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*The board reviewed the district's annual audit for the 2003-04 school year with Al Habben of Habben Hennen & Company.

The district showed a general fund increase of $301,353 for 2003-04, the third straight year the district has run in the black. General fund revenue was $8,724,562 while expenses were $8,423,209. The district's general fund had a balance of $562,206, as of July 1, 2004, a similar balance to July 2000, following the 1999-00 school year.

Overall, district revenues totaled $10.28 million with expenses totaling $9.95 million, with the district raising its net assets to $2.84 million. (See related story.)

*The board approved a resolution directing administration to review district programming and consider budget adjustments for the 2005-06 school year. The district continues to face declining enrollment (graduating classes around 100 and getting classes around 75 entering kindergarten). The district intends to reduce expenditures by $200,000 or $250,000 for 2005-06. Administration should report back to the school board in February with the final adjustments approved in March. (Seerelated story.) *The board held a truth-in-taxation public hearing, with no one from the public attending.

*The board approved continuing a teaching assignment for Kathy Olmscheid with a special needs student through December 2005, and the board approved having teacher Kelli Woehler work with that student for the next three months as a substitute for Olmscheid.

*The board approved hiring Wanda Haase as an instructional assistant for the remainder of the 2004-05 school year.

*The board agreed to have superintendent Todd Burlingame have the Minnesota School Board Association review the district's master teaching contract for $500. The goal is to identify any language changes for the district to negotiate in the next contract. The current teacher contract expires this July.