Creighton Elementary School District

Creighton ESD has several underperforming schools and faces the challenges of declining enrollment and high percentages of at-risk student populations. To operate more efficiently, the District needs to reduce spending in, and improve oversight of, certain noninstructional areas. The District’s administrative costs were 22 percent higher than comparable districts’, primarily because of high staffing levels, higher salaries, and paying the health insurance premiums for full-time employees and for certain administrators’ dependents. Further, the District was exposed to an increased risk of errors and fraud because it failed to maintain adequate controls over its payroll processing and did not properly limit access to its accounting system and network. The District subsidized its transportation program by $658,000. High staffing levels, including redundant staffing of bus aides, high overtime costs, and a possible theft of fuel, contributed to high costs. In addition, the transportation program did not meet state standards regarding student safety procedures or preventative maintenance. Although the District spent a lower percentage of its operating dollars in the classroom, it spent a similar amount to the comparable districts’ average because it had more resources available.