Council accepts FY24 financial audit; auditors flag prior-period restatements and capital-asset concerns

The Town of Nashville town council on April 1 accepted the fiscal year 2024 financial audit presented by Thompson, Price, Scott Adams & Company, P.A., the town’s external auditors.

Auditor presentation and findings: the auditor (presentation summary) said the audit covered governmental and business‑type activities as of June 30, 2024. The report noted Nashville adopted GASB accounting changes for the year and that auditors encountered "no significant difficulties" in completing the audit. The firm said it found no uncorrected misstatements material to the financial statements and no disagreements with management. "We are not aware of any uncorrected misstatements that would be material to the financial statements," the auditor said.

The presentation flagged several matters for council attention: prior‑period restatements related to capital assets; late submission of the audit (issued five months after the required due date); reconciling bank accounts, receivables, payables and inventory more promptly; and noted budget violations in the general fund and the water & sewer fund. A Local Government Commission (LGC) performance indicator showed the water & sewer capital asset condition ratio at 0.49, under the 0.5 target. The auditors recommended the town prepare a 60‑day response plan addressing the findings and noted GASB 101 (compensated absences) implementation will affect FY25 reporting.

Finances at a glance: the auditors presented summary figures for FY2024: general fund cash roughly $4.2 million, unassigned fund balance about 45.06% of general fund expenditures, general fund expenditures roughly $8.6 million, ad valorem taxes about $2.8 million, intergovernmental revenues about $3.7 million, total property valuation roughly $465 million, and total levy about $2.8 million. The water and sewer fund reported fixed assets approximately $14.7 million, accumulated depreciation $7.56 million, and cash roughly $3.6 million. The auditors noted prior‑period capital asset restatements impacted 2023 comparatives.

Council action: after the presentation the council moved to accept the FY24 audit from Thompson, Price, Scott Adams & Company, P.A.; the motion passed with council aye votes recorded in the meeting transcript.

What council asked staff to do: council members asked how the town can present a plan within the LGC’s 60‑day response window; the auditors said the town cannot retroactively "fix" old systems in 60 days but should submit a written plan describing how it will address the findings and useful‑life issues. The finance officer was thanked several times for staff work that supported completing the audit.

Ending: The council accepted the audit and directed staff to prepare the LGC response and to work on reconciling accounts, addressing budget violations, and planning for GASB 101 implementation ahead of FY25 reporting.