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Independent auditor issues unmodified opinion on Centreville’s 2024 financial statements
Summary
External auditors reported an unmodified (clean) opinion for the fiscal year ending June 30, 2024, found no material weaknesses and reported no instances of fraud; auditors also noted ARPA one‑time funds in prior years and submission of the Uniform Financial Report to the state.
The town's independent auditors issued an unmodified opinion on Centreville's financial statements for the year ended June 30, 2024, and reported no material weaknesses in internal control or instances of fraud, the auditor told the town council on Feb. 20.
Chris Lehman, the engagement partner, said the audit covered the governmental and business‑type activities and included preparation of the Uniform Financial Report (UFR) required by the state. “We've issued what's termed an unmodified opinion on the financial statements,” Lehman said, describing that as the cleanest opinion auditors can issue under professional standards. He added the audit team received full cooperation from town management and that requested records were provided.
Key financial highlights presented by Lehman included net position figures drawn from the management discussion and analysis: governmental activities net position declined slightly to roughly $15.4 million from $15.8 million the prior year, primarily due to pension accounting adjustments; business‑type activities net position was roughly $23.3 million compared with about $23.5 million the prior year. Lehman said the change in net position for governmental activities for 2024 was approximately negative $463,000 and for business‑type activities about negative $264,000, items he tied largely to pension accounting and not to operating losses.
Lehman also noted that certain one‑time revenues recorded in prior years were from ARPA (Coronavirus State and Local Fiscal Recovery Funds) and that ARPA funding recognized in 2023 did not recur in 2024. He described the audit as risk‑based, involving testing of internal‑control design and operation and substantive procedures (for example, bank reconciliations and validations of balances).
Lehman said there were no unacceptable accounting policies, no disagreements with management about accounting treatments and no material weaknesses. He concluded by noting new accounting standards on the horizon and offering contact information for follow‑up questions.
Provenance: the auditor's presentation and Q&A are recorded in the meeting transcript in the auditor's appearance segment and subsequent council questions.
