But the campaign has fallen far short of its original goal to raise $6 million and instead has been operating in the red in the past several years, board members learned during a heated meeting Monday.Mt. Lebanon residents have been questioning Jan Klein's creative financing for years. Nick Meduho has been following up by questioning:
Please explain the following…
Item below is from the website that was posted on Wednesday:
Item below is from a right to know that I received on Tuesday:
Fiscal year ending 6/30/2015 disbursements went from ZERO on Tuesday to $3790.00 on Wednesday.
Fiscal year ending 6/30/2017 disbursements went from $112,081.42 on Tuesday to $132,331.42 on Wednesday.
How can you go from one set of numbers to another in less than 1 day and why is wrong information being given to the taxpayers who are funding this thing?
Is it ok to change these numbers years after an audit?
So what are the correct numbers?
“Oh what a tangled web we weave”
Item below is from the website that was posted on Wednesday:
Item below is from a right to know that I received on Tuesday:
Fiscal year ending 6/30/2014 fundraising expenditures went from $234,969.57 on Tuesday to $233,569.57 on Wednesday.
Fiscal year ending 6/30/2015 fundraising expenditures went from $159,552.14 on Tuesday to $155,202.14 on Wednesday.
Fiscal year ending 6/30/2016 fundraising expenditures went from $131,241.32 on Tuesday to $130,121.32 on Wednesday.
Fiscal year ending 6/30/2017 fundraising expenditures went from $181,032.97 on Tuesday to $159,102.97 on Wednesday.
How can this be????? How can numbers change so much in 1 day? Again, what are the true numbers?
Are you folks teaching creative financing at the high school?
Thank you,
Nicholas Meduho
Mt. Lebanon, PA
29 comments:
Mr. Meduho how dare you question Ms. Klein's bookkeeping. She is a highly paid award winner doncha' know.
Strotmeyer is the new guy on the Board. He deserves a lot of credit for shedding light on this fiasco.
Janice Crompton - other than Elaine, the closest thing to a journalist covering Mt. Lebanon.
https://www.fbi.gov/about/faqs/does-the-fbi-investigate-graft-and-corruption-in-local-government-and-in-state-and-local-police-departments
A little bit off topic but here's another scheme the district has pulled over on us.
The recovery of the practice field used in the high school renovation isn't part of the construction contract so by all rights any work done to recover the practice field should be considered part of the renovation cost!
So shouldn't a $1 or $2 million turfing of the practice field be part of the renovation budget??? That money would probably put us over the cap that would've forced a referendum on the HS project.
Dr. Steinhauer made sure recovery of the church parking lot was covered in the renovation didn't he so why not the practice field that was destroyed by its use in the reconstruction.
Our state rep and senator should be calling in the state auditor since the district wants more money from Harrisburg that it doesn't have.
Included in the PG's reporting the Fundraier board discussion.
"The board also heard from coaches, parents and members of the high school marching band about the future of what is called the “rock pile,” a large grassy area that had been used as a practice field before renovations at the high school.
Since construction was completed this year, about 12,234 cubic yards of fill were added to the field, raising the height by 6 feet 3 inches. It hasn’t been used in several years.
The board will soon begin discussing future options for the site, including returning it to a practice field by adding topsoil and reseeding or perhaps installing an artificial surface and making the field regulation size for football or soccer.
“We need to look at this as an opportunity to make it a full-size space,” said member Lawrence Lebowitz, citing the need for additional playing fields in the district."
Mr. Lebowitz please tell us why this desperate need for additional playing fields when the board took the Rock Pile practice field out of service for nearly five years and saw no reason to set up its immediate recovery upon completion of the high school renovation.
Are you trying to pull the wool over our eyes Larry?
Mr. Lebowitz the district downsized the high school because of falling enrollments but you claim there is a need for more playing fields. That's odd since the municipality just spent over a million dollars creating an all weather crown jewel of a field that it shares with the school district.
Aren't you over inflating the need just a bit? Our grass fields served a student population double the current one for decades. Besides that you and your fellow board members consistently whine that you don't have enough money from local property taxes and from Harrisburg to sustain our fine academic programs. Evidence by the creation of the money-losing fundraising campaign.
Perhaps the board needs to rein in spending instead of creating Taj Mahal sports facilities.
It's been reported on this Blog that Ms. Klein says that the "General Fund loan to Capital Campaign for start up $923,530.02" is not a loan but an "investment." Then I read the following from Janice Crompton in the Post-Gazette: "Jan Klein, district business director, told the board that the campaign began with $923,000 in startup money from the district that is to be paid back." Excuse me, but when one gives money to someone or something with the expectation that it will be paid back, the proper word for that transaction is LOAN.
This double-talk illustrates what is wrong with the MLSD. However, the District has not quite got the hang of it. Therefore, I suggest the Board bring in Dr. Robert Payne (a.k.a., Durwood Fincher) to "show 'em how it's done!"
Vote Strotmeyer!
Thanks Mr. Gideon, found that Dr. Payne video very amusing.
Especially his last line "now what."
That seems to be a perfect summation of the board's discussion of the Capital Campaign.
With the current crop of actors it is a safe bet we'll now get more of the same except with monthly spread sheets that will need close examination.
3:41, at the very least don't vote for Birks, Cappucci, Caste or Remely!
The thing everyone should be looking at is what the bottom line is for the fundraiser.
Without the $923,000 loan/investment from Jan Klein the fundraiser LOST money!
It didn't raise a single dime because the donations didn't even cover the overhead!
Sounds like the Denis Theater. That fundraising has been going on for 10 or so years and no movies yet. Sorry, off topic. I just couldn't help myself.
That criticism directed at the district about the district's use of the crown jewel is interesting.
I wonder when we'll get an accounting by the sports cabal to fund a lot of the crown jewel's turf replacement when the time comes.
More inaccuracies from the usual sources—
From a 2016 Lebomag article: "SCHOOL NEWS FEBRUARY 25, 2016
School District Capital Campaign Progresses Written by Merle Jantz"
"Last year, the district launched the Century of Excellence Capital Campaign, a private funding initiative to bridge the gap between the balance sheet and the wish list. The campaign’s goal is to raise $3 million for things that would enhance the quality of education but fall outside of the budget, and another $3 million to establish a sustainable endowment."
Excuse me but the fundraiser started in 2012, look at the latest financial statement.
There's more false information:
"Last year the campaign disbursed its first $100,000, which went toward items in fine arts and technology education, including wiring band and orchestra spaces for recording, a mill that returns clay to its original condition for reuse, a three-dimensional printer and a laser engraver."
Wrong Lebomag as usual. According to the last set of continually revised financial info they disbursed only $3,790 in fiscal year 2015. In fiscal year they disbursed $50,000. Only in fiscal year ending in 2016 did they disburse anything approaching $100,000 when they released $102,709.31.
We pay these public servants very generous salaries and benefits, is it too much to ask that they at least give us accurate numbers. It shouldn't be very hard.
Correction @ 10:02. In fiscal year 2014 they disbursed $50,000.
(A little tough to do if the fundraiser only started in 2015 as you reported Lebomag!)
We are paying "award winning" Jan Klein to augment financial data to yield previously nonexistent earnings a.k.a. "cooking the books."
Every month, she reports that "expenses are typical for this time of year." She typically cooks the books. Sometime, even overnight!
I remember going to the now defunct Audit and Finance Committee meetings which were open to the public. I even recorded those meetings with the podcasts on my still available on my website, Lebocitizens.com and Jan would only have enough handouts for the committee. She would mumble away from the microphone, only loud enough for the committee members to hear.
And then there is THIS pic. It is OUR property.
Jan has been doing this for years. I wish someone would stop her.
Elaine
Its really, really important to understand that the Campaign LOST MONEY NET OF ITS EXPENSES. "Disbursements from the Campaign" were made possible by an interest-free loan to the Campaign of nearly one million dollars from the taxpayer-funded General Operating Fund of the District. The Campaign will almost certainly default on this loan. The Campaign actually drained resources from the District and its students. The residents should hold the people involved accountable at the polls.
Exactly 10:53.
Elaine you'll remember then the conversation in one of the Audit & Finance meetings when Klein was asked if the HS renovation would impact the district's ability to raise taxes in the future.
Her response was "there are always exemptions and exclusions."
Little did we know then what her exemptions and exclusions would be.
Does no one see the irony in this "Century of Excellence Campaign."
Read to following from the district and then think about what it is telling you and then ask WHY? Ask WHAT CHANGED?
"The Mt. Lebanon School District is taking action to plan for the current and future revenue needs of our schools with the Century of Excellence Campaign. The goal is to provide a sustainable future for the District so that we can continue to meet the high standards of educational excellence that Mt. Lebanon is known for, our students require for future success, and the community expects.
Raising private money to support public education is the new reality of future school funding for those communities, such as Mt. Lebanon, that want to maintain exceptional schools that develop well-rounded students."
They called the fundraiser "Century of Excellence Campaign" for good reason. For 100 years Mt. Lebanon taxpayers have funded one of Pennsylvania's premier school districts and they did it primarily through taxes. Students longed for nothing and the results showed.
So what has changed that now it seems our administrators and directors can't do what their predecessors did for 100 years. Manage the district's finances and provide a stellar education to our kids without begging for money.
It can't be because suddenly residents have become stingy with their cash. Our property taxes are still high, as is is our earned income and it's tax. It also can't be because we don't support the Blue Devil and Band Parent Clubs. How many times do you get hit up for raffle tickets, hoagie and candy sales, gift wrapping, mattress sales and so on? All do very well don't they?
So ask yourself this question, what is different now from those last hundred years.
I think maybe the answer can be found in the running of the Century of Excellence Campaign itself.
They first sought $30 million, then back pedaled to $15 million and finally settled on $6 million. To which Superintendent Steinhauer now claims may have been too far a reach.
Even at they bottom LOST money, not made it.
Maybe it's time to take a close look at the people in charge now versus those that ran things for the previous hundred years.
Did we ever in those 100 years kick out a super with a $500,000 buyout? Did we ever grant one 6% raises and $20,000 bonuses?
In 100 years did we ever pay anyone running any kind of school district fundraiser $80,000/year with benefits or have a communication manager make that kind of money. The administrators handled press releases and communications and the school successes spoke for themselves.
Did the super ever have monthly pizza lunches with the kids?
A *reset* anywhere else would be like filing Chapter 11 bankruptcy.
This chapter of the Bankruptcy Code generally provides for reorganization, usually involving a corporation or partnership. A chapter 11 debtor usually proposes a plan of reorganization to keep its business alive and pay creditors over time. People in business or individuals can also seek relief in chapter 11.
The idea of a reset just infuriates me. Who gets a do-over in business? And with our tax dollars?
Elaine
As of now they can't do a reset or even reorganize. They don't have the people in place who understand or have the working knowledge of how to raise money. Sloane Astorino was hired to oversee this endeavor at $85,000 per year plus benefits, but from what I see, she has very little to no understanding of running a successful campaign. What should be infuriating is that when she spoke on Monday, all she talked about was how some of the money was being spent and something about selling Popsicle sticks and none of the board members held her responsible by asking her directly, what specific plans do you have in place right now to raise additional donations to turn this thing around? I'm sorry but she needs to be put on the spot and held responsible because the bleeding must stop otherwise the taxpayer loan will soon be at ZERO...and then what?
Nick M.
The school board in this town is a caricature. It is inept, corrupt and incapable of performing its function without a veil of secrecy.
I have often wondered what it is they're protecting and why they go to such lengths to obfuscate. Go to a public meeting, ask a pointed and legitimate question like, "Where did the money go?", and you get some vague non-answer in return. File a request to get public (which by law they have to provide) information, and you get stonewalled. Try to run for office, and the board undertakes a vicious and pathetic smear campaign against you.
You would think a district that touts itself as such a prime destination for public education would be operating openly and readily distributing information to showcase their oh-so-elite and professional accomplishments. Instead, these people have spent the last 8 years doing the opposite and hiding as much as possible, doing their utmost to shut out the public and spending money with abandon.
The only conclusion one can reach is, this isn't about power or ego. If that were the case, they wouldnt care if one or two outsiders (read--responsible taxpayers) ended up being elected. They would still be shut down. No, the only reasonable conclusion, based on this pattern of behavior is, the school board is hiding something and something big. They project an image of working from a position of strength but in reality, they're scared. Scared enough to try to destroy people who simply want a change in direction. Scared enough to try to portray critics as crazy or conspiracy theorists. People who have nothing to hide aren't this guarded or sneaky. People doing the right thing have an open door, not a locked one.
Odd how once the information about this disastrous capital campaign saw the light of day, a bunch of heavy hitters turned out for a board meeting. Strange how numbers changed online and don't match the original documents. Disgusting how they want to change "loan"(which it is) to "investment", knowing that a loan means the campaign has actually lost money and they would have to admit failure, in addition to having to explain to the donors why their money went down the drain..Wonder if that puts the chair and co-chair in a position of personal liability? And would further enhancements to the school that were going to be covered by donatioms fall under the construction plan? Hmm?
I dont know. Something is wrong with this whole thing. They already got the palatial campus they wanted so why keep the defenses up? What, or who, are they protecting? Sure woulf be nice if the media would cover this but I guess they have more important stories to explore like the best new bars or Pitt games.
8:16, follow the money.
Who profited the most? Why?
Then look to see where the first and biggest disbursements went.
Laughable from the PG reporting on the fundraiser: "“I know it’s been a rough start, but the future is hopeful,” board member William Cooper said. “We all need to get behind it.”
Why do we all need to get behind it, Mr. Cooper? It lost money and hate to break it to you but taxpayers can't afford to lose more. Especially since Harrisburg is going to raise taxes for thing like teachers' pensions.
Does anyone find it curious that the names of the most vocal residents pushing for turfed fields are absent from the fundraising donors list?
You'd think all those businesses down by the crown jewel that saw the boom in Gatorade and snacks would be able to pitch in just a little, right commissioner?
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