L-C School Board receives 2002-03 district audit report By Kevin Boneske For The News-Chronicle Luxemburg-Casco's audit report for 2002-03 has concluded the district doesn't have any "material weaknesses" in its financial practices and is complying with related laws, regulations, contracts and grants which "have a material effect on the district's basic financial statements." The L-C School Board on Monday night heard from LeRoy Matuszak of Schenck Business Solutions. His report covered the Certified Public Accountants' findings for the last school year at LC, through June 30. The report's financial highlights are as follows: - The district's assets exceeded its liabilities as of June 30 by $14,686,838 (net assets). - The district's total net assets increased by $762,758. - The property tax rate fell 9.3 percent per $1,000 of property value for the year ended June 30. - As of June 30, the district's governmental funds reported combined ending fund balances of $2,404,438, a decrease of $1,152,225, compared to the previous year. - The district's total general-obligation debt decreased by $890,000 (14 percent) during 2003. The key factor in this decrease was the early defeasance of $470,000. The main reason for the drop in the district's fund balance was because the board decided in January to spend more than $1.1 million to pay off the district's prior service liability in the state's retirement fund. While the district had made annual payments at around $75,000 to $80,000, Matuszak noted the district's annual interest had been exceeding the payment at the fund's interest rate of 8 percent.