John Paul Escivalia, the presenting auditor, told the Finance & Audit Committee that the district received an unmodified (clean) opinion on the fiscal year 2025 audit, meaning auditors found the financial statements to be materially correct after audit procedures.

"We were able to issue an unmodified or clean audit opinion for the fiscal year 2025 audit," John Paul said. He noted the audit includes separate components: the general financial-statement audit (already submitted to the state) and the single-audit procedures over federal awards, which remain in progress because the federal compliance supplement this year was delayed and one program (refugee/entrant assistance) required additional testing.

John Paul said there were no findings rising to the level of a material weakness or significant deficiency in the work completed, and no audit adjustments were required to reach the unmodified opinion. The single audit covers major programs (the district received about $33,000,000 in federal awards in 2025), and staff and auditors are working to finalize the remaining testing before the federal deadline in March.

On longer-term disclosures, John Paul summarized that the financial statements present net pension and OPEB liabilities required by governmental accounting standards. He described a roughly $700,000,000 net pension-liability (an informational figure allocated to the district as part of Colorado PERA disclosures) and noted OPEB reporting on the order of $10,000,000.

Committee members praised staff and auditors for timely work and the quality of recordkeeping that supported a smooth audit process. The auditor said governance communication letters and best-practice recommendations will be communicated to management for follow-up.

Next steps: auditors will complete single-audit testing and issue the associated reports before the federal deadline; management will follow up on non-reportable best-practice suggestions.