisal agency may be retained upon the recommendation of the Superintendent of schools for inventory and appraisal value services, to enable the board to maintain a comprehensive insurance program.

 

An itemized statement of the appraised value of all buildings owned by the school corporation shall be maintained and shall be updated at least once every five (5) years.

 

Administration of the insurance program, making recommendations for additional insurance coverage, placing the insurance coverage and loss prevention activities shall be the responsibility of the Superintendent.

 

 

*Reviewed:  05/13/02

*Reviewed:  12/11/06

*Reviewed:  04/12/10

*Revised:  12/13/10

*Reviewed: 06/08/15

*Reviewed: 09/09/19