Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Budget Audit topic
No spam. Unsubscribe anytime.
External auditor gives Franklin Regional SD an unmodified opinion; general fund balance falls after transfers
Summary
Independent auditor Mark Turnley presented the FY24–25 audit, reporting an unmodified (clean) opinion, a general fund balance of roughly $14.55 million with an unassigned portion of ~8.9%, and a shift to a deficit in the food service fund driven by lower subsidies and higher expenses.
At the March 23 meeting, independent auditor Mark Turnley presented Franklin Regional School District’s FY24–25 audit, telling the board the firm issued an unmodified — commonly called a "clean" — opinion on the district’s financial statements.
Turnley told the board overall general fund balance dropped to about $14,549,000. He attributed the decrease primarily to transfers into the capital reserve fund (the district transferred $3 million into capital reserve in FY24–25) and higher expenditures in instructional and support services. Turnley said the unassigned portion of the general fund — the money not earmarked for a specific purpose — was about 8.9% of the budget as of June 30, 2025.
Turnley also highlighted the food service fund, which moved from a positive net position last year to a negative net position in FY24–25. He said operating expenses rose by approximately $104,000 while federal and state subsidies declined by about $134,000, which together explain the fund’s deficit.
The auditor noted forthcoming changes in governmental reporting (new GASB requirements for 2025–26) that will require additional transparency in budget‑to‑actual reporting and explanations for material adjustments.
Why it matters: An unmodified opinion indicates the auditor found the district’s financial statements presented fairly under the applicable accounting framework. At the same time, the board saw that the district’s unassigned reserves sit near policy thresholds and that food service operations require attention because of reduced subsidies and increased operating costs.
"What we've issued this year is what we have in the past — what's known as an unmodified opinion," Turnley said. "In the old days they used to call that a clean opinion."
