Auditor Brown Plus gives Palmyra Borough an unmodified opinion on 2024 financial statements

Palmyra Borough Council heard a presentation of Brown Plus’s audit of the borough’s 2024 financial statements on Tuesday, when Scott Henry of Brown Plus said auditors issued an unmodified opinion indicating the statements were materially correct under generally accepted accounting principles. The audit presentation summarized government-wide and fund-level results, identified major capital spending and transfers tied to the newly formed Western Lebanon County Regional Police Department, and described pension valuation timing and new Governmental Accounting Standards Board (GASB) disclosures. Henry told the council that total assets decreased by about $1.5 million in 2024, primarily from capital purchases and use of ARPA funds, and that total liabilities fell about $2.2 million because of payable payments, ARPA use and transfers of compensated-absences balances to the police department. He reported the borough’s government-wide net position was about $15 million for governmental activities and $7 million for business-type activities on a full-accrual basis. The auditor highlighted business-type activity results: revenues rose roughly $240,000 (about 8 percent) in 2024, partly from increased usage and a rate increase, while expenses declined about $80,000, producing roughly $390,000 of net income for the enterprise fund. On the governmental-fund (modified-accrual) basis, Henry said general-fund revenues rose about $170,000 (roughly $160,000 over budget), largely because of higher real-estate transfer tax receipts and grant spending; general-fund expenditures rose roughly $860,000 but were about $250,000 under budget, primarily because of formation of the police commission and capital projects. The audit noted approximately $1.6 million in capital asset purchases in 2024 offset by about $1.2 million of depreciation; major projects included multiple stormwater repairs, road paving, security-camera upgrades and a pickup truck purchase. Henry also said transferring assets to the newly formed regional police commission produced a one-time loss recorded on the borough’s financials. Henry reviewed long-term obligations, reporting the borough’s outstanding general-obligation bonds at about $5.2 million and a due-to-other-governments balance (related to the treatment plant agreement with North Londonderry) of about $5.1 million, with maturities shown through 2039–2040. He also summarized pension information, noting Palmyra participates in PMRS and that GASB valuation timing means pension figures are reported with a one-year lag. Council members raised procedural questions; following the presentation the council approved a separate resolution appointing Brown Plus to perform the 2025 audit for a fee not to exceed $45,000, though some members urged publicly advertising the engagement to test competitiveness. “The audit shows a strong fund balance and consistent operations, but we always recommend management and council review the full financial statements and notes,” Henry said during the presentation. The auditors provided contact information and invited further questions after the meeting.