Sherman County audit confirms financial compliance and strong closure plans for landfill

Sherman County officials received positive news regarding their financial health during a recent Board of County Commissioners meeting. The annual audit report highlighted that the county is meeting all required financial assurance tests related to the landfill, ensuring compliance with state regulations.

The audit, which included an assessment of the Sherman County Landfill, confirmed that the county's financial ratios are in line with the Kansas Department of Health and Environment (KDHE) requirements. This is crucial as it indicates that Sherman County is financially positioned to handle future closure and post-closure costs associated with the landfill. "All your ratios were below or greater than what KDHE requires for the financial assurance test," stated the auditor, reassuring officials that there are no immediate concerns.

In addition to the landfill audit, the financial statement audit for the year ending December 31, 2024, was also discussed. The county received an unmodified opinion, the highest rating possible, indicating that the financial statements are fairly presented according to the Kansas Municipal Audit and Accounting Guide. However, the county continues to operate under a regulatory basis of accounting, which differs from Generally Accepted Accounting Principles (GAAP), leading to an adverse opinion regarding GAAP compliance.

The meeting also touched on recommendations for improving financial controls, particularly regarding journal entries in the county's financial system. The auditor suggested that all entries should have proper documentation and sign-offs to enhance accountability.

Overall, the meeting underscored Sherman County's solid financial standing and commitment to regulatory compliance, setting a positive tone for future fiscal management. As the county continues to navigate its financial responsibilities, officials are optimistic about maintaining transparency and accountability in their operations.