Cody council accepts 06/30/2025 audit, auditor gives "plus" rating

James Sackman, the auditor introduced to the council by finance staff, told the Cody City Council the independent audit of the city's financial statements for the year ending June 30, 2025, resulted in a clean opinion and no material weaknesses in internal control. Sackman said auditors found the city complied with requirements for its major federal programs.

Sackman told the council the city reported roughly $2,800,000 in federal expenditures during the year and is meeting the applicable federal compliance rules. He summarized reserve levels across funds: general fund reserves at about 9.5 months (the auditor noted a typical target of six to 12 months); sanitation about 16.3 months; water roughly 22.6 months; wastewater about 42.6 months; and electric about 13.2 months. He also noted long-term debt of $3,467,000 related to phases 1 and 2 of the wastewater treatment facility.

"We would call this a plus rating on your audit," Sackman said, adding the city is covering 100% of depreciation recovery in the enterprise funds as required by state statutes.

Leslie Bremerich, the staff member identified in the meeting as the finance contact, was thanked during the presentation; the auditor praised her and staff for preparing the financial statements. The council had no questions following the presentation and the chair announced the motion to accept the audit report passed.

Why it matters: A clean audit and healthy reserve levels provide the council and residents with assurance about the city's financial position and compliance with federal and state rules. The audit also notes planned or expected spending in enterprise funds tied to infrastructure projects.

Next steps: The council accepted the audit; no follow-up actions or votes on audit-related recommendations were recorded in the transcript.