LIVONIA
School officials spar on surplus
Controller claims purchases ate cash
May 5, 2007
BY ZACHARY GORCHOW
FREE PRESS STAFF WRITER
Livonia Public Schools' controller accused her superiors Friday of moving up bus purchases to eat up a budget surplus because they feared angering school board members who months earlier closed schools in part because of finances.
The accusation came four days before district voters are to elect three board members.
The district's superintendent rebutted the claim, saying the district has nothing to hide and made the purchase for financial, not political, reasons.
When the district closed the books on the 2005-06 fiscal year, it had a $3.8-million surplus instead of a $1.5-million deficit officials had predicted. Controller Margaret Flower said Lisa Levesque, director of business operations, told her she wanted to pay $1.8 million in cash for new buses in the 2005-06 fiscal year to reduce the size of the surplus and avoid a school board backlash. The buses initially were to be financed.
Flower said the superintendent interceded but agreed to the purchase of $800,000 in buses. Flower acknowledged coming forward in the political equivalent of the last minute with Tuesday's elections looming, to convince voters of the need for change on the board. The main issues in the race have been closing and reconfiguring schools. "I think there needs to be a culture change in there," Flower said.
Levesque could not be reached for comment.
Superintendent Randy Liepa denied having the conversation Flower alleges. He said the district purchased the buses with cash because it was a better long-term move than financing them. "This is all old news," he said. "This is all information that's been reviewed publicly before the board of education." Liepa said the existence of a $3.8-million surplus when a $1.5-million deficit had been expected is small considering the district's $160-million budget.
As for Flower's accusation against her superiors, Liepa said, "It's a disagreement between people in the department."
Contact ZACHARY GORCHOW at 313-223-4536 or zgorchow@freepress.com>