Office of Finance Updates & Strategies for Success

1. Office of Finance Updates & Strategies for Success Office of Finance Gerald Pace, Esq., Chief Financial Officer August 14, 2014

2. The Office of Finance ensures the financial stability and fiscal integrity of MPS. • safeguards and acts as the steward of the District’s assets; • ensures that the organization has a system of adequate financial internal controls; • ensures organizational compliance with various legal and statutory requirements; • provides reliable and relevant financial and budgetary information to all District and community stakeholders to form the basis of sound fiscal and operational decisions and to build community support; • performs accounting tasks including school accounting, accounts payable and receivable, payroll, banking, cash and debt management, trust accounting, fixed asset reporting, procurement, risk management, grant financial management and general ledger maintenance; and • advises the Superintendent on financial matters, compliance, efficiencies, investments and strategy.

4. The FY14 priorities for the Office of Finance include: • full implementation of position control processes in collaboration with the Office of Human Capital Services; • further implementation of standard of care for school budgeting; • implementation of payroll debit cards and eliminating the mailing of payroll advices; • planning for implementation of new Time, Labor & Absence System; • implementation of improved Safety and Workers Compensation programs to reduce frequency and severity of claims, including on-site inspections, investigations of industrial accidents and improved claims management; and • full implementation of centralized procurement and online Request for Proposals processes.

5. PRINCIPLES OF FINANCIAL MANAGEMENT • Annual budgets delineate the resources necessary to: • achieve goals • measure financial performance, and • provide a realistic view of the projected cost of operations • Schools operate within budget and eliminate projected deficits

6. PRINCIPLES OF FINANCIAL MANAGEMENT • Financial consequences are evaluated before existing activities are changed or eliminated and new activities begin • Significant budget variances are accounted for, evaluated, and addressed • Expenditures comply with district policies, rules, and regulations

7. PROCUREMENT PRACTICES Numbers to Remember for Contracting Dates to Remember of Contracting Do’s and Don’ts of Contracting

8. PRINCIPLES OF FINANCIAL MANAGEMENT • Significant transaction errors and changes in business conditions are properly addressed. • Anticipated benefits are greater than or equal to costs. • District resources are used as intended.

9. CASH HANDLING PRACTICES School bookkeeper services starting in October Locked safe bolted to the floor Review monthly CASH System reports

10. SCHOOL BOOKKEEPING SERVICES • Bookkeepers will prepare deposits for Armored Car, enter receipts, disbursements into CASH system, reconcile bank reconciliations; prepare balance sheets, trial balances, distribute Query reports to advisors. monitor fixed assets, assist with purchase orders • Secretaries will continue to do payroll, receive and verify cash and checks

11. ACCOUNTING IS NOT ABOUT MATH Assets, liabilities, income and expenses “Meat and potatoes” of true accounting is research and storytelling It’s analytics, not algebra

12. PLANNING & BUDGET ACTIVITIES • Enrollment drives resources • Know and understand all the funding streams and resources available including Board and grant funding • Be aware of requirements and restrictions related to the expenditure of grant funds

13. PLANNING & BUDGET ACTIVITIES • Monitor and plan expenses in relation to the budget as an ongoing process throughout the year • Understand and use available electronic financial reports including: • BCRB (Budget Control Remaining Balance) • LES (General Ledger Analysis – Summary) • Line Item Budgets • Establish a monthly routine of budget and expenditure review

14. BUDGET PRACTICES Ensure staff are assigned to the correct budget code and all staff are accounted for Correct expenditures charged to the wrong account code  Contact your assigned Budget Analyst for problem solving assistance

15. CUSTOMER SERVICE YOU CAN COUNT ON The Office of Finance takes PRIDE in our work… • Professional – Staff will listen with empathy, collaborate as a team, provide options for resolutions, be accountable and act with integrity, project a professional image in attitude, appearance, attendance, and punctuality • Responsive – Staff will listen, clarify or investigate further, understand the issues, handle exigent/critical circumstances immediately, meet customer needs in an appropriate timeframe and keep customers aware of status of requests

16. CUSTOMER SERVICE YOU CAN COUNT ON The Office of Finance takes PRIDE in our work… • Initiative – Staff will look for innovative solutions or workable compromises, recognize and apply best practices, manage risk • Dignity – Staff will treat every one with dignity regardless of the circumstances, recognize and value diversity • Excellence – Staff will communicate verbally and in writing in a clear, concise, and logical manner, produce high quality work

17. ENROLLMENT…ENROLLMENT…ENROLLMENT… POLICIES AND PROCEDURES TOOLS, RESOURCES & PROFESSIONAL DEVELOPMENT CUSTOMER SERVICE YOU CAN COUNT ON Q & A

18. Office of Finance Updates & Strategies for Success MPS Board of School Directors Michael Bonds, Ph.D., President, District 3Meagan Holman, Vice President, District 8 Mark Sain, District 1 Jeff Spence, District 2 Annie Woodward, District 4 Larry Miller, District 5 Tatiana Joseph, Ph.D., District 6 Claire Zautke, District 7 Terrence Falk, At-Large Senior Team Gregory E. Thornton, Ed.D., Superintendent Naomi Gubernick, Chief of Staff Darienne Driver, Chief Innovation Officer Tina Flood, Chief Academic Officer Karen Jackson, Ph.D., Chief Human Capital Services Officer Michelle Nate, Chief Operations Officer Gerald Pace, Esq., Chief Financial Officer Keith Posley, Ed.D., Chief School Administration Officer Denise Callaway,Executive Director, Community Engagement Patricia Gill, Executive Director, Family Services Sue Saller, Executive Coordinator, Superintendent’s Initiatives