SAUGUS — The town has enlisted an independent auditing firm to look into the school department’s student activity accounts, including those at Saugus High School.
In a Dec. 28 letter from Town Manager Scott Crabtree to Superintendent Richard Langlois, which is also addressed to Finance Director Pola Andrews, Crabtree states the accounting firm Powers & Sullivan will be conducting the audit based on management letters from the 2011 and 2012 town audits.
Powers & Sullivan is the same firm used for the forensic audit from last year that uncovered $1.4 million in municipal finance violations.
The letter states that Treasurer/Collector Wendy Hatch will be the “point of contact” for the auditors and will be delegated “full responsibility for the oversight of the audit.” The letter states the audit was to begin last week.
“In order to facilitate the audit process, (Powers & Sullivan) have requested all relevant financial records be gathered and presented to Wendy Hatch as soon as possible,” Crabtree states in the letter.
According to the 2011 audit from Melanson Heath, the high school student activity accounts were listed as one of four “current year issues.”
The audit states: “High school student activity fund accounts were reconciled at June 30, 2011, however, there were old outstanding items that need to be addressed as well as variances that need to be adjusted as these accounts had not been reconciled in many years.”
The audit goes on to state: “In addition, we noted balances for old graduated classes dating back to 1989, scholarships and grants which are not appropriate student activities. Further, there were a few accounts that had deficit balances at June 30, 2011.”
The audit recommended that the accounts be reconciled monthly and that the decentralized student activity accounts be audited annually.
Town and school officials would not comment whether the audit has any connection to the extended absence of high school Principal Joseph Diorio.
Diorio left for Florida the week before Christmas break and failed to return to the school.
Selectmen Chairman Steve Castinetti said rumors surrounding Diorio’s absence are outrageous.
“I think the rumors right now are out of control and it’s a direct result of the lack of information coming from the School Department,” he said.
School Committee Chairman Wendy Reed said Monday that a statement regarding Diorio’s absence would be “coming soon” and said in the meantime Assistant Principal Jason Merrill is in charge.
In an email, Langlois said a statement will be issued on the matter, “probably mid-week.”
Matt Tempesta can be reached at [email protected].
