School districts tuck money in reserve accounts to justify need for tax increases, audit finds

United States News News

School districts tuck money in reserve accounts to justify need for tax increases, audit finds
United States Latest News,United States Headlines
  • 📰 PennLive
  • ⏱ Reading Time:
  • 40 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 19%
  • Publisher: 53%

Auditor General Timothy DeFoor released an audit of 12 districts that uncovered they - and possibly other districts - are legally using a 'shell game' to justify the need for tax increases while sitting on millions in reserve accounts.

Pa. Auditor General Timothy DeFoor released an audit of 12 school districts on Wednesday that uncovered a common budgeting practice that even more districts are using to raise property tax rates while sitting on millions in reserve accounts. Jan. 25, 2023 Jan Murphy | jmurphy@pennlive.

The 12 districts located in Allegheny, Bucks, Chester and Delaware, Lancaster, Montgomery, Northampton and Washington Counties represented included urban, suburban and rural areas. Some were wealthy and others poor. Given that the districts’ diversity and finding all were engaging in the same budgeting practices, DeFoor said, “it’s not a stretch to say that it’s not happening across the commonwealth.

It goes on to say the revenue from investment earnings on fund balances is also a way to avoid having to pay interest on borrowed funds to cover cash flow needs. Auditors say the districts it reviewed moved money from their unassigned reserve accounts to its committed and assigned reserves to keep its balance below that threshold so they could raise their tax rate.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

PennLive /  🏆 463. in US

United States Latest News, United States Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

20 Pearland ISD students advance to next stage in rodeo art competition20 Pearland ISD students advance to next stage in rodeo art competitionPearland ISD students in middle school and high school were selected for the next round...
Read more »

State officials, agencies debate school choice bill on 1st day of Utah School Choice WeekState officials, agencies debate school choice bill on 1st day of Utah School Choice WeekNearly 1,000 charter school students from Logan to St. George descended upon the Utah Capitol Rotunda on Monday to advocate for school choice as a controversial bill makes its way through the Legislature.
Read more »

LIST: School districts cancel after school activities, release students earlyLIST: School districts cancel after school activities, release students earlyCHECK THIS LIST: Some districts, including Houston ISD, are canceling after school activities and other districts have early dismissal.
Read more »

Student falls 2 stories at Pedro Menendez High School, St. Johns County School District saysStudent falls 2 stories at Pedro Menendez High School, St. Johns County School District saysA 17-year-old student fell two stories at Pedro Menendez High School on Tuesday afternoon, the St. Johns County School District tells Action News Jax.
Read more »

Iowa passes school choice bill requiring the state to pay for students’ private school tuitionIowa passes school choice bill requiring the state to pay for students’ private school tuitionAny Iowa student who wants to attend a private school could use public money to pay for tuition or other expenses under a plan approved early Tuesday by the Legislature, making the state the third to pass a measure that allows such spending with few restrictions.
Read more »

Montgomery school board votes down charter school applicationMontgomery school board votes down charter school applicationThe Montgomery County Board of Education has voted against adding I Dream Big Academy.
Read more »



Render Time: 2025-02-23 16:18:30