Auditors give Barron County an unmodified opinion; finance director presents third‑quarter finances

County finance staff on Nov. 4 reviewed the 2023 audit summary and the county’s third‑quarter financial report, telling the Board of Supervisors the auditors issued an unmodified (clean) opinion while flagging recurring control findings and one material adjustment.

Why it matters: The audit opinion and internal control findings factor into the county’s creditworthiness and ability to borrow at favorable rates. County finance staff and external advisers referenced the audit in presentations about debt capacity and upcoming borrowing decisions.

Audit findings: Finance staff (Jody) said CliftonLarsonAllen issued an unmodified audit opinion for the 2023 financial statements, which is the highest standard under generally accepted accounting principles. The report included two recurring significant deficiencies: limited segregation of duties caused by small departmental staffing levels, and a material audit adjustment related to the newly established acid gas removal system debt at the Waste‑to‑Energy facility. Jody said the county will track the adjustment and review similar items during future closings to reduce repeat findings.

Financial highlights and context: Jody summarized condensed balance‑sheet figures and operational fund balances. The county’s unassigned general‑fund balance at the end of 2023 was described as roughly $10.6 million, about 38.5% of general fund expenditures on the condensed reporting line, and staff said the county is targeting an unassigned fund balance near 31% after planned activity. Long‑term debt outstanding was presented at about $25.6 million.

Third‑quarter operations: The county reported year‑to‑date revenues through Sept. 30 of approximately $62,448,555 (up modestly year‑over‑year) and expenditures of about $65,724,512, a variance driven in part by capital timing and project activity. Jody explained that several large items — including anticipated bond or loan proceeds for the waste‑to‑energy facility shredder and other capital projects — will offset the year‑to‑date deficit in the annual accounting and cash‑flow view.

Other audit and compliance notes: Jody said the county was found in compliance with federal and state program requirements tested in the audits; auditors reported no disagreements with management and noted the presence of appropriate accounting policies and disclosures. The audit materials also include notes on new or upcoming GASB accounting standards.

Ending: County staff said the audit letter and the condensed financial reports would be available on the county website and that finance will continue to address the control environment and the schedule of adjustments flagged by the auditors.