Auditor gives Ventura LAFCo a clean FY2025 opinion; commission receives report

Factor and Company presented a clean audit of Ventura LAFCo’s financial statements for the year ended June 30, 2025, and the commission voted to receive and file the report.

Michael Fink, the lead auditor, told the commission the engagement produced an unmodified opinion and no reportable material weaknesses in internal control. “We had a clean opinion. There were no departures from GAAP,” Fink said, adding the audit proceeded smoothly with readily available documentation and few adjustments.

The auditor disclosed a single accounting change: removal of a compensated‑absences liability from the commission’s beginning balance because the related benefits were not recorded on the commission’s books. Fink described the adjustment as a beginning‑balance change to correct the presentation and said no other significant matters required attention.

Commissioners pressed the auditor on items that exceeded budget. Commissioner Talmadge asked about higher‑than‑budgeted spending for geographic information system (GIS) services and whether the commission would need a budget amendment. “So I assume that there will be a budget adjustment and that would be reflected in a future audit?” Talmadge asked. Fink said the GIS vendor changed its billing practices recently and that, while the line item exceeded the adopted budget, available funds exist to cover the work and auditors found no evidence of waste, fraud or abuse in 2025.

On audit methodology, Commissioner Hassan asked how the firm selects transactions for testing. Fink explained auditors calculate a materiality threshold, use professional judgment, and perform trend and risk‑based procedures; because the commission has a relatively small transaction volume, auditors reviewed a larger proportion of items than they would for bigger organizations.

Following the presentation and questions, Commissioner Perello moved and a second was given to receive and file the audited financial statements; the motion carried on a voice vote with no recorded opposition. The commission’s staff noted the FY2026 proposed budget will be presented in April with final adoption in May and June as required by state law.

The commission’s next steps: staff will present the proposed budget at the April meeting and the final budget in May; the audit will be posted as received and staff will consider whether any budget updates are needed in light of changed vendor billing for GIS services.