Gilbert Unified board accepts FY2025 financial report after auditor delivers clean opinion
Summary
External auditor Heinfeld Meach reported an unmodified (clean) opinion on Gilbert Unified's FY2025 financial statements; the board accepted the Annual Comprehensive Financial Report by roll call at the Jan. 6 meeting after brief discussion of net pension liabilities and accounting estimates.
Gilbert Unified School District's governing board voted unanimously on Jan. 6 to accept the district's FY2025 Annual Comprehensive Financial Report after an external auditor delivered an unmodified opinion.
Jennifer Shields, principal auditor with Heinfeld Meach, told the board the audit produced a clean (unmodified) opinion, noting two audit adjustments that management had made: reconciling employee benefit trust claim expenses and addressing timing differences in state equalization postings. "Our opinion is in fact unmodified," Shields said during her presentation.
Ms. Betts and Dr. McCord joined the presentation. Ms. Betts summarized the district's operating position, reporting an available maintenance-and-operations balance of just under $4 million based on encumbrances and expected spending. The ACFR shows an ending net position of $420,700,000 but also discloses a roughly $56.8 million negative unrestricted balance, a presentation driven by the district's proportionate share of Arizona State Retirement System liabilities.
Shields and district staff explained that the net pension liability is an actuarial accounting measure required on government-wide financial statements and does not mean the district must immediately pay that dollar amount to the retirement system. The auditor also noted the district successfully implemented GASB Statement No. 101 related to compensated absences and described the most significant estimates used in the financial statements, including useful lives for depreciable assets and actuarial assumptions for pension and benefit liabilities.
After the presentation, Board Member Jill Humphreys moved to accept the FY2025 ACFR; Jesse Brainard seconded. The board took a roll-call vote and recorded ayes from Chad Thompson, Jill Humphreys, Jesse Brainard, Blake Robeson and Sheena Murray. The board also discussed next steps for single-audit schedules and federal reporting, which the auditors said would be provided to the district in the coming weeks.
The board scheduled no further action at the public meeting on the audit itself; staff will proceed with required federal reporting and follow-up.
