Littlestown directors respond to critics of district audit, calling accusations ‘wild and bizarre’

By ALEX GAYHART - Times Staff Writer
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At Monday evenings Littlestown School Board meeting, the board responded to accusations that the district’s financial report was riddled with discrepancies, including an understated revenue of $3.5 million.

Jim Lyons, president of Greenewalt and Co. P.C., and the accountant responsible for the audit of the school district’s budget, stood before the board and answered questions from board members, as well as addressed the concerns that were brought up at the May meeting by three community members.

“The year-to-date revenues and expenditures were correct,” said Lyons. “I find nothing to indicate any improper auditing.”

Lyons clarified that the “mistakes” that were pointed out by Russell Fish, Paul Sharpless and Terry Scholle were items that were taken from a treasurer’s report and not from the annual financial report.

“It’s a very general report,” said Lyons of the treasurer’s report, saying that an accurate account of the district’s financial status could not be taken from it.

Through his review of the district’s revenues and expenditures, Lyons said that he found small human errors in the monthly reports, but explained that the annual totals were fine.

In response to last month’s accusation that there were four missing checks, Lyons said that those checks were accounted for, in that they were actually two payroll transfers and two voided checks.

“I’d just like to say the checkbook does balance,” said Lyons.

Board members questioned Lyons as to how the three community members could have made the calculations they did, and Lyons stated that it could be that they were not familiar with the school district’s accounting procedures.

Board President John Warehime Jr. ended Lyons’ presentation by asking him how much of the “taxpayer’s money” was spent on this extra audit to dispel the accusations, and Lyons said that his services came with the price tag of about $1,000.

Warehime said that he’s “100 percent satisfied” with the auditor’s report, and added that the accusations were “wild and bizarre.”

Warehime also noted a July 2001 letter from the state Department of Education on the accuracy of the district’s records in 1997 and 1998.

The board approved the budget for the 2002-2003 school year, increasing the occupational assessment tax from 75 percent to 100 percent.

The real estate tax will remain at 30.35 mils.

The new budget is for $18,338,799.

Board member Eleanor Dehoff voted against the new budget.

Printed in the Gettysburg Times, June 18, 2002