El Paso trust accepts Baker Tilly annual audit after discussion of related‑party disclosures
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Summary
The retirement trust board accepted Baker Tilly’s audit for the fiscal year ended Aug. 31, 2025, after auditor and counsel said standard footnote narrative can disclose the trust‑city relationship; board authorized release of the ACFR.
The City of El Paso Employees Retirement Trust voted Jan. 31 to accept an annual audit prepared by Baker Tilly US LLP and authorize release of the Annual Comprehensive Financial Report.
Corey Hogan, a principal at Baker Tilly, and Aaron Hamilton, senior manager, told the board the engagement was completed under an accelerated timeline after a mid‑November contract start. They said the firm planned to issue (pending board approval) an independent auditor’s report and a report on internal controls and that they expect to issue an unmodified (clean) opinion. Baker Tilly reported no audit adjustments or uncorrected misstatements and confirmed independence from the trust.
Board members asked whether additional footnote narrative should more explicitly describe the operational relationship between the trust and the city. Baker Tilly and counsel Robert Ash said the trust is a component unit of the city and that the relationship is reflected in testing; they said a related‑party footnote or narrative could be included in the ACFR if the board wanted greater clarity, but they did not identify a statutory requirement for additional disclosure beyond standard practice.
After discussion the board (motion by Carl, seconded by Representative Canales) voted to accept the audit and authorize its distribution to interested parties. No dissenting votes were recorded in the meeting minutes on the motion.
The audit acceptance completes the trust’s year‑end reporting steps; the audit will be attached to the ACFR and submitted to the city and other stakeholders per usual procedures.
