Nye County commissioners approve FY2023–24 audit; corrective action plan filed with state
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Summary
Auditors issued a clean opinion on Nye County’s FY2023–24 financial statements while flagging budget overspends, a repeat capital-asset inventory deficiency and internal-control weaknesses; the commission unanimously approved the audit and an early corrective action letter to the Nevada Department of Taxation.
Dan MacArthur, the county’s external auditor, told the Nye County Board of Commissioners the independent audit of the fiscal year ending June 30, 2024, delivered a clean opinion. "In our opinion, the financial statements referred to above present fairly in all material respects the respective financial position of the governmental activities," MacArthur said during his presentation.
The audit noted multiple budget variances at the function level, including overexpenditures in general government and public works tied largely to retroactive bargaining-unit settlements, and smaller overages in several special funds. MacArthur described a repeat internal-control finding involving the county’s month-end close process and said the capital-asset inventory requirement remains unresolved because the county has not designated and completed work by a responsible manager.
MacArthur called attention to two large, required actuarial estimates included in the financial statements: a net OPEB (other post-employment benefits) obligation of about $58 million for 2024 and an estimated net pension obligation reported at approximately $79,566,000. He emphasized those figures are accounting estimates required for fair presentation and noted that the county’s legal obligation depends on timely payment of PERS contributions to the state.
Comptroller Helen Bai told commissioners the finance office has been meeting weekly with auditors and staff to implement corrective steps. Bai said the county has hired three managers to improve month-end closing and has designated staff to lead the capital-asset inventory effort, and she said the county will propose raising its fixed-asset capitalization threshold above the state default of $3,000 (the staff recommendation is at least $5,000).
Bai also raised the audit’s finding about the Pahrump Golf Course enterprise fund, which exceeded its budget by $135,188 in 2024 due to higher-than-expected service and supply costs. She said the board will be presented with proposed financial options and a recommended plan for the golf course at or before the April 8 budget workshop.
Former commissioner Frank Carboni, speaking during general public comment, praised the audit team and county staff for their work. "The report looks good," Carboni said, thanking staff and auditors for their efforts. On the phone, Caroline Logue asked that the library audit be scheduled for a public meeting so the library board and the public can review it; the board said the library item was closed for the current agenda and should be placed on a future agenda.
On formal action, a commissioner moved and seconded to approve the FY2023–24 audit prepared by Daniel MacArthur LTD; the board voted unanimously and Chair Boskovich announced the motion carried 5–0. The board also discussed and then approved a corrective action letter to submit to the Nevada Department of Taxation under NRS 354.6245; Comptroller Bai said the county submitted the corrective action plan early at the department’s request.
What’s next: the county will file its corrective action letter with the Department of Taxation, continue its weekly audit/correction meetings, present a proposed capital-asset inventory plan and a recommended change to the capitalization threshold, and bring options to address the golf course deficit to the April 8 budget workshop. The board adjourned shortly after noon.
