Iowa City School District chief financial officer resigns

The Iowa City school board accepted Tuesday the resignation of Paul Bobek, the school district's chief financial officer, effective immediately.

Superintendent Stephen Murley would not provide details on why Bobek submitted his resignation Monday, although he said it was voluntary and not an early retirement.

“The timing was unexpected,” he said.

Bobek, who had been the district's executive director of business services, did not immediately return a phone call seeking comment.

Bobek has been in the spotlight this past year for a couple of embarrassing financial mistakes for the district: a $2 million bookkeeping error and a $25,000 fine by the Internal Revenue Service for making a late payment on payroll taxes. The IRS later refunded the fine.

As executive director of business services, Bobek oversaw the district's finances, including its annual budget. The physical plant and food services also reported to him, and Bobek served as secretary to the school board.

The errors led Murley to call for an outside audit. The report, by Synesi Associates, was released last week and was critical of the district's financial operations.

Among the concerns cited in the report were budgets that were developed without the input of educational leadership, not seeking competitive bids for services and no standard operating procedures for purchasing. Synesi recommended the district hire a budget director.

After meeting in closed session for 90 minutes, the school board unanimously accepted Bobek's resignation and approved a separation agreement, and its members then quickly left with no comment.

The separation agreement will pay Bobek a lump sum amount of $83,965, Murley said, which includes his salary through June 30 and other reimbursements.

Bobek in turn pledged not to sue the district and releases the district from any claims that should arise from his time with the district.

Bobek started working for the Iowa City school district in July 2002. His salary this year was $140,409.

A search for a new director of business services will begin immediately.

Bobek's resignation is the most recent in a string of administrators leaving the district. Upcoming retirements include the executive director of human resources, the director of food services, the West High School activities director and a junior high assistant principal, Murley said.

Murley said Bobek's resignation and the pending retirement of Jim Pedersen, the human resources director, will give his administrative team a chance to review the district's operational staff, especially in light of the Synesi audit.

“We are identifying where we can make immediate inroads for some solutions and which ones to make longer-term” repairs, he said.