Finance staff outlines annual audit timeline, new GASB standards and software changes

Erin, a finance staff member, explained the city’s audit steps for the fiscal year ended June 30 and outlined new accounting standards and software the department is adopting.

Erin described the audit timeline: planning work that began in July, prepared-by-client items (about 110 requested items), prepared-by-actuary reports (pension, health plan, workers’ compensation) due in draft soon, adjusting journal entries (about 63 at this stage), field work beginning Sept. 15 and a target to issue the final report and ACFR by December with presentation to the board in January.

She said the transit vehicle revenue mileage audit for the public transit authority had been completed and the auditors agreed with the reported FY25 mileage of 199,604 miles. Erin also noted the city plans to shift some previously outsourced lease and subscription accounting work in-house using a product called Debtbook and to adopt a reporting solution (Forbus) to assemble the annual comprehensive financial report.

Erin said the city must implement two new Governmental Accounting Standards Board standards: GASB 101 on compensated absences (requiring finer-grained recognition of paid-time-off liabilities) and GASB 102 (disclosure changes for concentration and risk assessments). She described practical implications, including additional actuary-prepared items and memo documentation for auditors.

Board members praised the transparency and asked whether software adoption would save money or time; Erin said Debtbook will give the city more control over timing, while the reporting solution should improve transparency and reduce report-generation effort. No formal action was taken during the briefing.

The audit team will conduct on-site fieldwork in mid-September and staff expect significant document production during that period, Erin said.