Jefferson County finance director reviews fiscal-year results, audit progress and reserves

Finance Director Gabe Solis presented a year-end financial review to the Board of Commissioners on Sept. 10, summarizing fiscal-year 2023-24 results, audit status and the county's reserves and investment performance.

Why it matters: The presentation offered commissioners a concise view of the county's fiscal health heading into the current budget year, including the county's reserves, audit schedule and revenue performance that inform near-term budget decisions and long-term planning.

Major points Solis reported - Net position: As of June 30, 2024, county assets exceeded liabilities by about $51 million; unrestricted net position totaled roughly $13 million. - General fund balance: The general fund closed at $7,030,220 (an increase of about $1 million versus the prior year) and represented the equivalent of roughly 7 months of expenses and transfers out at year end. - Audit: The county engaged Aldrich CPAs under a multi-year contract after an RFP. The audit team completed preliminary fieldwork; final audit fieldwork was scheduled for late September into early October and staff aimed to submit the audit to the state as soon as feasible. - Investments: The county's investment performance for 2024-25 was reported at roughly 5.79% net of fees, slightly below the benchmark of 5.8% but considerably higher in interest income compared with prior years. - Property taxes: Collections for 2024-25 totaled about $37 million, representing approximately 97.2% of imposed taxes; the tax collector noted about $1.9 million remained uncollected, largely because some funds were awaiting reimbursement or associated with older deferral arrangements.

Context and risks Solis told the board that the county's reserves provide a cushion against revenue shortfalls and noted the trade-offs commissioners consider between larger reserves and spending on services. He described an ongoing effort to strengthen internal controls and department training as auditors review small-department processes for write-offs and other accounting controls.

Next steps Solis said the county will complete audit file delivery to Aldrich CPAs and expects final audit completion in the coming months; he also proposed a continuing focus on cross-training staff, enhancing budget-book transparency and refining projections for future years.

Ending: The board thanked Solis for the report and discussed follow-up items including benchmarking an appropriate reserve policy and continued improvements to budget presentation and department controls.