Town audit finds clean financial opinion; single-audit finds one federal compliance gap

The Parker Town Council heard a report Monday that Plante Moran issued an unmodified (clean) opinion on the town’s 2024 financial statements and on its federal single audit, while identifying one compliance finding related to suspension and debarment checks. Tim St. Andrew, an auditor with Plante Moran, told the council the firm “did issue an unmodified opinion,” meaning readers can rely on the financial statements and disclosures. He said the town implemented GASB 100 and GASB 101 in 2024, and noted GASB 101’s effect on accounting for compensated absences required additional staff work. St. Andrew said the town expended $5,900,000 in federal funding during 2024, which triggered the requirement for a single audit because the federal-expenditure threshold is $750,000. Plante Moran tested two major programs: highway planning and construction (the North Parker Road improvements) and the Coronavirus State and Local Fiscal Recovery Funds (used for the Dransfield Extension project). The auditors issued unmodified opinions on both the financial statements and the single audit. The audit report included one finding: the town’s procurement documentation did not retain evidence that a suspension-and-debarment check of a construction contractor was performed before contract execution. St. Andrew said the check itself was performed, but the supporting evidence in the file showed it was done after the contract had been signed; the audit standard requires the check to be documented before contract award. He told council the town has already formalized policy changes to require the check and retain its documentation going forward and called the issue “an easy fix.” Rhonda (staff member) told the council that the cultural fund financials were reported to the Scientific and Cultural Facilities District (SCFD) and that the single audit was filed with the Federal Audit Clearinghouse. The town’s financial statements were filed with the state auditor, Municipal Securities Rulemaking Board and the Government Finance Officers Association, she said. Council members asked for a brief description of the finding; St. Andrew reiterated that the missing documentation related to the timing of the suspension-and-debarment verification for a federally funded construction contract. There was no motion or vote required; the presentation was received and council members thanked the finance team and auditors. The presentation closed with council and staff noting the extra work required to complete a two‑program single audit and praising town finance staff for their responsiveness during the multi-month audit process.