Financial Oversight DAC

Statement of Purpose (11/04/04)

I. Committee Composition

The Financial Oversight Committee (FOC) of the Santa Monica-Malibu Unified School District shall consist of 9 members, appointed by the Board of Education. Appointments will be for three-year terms, such terms to be staggered so that one-third of the members (3) will have terms that expire in any given calendar year.

The Committee will select a chair and vice-chair, who will each serve for a one-year term.

The District's Assistant Superintendent for Fiscal & Business Services will serve as the staff liaison to the FOC, and will be assisted by other District staff as needed. District consultants may be needed to assist in the work of the FOC, depending on data and/or issues being analyzed.

Prior members of the FOC may serve at the request of the Committee as emeritus members of the FOC at the expiration of their term. Such emeritus members are advisory, non-voting members.

II. Criteria for Selection of Committee Members

1. Broad perspective
2. Financial and/or management and/or legal expertise/experience
3. Residing, employed or working within the geographic boundaries of the Santa Monica-Malibu Unified School District
4. Business process orientation
5. Communicates clearly the information resulting from the FOC's work
6. Not currently serving as an elected official

In appointing members, the Board will attempt to have the composition of the FOC reflect the composition of the student population.

III. Application Process

The Board will seek applications to fill vacancies on the Committee on an annual basis. All applications received will be reviewed by the FOC, and recommendations regarding FOC members will be forwarded from the Committee to the Board. The Board appoints members to the Committee. Applications will be considered valid for a period of one year from the date of receipt, unless withdrawn by the applicant.

All applicants will be asked to provide their professional resume, together with the application form and any other information they may deem relevant. Application forms will be available at the switchboard of the District's administrative offices, 1651 16th Street in Santa Monica, and upon request from the Superintendent's Office.

IV. FOC Roles and Responsibilities

1. Assist the District in educating the general public concerning school finance issues.

2. Assist the District in creating reader friendly budget information.

3. Review any matters potentially having a significant impact on District finances before the Board of Education takes action.

4. Serve as the Measures S Resident Taxpayer Oversight Committee charged with reviewing the District's administration of and compliance with the terms of the Measure, including:

a) Ensuring that the revenues raised by Measure S are used for the following purposes:

I) To restore programs ands replace funds lost or reduced due to State budget cuts;

ii) To sustain achievement in reading, writing, and mathematics for all students at all grade levels and to fulfill the District's core curriculum which includes music, arts, and athletics; and,

iii) To protect the taxpayers' investment in education and ensure District accountability by providing for resident taxpayer oversight and independent annual audits of revenues and expenditures.

b) Overseeing the District's accounting for revenues raised by Measure S, including placing Measure S revenues in a separate account;

c) Consulting with the District in the preparation of an Annual Plan for Measure S expenditures for Board action;

d) Reviewing the District's annual report to the Board and the Financial Oversight Committee identifying the actual amount of Measure S funds collected and expended, and how these expenditures relate to the Annual Plan approved by the Board; and,

e) Reviewing the District's annual independent audit of Measure S revenues and expenditures.

5. Provide monitoring and oversight of the City of Santa Monica joint-use agreement with the District, as per the terms of that contractual agreement.

6. Provide monitoring and oversight of any City of Malibu contributions to the District.

7. Review the District's annual audit and accompanying management letters, and submit any comments or recommendations to the Board of Education.

8. Review the annual budget, enrollment projections, revenue and expenditure forecasts, and the District's capital program, and submit any recommendations to the Board of Education.

9. Serve as liaison to other District committees regarding financial implications of proposed program or policy changes at the direction of the Board.

V. Conflict of Interest

Financial Oversight Committee members shall sign the Conflict of Interest pledge.

VI. FOC Meetings and Procedures

The FOC will meet regularly during the school year. The annual schedule of meetings will be determined at the first meeting of each year. Additional meetings will be scheduled as needed. FOC meetings are subject to State open meeting laws, including timely agenda posting and participation by the public.

The FOC will annually report to the Board on Measure S and other oversight activities.

At the beginning of each fiscal year the FOC will consider and select several objectives related to its purpose, which will serve as the FOC's focus during that year, subject to concurrence by the Board of Education.

The FOC may, as needed, form subcommittees to provide an opportunity for in-depth review.

The FOC may adopt other rules and procedures to govern its operations, including by-laws, subject to review and approval by the Board of Education.