(Red Oak) A report on a special investigation of the Future Farmers of America Program within the Red Oak Community School District has been released.
King, Reinsch, Prosser & Co. performed the investigation into the financial transactions of the Red Oak Community School District FFA program for the period July 1, 2019 through April 30, 2021. The procedures identified $6,264 of undeposited collections and $146 of improper disbursement related to FFA events and activities.
Undeposited collection are comprised of $2,439 related to Toy Show fundraising events, $2,700 of District proceeds that were improperly deposited in the FFA Alumni Association accounts rather than those of the District, and $1,125 of cash provided to Mr. Spencer for FFA activities that was not deposited or accounted for by the District. Improper disbursements were comprised of a credit card charge which was not supported by a receipt or other corroborating documentation.
Alan Spencer is the High school Agriculture Instructor and one of the District’s FFA Sponsors. As the FFA Sponsor, Mr. Spencer was ultimately responsible for submitting purchase order requests on behalf of FFA members for appropriate FFA Expenditures as well as collecting, counting, and submitting cash and/or checks received for FFA fundraisers and events in accordance with District policies.
In April 2021, District officials became concerned about irregularities in cash handling, appropriate revenue and expenditure accounting and overall compliance with District policies by Mr. Spencer with regard to the District’s FFA program. After some meetings, and on the advice of the District’s legal counsel, Mr. Spencer was placed on administrative leave pending the outcome of an internal investigation.
Copies of the report have been filed with the Iowa Auditor of State and the Montgomery County Attorney’s Office.
A detailed copy of the report can be found here: https://www.auditor.iowa.gov/reports/file/66198/embed