Oxford Public School District

This is a Massachusetts State Auditor report on Oxford Public School District’s use of certain federal stimulus education funds during part of 2010 and 2011.

“In accordance with Chapter 11, Section 12, of the General Laws, we have conducted an audit of certain activities of OPSD for the period August 10, 2010 1 through June 30, 2011.”

Auditors wanted to see whether the district spent Race to the Top and Education Jobs stimulus funds for the right purposes and followed accounting and reporting rules.

“The objectives of our audit were to determine whether ARRA funds awarded to OPSD for RTT and Education Jobs programs were used for their intended purposes and in compliance with program requirements, and to evaluate whether OPSD was complying with ARRA accounting and reporting requirements.”

The report matters because public money needs safeguards against mistakes, misuse, theft, or loss, especially when federal funds come with specific rules.

“Agencies charged with administering ARRA programs have a responsibility to establish an adequate system of internal controls that will provide reasonable assurance of compliance with applicable laws and regulations and will ensure that funds are safeguarded from loss, theft, and misuse.”

For residents, this audit is about whether school-related federal stimulus money was tracked properly and protected, and whether the district avoided holding money before it was actually needed.

“Cash management practices to ensure that OPSD limited the time between its request for and use of federal stimulus funds.”

The biggest problems were not that auditors found improper spending, but that the district lacked ARRA-specific controls and had some Race to the Top money sitting unused for months.

“As a result, OPSD received some ARRA funding significantly in advance of its needs, which is contrary to federal guidelines.”

The auditor recommended that the district create ARRA-specific controls, return excess federal funds when it has more than it immediately needs, and adjust budgets when planned spending changes.

“OPSD should develop internal controls and risk assessments specific to ARRA as a way to address the objectives and risks of handling ARRA funds.”

The finding is significant because the district was awarded $459,249 in ARRA program funds, and the audit focused on whether that money was controlled, reported, and used properly.

“MRRO reported that the Town of Oxford was awarded $459,249 to fund these ARRA programs operated by OPSD.”

ARRA means the federal stimulus law; RTT means Race to the Top; DESE is the Massachusetts education department; excess cash position means the district had federal money on hand before it needed to spend it.

“OPSD received American Recovery and Reinvestment Act of 2009 (ARRA) grants from the Massachusetts Department of Elementary and Secondary Education (DESE) under the Race to the Top (RTT) and Education Jobs programs.”