Policy 701.03: Financial Records	Status: APPROVED
Original Adopted Date: 03/10/2022 | Last Revised Date: 01/10/2024 | Last Reviewed Date: 01/10/2024

 

Financial records of the school district are maintained in accordance with generally accepted accounting principles (GAAP) as required or modified by law.  School district monies are received and expended from the appropriate fund and/or account.  The funds and accounts of the school district will include, but not be limited to:

Governmental Fund Type

• General Fund  - This fund is the chief operating fund of the district. It is used to account for all financial resources except those accounted for and reported in another fund.
• Special Revenue Fund - These funds account for the proceeds of specific revenue sources other than trusts or major capital projects, that are legally restricted or committed to expenditure for specified purposes other than debt service or capital projects.   
  
  • Management Levy Fund
  • Public Education and Recreation Levy Fund (PERL)
  • Student activity Fund
• Capital Projects Fund - These funds are used to account for financial resources to acquire or construct major capital facilities or other capital assets (other than those of proprietary funds and trust funds) and to account for revenues from SAVE.
  
  • Physical Plant and Equipment Levy Fund (PPEL)
  • Secure and Advanced Vision for Education (SAVE)
• Debt Service Fund – This fund is used to account for the accumulation of resources for, and the payment of, general long-term debt principal and interest.  

Proprietary Fund Type – These funds account for operations of the school district operated similar to private business for which a fee is charged to external users for goods or services, or they account for the costs of providing goods and services provided by one department to other departments on a cost reimbursement basis.  

• Enterprise Fund
  
  • School Nutrition Fund
  • Child Care Fund
  • Internal Service Fund
  • Community Education
  • Preschool (nonvoluntary, state)

Fiduciary Funds-These funds are used to account for monies or assets held by the school district on behalf of, or in trust for, another entity.   

• Trust
  
  • Expendable Trust Funds
  • Nonexpendable Trust Funds
  • Pension Trust Funds
• Custodial Funds 

Non-Fiduciary Scholarship Fund

Account Groups- The groups are the accounting records for capital assets and long-term debt.

• General capital assets account group
• General long-term debt account group

The board may establish other funds in accordance with generally accepted accounting principles and may certify other taxes to be levied for the funds as provided by state law.  The status of each fund must be included in the annual report. 

It is the responsibility of the superintendent in conjunction with the school business official to implement this policy and bring necessary changes in the maintenance of the school district's financial records to the attention of the board.

 

NOTE: The list of funds above does not include the "Library levy fund," which is only available to one school district.  The school district eligible to levy the library levy must add this fund to its policy. 

 

 

 

Legal Reference:

Iowa Code §§291; 298; 298A. 281 I.A.C. 98

 

I.C. Iowa Code	Description
Iowa Code  § 291	Board Officers
Iowa Code  § 298A	School District Fund Structure
I.A.C. Iowa Administrative Code	Description
281 I.A.C. 98	Education - Categorical Funding

Cross References

Code	Description
701.02	Transfer of Funds
701.04	Governmental Accounting Practices & Regulations
802.04	Capital Assets
802.04-R(1)	Capital Assets  - Regulation
802.04-R(2)	Capital Assets  - Management System Definitions

 

 

Policy 701.01: Depository of Funds	Status: APPROVED
Original Adopted Date: 08/11/1975 | Last Revised Date: 02/12/2024 | Last Reviewed Date: 02/12/2024

 

Each year at its annual meeting, the board will designate by resolution the name and location of the Iowa located financial depository institution or institutions to serve as the official school district depository or depositories.   The board will also designate the maximum amount which may be kept on deposit in each bank.  This amount will be designated the first time a new depository is identified and will be reviewed at least once every five (5) years or when an increase or additional depository is needed. The amount stated in the resolution must be for all depositories and include all of the school district's funds.

It is the responsibility of the board secretary to include the resolution in the minutes of the meeting.
 

Note:  While this policy is not mandatory, the content of it is. The requirement to review the amount designated is not a legal requirement but is a best practice.  Districts have flexibility in determining how frequently to review this.  

 

Legal Reference:

Iowa Code §§ 12C2; 279.33

 

 

I.C. Iowa Code	Description
Iowa Code  § 12C.2	Deposit of Public Funds - Approval
Iowa Code § 279.33	Directors - Powers and Duties - Annual Settlements

Cross References

Code	Description
206.03	Secretary (I, II)
206.04	Treasurer
210.01	Annual Meeting
702	Cash in School Buildings
704.01	Local - State - Federal - Miscellaneous Revenue

 

Policy 701.02: Transfer of Funds	Status: APPROVED
Original Adopted Date: 08/11/1975 | Last Revised Date: 02/12/2024 | Last Reviewed Date: 02/12/2024

When the necessity for a fund has ceased to exist, the balance may be transferred to another fund or account by board resolution. School district monies received without a designated purpose may be transferred in this manner. School district monies received for a specific purpose or upon vote of the people may only be transferred, by board resolution when the purpose for which the monies were received has been completed.  Voter approval is required to transfer monies to the general fund from the capital projects fund and debt service fund.

If all requirements for district use of funds under the Preschool Foundation Aid, Professional Development Supplement, Home School Assistance Program, Teacher Leadership Supplement or any discontinued fund teacher  have been met and funds remain unexpended and unobligated at the end of the fiscal year, the district may transfer all or a portion of remaining funds by passage of a board resolution into the district’s flexibility account in accordance with law.  Before the expenditure of amounts in the flexibility account, the district shall publish notice of the time, date, and place of a public hearing on the proposed resolution approving said expenditures. The board must find and certify that the statutory requirements of each original source of funds have been met before adopting the resolution approving the expenditures. The district will present a copy of the signed board resolution to the Department of Education.

The District may transfer by board resolution from the general fund to the student activity fund an amount needed to purchase or refurbish protective and safety equipment required for any extracurricular interscholastic athletic contest or competition sponsored or administered by the Iowa High School Athletic Association of Iowa Girls High School Athletic Union.

If the before and after school program exceeds the amount necessary to operate the program, the excess amount may, following a public hearing, be transferred by resolution of the board of directors of the school corporation for deposit in the general fund of the school corporation to be used for school district general fund purposes. The district will present a copy of the signed board resolution to the Department of Education.

Beginning in FY 2024, unexpended and unobligated dollars that remain at the end of a fiscal year in addition to ongoing revenues may be transferred to the Teacher Salary Supplement (TSS) program from Professional Development Supplement (PDS), Talented and Gifted (TAG), and Teacher Leadership Supplement (TLS) without board action.

The district may choose to request approval from the School Budget Review Committee to transfer funds to make a program whole, prior to its elimination. 

Temporary transfers (loans) of funds are permitted between funds but must be repaid to the originating fund, with interest, by Oct. 1 following the end of the fiscal year. 

It is the responsibility of the board secretary to make recommendations to the board regarding transfers and to provide the documentation justifying the transfer.

 

Legal Reference:

Iowa Code §§ 24.21-.22; 257.10, 279.8; 279.42; 298A. 289 I.A.C. 6

 

 

I.C. Iowa Code	Description
Iowa Code  § 24	Local Budgets
Iowa Code  § 257.10	District Cost Per Pupil
Iowa Code  § 279.42	Directors - Powers and Duties-Gifts to Schools
Iowa Code  § 279.8	Directors - General Rules - Bonds of Employees
Iowa Code  § 298A	School District Fund Structure
I.A.C. Iowa Administrative Code	Description
289 I.A.C. 6	School Budget Review - Duties and Procedures

Cross References

Code	Description
701.03	Financial Records
704.02	Debt Management
704.02-R(1)	Debt Management - Post-Issuance Compliance Regulation for Tax-Exempt Obligations

Policy 703.01: Budget Planning Status: APPROVED Original Adopted Date: 03/10/2022 | Last Revised Date: 02/12/2024 | Last Reviewed Date: 02/12/2024   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. The budget of the school district is the authority for the expenditures of the school district for the fiscal year for which the budget was adopted and certified.  It is the responsibility of the superintendent to operate the school district within the budget.  A budget for the school district is prepared annually for the board's review.  The budget will include the following: the amount of revenues to be raised by taxation; the amount of revenues from sources other than taxation; an itemization of the amount to be spent in each fund; and, a comparison of the amount spent and revenue received in each fund for like purposes in the two prior fiscal years. It is the responsibility of the Superintendent to prepare the budget for review by the board prior to the April 30 deadline each year. The District will provide all of the information necessary for the Proposed Property Tax Statement to the Department of Management by March 15. Mailing of Proposed Property Tax Hearing Statements is completed by the county auditor by March 20.  A public hearing for the Proposed Property Taxes is then held not less than 10 days and not more than 20 days prior to the date of hearing. The hearing notice is published in a newspaper designated for official publication in the school district.  The hearing notice must also be posted on the district website and district social media accounts on the same day it is published in the newspaper. The hearing on the Proposed Property Tax must be a unique and separate meeting and be the only item on the agenda.  Prior to the adoption of the proposed budget by the board, the public is apprised of the proposed budget for the school district.  Prior to the adoption of the proposed budget by the board, members of the school district community will have an opportunity to review and comment on the proposed budget.  A public hearing for the proposed budget of the board is held each year in sufficient time to file the adopted budget no later than April 30. The proposed budget filed by the board with the board secretary and the time and place for the public hearing on the proposed budget is published in a newspaper designated for official publication in the school district.  It is the responsibility of the board secretary to publish the proposed budget and public hearing information at least 10 but no more than 20 days prior to the public hearing. The board will adopt and certify a budget for the operation of the school district to the county auditor by April 30.  It is the responsibility of the board secretary to file the adopted and certified budget with the county auditor and the Iowa Department of Management. The board may amend the budget for the fiscal year in the event of unforeseen circumstances.  The amendment procedures will follow the procedures for public review and adoption of the original budget by the board outlined in these policies. It is the responsibility of the superintendent and the board secretary to bring any budget amendments necessary to the attention of the board to allow sufficient time to file the amendment with the county auditor no later than May 31 of each year.   Legal Reference: Iowa Code §§ 24; 257; 279.8; 297; 298; 618.     I.C. Iowa Code Description Iowa Code  § 24 Local Budgets Iowa Code  § 257 Financing School Programs Iowa Code  § 279.8 Directors - General Rules - Bonds of Employees Iowa Code  § 297 School Houses/Sites Iowa Code  § 298 School Taxes and Bonds Iowa Code  § 618 Publications and Posting of Notices Cross References Code Description 214 Public Hearings

 

DEBT LIMITS

Credit Ratings
The school district seeks to maintain the highest possible credit ratings for all categories of short- and long-term debt that can be achieved without compromising the delivery of services and the achievement of adopted objectives.  The school district recognizes that external economic, natural, or other events may from time to time affect the creditworthiness of its debt. Nevertheless, the school district is committed to ensuring that actions within their control are prudent.

Debt Limits
For general obligation debt, the school district’s outstanding debt limit shall be no more than five percent (5%) of the actual value of property within the school district’s boundaries, as prescribed the Iowa constitution and statutory restrictions.

For revenue debt, the school district’s goal is to provide adequate debt service coverage of at least 1.20 times the annual debt service costs.

In accordance with Iowa law, the school district may not act as a conduit issuer or issue municipal securities to raise capital for revenue-generating projects where the funds generated are used by a third party (“conduit borrower”) to make payments to investors.

PURPOSES AND USES OF DEBT

Capital Planning
To enhance creditworthiness and prudent financial management, the school district is committed to systematic capital planning, intergovernmental cooperation and coordination and long-term financial planning.

Capital Financing
The school district may issue long-term debt for capital projects as authorized by Iowa law, which include, but are not limited to, the costs of planning, design, land acquisition, buildings, permanent structures, attached fixtures or equipment, and movable pieces of equipment. Capitalized interest may be included in sizing any capital project debt issue.  The types of debt instruments to be used by the school district include:

• General Obligation Bonds
• General Obligation Capital Loan Notes
• Bond Anticipation Notes
• Revenue Anticipation Notes
• School Infrastructure Sales, Services and Use Tax Revenue Bonds
• Lease Purchase Agreements, including Certificates of Participation

Working Capital Financing
The school district may issue debt for working capital for operations after cash flow analysis has determined that there is a mismatch between available cash and cash outflows.  The school district shall strive to repay working capital debt by the end of the fiscal year in which the debt was incurred.  A Working Capital Reserve may be included in sizing any working capital debt issue.

Refundings
Periodic reviews of all outstanding debt will be undertaken to determine if refunding opportunities exist. Refunding will be considered (within federal tax law restraints) if and when there is a net economic benefit of the refunding or if the refunding is otherwise in the best interests of the school district, such as to release restrictive bond covenants which affect the operations and management of the school district.

In general, advance refundings for economic savings will be undertaken when a net present value savings exceeds three percent of the refunded debt can be achieved.  Current refundings, which produce a new present value savings of less than three percent will be considered on a case by case basis taking into consideration bond covenants and general conditions.  Refundings with negative savings will not be considered unless there is a compelling public policy objective for doing so.

DEBT STANDARDS AND STRUCTURE

Length of Debt
Debt will be structured for the shortest period consistent with a fair allocation of costs to current and future beneficiaries or users.  Long-term debt will not be issued for periods exceeding the useful life or average useful lives of the project or projects to be financed.  All debt issued will adhere to state and federal law regarding the length of time the debt may be outstanding.

Debt Structure
Debt will be structured to achieve the lowest possible net cost to the school district given market conditions, the urgency of the capital project, the type of debt being issued, and the nature and type of repayment source.  To the extent possible, the school district will design the repayment of its overall debt to rapidly recapture its credit capacity for future use.

Generally, the school district will only issue fixed-rate debt.  In very limited circumstances, the school district may issue variable rate debt, consistent with the limitations of Iowa law and upon a finding of the board that the use of fixed rate debt is not in the best interest of the school district and a statement of the reasons for the use of variable rate debt.

All debt may be structured using discount, par or premium coupons, and as serial or term bonds or notes, or any combination thereof, consistent with Iowa law.  The school district should utilize the coupon structure that produces the lowest True Interest Cost (TIC) taking into consideration the call option value of any callable maturities.

The school district will strive to structure their debt in sinking fund installments for each debt issue that achieves, as nearly as practicable, level debt service within an issue or overall debt service within a particular classification of debt.

Derivatives (including, but not limited to, interest rate swaps, caps, collars, corridors, ceiling and floor agreements, forward agreements, float agreements, or other similar financing arrangements), zero-coupon or capital appreciation bonds are not allowed to be issued consistent with State law.

Decision Analysis to Issue Debt
Whenever the school district is contemplating the issuance of debt, information will be developed concerning the following four categories commonly used by rating agencies assessing the school district’s credit worthiness, listed below.

Debt Analysis – Debt capacity analysis; purpose for which debt is proposed to be issued; debt structure; debt burden; debt history and trends; and adequacy of debt and capital planning.

Financial Analysis – Stability, diversity, and growth rates of tax or other revenue sources; trend in assessed valuation and collections; current budget trends; appraisal of past revenue and expenditure trends; history and long-term trends of revenues and expenditures; evidences of financial planning; adherence to GAAP; audit results; fund balance status and trends in operating and debt funds; financial monitoring systems and capabilities; and cash flow projections.

Governmental and Administrative Analysis – Government organization structure; location of financial responsibilities and degree of control; adequacy of basic service provision; intergovernmental cooperation/conflict and extent of duplication; and overall planning efforts.

Economic Analysis – Geographic and location advantages; population and demographic characteristics; wealth indicators; types of employment, industry and occupation; housing characteristics; new construction; evidences of industrial decline; and trend of the economy.

DEBT ISSUANCE

Credit Enhancement
Credit enhancements (.i.e., bond insurance, etc.) may be used but only when the net debt service on the debt is reduced by more than the costs of the credit enhancement.

Costs and Fees
All costs and fees related to issuing the debt will be paid out of debt proceeds and allocated across all projects receiving proceeds of the debt issue.

Method of Sale
Generally, all school district debt will be sold through a competitive bidding process.  Bids will be awarded on a TIC basis providing other bidding requirements are satisfied.

The school district may sell debt using a negotiated process in extraordinary circumstances when the complexity of the issue requires specialized expertise, when the negotiated sale would result in substantial savings in time or money, or when market conditions of school district credit are unusually volatile or uncertain.

Professional Service Providers
The school district will retain external bond counsel for all debt issues.  All debt issued by the school district will include a written opinion by bond counsel affirming that the school district is authorized to issue the debt, stating that the school district has met all Iowa constitutional and statutory requirements necessary for issuance and determining the debt’s federal income tax status.  The bond counsel retained must have comprehensive municipal debt experience and a thorough understanding of Iowa law as it relates to the issuance of the particular debt.

The school district will retain an independent financial advisor.  The financial advisor will be responsible for structuring and preparing all offering documents for each debt issue.  The financial advisor retained will have comprehensive municipal debt experience, experience with diverse financial structuring and pricing of municipal securities.

The treasurer shall have the authority to periodically select other service providers (e.g., escrow agents, verification agents, trustees, arbitrage consultants, rebate specialist, etc.) as necessary to meet legal requirements and minimize net debt costs.  These services can include debt restructuring services and security or escrow purchases.

Compensation for bond counsel, financial advisor and other service providers will be as economical as possible and consistent with industry standards for the desired qualification levels.

Investment of Debt Proceeds
The school district shall invest all proceeds received from the issuance of debt separate from the school district’s consolidated cash pool unless otherwise specified by the authorizing bond resolution or trust indenture.  Investments will be consistent with those authorized by Iowa law and the school district’s Investment Policy to maintain safety of principal and liquidity of the funds.

Arbitrage and Record Keeping Compliance
The treasurer shall maintain a system of record-keeping, reporting and compliance procedures with respect to all federal tax requirements which are currently, or may become applicable through the lifetime of all tax-exempt or tax credit bonds.

Federal tax compliance, record-keeping, reporting and compliance procedures shall include not be limited to:

1. post-issuance compliance procedures (including proper use of proceeds, timely expenditure of proceeds, proper use of bond financed property, yield restriction and rebate, and timely return filing);
2. proper maintenance of records to support federal tax compliance;
3. investments and arbitrage compliance;
4. expenditures and assets;
5. private business use; and
6. designation of primary responsibilities for federal tax compliance of all bond financings.

Financial Disclosure
The school district is committed to full and complete financial disclosure, and to cooperating fully with rating agencies, institutional and individual investors, other levels of government, and the general public to share comprehensible and accurate financial information.  The school district is dedicated to meeting secondary disclosure requirements on a timely and comprehensive basis, as promulgated by the Securities and Exchange Commission.

The Official Statements accompanying debt issues, Annual Audits, and Continuing Disclosure statements will meet the standards articulated  by the Municipal Securities Rulemaking Board (MSRB), the Government Accounting Standards Board (GASB), the Securities and Exchange Commission (SEC), Generally Accepted Accounting Principles (GAAP) and the Internal Revenue Service (IRS).  The treasurer shall be responsible for ongoing debt disclosure as required by any Continuing Disclosure Certificate for any debt issue and for maintain compliance with disclosure standards promulgated by state and federal regulatory bodies

 

 

Legal Reference:        
Iowa Code §§ 74-76; 278.1; 298; 298A (2013).

Approved:
August 10, 2015

Reviewed: June 12, 2023

Revised:                     
November 14, 2016

 

School district funds in excess of current needs shall be invested in compliance with this policy.  The goals of the school district's investment portfolio in order of priority are

• To provide safety of the principal;
• To maintain the necessary liquidity to match expected liabilities; and
• To obtain an optimum rate of return.

In making investments, the school district shall exercise the care, skill, prudence and diligence under the circumstances then prevailing that a prudent person acting in a like capacity and familiar with such matters would use to meet the goals of of the investment program.

School district funds are monies of the school district, including operating funds.  "Operating funds" of the school district are funds which are reasonably expected to be used during a current budget year or within fifteen months of receipt.  When investing operating funds, the investments must mature within three hundred and ninety-seven days or less.  When investing funds other than operating funds, the investments must mature according to the need for the funds.

The Board of Directors authorizes the treasurer to invest funds in excess of current needs in the following investments.

• Interest bearing savings, money market, and checking accounts at the school district's authorized depositories;
• Iowa Schools Joint Investment Trust Program (ISJIT); and
• Certificates of deposit and other evidences of deposit at federally insured Iowa depository institutions.
• Obligations of the United States government, its agencies and instrumentalities

It shall be the responsibility of the treasurer to deliver a copy of this policy to the school district's depositories, auditor and outside persons doing business with the school district.

It shall be the responsibility of the superintendent, in conjunction with the treasurer, to develop a system of investment practices and internal controls over the investment practices.  The investment practices shall be designed to prevent losses and to document the officers and employees responsible for elements of the investment process.

 

 

Legal Reference:        
Iowa Code §§ 11.2, .6; 12.62; 12B.10; 12C; 22.1, .14; 28E.2; 257; 279.29; 283A; 285; 502.701; 633.123 (2013).

Approved:                                                                  
August 11, 1975                                                         

Reviewed:
June 12, 2023

 

Revised:
June 8, 1981
November 13, 1989
November 9, 1992
November 18, 1997
August 14, 2000
November 14, 2016

March 13, 2023

 

If approved by the Board of Directors, gifts, grants, or bequests involving money, equipment, or furnishings may be accepted by the school district.  All gifts, grants, or bequests 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 of Directors.

 

 

Legal Reference:        
Iowa Code §§ 279.42; 565.6 (2013).

Approved:                                                                  
December 12, 1994

Reviewed:
June 12, 2023

 

Revised:
November 14, 2016

 

Revenue raised by students or from student activities shall be deposited and accounted for in the student activities fund.  These revenues are public funds and shall be under the financial control of the Board of Directors (Board).  Students may use this revenue for purposes approved by the Superintendent of Schools (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.  They will be deposited in a designated depository and will be disbursed and accounted for in accordance with guidelines developed by the Superintendent.

It shall be the responsibility of the treasurer 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 the class graduates or an activity is discontinued.

 

 

Legal Reference:        
Iowa Code §§ 11.23; 279.8 (2013).

Approved:                                                      
August 9, 1999

Reviewed:
September 19, 2011

June 12, 2023

Revised:
September 18, 2000
November 14, 2016

March 13, 2023

 

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

The board shall enter into goods and services contract(s) as the board deems to be in the best interest of the school district.  It shall be the responsibility of the superintendent to approve purchases, except those requiring board approval 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 will 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 more than $25,000 and up to $50,000 informal bidding, the superintendent shall receive proposals, quotations, or bids for the goods and services to be written or unwritten quotations.

• For goods and services exceeding $50,000 the competitive request for proposal (RFP) or competitive bid process shall be used and received prior to board approval. RFP’s and bids are formal, written submissions via sealed process.

• The purchase will be made from the lowest responsible bidder based upon total cost considerations including, but not limited to, the cost of the goods and services being purchased, availability of service and/or repair, delivery date, the targeted small business procurement goal and other factors deemed relevant by the board.

• The board and the superintendent will have the right to reject any or all bids, or any part thereof, and to re-advertise.  If it is determined that a targeted small business which bid on the project may be unable to perform the contract, the superintendent will notify the Department of Economic Development.  The board will enter into such contract or contracts as the board deems in the best interests of the school district.

Public Improvement

The board shell enter into public improvement contract(s) as the board deems to be in the best interest of the school 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 impart with funds of the governmental entity. This includes a building or improvement constructed 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 state 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 or quotations, the district may nevertheless process 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 school district facility that exceed bidding and quotation thresholds, please refer to policy 802.3; Emergency Repairs.

The district shall comply with all federal and state laws and regulations required for procurement, including the selection and revaluation 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 these requirements.

 

Legal Reference:        
Iowa Code §§ 26; 28E; 72.3; 73; 73A; 285; 297; 301.
261 I.A.C. 54.
281 I.A.C. 43.25.
481 I.A.C.

Approved: 
September 19, 2011

Reviewed: June 12, 2023

Revised :   
September 10, 2018

March 13, 2023

 

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

The board authorizes the board secretary, upon approval of the superintendent, to issue payment for verified bills, for reasonable and necessary expenses, when the board is not in session.  The board secretary will examine the claims and verify bills. The board will approve payment for the bills at the board’s regular board meeting.

The secretary will determine to the secretary's satisfaction that the claims presented to the board are in order and are legitimate expenses of the school district.  It is the responsibility of the secretary to bring claims to the board.

The board president and board secretary may sign warrants by use of a signature plate or rubber stamp.  If the board president is unavailable to personally sign warrants, the vice president may sign warrants on behalf of the president.

It is the responsibility of the superintendent to develop the administrative regulations regarding this policy.

 

 

Legal Reference:        
Love v. City of Des Moines, 210 Iowa 90, 230 N.W. 373 (1930).
Iowa Code §§ 279.8, .29, .30, .36; 291.12; 721.2(5) (2013).
281 I.A.C. 12.3(1).
1980 Op. Att'y Gen. 102, 160, 720.
1976 Op. Att'y Gen. 69.
1972 Op. Att'y Gen. 130, 180, 392, 456, 651.
1936 Op. Att'y Gen. 375.

Approved :                 
September 19, 2011   

Reviewed: June 12, 2023

Revised :                    
November 14, 2016

 

705.4 EXPENDITURES FOR A PUBLIC PURPOSE

 

The board recognizes that school district funds are public funds, and as such, should be used to further a public purpose and the overall educational mission of the school community.  The district is committed to managing and spending public funds in a transparent and responsible manner.  Prior to making a purchase with public funds, an individual should be comfortable defending the purchase/reimbursement to the taxpayers in the district.  If the individual is uncomfortable doing so, the purchase may not fulfill a public purpose and additional guidance should be sought before the purchase is made.    

 

Individuals who have concerns about the public purpose of a purchase or reimbursement should utilize the district’s Internal Controls policy and regulation as a resource for questioning a purchase.  Concerns should be reported to the superintendent and/or the board president.  

 

The superintendent shall develop a process for approving expenditures of public funds.  The board will review expenditures and applicable reports as necessary to ensure proper oversight of the use of public funds.  To the extent possible, expenditures shall be pre-approved by the district prior to expending the funds.  Purchases of food and refreshment for district staff, even within district, should comply with the district’s Employee Travel Compensation policy, and all other applicable policies.  All purchases/reimbursements shall comply with applicable laws, board policies and district accounting requirements.

 

Additional guidance regarding appropriate expenditures of school funds is provided in the regulation accompanying this policy.

 

ADOPTED:  March 13, 2023

 

REVIEWED: June 12, 2023

 

REVISED: 

It shall be the policy of the Board of Directors that classified personnel shall be paid on the 20th day of each month, or the last working day preceding it.

The requirements stated in the Master Contract between employees in a certified collective bargaining unit and the board regarding payroll periods of such employees will be followed.

 

 

Legal Reference:  
Iowa Code §§ 20.9; 91A.2(4), .3 (2013).

Approved:                                                  
August 11, 1975

Reviewed:
June 12, 2023

Revised:
August 9, 1976
June 8, 1981
June 10, 1985
December 12, 1994
November 14, 2016

 

Classified personnel payroll deductions shall consist of Federal income tax withholdings, Iowa income tax withholdings, Social Security and the Iowa Public Employees' Retirement System.

Support personnel may elect to have payments withheld for insurance, IRS 125 Cafeteria Plan, and/or annuity programs provided such programs have been approved by the Board of Directors.

It is the responsibility of the superintendent to determine which additional payroll deductions will be allowed.

The requirements stated in the Master Contract between employees in a certified collective bargaining unit and the board regarding payroll deductions of such employees will be followed.

 

 

Legal Reference:        
Iowa Code §§ 91A.2(4), .3; 294.8-.9, .16 (2013).

Approved:                                                                  
August 11, 1975

Reviewed:
June 12, 2023

Revised:
June 8, 1981
December 12, 1994
November 18, 1997
November 14, 2016

 

The district provides leaves of absences to allow employees to be absent from work to attend to important matters outside of the workplace. As public employers, school districts are expected to record and monitor the work that employees perform and to conform to principles of public accountability in their compensation practices.

Consistent with principles of public accountability, it is the policy of the district that, when an employee is absent from work for less than one work day and the employee does not use accrued leave for such absence, the employee’s pay will be reduced or the employee will be placed on leave without pay if:

• the employee has not sought permission to use paid leave for this partial-day absence,
• the employee has sought permission to use paid leave for this partial-day absence and permission has been denied,
• the employee’s accrued paid leave has been exhausted, or,
• the employee chooses to use leave without pay.

In each case in which an employee is absent from work for part of a work day, a deduction from compensation will be made or the employee will be placed on leave without pay for a period of time which is equal to the employee’s absence from the employee’s regularly scheduled hours of work on that day.

 

 

Legal Reference:                        
29 U.S.C. Sec. 2 13(a) (2012)
29 C.F.R. Part 541 (2012)

Approved:

Reviewed: June 12, 2023

Revised:
November 14, 2016

 

The board secretary will report to the board each month about the receipts, disbursements and balances of the various funds.  This report will be in written form and sent to the board with the agenda for the board meeting.

 

 

Legal Reference:        
Iowa Code §§ 279.8; 291.7 (2013).

Approved:                                                                  
August 11, 1975

Reviewed:
June 12, 2023

Revised:
June 8, 1981
November 14, 2016

 

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 all other funds.  This report is in written form and sent to the board with the agenda for the board meeting.  The treasurer will also furnish the board with a sworn statement from each depository showing the balance then on deposit.

It is the responsibility of the treasurer to submit this report to the board annually.

 

 

Legal Reference:        
Iowa Code §§ 279.31, .33 (2013).

Approved:

Reviewed: June 12, 2023

Revised:
November 14, 2016

 

Each month the schedule of bills allowed by the board is published in a newspaper designated as a newspaper for official publication.  Annually, the total salaries paid to employees regularly employed by the school district will also be published in a newspaper designated as a newspaper for official publication.

It is the responsibility of the board secretary to publish these reports in a timely manner.

 

 

Legal Reference:        
Iowa Code §§ 279.35, .36; 618 (2013).
1952 Op. Att'y Gen. 133.

Approved:

Reviewed: June 12, 2023

Revised:
November 14, 2016

 

To review the funds and accounts of the school district, the board will employ an auditor to perform an annual audit of the financial affairs of the school district.  The administration will cooperate with the auditors.

Such annual audit reports shall remain on permanent file in the administrative office of the School District.

 

 

Legal Reference:        
Iowa Code § 11.6 (2013).

Approved:                                                                  
August 11, 1975                                                         

Reviewed:
June 12, 2023

Revised:
September 18, 1978
June 8, 1981
December 12, 1994
November 18, 1997
November 14, 2016

 

Policy 707.05: Internal Controls	Status: APPROVED
Original Adopted Date: 03/11/2024 | Last Reviewed Date:   3/11/2024                                 | Last Revised Date:

 

The board expects all board members, employees, volunteers, consultants, vendors, contractors, students and other parties maintaining any relationship with the school district to act with integrity, due diligence, and in accordance with all laws in their duties involving the school district’s resources.  The board is entrusted with public dollars and no one connected with the school district should do anything to erode that trust.

Internal controls are used to help ensure the integrity of district financial and accounting information. Adherence to district-established internal control procedures is the responsibility of all employees of the school district. The superintendent, business manager and board secretary shall be responsible for developing internal controls designed to prevent and detect fraud, financial impropriety, or fiscal irregularities within the school district subject to review and approval by the board.  Administrators shall be alert for any indication of fraud, financial impropriety, or irregularity within the administrator’s area of responsibility.

Any employee who suspects fraud, impropriety, or irregularity shall report their suspicions immediately to his/her immediate supervisor and the superintendent, or the board president.  The superintendent or the board president shall have primary responsibility for any necessary investigations and shall coordinate investigative efforts with the board’s legal counsel, auditing firm, the Auditor of State's office and other internal or external departments and agencies, including law enforcement officials, as the superintendent or the board president may deem appropriate. 

Employees bringing forth a legitimate concern about a potential impropriety will not be retaliated against and those who do retaliate against such an employee will be subject to disciplinary action up to, and including, discharge.

In the event the concern or complaint involves the superintendent, the concern shall be brought to the attention of the board president or vice-president, who shall be empowered to contact the board’s legal counsel, Auditor of State's office, insurance agent, auditing firm, and any other agency to investigate the concern or complaint.

The superintendent or board president shall ensure the Auditor of State’s office is notified as required by law of any suspected embezzlement, theft or other financial irregularity pursuant to Iowa law.  The superintendent and/or board president in coordination with the Auditor of State’s office, will determine whether to conduct a complete or partial audit.  The superintendent is authorized to order a complete forensic audit if, in the superintendent’s judgment, such an audit would be useful and beneficial to the school district.  In the event there is an investigation, records will be maintained for use in the investigation.  Individuals found to have altered or destroyed records will be subject to disciplinary action, up to and including termination. 
 

NOTE:  For more detailed discussion of this issue, see IASB's Policy Primer, Vol. 19 #4- May 24, 2006.

 

Legal Reference:

American Competitiveness and Corporate Accountability Act of 2002, Pub. L.      No. 107-204. Iowa Code §§ 11, 279.8.

 

I.C. Iowa Code	Description
Iowa Code  § 279.8	Directors - General Rules - Bonds of Employees
Iowa Code § 11	Auditor of State

Cross References

Code	Description
401.12	Employee Use of Cell Phones
401.12-R(1)	Employee Use of Cell Phones - Regulation
705.04	Expenditures for a Public Purpose
705.04-R(1)	Expenditures for a Public Purpose - Use of Public Funds Regulation
707.06	Audit Committee