Watertown School Board Approves Annual Financial Report, Highlighting Strong Fund Balances

Northeast Radio SD News - Watertown, SD - The Watertown School Board officially approved the district's 2024-2025 fiscal year annual financial report. The report, which has already been submitted to and approved by the Department of Education, details the economic health of the district, including its significant operating funds.

Key Fund Balances Exceed Goals

A core element of the district’s financial strategic planning is a goal to maintain the operation of each fund at 15% or above at the fiscal year-end. The report confirmed that all significant operating funds met this criterion.

Key fund balances as of June 30th were reported as follows:

·        General Fund: $6.8  million, representing a 22.06% fund balance.

·        Capital Outlay Fund: Just over $5 million.

·        Special Education Fund: $2.9 million.

·        Lake Area Technical College (LATC) Fund: $6.3 million, or 17.18% fund balance.

The district was noted for the quality of its financial report, as not all districts in the state prepare their documents in the same comprehensive manner.

Scope of the Report

The annual report provides a briefing of each fund at the fiscal year-end, including balance sheets and profit/cost statements for enterprise funding. The document also includes information related to the fiscal year, such as the budget hearing presentation, negotiated agreement documents, and the adopted strategic plan.

Beyond its significant and enterprise funds, the district oversees an additional $29 million in custodial and internal service funds, including self-funded insurance and Lake Area Technical College (LATC) financial aid.

The document serves as a recap of the previous year's financial activities, provides insight into anticipations for the 2026 fiscal year, and offers general information to aid district decision-making.

An audit for the district’s finances is scheduled to begin the following week.