District finances soundBoard says safeguards would prevent another Roslyn scandal

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      At last week's school board meeting, board members said that despite the recent Roslyn scandal, in which school administrators allegedly embezzled around $2 million, the district felt secure that the necessary safeguards to help prevent similar malfeasance already exist. The board was asked by a resident just how thoroughly auditors look over the district's finances.
      "It's on everybody's mind," said school board member Mary Jo O'Hagan, explaining that the Roslyn scandal has made boards across the state think twice about school finance.
      Baldwin goes "above and beyond" in terms of systems in place to prevent fraud, said school board President James Scannell, which include internal and external auditing firms.
      "We have two different accounting firms watching us," said Superintendent Kathy Weiss.
      The internal auditor goes through the daily invoices of the district two or three times a week, said Weiss, and the external auditor looks at the district's annual accounts and financial planning and reports to the board and the State Education Department. "The external auditors look to see if we haven't invested inappropriately," said Weiss.
      The independent auditor for the 2004-05 school year is Coughlin Foundotos Cullen & Danowski LLP, and the internal claims auditor is R.S. Abrams.
      Weiss and others said that not many districts have two auditing firms, and that having two safeguards in place is crucial in preventing fraud. She gave an example of just how specific and detailed the auditing firms are, saying that when she submitted a copy of an American Express bill, she was told that she must submit the original invoice.
      After the meeting, Ed Cigna, assistant superintendent for business and administrative services, explained that when the district first heard about the Roslyn incident, board members were shocked, and double-checked the district's safeguards to see if those processes needed reinforcement. "Dr. Weiss and I immediately reviewed everything to see if that possibility could happen in Baldwin," said Cigna. "We did not see anything that gave us cause for concern."
      Cigna explained that the external auditor checks the district's revenues and business practices thoroughly. "If there were revenues we could not account for, they'd bring it to our attention and the state's," he said.
      Cigna added that the Roslyn scandal has made people question their local boards of education, and that "incidents like this undermine the confidence people have in their school district.
"It's hard to build confidence," he added.
      Scannell said that in the fall, the auditor would make a presentation on its findings and discuss the district's checks and balances. O'Hagan added that in October there would be a major presentation on board oversight and finance.
      Baldwin resident Bernie Petinsky said it was crucial that both auditing firms communicate with the board regularly in light of the Roslyn scandal. "Boards are now paying attention," Petinsky said.


subhead: Bond initiative gets an early start

      The district's $26.9 million bond initiative, which was passed last year in order to upgrade the district's infrastructure, is getting an early start this summer, beginning with the Baldwin Middle School. Work has already begun on the first project, which the board passed at last week's meeting: The school's roof will be replaced at a cost of approximately $1.1 million.
      The roofing project is expected to be completed in time for the opening of school on Sept. 2. The building will be open as usual throughout the summer, but due to the construction, access may be limited, entrances may be blocked and some offices may have to be temporarily moved, according to the district.
      Aside from roofing, the district said that an architect and construction manager are designing and drafting plans to renovate and upgrade the science labs at the high school and middle school. Plans to overhaul the high school cafeteria and the art and technology rooms at the middle school are also being prepared, and the majority of construction is expected to begin next summer.
      "The plans are starting to come together," said Cigna.

subhead: Parent concerned about activity at Lenox

      Concerned about kids hanging out on the Lenox Elementary School grounds after dark, Baldwin resident Cheryl Taylor asked the board if there were any plans to secure the area to prevent loitering and possible drug activity on the school premises at night.
      Taylor explained that the school property is too easily accessed and wide open, and suggested that fencing be erected around the school. She said that nearby residents recently formed a neighborhood watch group in response to the continuous activity there.
      Weiss explained that fencing is not a solution to stemming loitering, and that such an initiative is too expensive. But the district does have a good relationship with the First Precinct, she said, and the precinct has been contacted to send more patrol cars to the area. Weiss also urged parents to contact police if they notice any illegal activity.
      The next school board meeting is scheduled for Wednesday, Aug. 4, at 8 p.m., in the district office.