Brazos River Authority accepts FY2025 financial report after clean audit; board approves routine financial and administrative items
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Summary
Auditors gave the BRA an unmodified (clean) opinion on the FY2025 annual comprehensive financial report. The board accepted the ACFR, filed the report with the Texas Commission on Environmental Quality, and ratified routine items including the investment policy, 2026 two‑tier replacement water rates, TexShare purchasing coop participation and disposition of surplus property.
The Brazos River Authority board accepted its FY2025 Annual Comprehensive Financial Report (ACFR) on March 30 after auditors from Baker Tilly issued an unmodified opinion.
Michelle Gerois, the authority’s chief financial officer, reviewed the ACFR and described the document as historical, prepared in conformity with generally accepted accounting principles and intended to provide reliable financial information to the board, customers and stakeholders. The ACFR includes a transmittal letter from the general manager, required financial statements, management’s discussion and analysis, and a statistical section.
Aaron Worthman, the lead audit principal from Baker Tilly, summarized the audit scope and procedures, including controls testing, substantive procedures and financial reporting review. He said the audit team performed roughly 400 hours of fieldwork, found no material weaknesses or significant deficiencies in internal control, no adjusting journal entries were required and issued a clean (unmodified) opinion on the financial statements. Worthman noted that the firm carries out information‑technology testing as part of internal controls and highlighted three significant accounting estimates — accrued compensated absences, net pension asset/liability, and depreciation of fixed assets — which governance should monitor.
The board approved a resolution accepting the ACFR and designating the chief financial officer to file the report and required affidavits with the Texas Commission on Environmental Quality.
The board also moved through a set of routine financial and administrative items that staff recommended for approval. Those items included annual review and adoption of the BRA Investment Policy (required under the Public Funds Investment Act), ratification of the 2026 two‑tier replacement water supply rates (election‑use water moving from $30.76 to $31.19 per acre‑foot; option/use water moving from $15.38 to $15.59 per acre‑foot), authorization to participate in the North Central Texas Council of Governments TexShare cooperative purchasing program (no cost to BRA), and approval to dispose of specified surplus property via auction or other disposition methods.
Michelle Gerois said required filings and outreach materials will be posted on the BRA website and made available to customers upon request. The board approved the ACFR and the other routine items by roll call vote.
