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Board authorizes agreed‑upon procedures engagement for Parrot Island operations; residents ask to expand scope
Summary
Fort Smith authorized Forvis Mazars to perform agreed‑upon procedures on Parrot Island operations (estimated $30,000–$40,000). Public commenters urged inclusion of 2023 and 2024 records; staff said cutoff procedures for 2024–2025 are included and that the scope can expand if findings warrant.
The Fort Smith Board of Directors on Feb. 3 approved a resolution to contract with Forvis Mazars LLP to perform agreed‑upon procedures focused on Parrot Island Water Park operations, including testing of transactions, timeliness of payments, financial analytics, and recalculation of management compensation.
Director of Internal Audit Amanda Strange said the procedures had been refined to align with professional standards and estimated the cost at $30,000 to $40,000 to be paid from the water‑parks operating account. She said the procedures include cutoff testing that will examine amounts owed in 2024 and payments recorded in 2025, and that the engagement could be expanded to earlier years depending on findings.
During public comment, Kim Fodge urged the board to include 2023 and 2024 in the audit, citing accounts‑payable lists that showed unpaid invoices and a 2024 profit‑and‑loss loss of $298,000. Dan Williams supported considering additional years if discrepancies appear.
Board members asked about auditor independence and what would happen if the auditor could not obtain requested documentation. Strange said Forvis Mazars is independent and that the engagement report would note any inability to perform procedures or obtain documentation. The board adopted the resolution (roll call: 7–0).
