Cox District Repeatedly Cited For Failure To Follow Financial Reporting Regulations

peggs

The Peggs school sits near the end of a forelorn stretch of Hickory Road in Peggs, Oklahoma, population 813. Peggs Superintendent John Cox is drawing criticism for taking $141,678 in yearly salary from the Peggs district.

(Editor’s Note: This is in circulation from a site entitled The Waterloo Republic without further identity.)

Democrat John Cox repeatedly failed to remedy multiple audit reports showing his school district to be out of compliance with Oklahoma State Department of Education standards.

These findings were published in the Peggs school district’s annual audit for the 2011 fiscal year. In his citation, CPA Alan Chapman wrote that “the combined financial statements referred to above do not include the general fixed asset account group, which should be included in order to conform with accounting and financial reporting regulations prescribed or permitted by the Oklahoma State Department of Education.”

See It Yourself
http://www.waterloorepublic.com/education-candidate-district-cited

Following the release of the report, the district appears to have taken limited or no action to remedy the findings as Chapman incorporated a similar citation in his audits for fiscal years 2012 and 2013.

The reporting of the general fixed asset account group accounts for the property, plant and the equipment owned by the district. Without this accounting the true financial picture becomes skewed.

Deprived of this information, Chapman did not include any accounting of the district’s capital assets such as buildings, land, furniture and equipment or construction in progress leaving local taxpayers unable to quantify the true value of the district’s holdings.

This type of citation isn’t uncommon for small districts such as Peggs some of which appear to show little inclination to come into compliance with the accounting standards.

Few doubt that Cox, who has been employed as the Superintendent of the Peggs school district, for the past 20 years, represents Oklahoma Democrats’ best chance to score a victory on next month’s general election ballot.

The disclosure of the audit findings join an array of concerns which have been raised by leading Republicans and Cox’s general election opponent Joy Hofmeister.

Hofmeister and state legislators Todd Thomsen and Lee Denney are publically questioning Cox’s salary of $141,678 per year; an amount purportedly nearly twice the state average for an administrator and especially questionable considering Peggs appears to employ just 15 faculty members.

State records show Cox receiving just $115,347 per year as recently as 2011.

Those wanting to identify and hold Peggs school board members to account for Cox’s sudden rise in pay shouldn’t attempt to use the Peggs website; the names of school board members are not posted.

State Republican Party Chairman Dave Weston has criticized Cox for the failure of the Peggs website to comply with the 2001 era state law which mandates the placement of meeting agendas and the names of school board members. On October 10th, Cox responded with the defense, “While the site is live, it is still under construction. We will work immediately to get our agendas, etc. up on the site”.

As of October 25th, the site hadn’t been updated.

Records show the current Peggs site was initially registered in 2012. The first recorded content appeared on July 1st of 2013 according to the Web archiving site, The Wayback Machine.

As State Superintendent, Cox would preside over a large Web presence with numerous transparency components including Oklahoma’s OCAS financial accounting system.

Voters will go to the polls on November 4th.


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  1. Linda Murphy, 26 October, 2014

    The Chamber of Commerce and their education control plans are backing Hofmeister. I will not support that. My party, the GOP should not allow corporate control and the money that comes with it over ride the principles of the party platform.

    I am a Republican supporting John Cox. He is a knowledgeable educator who has the respect of those who have known and worked with him. This
    “anonymous” source piece and the other piece are weak efforts to make him look bad. Is there any concern about Hofmeister’s conversations and possible meetings with Chad Alexander about running an “independent” campaign which actually is activity under investigation?

    The fact is Cox will represent the people of Oklahoma and continue to oppose the huge top down centralized control of education that Hofmeister has already embraced. There is plenty of proof such as the “group of administrators” backing her– her first donors including — Supt. of Tulsa Ballard and Supt of Stillwater Cain. Hofmeister is also the “candidate” chosen by the Tulsa Regional Chamber of Commerce as I was told directly when I attended their education meeting prior to her announcement.

    Cox has years of experience in working with and for local control of education. He spoke at a forum in Tulsa along we me, Jack Heron and Donna Anderson last August openly opposing Common Core. Hofmeister will bring in her “coalition” of Common Core supporters to back up more of the same centralized planning that we have been fighting with Supt. Barresi. She has a “nicer” personality but behind that is the very same agenda. She just wants to do it better. She has said that numerous times. Informed republicans across the state will be voting for Cox.

  2. Vernon Woods, 26 October, 2014

    Questions:

    A. Since the Peggs School District repeatedly failed the OSDA audit, and the school board seemingly intentionally failed to require Cox to correct the issues:
    1. Is the school board in violation of any state laws?
    If so, what are the penalties?
    2. Is Mr. Cox in violation of any state laws?
    If so, what are the penalties?
    3. If no law is violated by these acts, what is the purpose of the audit?

    B. Since the Peggs School District has been and still is in non-compliance with state law regarding board membership and meeting agendas on its website:
    1. What are the penalties for repeated violations of the law?
    2. If there are no penalties, what is the purpose of the law?

    Maybe Mr. Cox can answer these questions.

  3. Edmond Voter, 26 October, 2014

    I’m another Republican who has come to the conclusion that Joy will try to continue to implement Common Core, regardless of what the parents, teachers, and concerned citizens want. She has never come out against Common Core except in a tepid way to try and sway voters. Sorry, but John Cox has my vote, too!

    Amazing what the Chamber, consultants, and even Governor’s office will do to try and subvert the will of the people to not federalize education.

  4. Eurycea, 27 October, 2014

    Edmond Voter is correct. Hofmeister more and more looks like a Bareesi clone.

  5. Casey Ohlsson, 26 October, 2014

    This is all they can find on Dr. Cox? This is a non-story. I am yet another Republican voting for Dr. Cox. Anyone who knows anything about the federal education reform movement knows he stands against all of it- the opposite of Joy.
    Any other Republicans who want to join us to get back to local control and away from Obama and Arne Duncan’s policy like our Facebook page:
    https://www.facebook.com/pages/Republicans-for-Dr-John-Cox/333489723491361

  6. Brendan Jarvis, 26 October, 2014

    This is part of the desperation tactics being used by Hofmeister’s campaign because they know that Oklahoma voters are seeing right through her. She is opposed to local control of public school as much as Baressi is. They want more testing and more finger pointing, rather than getting out of the way and letting Oklahomans make their schools the best they can be without interference from the federal government.

  7. Castor, 26 October, 2014

    Common Core is a sideshow. The real debate in education is school choice. If more energy were spent promoting ESAs and SGOs, we’d be better off.

    As to the Superintendent’s race, I’m voting for . . . oh, wait, there’s no one running.

  8. jane martin, 27 October, 2014

    We are also Republicans who have already voted for Dr. Cox. His salary issue, isn’t an issue if you understand school supt. salary pay. He’s been at this district 20 years, HE Has his DR’s. degree and that alone is a reason for more pay. I’m sure his salary includes car expenses etc. We voted for someone who’s been in the schools and worked through the issues they face. And another point for Dr. Cox, he’s not from a big system. This issue is just a last minute attempt to slam a man who probably will win. It’s hard being a REp. and voting for democrat; but we did this time. If they had someone on the gov. race who didn’t support odama, we’d have voted demo in that race also, enough of Mary.

  9. Vernon Woods, 27 October, 2014

    Do you really want someone running a state school system when he doesn’t seem to be able run a little bitty school district according to state laws and regulations?
    Every school sup in the state has an PhD – very few make as much as he does.
    I’m with Castor on this one – none of the above.

  10. Phil Ostrander, 28 October, 2014

    Mr. Woods, the number of public school supt’s in Oklahoma with a PHD is closer to 10%.

  11. Vernon Woods, 28 October, 2014

    I was told that a doctorate was a prerequisite to become a superintendent. If that is not true, I stand corrected.
    My others comments are still in effect.

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