Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Audit Findings topic
No spam. Unsubscribe anytime.
Independent audit finds minor recordkeeping and timing issues in Flower Mound impact-fee program
Summary
An independent audit covering FY2021–FY2024 found that one sampled permit lacked backup documentation, one fee was charged $6 above the schedule and some projects were not consistently tracked against the 10-year statutory spending window; staff described corrective steps and will present the audit at a Town Council public hearing on April 20.
Town staff presented an independent impact-fee audit that identified minor recordkeeping and tracking issues and outlined corrective actions.
Lee Rodriguez, the town’s capital projects and tourism manager, summarized the agreed‑upon procedures engagement covering FY2021–FY2024 that Baker Tilly conducted under the legislative changes described in Chapter 3 95 of the Texas Local Government Code. The audit examined 10 statutory procedures, and staff provided the full report in the committee backup materials.
Rodriguez said auditors sampled 40 permits and were unable to locate backup documentation for one permit. He also reported one permit’s revenue had been recorded in the wrong service area (staff will transfer the funding to the correct account) and one permit was charged $6 more than the town’s fee schedule because of a clerical error. Rodriguez described staff’s response: improve recordkeeping and retention, add redundancy if necessary, and transfer the misallocated amount to the correct service area.
The audit also found the town had not consistently tracked the statutory requirement to spend recoverable impact-fee proceeds on qualifying projects within 10 years; staff said they identified several capital projects likely to exceed the 10-year window and at least one developer-built project that had not been included in the fee study. Rodriguez said staff will reconcile completed projects, seek opportunities to reimburse town funding sources from impact-fee receipts where appropriate, and prioritize using impact-fee funding first going forward to maintain compliance with the 10-year requirement.
Rodriguez characterized the findings as minor and consistent with issues other municipalities have experienced; the committee had no action before it on the audit but was informed that Town Council will consider the audit in a public hearing on April 20.
