Toltec Elementary School District

Toltec ESD’s fiscal year 2007 per-pupil administrative costs were higher than the state average but similar to the comparable districts’ average per-pupil costs. To help reduce risks of error and fraud, the District needs to improve its business practices, such as maintaining separate accounts for special revenues and adequately overseeing credit card usage, purchasing, and cash-handling procedures. To help prevent fraud or theft of property and personal information, the District needs to improve its controls over student information and access to its computer network. The District’s transportation costs per pupil were higher than the comparable districts’ average primarily because the District transports a greater percentage of its student population. Toltec contracted with a vendor to provide bus drivers and bus maintenance for the District’s buses, but exercised poor oversight over the contract. The District’s plant costs per student and per square foot were lower than the averages of comparable districts and other elementary districts, primarily due to lower salary and supply costs. In violation of A.R.S. §15-977, the District used over $130,000 of Proposition 301 monies to supplant other monies used for teacher compensation between fiscal years 2004 and 2007. The District also failed to maintain separate, detailed accounts for these monies and inappropriately paid Proposition 301 monies to two administrative employees. To be in compliance with the state English Language Learner’s Program, Toltec will need to provide more daily hours of English language development and separately account for the incremental costs associated with the program.