Auditors give Kasson City an unmodified (clean) opinion for 2024

Kaylee Lent of Smith Schaeffer told the Kasson City Council the firm was issuing an unmodified opinion on the city's 2024 financial statements, describing the report as a clean audit that shows the statements are fairly stated in accordance with GAAP.

Lent summarized key revenue and expenditure items: taxable tax capacity is about $7.3 million; property tax levy accounts for roughly 51% of governmental revenues; tax collections this year were about $4.2 million with a levy increase near $228,000. She said local government aid (LGA) increased in 2024 but is likely to flatten in 2025, and she pointed to tax increment revenue tied to recent assisted-living development.

On the spending side, the audit report showed general government costs near $544,000, public safety around $1.6 million and culture and recreation about $1.5 million. Lent said public safety expenditures fell modestly due to staffing changes and that public works costs dropped with less snow removal. She described several enterprise and special funds, noting the general fund unassigned balance was roughly $3.4 million (about 68% of next year's budgeted expenditures) and highlighted that utility rates are currently covering operations and depreciation across water, wastewater, electric and stormwater funds.

Lent also reviewed the city's long-term obligations and pension metrics: no new bonds were issued in 2024; bonds outstanding were presented; and police and fire plan funding ratios were around 89–90%, with the fire relief plan showing a net pension asset.

After the presentation the council moved to accept the 2024 audit. The motion carried on a voice vote.

The audit's hard-copy financial statements were handed to council members and staff noted additional detail had been reviewed earlier with finance staff. The council accepted the audit and the auditor said she would make the full financial statements available for members who wanted to review them in greater detail.