Altoona auditors issue clean opinion on 2024 financials; two repeat findings remain

Chris Shirock of Young Oaks Brown and Company told Altoona City Council on Nov. 10 that the auditors issued an "unmodified or clean opinion" on the city's 2024 financial statements. "That's the best opinion you can receive," he said.

Shirock summarized the audit's principal figures. He said the city's statement of net position for 2024 was $479,000,000. He described components of that total, saying "Of this amount, 502,000 was invested in capital assets and restricted, and then there was an unrestricted portion that was negative 23,000,000." The general fund balance as of Dec. 31, 2024, was reported at $18,400,000, and the total fund balance across all funds was stated as $46,700,000.

Shirock reviewed the statement of revenues, expenditures and changes in fund balance. He said the general fund showed an increase in fund balance of $3,200,000, while the total change across all funds was a little over $9,000,000. He also noted the city budgeted a $1,200,000 surplus for the general fund but recorded an actual loss of $104,000; overall expenditures ran about $2,000,000 under budget while revenues were approximately $3,300,000 under budget.

On federal funds, Shirock said total federal expenditures for 2024 were a little over $19,000,000 and that auditors performed single-audit procedures on two major programs: the coronavirus state and local fiscal recovery funds and the Community Development Block Grants. He said those single audits covered "almost 95%" of the federal expenditures and that auditors found no findings or questioned costs in those single audits.

Shirock also reported there were two financial-statement findings remaining that were repeats from prior years; the city reduced the prior count from three to two and is working to remedy the remaining items. He offered to answer council questions after his presentation.

Council members asked for details about the findings; staff said they would provide the reporter and interested council members detailed information later in the week. The city manager and council characterized the remaining findings as not material to the financial statements as presented but noted the city takes findings seriously and is working to correct them.

Next steps: staff will follow up with detailed audit findings and answer questions about items the auditor flagged.