Blueprint IA approves draft FY2024 ACFR for state filing; board says it will reconvene if auditors find material issues

The Blueprint Intergovernmental Agency voted May 8 to accept staff’s recommendation to submit the draft Fiscal Year 2024 Annual Comprehensive Financial Report to meet the state filing deadline, while directing staff to call a special meeting if external auditors report any material findings. Artie Long, the Blueprint finance officer, told the board the draft ACFR "has been prepared by the blueprint financial officer, and we expect to receive an unmodified opinion from the external auditors." He said the final report will return to the board at its next scheduled meeting on Sept. 18. Why it matters: The board must file financial statements with the state by June 30; commissioners pressed for clarity because the external audit work was not completed when the draft was released and a potential material adjustment was identified. What happened: Commissioner O'Keefe, who identified herself as a CPA and former government auditor, said she found a receivable she expected to see — a $1,000,000 payable from Cascades Gardens due in 2027 — missing from the draft. She said her discussion with the audit partner indicated that receivable should be recorded and "is likely going to result in a material audit finding." O'Keefe moved to defer final approval until the auditor’s work was complete and for a brief special meeting in June to approve the final results; the motion was seconded. Board discussion then focused on whether board members should contact the auditors directly, staff timelines, and the agency’s obligation to meet the state deadline. Madam Chair (presiding) and staff said the draft was provided to meet reporting timetables and that the external auditors had only recently received Blueprint’s final ledgers; staff told the board they expect the external review to be complete within about two to three weeks and before June 30. The substitute motion that ultimately passed — moved from the floor to accept staff’s recommendation with the condition that staff notify the chair and the board and a special meeting be convened if auditors produce any substantial findings that change the draft before the June 30 submission — was approved in a roll-call vote. Vote tally on the substitute motion (to accept draft with the caveat): yes — Mayor Daley; Commissioner Richardson; Commissioner Williams Cox; Commissioner Caban; Commissioner Cummings; Commissioner Maddox; Commissioner Minor; Commissioner Welch (10 yes); no — Commissioner Matlow; Commissioner Porter; Commissioner O'Keefe; Commissioner Proctor (4 no). Outcome: approved. What to expect next: Staff said it will submit the final report to the state by June 30 if there are no substantial audit findings, will send completed audit materials to the full IA board when the auditors finish their review, and will place the final report in the Sept. 18 meeting record. If the external auditors identify a significant matter or a material change that would alter the audit opinion, staff and the chair said they will arrange a special meeting to present the results and seek a board vote. Direct quotes (from transcript): Artie Long, Blueprint finance officer: "the draft ACFR ... has been prepared by the blueprint financial officer, and we expect to receive an unmodified opinion from the external auditors." Commissioner O'Keefe: "I move that we defer approving the audit report and have a brief special meeting called in June when it's complete to approve the complete results." Ending: The board approved filing the draft to meet the June 30 state deadline while preserving a path for the board to reconvene if the external audit produces a material finding; the final ACFR will be included in the Sept. 18 meeting materials and mailed to directors when the audit is complete.