Woonsocket receives draft FY2023 audit; auditors identify four material weaknesses and low undesignated fund balance

The Woonsocket City Council on Monday, Aug. 25, voted unanimously to receive the draft fiscal year 2023 audit and authorized management to sign the representation letter so auditors can finalize the report.

Jim Wilkinson, managing director with CBIZ, presented the audit highlights and told the council the audit is in its final stages pending a few open items. "We are in the final final stages," Wilkinson said, and indicated the firm planned to issue the audit once the council accepted the draft and management provided the representation letter.

CBIZ reported the city's total general fund balance increased by about $275,000 for the year ended June 30, 2023. The audit shows an undesignated general fund balance just under $1,900,000, which Wilkinson said represented about 2.3% of general fund expenditures for the year — below the benchmarks rating agencies and the Government Finance Officers Association (GFOA) typically recommend (Wilkinson referenced recommended ranges in the meeting).

Other financial details presented by CBIZ included: total city revenues of roughly $81.4 million for…