Poor choices led to VSB budget shortfall: report

The Vancouver School Board has been slammed for poor financial planning and a lack of long-term planning by a government advisor called in to examine the board's budget woes.

The Ministry of Education brought in provincial comptroller general Cheryl Wenezenki-Yolland to take a look at the board's books after it claimed a $16.32-million budget shortfall for the current school year.

To address the lack of funds, the board proposed drastic cuts to programs, and about 161 full-time equivalent positions are on the line.

But in her report, Wenezenki-Yolland writes that the shortfall should be closer to $11.79 million, and that the board's present situation is "the result of choices made by the current and previous Board of Trustees."

For a full pdf copy of the report, click here.

In particular, she says that the board is responsible for $8 million in extra pressure on the budget every year because it chose to offer unfunded programs, fund ongoing expenses using one-time funding sources and subsidize community groups with artificially low rents.

Wenezenki-Yolland says that the board overspent by $3.24 million by providing unfunded programs like full-day kindergarten, junior kindergarten and transportation for students who didn't meet funding criteria.

The VSB also missed out on $1.5 million in revenue annually by providing low rental rates for facility rentals and childcare programs.

Much of the board's current predicament is because of poor planning by trustees, Wenezenki-Yolland says.

The current board, "has not demonstrated they have the management capacity to effectively govern the Vancouver School Board or fulfill all of their accountabilities and duties."

Wenezenki-Yolland said that board members did not take advantage of training opportunities often enough, and become so involved with day-to-day operation that they neglect their roles providing oversight and creating strategic plans.

She said that the VSB's "current financial circumstances could have been avoided had the board appropriately managed the resources it had in delivering its educational program."

She also identified a potential conflict of interest between one trustee's business interests and his or her role on the school board. That trustee is not identified in the report.

Education Minister Margaret MacDiarmid told reporters that she had received Wenezenki-Yolland's report last night and was, "gravely concerned about her findings."

MacDiarmid said that she had scheduled a meeting with the VSB to discuss some of the recommendations in the report.