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Hammond School Board seeking proposals for forensic audit

A graph presented to the Hammond School Board on May 21 shows the impact of school closures and staffing cuts on the district's cash reserves.
School City of Hammond May 21 financial report
A graph presented to the Hammond School Board on May 21 shows the impact of school closures and staffing cuts on the district's cash reserves.

The Hammond School Board wants a forensic audit of the district's finances. The school board last week agreed to issue a request for proposals.

The state's regular audits haven't found any problems, but board member Carlotta Blake-King wants to dig deeper. "In lieu of all of this deficit and nobody seems to want to be held accountable, I think it is time for the sake of our taxpayers, if we want their trust back," Blake-King said.

But Superintendent Scott Miller warned that it could be expensive for a school district that's already struggling financially. "The bill we get for the current audit is close to like $100,000, already," Miller noted. "So, like, if we're talking something were they're going to go through multiple years and all that — like, I mean, it really could be a million dollars."

Many community members said that they aren't willing to support another referendum, but a forensic audit is a necessary first step toward rebuilding trust.

Still, Miller dismissed concerns that federal COVID funds somehow weren't used properly. He noted that close to 100 positions were being funded with ESSER money, including custodians.

"It's not being deceptive at all," Miller said. "It's a wise thing to do. When you have a tight cash balance, if we can fund it with federal money, let's do that, knowing it's going to end, but that's the wise thing to do."

Meanwhile, concerns remain about School City of Hammond's finances. The district's monthly financial report projects that school closures and staffing cuts mean it'll run out of cash in its key funds in 2026, rather than 2024. And even that depends on enrollment and other factors.

Michaela Spangenberg with the Gary Education Coalition said she's troubled by how little time the closures buy. "And so then the question becomes, what's going to happen next, given that, apparently, even best-case scenario, you've bought yourself a year. What happens next?" Spangenberg asked.

But school leaders continue to disagree on how to save money.

One example from last week's school board meeting was a sign for Hammond Central High School. Superintendent Miller said financial challenges prevented the school from getting a $100,000 video board as originally planned, but the scrolling marquee from the former Clark High School could be re-purposed for about $3,800.

But Blake-King said she couldn't accept a re-used sign. "Why would we want somebody else's?" Blake-King asked. "I mean, maybe the port authority, maybe someone in Robertsdale want that piece as a memento for Clark. Why fix it up and give it to us, at Central? I think it's an insult to Clark, myself."

She urged Miller to seek donations for a new sign, instead.

Michael Gallenberger is a news reporter and producer that hosts All Things Considered on 89.1 FM | Lakeshore Public Media.