District posts clean FY24 audit, reports $21 million general fund balance and capital reserve contribution

The Simsbury Board of Education received the fiscal year 2024 audit report showing an unmodified (clean) opinion from auditors Preston, Larson & Allen and no findings on internal controls.

Administrators summarized key audit figures: revenues exceeded budget by about $3.7 million, including $2.1 million from investment income and $744,000 from unanticipated state grants and other town-level revenue increases. Property tax collections and conveyance tax receipts were also cited as reasons revenues outpaced projections. On expenditures, the district reported coming in approximately $2.1 million under budget, primarily because of salary and benefit savings related to vacancies and pension savings. The district transferred savings into the capital non-recurring (CNR) reserve; the administration reported contributing about $3.9 million to that reserve during FY24.

On a generally accepted accounting principles (GAAP) basis, after transfers, the net increase produced a general fund balance of about $21,000,006 as of June 30, 2024, representing roughly 16% of expenditures and within the Board of Finance policy target range of 15 to 17 percent. The audit package also shows assigned and nonspendable portions of the fund balance relating to prepaids, nonlapsing balances and encumbrances.

Auditors recommended completion of an accounting procedures manual as a management comment; district staff said work is underway on that document. Board members asked for additional breakout detail on the capital reserve and fund balance; administrators indicated the audit exhibit contains the line-item detail and offered to provide additional materials.

The audit report was presented as informational; no board vote was required beyond receipt of the audit.