The Patchogue-Medford Union Free School District must be careful about dipping too deeply into its fund balance reserves in future budgets, says a recent report from the state comptroller's office.
The report, prepared by Deputy Comptroller Steven J. Hancox, states that the district’s approximately $160-million tentative 2011-12 budget is funded in part by about $6.7 million in fund balance reserves.
That would leave about $2.7 in the district’s fund balance, the report states.
The use of $6.7 million from the fund balance is “reasonable” due to economic conditions and planned cuts in state aid, the report states.
But it also states that “district officials must be aware that fund balance will eventually be depleted and a new revenue source will need to be identified to fund operating expenditures.”
The report was completed March 28. Attempts to reach the Patchogue-Medford district’s assistant superintendent for business, Donna Jones, Monday were not successful.