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Select Board told town accountant is reconciling 2024 cash accounts; officials cautioned to delay major financial decisions
Summary
A contracted CPA reported he is reconciling the town's 2024 cash accounts and identified significant adjustments needed; the board was urged not to rely on BMSI financial reports for major decisions until entries are corrected.
Brentwood, N.H. — The Select Board was told on June 17 that the contracted CPA has reviewed nine months of cash-account activity for 2024 and identified numerous adjustments that must be entered before financial reports can be relied upon for significant decisions.
The town's administrative update said the CPA had spent hours reconciling transactions and expected the audit work to ramp up. The memo cautioned: "I caution the usage of any financial reports from the BMSI system for any significant decision making until the necessary entries can be made to make the necessary adjustments." (memo language read aloud at the meeting.)
The nut graf: Board members heard that the reconciliation work focuses on allocations between accounts and that corrected trial balances are needed before the town can confidently use system reports for budget or major-spend decisions. Staff said the CPA expects to be ready for audit work "in earnest" by the end of the following week.
Details and impact: The CPA reported he had completed reconciliation through several months and had identified a substantial dollar amount requiring adjustment; the administrator said the CPA had logged 13.5 hours by the June 16 memo date and that audit activity would begin in earnest soon. Board members asked whether the CPA would also reconcile revolving funds and were told he would. Two applications for the finance-director job had been received and at least one interview was scheduled.
Board guidance: Select Board members agreed that existing obligations and routine bills should be paid but urged caution about committing to major new expenditures or capital projects until the CPA completes adjusting entries. The board scheduled interviews for the finance-director position and asked the CPA and staff to present a clear timeline for completion of reconciliations and the audit.
Why it matters: Accurate account reconciliations are necessary for reliable financial reporting, lawful spending, and an audit-ready town government. The board directed staff to treat the reconciliation as a priority and to limit significant financial commitments until reports reflect the corrected balances.
