Louisburg council amends budget and approves amended audit contract after delayed audit raises fees

The Louisburg Town Council on Oct. 15 adopted a budget amendment to cover increased audit costs for fiscal year 2022–23 and approved an amended audit contract with PB Meyers.

Town staff told the council the audit originally was estimated at $48,000 but work required to complete the late 2022–23 audit expanded the scope and the anticipated fees rose to about $144,000. Council approved a budget amendment up to $150,000 to cover the work before approving the amended contract with PB Meyers.

"The original fee has increased from 48,000 to a 144,000," said a council member during the discussion. Sean, a town staff member presenting the amendment, said the increased cost resulted from journal entries and inventory records the town did not receive from the previous auditor. He said PB Meyers will perform the additional work to bring the books up to date.

Council members pressed whether the town could seek reimbursement from the prior accounting firm. The mayor suggested the town attorney review possible remedies; council agreed that legal review would be appropriate.

Council moved and properly seconded the budget amendment motion; the mayor called the voice vote and members answered "Aye." The council then moved and seconded approval of the amended contract with PB Meyers and approved it by voice vote.

Council staff said completing the audit will allow the town to meet state requirements and avoid further delay in presenting audit results to the Local Government Commission.