'I was trying to be the cure': MPS comptroller says he was fired

As Milwaukee Public Schools reckons with revelations of financial mismanagement, the district's comptroller is out.

Alfredo Balmaseda told the Journal Sentinel that he was fired Tuesday. He said he had done nothing wrong.

"I’m not the disease. I was the cure," Balmaseda said. "Or I was trying to be the cure. Now they don't have a cure."

Nicole Armendariz, communications director for MPS, confirmed Wednesday that the comptroller position became vacant Wednesday. She didn't answer further questions, saying she couldn't comment on personnel matters.

The Journal Sentinel has requested records related to Balmaseda's departure.

In recent weeks, state and federal officials accusing the district of failing to file crucial financial reports to the state and and failing to implement proper safety measures for its youngest students. The district's superintendent, Keith Posley, resigned Monday.

The district's comptroller is responsible for supervising financial, accounting and reporting activities, according to a job description. The comptroller is tasked with ensuring the accurate posting of MPS' fiscal records, the description says.

Balmaseda said there was no "mismanagement" or missing funds, but he and others on his team had been "trying to fix severe issues with the district's accounting."

Balmaseda was approved for the comptroller position, on the recommendation of the superintendent, in July 2023. He said he was not given enough training on the accounting system the district used for year-end reports, which he said was not compliant with generally accepted accounting principles, known as GAAP.

A 2022 audit by Baker Tilly also noted that the district's financial statements were not in conformity with GAAP.

Balmaseda said he didn't believe any funds were misspent but that the district's system for year-end reports "blurred details" on funding sources and expenditures that the auditors needed. He said the staffing turnover and vacancies made it difficult for him to navigate gaps in the accounting system.

MPS Chief Financial Officer Martha Kreitzman told the school board in December that the lack of staffing in the district’s finance office had made it difficult to complete financial reports.

"Staff that had left walked out with much knowledge that was not necessarily documented in a complete way," Kreitzman said at the time. "There were clear gaps in what we thought was good."

The district hasn't answered questions from the Journal Sentinel about current vacancies in the finance office or any changes made to the accounting system since the last Baker Tilly audit. A more recent annual audit from Baker Tilly, covering the 2022-23 school year, is one of the documents that the district still owes to the state Department of Public Instruction.

Balmaseda said he has worked through nearly every weekend in the last eight months as he attempted to get the district's financial accounting in order.

"This has been one of the craziest years I’ve ever had," he said. "My health is deteriorating, my stress levels are higher. One gets worried. You want it done for the kids; you want it done well."

Contact Rory Linnane at [email protected]. Follow her on X (Twitter) at @RoryLinnane. 

This article originally appeared on Milwaukee Journal Sentinel: MPS comptroller says he was fired after months trying to fix finances