City audit: unmodified opinion; general fund healthy as TIFs show early deficits

Brent Nelson, a CPA with Johnson Block and Company, presented the City of New Londons audited financial statements for the year ended Dec. 31, 2024, to the Finance Personnel Committee and said the firm issued an unmodified opinion. The audit found the citys financial statements were, in all material respects, presented in accordance with generally accepted accounting principles. The audit matters matter because the opinion and the fund-level trends affect the citys ability to borrow and to fund capital projects and services. Nelson and Finance Director Judy said the city ended 2024 with broadly healthy reserves but flagged early-stage deficits in some tax incremental financing (TIF) districts that the committee should monitor. Nelson told the committee that total governmental fund balance declined about $317,000 in 2024. At the fund level, the general fund increased by $235,000 while the capital projects fund decreased by $437,000.…