Beaver Creek Elementary School District compares favorably to its peer districts in operational efficiencies, but not as well in student achievement, with AIMS test scores that were below both peer district and state averages. The District operates very efficiently with its administrative, plant operations, food service, and student transportation costs all lower than peer districts'. The District's administrative costs were 27 percent lower than peer districts' because it employed fewer administrative staff. The superintendent managed nearly all administrative activities, including being the school principal and performing many business office activities. The District's plant operations costs were 20 percent lower per student because it performed nearly all maintenance and repairs in-house, used well water instead of a public utility for its water needs, and obtained low-cost Internet access and data communications through a wireless provider. Beaver Creek ESD's food service costs were 15 percent lower than peer districts' primarily because of lower staffing levels, and its transportation costs were slightly lower because it operated efficient routes and had low repair and maintenance costs. However, the District needs to address inadequate controls over its payroll processing and accounting system to help decrease the risk of errors, fraud, and misuse of sensitive information. Two employees had access to accounting system functions beyond what their job duties require, and the log-in credentials of four terminated employees were not removed. The District also needs to improve password controls to its accounting system by requiring user-defined passwords and periodic password changes.