Week 5 Part 1 Code of Ethic and School Leaders

This was an excellent way to apply experiences to the Code of Ethic Standards.

Please provide 3 examples from Section 1, Standards 1.1 – 1.13

#1) Standard 1.3.

The educator shall not submit fraudulent requests for reimbursement, expenses, or pay.

An Assistant Superintendent submitted receipts from an out of state educational conference which included the expense accounts of two principals that where designated to attend the conference with him.  However the submission of the receipts exposed additional expenses for extended hotel stay, food, and banquets that accommodated the assistant superintendent’s family members. The two principals designated to attend the conference with the Assistant Superintendent were called in to validate the receipts that covered their expenditures.   Turns out the Assistant Superintendent used the district’s credit card to entertain his family during the conference.

Consider short and long-range consequences?

Short term- The Assistant Superintendent was suspended with pay while a thoroughly investigation was conducted of the fraudulent expenses that were submitted. 

Long term – The Assistant Superintendent was terminated based on the misappropriation of expenses for the conferences.   A school district’s credit card is for school business purposes only and should not be used for family entertainment.  

Preventive Action

School board should review the policy and procedures for staff attending conferences. Then meet with central office personnel and campus administrators who in turn with meet with campus staff to review ethical and financial procedures for business trips.

Designated individuals will provide staff development to every district employee regarding the local district guidelines for submitting receipts upon returning from a conference. Provide district employees with a copy of the conference/workshop trip guidelines and have staff sign that they received a copy of the guidelines/policies regarding submission of receipts for reimbursement or expenses.

#2) Standard 1.2.

The educator shall not knowingly misappropriate, divert, or use monies, personnel, property, or equipment committed to his or her charge for personal gain or advantage.

A Superintendent allegedly sent the district’s maintenance crew in district vehicles with district materials and equipment to repair a building structure on his lake front lodge property. The superintendent used the district’s maintenance grew for a personal matter that involved use of district resources. 

Consider short and long-range consequences?

Short term – An investigation was conducted and the Superintendent was placed on administrative leave with pay for two months.

Long term –The Superintendent admitted to the allegations and resigned.  At this point the superintendent’s trust with the community and the school board members is in jeopardy.  Lastly the District inventoried materials used in an effort to replace the materials.

Preventive Actions

The maintenance department was completely restructured and the department went through an intensive review of the code of ethics and of district procedures. Discuss consequences of incidents that violate the code of ethics regarding use of district materials and equipment.

#3) Standard 1.2.

The educator shall not knowingly misappropriate, divert, or use monies, personnel, property, or equipment committed to his or her charge for personal gain or advantage.

Parents accused a principal of a Texas high school and a former cheerleading coach of            misappropriating monies specified for cheerleader uniforms, camp and supplies for the school’s cheerleading squads. The accusations include misappropriation of funds, abuse of power and intimidation, as well as punishing the cheerleaders for the financial mess that occurred under the school’s watch.

Consider short and long-range consequences?

Short term- Transferred the students’ previously individual recorded cheerleader accounts into a general unrestricted student body account, refused to allow parents to inspect the books, and covered up alleged misdeeds in order to protect the school’s reputation.
Long term-   In this scenario there was difficulty with clearing up parents ‘misconceptions of the allegation against the principal. Cheerleading season was cut in half because the school could not afford the coach’s $2,000 stipend which was separate from cheerleading funds.
Consequences-   If principal accused is found guilty of misappropriating the cheerleading funds this is a violation that could result in disciplinary action such a written reprimand or an administrative leave. 
Preventive Action- It is obvious that appropriate training and review of the code of ethics should be revisited for the correct procedures and district policies for the proper handling of funds that deal with such accounts.   Appropriate individuals should be appointed and knowledgeable of the guidelines that are established for dealing with extracurricular activity accounts such as that of the cheerleader account. This type of incident is one that school districts want to monitor closely to avoid misconceptions within the community and the district as a whole.

Provide 2 examples from Standards 2.1 – 2.7.

#4) Standard 2.3.

The educator shall adhere to written local school board policies and state and federal laws regarding the hiring, evaluation, and dismissal of personnel.

Without providing a growth plan for the teacher in question a principal attempted to submit a non-renewal teacher contract on the teacher due to unsatisfactory performance ratings on her PDAS evaluation. The violation here is the attempt to dismiss a teacher without due process.

          Consider short and long-range consequences?

Short term - Teacher filed a grievance with the school district and with the local teacher organization.  Eventually the teacher filed a grievance against the principal.

Long term - Principal was given a written reprimand for not following local school board and state policy regarding policy for non-renewal for a teacher contract. No documentation of growth plan for the teacher was available to indicate proof of evidence that the teacher received support from supervisors, mentors, or the principal. 

Consequences - Eventually the teacher filed a grievance against the principal and was moved to another campus and finally resigned from the district.

   Preventive Actions – Apparently the principal needs a reteach on measures to take to support a teacher who performs unsatisfactory on the PDAS instrument. Develop and implement a growth plan for the teacher. Monitor the time line established for assessment of the areas of concern.  Schedule another PDAS evaluation or have another appraiser perform the evaluation.

#5) Standard 2.6.

The educator shall not use coercive means or promises of special treatment in order to influence professional decisions or colleagues.

In this standard an example of violation would occur if a board member informed a campus principal of a guaranteed promotion for his wife who currently teaches, but desires an administrative position if the principal hires his daughter who recently graduated from college.

Short and long consequences are involved in this scenario.

Promoting the wife of the principal does not she is the most qualified person for the position. It is a measure of trading one favor for another.  Long term effects involved the highly qualified candidate vs. the non-highly qualified candidate.

Preventive Actions- Simply positioned are policies and guidelines established by the local districts and the state.  Follow the established policies and procedures to avoid uncomfortable situations that may be harmful to others.

Here are the Competency 1:

The superintendent knows how to act with integrity, fairness, and in an ethical manner

In order to promote the success of all students.

The superintendent knows how to:

    3   as an advocate for all children.

1, 2,3,4,5  model and promote the highest standard of conduct, ethical principles, and integrity in decision making, actions, and behaviors.

1, 2 & 3  exhibit understanding and implement policies and procedures that promote district personnel compliance with The Code of Ethics and Standard Practices for Texas Educators.

1, 2,3  monitor and address ethical issues impacting education.

1, 3, 4 apply laws, policies, and procedures in a fair and reasonable manner.

______ interact with district staff, students, school board, and community in a professional and ethical manner.

Week 4 Part 5 External Audits

The external audit is one of the most significant of all for Week 4 assignments. A districts school board has the responsibility to oversee what happens with taxpayers monies.  One key factor in this process is to ensuring that the school district has an annual audit in place.  

Part 5 Annual External Audits

I was unable to have the opportunity to interview my Superintendent for this assignment due to extenuating circumstances.  In his absence I had an informative visit with one of my Site Supervisor who has successfully completed this course and currently is enrolled in the doctorial program at Lamar University.

How is the external auditor selected?

Ms. Bahnsen previewed the lecture notes and assured me the audit process for our district is not much different than stated in the presentation Dr. Stephens presented to us.

BISD selects the external auditor the process of request for qualifications.  The auditor responds to the district by submitting information that provides the qualification to perform an audit.  The board and our Superintendent work as a team to make the determination regarding the auditor’s relationship with the district.  Members meet with the auditor during a properly called schedule meeting to view options that are best for the community.   According to legal requirements by the Texas Education Code a school district’s board of trustees has the obligation to ensure that the district’s fiscal accounts are annually audited. The fees for the audit are the responsibility of the school district and the auditor must be a certified public account from the Texas Board of Pubic Accountancy. As stated in the lecture notes once the auditor is selected the request is submitted the state for approval.   

2. How does the auditor conduct the audit?

BISD ‘s auditor audits the financial statements of the governmental activities, each major fund and the aggregate remaining fund information of BISD for the fiscal year based on the District’s basic financial statements.   The audit is conducted by standards applied to financial audits contained in Government Audit Standards, issued by the Comptroller General of the United States.   The auditor’s main purpose is to express an opinion on the financial statements, but not for purpose of expressing an opinion on the effectiveness of the District’s internal control over financial reporting.  This was somewhat confusing to me.  As stated in the lecture notes, a written report is prepared solely for the information and use of the District’s Trustees and management, the Texas Education Agency.  It is not intended to be and should not be used by anyone other than those parties specified in the report.

3. What does the audit conclude about district financial procedures and actions?

There is a process called Compliance and Other Matters which part of obtaining reasonable assurance about whether the District’s financial statements are free of material misstatement, a series of tests are preformed of the district’s compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance which could have a direct and material effect on the determination of financial statement amounts.  This also includes major federal program compliance etc.,   Again the audit letter stipulates that providing an opinion on compliance on the provisions is not an objective of the audit, so the audit do not express such an opinion.  The results of the tests are required to be reported under the Government Auditing Standards.  The district receives a separate letter dated noting certain matters that were reported to the District’s management about the tests.

4. How are the results communicated?

The results of the annual audit are presented during a regularly scheduled meeting with the board late in November, as well submitted for public view with the media and a copy is submitted to TEA. At any time during this meeting the board can ask questions of concern. Finally, a formal letter is prepared by the Auditor’s (CPA firm) and submitted to the Board of Trustees. 

Week 4 Part 4 Personnel Salaries

Week 4 Part 4 Personnel Salaries in District Budgets

 In the absence my Superintendent and the District’s Business Manager, I had the opportunity to interview one of my Site Supervisors Lydia Bahnsen who is a certified Superintendent and currently in the Lamar doctorial program.

The total expenditures for district are in the amount of $170,575,603.  The amount of $132,860,845 representing 77.9% or 78% is related to personnel salaries.   The other remaining portions of the expenditures indicate other opera ting cost in the amount of $30,581.840 or 17.9% and the capital outlay is 4.2% or $7,132,918.  It was noted in the interview that the Fund balance at the end of the year 2009-2010 (audited) reflected a decrease from the previous year;  the percentage /rate was not available on the 2010-2011 AEIS report. However, 24.4% of the Total Budgeted Expenditures for 2010-2011 was noted, but the total amount for 2010-2011 was not available.

In comparison to the General Fund Summary of Revenues and Expenditures the districts payroll costs for the current budget year 2011 reflected $130,299,672 which is a decrease from last year.  She mentioned the fact that last year at the high school level coaches had extra off periods to coach instead of teaching a course.  Additionally staff was hired to teach classes during those off periods.  This year the extra off periods were removed and the coaches have to teach classes.  This reduced the number of extra personnel hired as well as the cost of the extra hire. 

Our Superintendent stated last year that there would be no salary increases and that everyone would have a job there would be no reduction in staff.  District staff received incentive pay based on the campus performances. 

In reference to the 5% salary increase for all personnel she said as Superintendent an intense look at the Revenue increase and tax rate would be determining factors to consider.   You have to know that in the process districts collect more money or have to replace money not available.  District officials must be aware of the surrounding competition around them by completing a comparison analysis of average teacher salaries and other benefits.  As superintendent you want to provide salary increases as often as possible. Usually each year our district personnel receive a salary increase, but unlike this year salary increases were not possible.

  However, a 5% raise without doubt would motivate and increase employee morale, but is not likely to occur with the massive budget cuts that have taken place this year.  On the negative end, she stated to just be aware of the Operating Cost and the Capital Outlay, because they are included in the total expenditures and sometimes districts have to revamp their expenditures. 

Understanding FIRST (Financial Integrity Rating System of Texas) in School Finance

School FIRST, The School Financial Integrity System of Texas is an accountability system for Texas school districts.   In 2006, performance was added as a consideration for accreditation with academic performance included. The Texas Education Code requires the commissioner of education to adopt rules for the management of the FIRST system. These rules are located in the TEXAS Administrative Code, Title 19. Chapter 109, subchapater AA. In group 4, purpose or goal was viewed as one of the three important components of FIRST. FIRST is designed to provide financial management support to persuade Texas public schools to supervise their financial resources to gain the most money possible for direct instructional purposes.  FIRST collects data determined by staff and student data reported for a school year and financial reported for the corresponding fiscal year (12- month period beginning either July 1 or September 1 of each year). School districts provide information to TEA through various financial reports, audit reports and data reported through PEIMS.    The second most important component is the Financial Accountability Ratings. TEA considers a district’s School First rating when assigning an accreditation status. TEA finalizes a school FIRST rating worksheet for each district.  There are 22 indicators or questions split into critical or noncritical indicators. The noncritical indicators weigh a total of 95 points, with each separate indicator valued a maximum of five points each.                                                                                                   Districts may be assigned one of four financial accountability ratings to school districts:  Superior Achievement, Above –Standard Achievement, Standard Achievement, or Substandard Achievement.    Additionally, the third important component is the public hearing to distribute the Annual Report containing the district’s School FIRST rating.  The public hearing may be combined with a scheduled regular board meeting with the board of trustees. School district’s must be transparent and follow the School FIRST rules for the public hearing to be held in a district facility, board must give notice of the hearing to taxpayers and parents based on the financial data, the accountability rating, financial disclosures of board members and the superintendent’s financial information. The report must provide financial management information that will be beneficial to taxpayers, especially information that may have affected the district’s performance under the indicators.   Finally, School FIRST is a rating system based upon data reported by school district’s and reviewed by TEA.  The manageable worksheet tool that is completed by TEA. The disclosures are reported in the district’s public financial management report once the final rating is issued. In my action research I noticed the Financial Solvency Review Process was not mentioned in the assignment, but Texas now requires a school district to provide TEA with financial information that will allow TEA to foresee the districts future financial solvency.  Districts that are in danger of insolvency are required to submit a financial plan to TEA for approval.  If the plan is not submitted or does not comply with an approved plan an accreditation warning will be issued to the district.

Review and Analyzing District's M & O Fund

Part 4: Reviewing and Analyzing Your District’s M & O Fund

Annual AUDIT report consistently shows BISD is operating on solid financial grounds with the one of the strongest fund balances among school operations throughout the state.

Optimum finances

BISD has always submitted a balanced budget

• Given teacher raises each of the last 15 years

• NEVER had to lay off employees to meet budget

• TEA rating consistently rates BISD’s financial operations as ―superior‖ --the highest rating awarded.

• Consistently earns Govt. Financial Officers Certificate of Achievement for Excellence in Financial Reporting

GENERAL FUND                                     Based on Cost per Student Proposed Budget ADA

                                                                             19,295

Revenues & Other Resources

Local Revenue                                    $107,741,262

State Program Revenue                                50,206,277

Federal Revenue                                                950,000

Other Resources                                              1261,000

Total Revenues & Other Resources      $160,158,539

Expenditures & Other Uses

11-Instruction                                                  $90,155,200

12-Instructional Resources & Media Svcs.       22,319,403   

13-Curr Devel/Instr Staff Devel                            786,222

21-Instructional Leadership                                2,858,827

 23-School Leadership                                      11,670,926

31-Guidance, Counseling & Eval Svc                4,773,089

32-Social Work Services                                       397,395

33-Health Services                                             2,139,633

34-Student (Pupil) Transportation                     7,045,353

 35-Food Services                                                   43,518  

36-Co-Curricular/Extracurricular Activities     3,985,757

41-General Administration                                6,101,130

51-Plant Maintenance and Operation              22,435,049

52-Security and Monitoring Services                 2,089,543

53-Data Processing Services                              1,637,895

61-Community Services                                       121,659

-Facilities Acquisition & Construction                     ------

93-Fiscal Agent/Member District                          155,000

95-Pmts to JJAEP                                                  155,500

90-Other Uses                                                      1,285,440

Total Expenditures & Others                      $160,158,539

BEAUMONT INDEPENDENT SCHOOL DISTRICT

NEEDS ASSESSMENT

District Demographics:*

Number of Students	% African American	%Hispanic	%White	%Asian	%Native	Economically Disadvantage
19,505	12.510 64%	3.155 16.4%	3.155 16.2%	6.15 3.2%	32 0.2%	14.198 72.8%

Instructional Programs:

The largest instructional program is the regular education program. During the 2009-2010 school years, the Gifted and Talented program provided by the district served 8.3% of the students. The district also focuses upon the unique needs of students with handicaps and students with Limited English Proficiency. Approximately 7.9% of the student body was served with Special Education services, and 6.9% of the student body was identified as Limited English Proficient, thereby qualifying for language assistance under the English-as-a-Second Language program. Also, 20.8% of our middle and high school students serve in Career and Technical Education. Current percentages are indicated below.

1. Number of Students:   19,505
2. Gifted and Talented:   1.62%;  8.3%
3. Special Education:      1.536%; 7.9%
4. Bilingual/ESL :            1.337;  6.9%
5. Title I:                          14.198;  72.9%
6. Career & Technical Education:  14.198; 72. 9%

For the 2011-2012

 The local revenue is $107,741,262, state revenue is 50,206,277, and federal revenue is calculated at 950, 00.   As with other districts, our district experienced total revenue cut of 6,247,592.   The current taxes are based on certified tax roll with a proposed M & O tax rate $1.04 at 98% collection date. The total operating budget for this school year is $163,987,180.

The 2011-2012 expenditure totals to the amount of $160,158,539.  Fifty-six percent of the expenditures are spent on Instructional needs in the amount of $88,005,030.   Next in line is Plant Maintenance and Operation funding that totals to the amount of $22,435,049 or 14% of the expenditures.

1.45%, Instructional Resources & Media, $2,354,232; 1.78% Instructional Leadership, 2,869,542; School Leadership takes up 7.2% or  total expense of $11,670.926. Overall there were significant decreased in expenditures compared from last year to this year.

As far as our funding elements the Refined ADA is $17,779.10. For regular program ADA this is in reference to ADA Spec. Ed FTE’s in the amount of 16, 844.388.  Several program allotments for special education, 304.62; Career & Technology at 630.084, High School ADA is 5,001.194.  The Weighted ADA (WADA) for our district is$22,595.016.

The district’s current year under LPE locally certified property values are calculated at $8,841,453,594.  This is slightly higher than last year’s property value at $8,788,794,079. 

The total cost of current year M & O is 88,706.508 at an adopted tax rate of 1.47. 

The M &O Collections @Compressed Rate equals $83,870,297 based on compressed rate x 100x yield per Penny)There are several allotments identified under the Tier I Detail Report that identify nine programs, weight, LPE ADA,LPE allotment, DPE ADA, and the DPE Allotment. 

The State Compensatory Education LPE ADA is calculated at 16,309.325, with the LPE Allotment calculated 16,801,867.

Part 4 Interview with Director of Finance

Part 4: Interview

My superintendent was not available, so I had the opportunity to interview our District’s Director of Finance. What I learned from the visit is that The Summary of Finance Template is an extremely important tool when it comes to budgeting and planning. Our Director of Finance stated districts use the template as recommended by TEA who also uses it for planning and forecasting.  He was familiar with the development of the template and stated that other templates are available for preparing the district’s budget to ensure that the District’s Planning Estimate is in line with the Legislative Planning Estimate.  Due to the information that is placed into the template close monitored throughout the fiscal year is ongoing. He shared that even after a budget has been adopted because TEA is constantly changing the template and revising the revenue projections.

He shared a view of what the template looks like. He saw the look on my face and replied, “The template is very simple to use all a school district or whoever is designated to enter the information has to do is go into the Summary of Finance page on the TEA web-site and type in its district identification number and the information automatically feeds in directly from TEA.  It just that simple.

The next question’s response is direct and to the point.

      What are the superintendent’s roles and responsibilities in the budgeting process?

Director of Finance Response:

The district’s budget preparation and submittal to the board for approval is the sole responsibility of the superintendent. The board passes the budget based on the established goals and parameters that the district is trying to achieve. The superintendent communicates and collaborates with the both the Director of Finance and the Chief Business Officer.  The superintendent provides directions as to what will go into the budget for next fiscal year.  The Chief Business Officer will research to determine if the directions are reasonable.  Whatever the findings are from the research of the direction the superintendent brings it before the board of trustees.

 It is their budget and they have the ultimate say as to what does and doesn’t go into the budget.  The ultimate goal is to ensure that students are achieving academic success.

Part 5: Additional Stakeholder Input in the Budget Process

                        Part 5 – Additional Stakeholder Input in the Budgeting Process

Ø  Central Office Administrators and Staff: Is comprised of several individuals and departments.  The Superintendents executive cabinet consists of a: Deputy Superintendent for Elementary Education, Assistant Superintendent for Secondary Schools, Assistant Superintendent for Administrative Operations, Chief Financial Officer, Executive Director of Personnel, Executive Director of Research and Evaluations, Executive Director of Special Education, Executive Director of Performance Management/Technology. Other CO staff includes district content supervisors, and the Title I Director.  Based on the district goals established by the board of trustees, data and performance evaluations are provided by each group based on curriculum and instruction needs, salary, staffing, hiring, and facility and maintenance issues.  Additional information regarding personnel budgets, HQT’s staffing positions, special and federal program budgets, career and technology, student sub-groups, attendance, special population concerns.

Ø  Principals; first establish a shared vision that meets the needs of the district’s goals and objectives established by the board of trustees, able to request funding for specific goals, any programs, or materials needed to meet goals established in the Campus Improvement Plan.

Ø   Site Based Decision Making Committees or Campus Improvement Committees;

As outlined in the CI plan; Preview and compare curriculum and instructional needs from previous year to current year, Identify goals and objectives, review needs based on student assessment performances, identify activity strategies, costs/ funding sources, and responsible persons.

Ø  District Improvement Committee; Comprised of several district stakeholders, communicate and collaborate on funding sources, provided input into shared vision of district goals, and supports the goals established for the district and campuses.

Ø  Teacher Organizations: Mostly teacher concerns

Ø  Key Stakeholders: Parent and Business Partner concerns regarding needs for curriculum and instruction, Afterschool programs or tutorial program needs.

Ø  Board of Trustees: Ultimately concerned with establishing district goals and objectives, HQT’s; staffing and salaries, district needs for effective student performance and achievement, workshops on budget.

SUMMARY

                 It all begins with the Board of Trustees development of the district goals.  The Superintendent collaborative teams with board to ensure that the planning of district goals is well developed.   Since, the Superintendent is the major overseer in this process; one is be accountable for the state and local laws that regulate the budget.  As Superintendent, he/she must include the participation of all school community stakeholders in the budget process. They too, are accountable for the information gathered for the budget. Communication within school community relationships is necessary for growth of the shared vision and student success. Our superintendent who works closely with the district’s financial business officer to ensure that district information/data is entered in the templates.  As my superintenden