Auditor gives Sheldon ISD a clean opinion on FY2025 financial statements

Sheldon Independent School District’s auditors, Whitley Penn, presented the fiscal year 2024–25 financial statement and Federal single audit to the board and announced an unmodified, or clean, opinion on the district’s financial statements and major federal programs.

"I'm happy to announce that the district does have an unmodified or clean opinion over the financial statements," Brooke Fuller, senior manager with Whitley Penn, told the board. Fuller said the audit identified no material weaknesses, no significant deficiencies and no instances of noncompliance material to the financial statements. The firm also reported an unmodified opinion on compliance for the district’s major federal programs (Special Education Cluster, 21st Century Community Learning Centers and FEMA disaster grants).

Fuller reviewed the district’s government‑wide position and general fund activity: total assets and deferred outflows of $714,100,000 (an increase driven mainly by cash, investments and capital assets), liabilities and deferred inflows of $672,300,000, and a net position increase to $41,700,000 for FY2025. The general fund reported $129,000,000 in revenues (47% from state aid and about 44% from property taxes) and $136,200,000 in expenditures, producing a planned decrease in the child nutrition fund and an unassigned general fund balance of about $35,000,000 (approximately 25.7% of general fund expenditures).

Fuller noted the audit’s required communications: the district implemented GASB Statement No. 101 (compensated absences) in FY2025, management’s estimates have a reasonable basis, and the audit encountered no difficulties with management. Fuller also said the firm had identified two risk areas commonly present at public entities — management override of controls and improper revenue recognition — but reported no findings related to those risks for this audit period.

Trustees thanked finance staff (named in the presentation as George and Tammy Gibson) for their cooperation. After brief questions, the board moved to approve the financial statement and audit report as presented; the transcript records the motion as passing with one trustee noted as opposed in the roll‑call sequence, though the board recorded the report as accepted.