Auditors give Centennial School District an unmodified opinion; board accepts audit

Bob Kaufman, an audit manager with CLA, told the Centennial School District board that the 2025 audit produced unmodified opinions on the district’s financial statements and on the major federal program (the child nutrition cluster).

"You had unmodified opinions, which are the best opinion that you can get in an audit," Kaufman said, adding the auditors did not identify any material weaknesses or significant deficiencies in internal control over financial reporting or the major federal program. He noted the audit used a risk-based approach and covered key estimates including self-insurance and pension and OPEB liabilities.

Kaufman explained that the district implemented two new Governmental Accounting Standards Board standards this year — on compensated absences and on certain risk disclosures — and that the implementations did not materially change the audit opinions. He summarized financial highlights, saying the general fund balance was "approximately $12,400,000," described a modest decrease in the change in fund balance (about $280,000), and said the district’s net position increased by approximately $600,000 over the year.

The acceptance of the audited financial report was included on the consent agenda and moved forward with the other consent items during the meeting.

Why it matters: An unmodified opinion signals that the independent auditors found the district’s financial statements to fairly present its financial position and that no material internal-control failures were detected in audited areas, which is relevant to the board’s fiduciary oversight and to public confidence in the district’s stewardship of funds.

What’s next: Kaufman described the remaining audit steps — final reviews, management representation letters and formatting — before the report is finalized and delivered to governance.