The annual audit is complete and the Levittown School District was declared to be in "very good shape."

Miller, Lilly & Pearce LLP handled the auditing duties and its report went even further by stating "we have never seen the Levittown District in better financial condition." For the period ending June 30, the school district received $1.6 million in federal aid. All but $300,000 was earmarked for academic programs. The remaining funds were spent on surplus food and free and reduced fee meals. A representative from the auditing firm applauded the school district for being in top shape, even though its state funding is considerably less than it was years ago.

The auditing firm did make one recommendation to the board of education: It should have a policy regarding collateralization, or money that goes beyond Federal Deposit Insurance Corporation protection. Although the audit was favorable, the board tabled a vote to accept the finalized audit report until Oct. 23. This is because research is needed to determine why revenue figures at the two high schools' school stores varied greatly.

In a related topic, School Superintendent Dr. Herman Sirois said a bill that would increase recommended district fund balances from 2 to 4 percent is on Governor George Pataki's desk and is expected to be signed. A fund balance is the surplus money in the budget that is used in case of emergency and it helps to maintain positive bond ratings if a school district wants to borrow money for capital projects. If the bill is passed, Dr. Sirois recommended that the board heavily consider changing budget guidelines regarding the fund balance. "Our margin of error will be higher," he said during the Oct. 9 board of education meeting.

Board member John Garvey responded that the fund balance is vital, but the board must also consider taxes may have to be increased.

The board unanimously approved amended tax exemptions for senior citizens, persons with disabilities and limited income meeting financial requirements. The percentage of discount is on a sliding scale based on income. For example, a senior citizen or person with a disability or limited income who earns less than $21,500 a year would receive a 50 percent school tax exemption. An income of between $29,000 and $29,900 would gain a 5 percent discount. Incomes above $29,900 would not receive an exemption.

During the public comment portion of the meeting, resident Andy Booth expressed concern about a need for more space to meet rising enrollment figures.

"The population of pupils exceeds the space," he said.

"There is sufficient room this year," said Garvey. "East Broadway may not be good enough next year."

"We're reviewing information about space and utilization," Dr. Sirois said. "We'll do whatever we can to get the space."

At the beginning of the meeting, the board hosted a ceremony to honor the 143 new staff members in the district.

"I hope you will be staying and retiring here in another 35 or 40 years," said Sirois. "You are the future. And of what I've seen so far, it's a very good future."