Barbara Jacoby

Cherokee County: Investing Wisely in its Future

BY BARBARA P. JACOBY

The Cherokee County School District, thanks to continued taxpayer support, invests wisely in the community’s future: our children.

While the district achieved many important financial management milestones in 2021, several long-term goals also were realized.

The district’s Office of Financial Management, which prepares all financial reports and the annual budget among many responsibilities, for the first time earned the Certificate of Achievement for Excellence in Financial Reporting from the Government Financial Officers Association for its 2020 Comprehensive Annual Financial Report. An optional higher level of accountability, this report defines the gold standard in financial reporting.

The certificate honors the highest level of governmental accounting and financial reporting, and its attainment represents a significant accomplishment by an organization. To earn this recognition, an organization must submit a report that passes muster with an impartial panel that judges for high standards including “demonstrating a constructive spirit of full disclosure to clearly communicate its financial story and motivate potential users and user groups to read the report.”

Additionally, due to fiscally conservative measures, the Cherokee County School Board learned it has the opportunity this spring to retire a bonds series from past borrowing for school construction and other capital outlay projects, more than 10 years ahead of schedule, avoiding $7.8 million in interest and further improving its fiscal position, which influences borrowing capacity and credit ratings. This accomplishment followed the news that, thanks to efficient budgeting, tax anticipation notices for short-term borrowing would not be needed to bridge the gap until property tax revenue arrives … avoiding additional interest.

The foundation that allows these achievements begins with the school board’s stewardship. The annual budget development process set by the school board’s policy is zero-based, with requirements for every central office division and each school to reevaluate expenses in drafting requests for the next year. This school year, that included accounting for $9.4 million in the state government’s so-called educational funding “austerity budget cuts,” but still resulted in a balanced budget without the need for a property tax millage rate increase … the 11th consecutive year that the school board has not raised taxes!

The district annually undergoes an external independent audit, performed by certified public accountants who visit district offices and randomly selected schools. Auditors thoroughly review all financial records to ensure full compliance with accounting principles and local, state and federal financial reporting requirements. This practice is above and beyond the state government’s requirements for school district audits. The district last year received its eighth consecutive “clean” audit, with no findings of any noncompliance.

Georgia’s Financial Efficiency Star Ratings measure school districts’ spending per student in relation to those students’ academic performance on the College and Career Ready Performance Index. Ratings range from a half-star to the highest rating of five stars. The district holds a rating of 4.5 stars, which is among the top 10% of school districts in Georgia.