Colfax auditors issue clean opinion on FY 2024–25 finances; general fund grows, sewer reserves rise
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Summary
External auditors presented the fiscal year 2024–25 audit to city council and issued a clean opinion. The city saw revenues exceed expenses across governmental activities, an improved general‑fund balance and increased sewer‑fund reserves; auditors recommended updating the capital asset policy.
Richardson & Company LLP summarized the City of Colfax's FY 2024–25 independent audit for the council on Feb. 11 and issued a clean opinion on the financial statements and a clean internal‑control and compliance report. Auditor Ingrid Shepline said the city's governmental activities showed net revenue exceeding expenses by about $3.3 million, including roughly $1.8 million in capital grant revenue for road projects.
Shepline reported the general fund ended the year with an increase of about $1.9 million and an undesignated general‑fund balance of approximately $5.6 million. The sewer fund showed reserves around $3.6 million. The auditors noted an unfunded pension liability of about $2.24 million and that the only city debt relates to sewer system upgrades, with a loan balance around $5.7 million and annual principal payments of about $400,000.
On internal controls the auditors reported no material weaknesses and issued a management letter with one recommendation: revise the capital asset policy to specify useful lives and standardize disposal approval. The report also noted four adjustments made during the audit process and compliance with federal requirements for Community Development Block Grant funds received during the year.
Treasurer Tim Ryan asked for a plain‑English grade; the auditors and council characterized the results as a positive report reflecting strong recordkeeping and a healthier reserve position. The council accepted the audit as presented.
