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Crockett council receives unmodified fiscal 2024–25 audit; fund balance described as healthy
Summary
The Crockett City Council received a near-final audit for fiscal 2024–25 that carried an unmodified opinion. Auditors reported a roughly 40% fund-balance-to-expenditures ratio and noted large water/sewer grant and loan balances still unspent as of September 2024.
The Crockett City Council received the draft fiscal year 2024–25 financial audit during its meeting, and auditors said they will issue an unmodified opinion once the report is finalized.
The audit presenter said the draft was about 99.9% complete and that the auditors intend to issue an unmodified opinion, meaning the financial statements are presented fairly in all material respects. “We are issuing an unmodified opinion,” the presenter said.
The audit shows a historically healthy general fund: auditors summarized a five-year trend and reported an average fund balance of about 40% of annual expenditures. In other words, the city has cash and investments sufficient to cover roughly 40% of a year’s spending, the presenter said. The water and sewer fund’s net position was reported at just over $9.3 million; auditors said some grant and loan proceeds remained unspent as of September 2024, including roughly $1.6 million transferred in 2022 and an SIB loan balance auditors estimated at about $4 million at that time.
The audit also includes the city’s economic development component unit; that entity’s net position was reported at just over $800,000. Auditors told council that all standard notes and subsequent-event disclosures were updated for current-year activity and invited council members to submit questions during the following day or so before finalization.
Council members asked procedural questions about receiving versus approving the audit and were told that the council’s vote at the meeting was to receive (accept) the audit document and that material changes discovered later could still be addressed. After discussion, a motion to receive the audit was made and seconded; the council voted to receive the audit.
Votes at the meeting recorded acceptance of the audit document as presented; council members were offered the opportunity to review the full audit and submit questions after the meeting.
Item provenance: the audit was introduced at the meeting when the agenda reached the financial audit presentation and concluded with the council vote to receive the audit.
