Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Municipal Finance topic
No spam. Unsubscribe anytime.
Calabasas audit returns unqualified opinion; tennis-and-swim faces capital shortfall
Summary
City auditors issued an unqualified opinion on Calabasas’s fiscal year ending June 30, 2025; the general fund closed with a roughly $1.4 million surplus, but the Tennis & Swim enterprise ran a $186,000 deficit and will need more than $1 million in capital work, officials said.
The Calabasas City Council received an annual financial report showing the city earned an unqualified opinion from its auditors for the fiscal year that ended June 30, 2025, staff told the council March 25.
Ron, the staff presenter, said the auditors—the firm identified in the report as RANDERSON, ROGERS, AND SCOTT (RAMS)—gave the city their "highest rating, which is an unqualified opinion." He told the council the general fund posted roughly $31,900,000 in revenues and $30,500,000 in expenses, leaving about a $1,400,000 positive change.
The report also identified an operating deficit at the Tennis & Swim Center: expenses of about $5,200,000 against $5,000,000 in revenues, producing a roughly $186,000 shortfall in 2024–25. Staff said the council previously increased fees and restructured memberships to reduce that gap and expects the enterprise to approach break-even in the current fiscal year and return to positive in 2026–27. Staff also warned the facility will require significant capital investments, including replacement of a water main and electrical panels; those projects will likely exceed $1,000,000 and be scheduled in the city’s five-year capital plan.
The report flagged one audit finding: bank reconciliations need to be completed more promptly. "There is no issues to report, safe for one," the auditor noted, identifying timeliness of reconciliations as an area for continued attention.
Councilmembers asked staff for additional detail about the Tennis & Swim financials and capital timeline. Councilmember David Shapiro thanked staff for the explanation of metrics and the planned capital strategy; Mayor Pro Tem Ed Albrecht said he will follow up with staff and the auditors at the budget committee meeting.
Because staff characterized the item as "receive and file," no formal motion was required; council accepted the report and will include the capital needs in upcoming budget planning.
Next steps: staff will continue to implement the five-year capital plan and return to council with project prioritization and budget implications.
