Glencoe auditors give clean opinion on 2024 annual financial report; village to place audit on board agenda

Glencoe officials and external auditors presented the village’s 2024 Annual Comprehensive Financial Report and said the audit received an unmodified, or "clean," opinion and will be on the Village Board agenda for acceptance.

Jayden Wilke, audit partner at Waterbock and Ehman, told the Finance Committee the auditors "have issued what we call an unmodified or clean opinion," and that the opinion means the financial statements "as presented are materially correct." He said the audit process began with planning meetings in January, included preliminary and final field work, and took many weeks of staff effort to assemble documentation.

The management discussion and analysis (MD&A) condensed the 167-page audit into key points for nonfinancial readers, Wilke said. Among the highlights: the village added about $3,600,000 in capital assets during the fiscal year; general fund revenues remained strong; and overall net position increased compared with the prior year. Wilke also said the document continues to include a 10-year statistical section that offers historical context.

Why it matters: a clean opinion and the GFOA (Government Finance Officers Association) award-qualifying material make the village’s financial reporting more transparent to residents, bond investors and other stakeholders. Wilke noted that completing timely audits is increasingly difficult for many local governments and said Glencoe’s staff work "made financial statements issued timely."

Audit communications and standards: Wilke said the firm issued two standard communications: a SAS 114 (staff communication) with no disagreements or exceptions, and a management letter flagging upcoming Governmental Accounting Standards Board (GASB) changes. He named GASB 101 (compensated absences) as a recently significant standard and said GASB 103 will cause visual and terminology changes to future reports.

Village finance staff recognition: Margaret (staff member) and other finance staff, including Diane Harris (accountant) and Victor Dyson (finance leadership), were thanked for their role preparing audit materials.

Operational and budget context: Finance staff reviewed revenue and expenditure trends that will inform the budget. Sales-tax distributions were stronger than forecast in the month discussed, while use-tax treatment is changing because of state law shifts and reporting adjustments. Staff warned that Cook County’s reassessment and a reported issue implementing Tyler Technologies software could delay property tax distributions; any refunds granted by the county can reduce distributions to municipalities until the county's year-end true-up.

Capital and project updates: staff said several capital projects are moving forward but some schedules shifted: Scott Road bridge repair scope is delayed until July, Sylvan Road bridge construction bids open July 8, and the Dundee Water Link project will increase water fund expenditures as planned. The village also locked in pricing for EV charging equipment that will be installed near Village Hall later this year; staff plan to bid construction work this fall.

Ending: The audit package will be placed on the Village Board agenda for acceptance. If the board approves, staff will complete the routine June 30 filings required by state statute.