Bookkeepers at four Howard County schools said they did not have the time to make regular bank deposits nor to store collected money in a safe, according to audit reports for the 2005-06 school year.
Deposits must be made at least once weekly and when the amount exceeds $250 in cash or $500 in checks, according to the school system?s policy at the time of the audits, conducted by Internal Auditor John Connors.
The schools in question in the audits are:
» Centennial High School, where in two instances teachers withheld cash given to them by students for field trip expenses, which was never given to a bookkeeper or accounted for in the school activity fund.
The school averaged monthly bank deposits of $32,000 during October 2005, January 2006 and April 2006.
» Elkridge Elementary School, where the safe was empty in August 2006, when Connors visited.
The financial agent?s desk drawer contained blank school checks and receipts that were not deposited, and her work space was visible from a public hallway.
“The [school system?s activity] manual clearly states that money should never be kept in a desk drawer, locked or not,” school system Finance Director Beverly Davis said.
The infractions were reported to Earl Slacum, elementary school director for Elkridge.
“… We try to make the individual understand that everything we?re doing has to stay within policy guidelines,” said Slacum, referring to the consequences.
» Mount View Middle School, where $2,700 was missing from July 2005 to June 2006 .
The funds were recovered and reported to Howard police, and the school now uses the safe until deposits can be made.
» Murray Hill Middle School, where a negative bank balance of more than $1,600 was found.
Connors last November discovered more than $5,000 in the school?s safe, including $4,516 that was ready for deposit. The schools? administrations are required to take corrective actions, according to the audit.
“As a system we grew so rapidly, so we?ve had to develop far more formalized policies,” Davis said.
WHAT?S BEING DONE
» All schools now operate from a central bank account with Bank of America.
» The updated 2006-07 manual increased the amount of money schools can hold before depositing to $3,000 in cash and to $2,000 in checks.
» Every school has a safe with additional safes at high schools for money collected at evening events.
» The fiscal 2008 budget funds a full-time school activity accountant position.
Source: School system Finance Director Beverly Davis
