STANFORD - Despite delays in payments from the state, the Olympia school district has earned the state's highest financial rating, financial recognition, for the fiscal year that ended June 30, 2009.

Auditor Tom Peffer of Gorenz and Associates praised the district for its anticipation of and handling of the delays in state aid payments.

"The budget process here works," Peffer told the school board Monday.

Andrew Wise, the district's operations and business manager, later told the board that the problems with the state budget are likely to continue.

"That's why we have balances in our funds, in case the state doesn't come through," Wise said.

Real estate taxes provide 46 percent of the district's operating revenue, and Wise said he expects the taxable value of property in the district to go up this year, partly because of the construction of wind turbines in the District.

The board also heard a small amount of work remains to be done on the new Olympia North Elementary School in Danvers. School is in session there, but landscaping work needs to be done, said Michael Pflederer, president of Benchmark Construction Management.

In another matter, the board also heard 87.1 percent of students met or exceeded state standards for math on standardized tests. In reading, 83.9 percent of the students met or exceeded state standards.

Overall, the district made adequate yearly progress as defined by the No Child Left Behind Act.