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Sunbury finance staff presents unaudited GAAP statements showing $6 million net position increase
Summary
Finance staff reviewed unaudited generally accepted accounting principles (GAAP) financial statements for the fiscal year ending Dec. 31, 2024, noting a roughly $6 million increase in the city's net position and a $1.85 million rise in the general fund balance. Committee members discussed the accounting change and restricted resources.
Sunbury City finance staff presented unaudited GAAP financial statements for the fiscal year that ended Dec. 31, 2024, and briefed the finance committee on key highlights and a restatement required by the accounting change.
The management discussion and analysis portion of the packet shows the city’s total net position increased by about $6,000,000 compared with 2023, while the general fund balance rose roughly $1,850,000 (about 24.15% over 2023). Finance staff told the committee these are unaudited statements and that an independent public accountant (IPA) will audit 2024 and 2025 together in 2026 because the city is on a two‑year audit cycle.
Committee members were given the packet's first pages (management discussion, analysis and basic financial statements); the full 94‑page GAAP report is available on OneDrive. Staff explained the accounting principle change from a cash basis (the city’s earlier practice) to accrual‑basis GAAP accounting. That change requires capitalization of assets, recognition of depreciation, and restatements so current figures are comparable to prior years. The document notes an explicit ‘‘restatement — change in accounting principle’’ line in the packet to capture those accrual adjustments.
Finance staff highlighted that business‑type activities (for example, the city’s Stewart enterprise account) showed an increase in net position of about $2,400,000. The packet also shows roughly $4,700,000 of the city’s net position is externally restricted—staff said those amounts typically reflect restricted grants, dedicated funds, or similar restrictions rather than general fund revenues.
Council members asked for clarifications about terminology. Council member Miss Stone asked whether “net position increased by $6,000,000” meant net revenue; staff replied the term refers to net position (assets plus deferred inflows less liabilities) and offered to pull the precise line‑item reference for a follow‑up. Staff reiterated the statements are unaudited and that the IPA audit will occur in 2026.
The committee did not take formal action on the GAAP packet during the meeting; staff closed the GAAP presentation after questions and said they had no further prepared remarks.
