ADELE RYCROFT/Stuff
Ross Intermediate School’s financial position has been scrutinised by the Auditor-General.
The Ministry of Education had to provide a letter of support pledging financial assistance for a Palmerston North school.
The Auditor-General annual report on audits of schools’ 2022 accounts was released before Christmas and two Palmerston North schools were mentioned.
Ross Intermediate School was one of the schools that needed a letter of support from the ministry to confirm it was a going concern.
Palmerston North Boys’ High School was also scrutinised for its purchase of gift cards to give to staff and parents for volunteer work.
Ross Intermediate’s most recent financial statements said the school made a $76,901 loss for 2022, compared with a $158 surplus the previous year. It made a $150,131 surplus in 2020.
The ministry’s Central deputy secretary Jocelyn Mikaere said the auditor requested a letter of going concern support, which was standard procedure when a school’s working capital position was in a significant deficit position.
“Confirmation is provided to the auditor that the ministry will continue to provide operational funding and staffing to the school.
“During 2023 the ministry has met with the acting principals several times to discuss the school’s financial position and offer assistance as needed.
“The school has focused on making significant savings where possible to improve the financial position during 2023.”
Mikaere said this was shown in the school’s October financial management information.
“This year the school has experienced a year-to-date operating surplus and a significant improvement in the working capital position.
“The school has also addressed its identified staffing challenges and continued improvement is expected in 2024.”
The staffing issues were as a result of the school’s roll dropping by about 130 children from 2020 to 2022.
This resulted in a reduction of staffing entitlement, but the school chose to retain its staffing level above its entitlement, which resulted in a negative financial situation for the school, Mikaere said.
Recent roll data showed about 500 children were enrolled in 2023.
The school did not respond to a request for comment.
David Unwin/Stuff
Palmerston North Boys’ High School purchasing of gift cards for volunteers was mentioned in the Auditor-General’s report.
Meanwhile, Palmerston North Boys’ High School was mentioned in the Auditor-General’s report in the section on sensitive expenditure.
The report drew attention to the school purchasing $31,201 of gift cards for school staff and parents for coaching volunteer work and other sports contributions.
“The school did not keep adequate records to justify the spending on gift cards, the spending was not consistent with the school’s gift policy and there was no evidence of board approval for the purchase of the gift cards,” the report said.
“There were also no details of the recipients for most of the gift cards given out.
“All school spending should be for a justifiable business purpose, be made in keeping with the board’s policy and be adequately documented.”
Boys’ High rector David Bovey declined to comment.
