The Riverhead Central School District’s audit committee reported Oct. 29 that external auditors from the Bonadio Group issued an unmodified (clean) opinion on the 2023–24 financial statements, but the district’s net position shows a $69,800,000 deficit mainly tied to long‑term employee benefits.

Alan Walter of the Bonadio Group reviewed the draft external audit at an Oct. 15 committee meeting and told the board the unmodified opinion is the highest professional opinion an auditor can give. The committee report said Riverhead’s unassigned fund balance is 3.87%, keeping the district within New York State’s 4% limit.

The committee noted other items: a favorable variance in some budget lines, a well‑managed food service program, and a substantial amount of cash activity in extra‑classroom accounts. The district reported short‑term note (TAN) borrowing of $10,000,000 and $18,000,000 for 2024–25 cash flow management, both described at a 3.21% interest rate.

Committee members said required ST‑3 financial reports for 6/30/2024 were filed ahead of the Sept. 30 deadline and no state or federal aid is at risk of being withheld. The district maintained a Moody’s rating of AA2, the report said.

No action beyond the committee report was taken at the meeting; the audit committee will provide a fund balance report to guide future decisions and the business office will discuss potential changes to purchasing thresholds and other policies with the board.