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Auditors give Warrenville clean FY2025 opinion; pension funding edges up to 73.7%
Summary
Lauderbach & Hamann presented an unmodified audit opinion for fiscal year 2025, reporting a $1.63 million increase in the general fund and a police pension funded ratio of 73.7% with a net pension liability of $11.4 million; auditors offered follow-up with actuaries.
Brad Porter, an auditor with Lauderbach & Hamann, presented the city’s FY2025 audit and told the Warrenville City Council the firm issued an unmodified (clean) opinion on the city’s financial statements.
The audit shows the general fund’s net change in fund balance for FY2025 was an increase of $1,630,000, or about 12% over the previous fiscal year, Porter said. He also noted the city received a Government Finance Officers Association Certificate of Achievement for its FY2024 financial reporting.
The audit’s pension schedules show a total future pension liability of $43,400,000, plan assets of $32,000,000 and a resulting net pension liability of $11,400,000 for the police pension. Porter reported the plan’s funded ratio improved to about 73.7% for FY2025, up from roughly 70.5% the prior year.
"We have issued the city what is known as an unmodified opinion," Porter said. "We believe the financial statements to be presented fairly in all material aspects." He added that auditors identified no internal control weaknesses in the current audit cycle and that management has responded to a handful of prior recommendations included in the management letter.
Council members asked several technical questions about pension funding and actuarial assumptions. Porter explained that funded ratios and recommended contribution amounts depend on actuarial assumptions and plan demographics, and he offered to arrange a follow-up call with the actuaries for any council member seeking more detail.
The audit packet distributed to council includes the independent auditors’ report, management’s discussion and analysis, pension schedules and the full comprehensive financial report. The council accepted the report and had no formal follow-up votes on audit acceptance during the meeting; the auditor left contact information for additional questions.
The next steps flagged during the meeting were (1) follow-up conversations about actuarial assumptions for the police pension for council members who requested them and (2) staff continuing routine financial monitoring and reporting as described in the audit.
