The El Dorado Public Schools has been notified of an IRS Audit to be conducted early in September of this school year for 2012 district payroll accounts.
In preparation for the audit, it was discovered the district failed to file IRS 1099 forms for 2012, typically used to report non-employee compensation to non-corporate independent contractors.
As a result, immediate corrective action has been taken in preparation for the audit and remediation process. The district's independent auditor has been engaged to review other routine process filings and accounts to assure there are no other areas of error or omission, and restructure of district accounting operations has been initiated to assist in preventing future failures to report.
"At the present time, we have not discovered any other discrepancies in reporting," said Superintendent Sue Givens. "However, we are committed to thoroughly investigating and correcting any procedures that would prevent our district from full compliance. This appears to be an isolated incident that requires immediate correction and we are working toward that end."
Due to personnel implications of the restructure and until the final determination of the audit, the district will not provide further comment.