Morganton council accepts clean audit; auditor flags depreciation disclosure for LGC
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Summary
Council accepted the annual audit containing an unmodified (clean) opinion. Auditor highlighted strong fund‑balance figures and noted accumulated depreciation exceeding 50% triggers a Local Government Commission disclosure and recommended corrective action planning.
Morganton’s city auditor presented the annual audit at the Dec. 1 meeting, reporting an unmodified (clean) opinion and no findings.
The auditor pulled out key figures: a reported general fund balance of $48,000,003.97, a strong trend in fund balances, and a current‑year collection percentage of 97.44. He noted accumulated depreciation exceeded 50% of total fixed assets, which requires an LGC disclosure even if not a management concern; he recommended an engineering study if the city wished to address the disclosure more formally.
"We issued an unmodified report, which is, quote, unquote, clean report with no findings," the auditor said. Council moved to accept the audit and voted in favor.
Councilmember Jesse (speaker 14) said the city must respond to the Local Government Commission with a corrective action plan; he said the city will submit the required response within the required period and noted the city has an adopted capital improvement plan and active master plans for water and sewer.
Council approved acceptance of the audit by voice vote.
