Citizen Portal
Sign In

Get Full Government Meeting Transcripts, Videos, & Alerts Forever!

Auditors issue "disclaimer of opinion" on 2022 city audit, cite $9 million clearing account

City Council · June 24, 2024
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

External auditors told Neptune Beach City Council they could not render an opinion on most 2022 financial statements after finding essentially all revenues posted to a single miscellaneous account (reported at over $9,000,000) that auditors could not fully reconcile; council and staff described the issues as bookkeeping problems and outlined steps and a timetable to fix them.

Mayor Brown convened a special meeting on the 2022 audit and heard from the city's external auditors, who said they issued a "disclaimer of opinion" on most of the 2022 financial statements because of unresolved accounting in a single miscellaneous income clearing account.

The lead auditor told the council the audit covers Oct. 2021 through Sept. 2022 and that "essentially all revenues of the city were deposited and are recorded in 1 miscellaneous income account in the general fund." The auditor said "that account had over $9,000,000 in it" when the firm began its work and that auditors "could not identify the remaining half $1,000,000 in that account of revenue that's been recorded," a reconciliation shortfall that prevented the firm from rendering an opinion.

The auditors stressed that a disclaimer of opinion does not necessarily indicate fraud. "We didn't find any instances of anything fraudulent or…

Already have an account? Log in

Subscribe to keep reading

Unlock the rest of this article — and every article on Citizen Portal.

  • Unlimited articles
  • AI-powered breakdowns of topics, speakers, decisions, and budgets
  • Instant alerts when your location has a new meeting
  • Follow topics and more locations
  • 1,000 AI Insights / month, plus AI Chat
30-day money-back on paid plans