Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the County Finance Audit topic
No spam. Unsubscribe anytime.
Northumberland County seeks interim finance support as reconciliation gaps raise audit concerns
Summary
County and school leaders told a joint finance meeting they have unresolved reconciliation gaps across multiple systems, are hiring interim finance support (an interim director plus administrative help), and will delay closing fiscal records and certain budget approvals until reconciliations and audits clarify balances.
Northumberland County supervisors and school officials said at a joint finance meeting that they will hire outside finance support after staff flagged major reconciliation problems across the county and school systems, and that the county will avoid closing fiscal-year records until the discrepancies are resolved.
The board’s Chair opened discussion of a planned contract with a consulting firm that would provide two levels of help: an interim director of finance and administrative support to clear backlog work. "One is the interim director of finance, and the second part to that is administration type of support from the same firm," Tom Hinson said.
A county finance lead warned of "some serious risks on the reconciliation side," saying the division must perform a full "top to bottom reconciliation" of revenue and expenditures before it can responsibly close the fiscal year. He described mismatches between the county’s recorded sales-tax revenue and the state report—"there's almost a $350,000 difference"—that must be investigated.
Board members and school leaders debated the necessary skill set for any consultant. Several officials said the work requires school-finance expertise beyond general accounting because state reporting, excess-cost calculations and the annual school report (ASR) reflect school-specific rules. "They have to understand how the finances work at the school level and what percentages go towards salaries," one committee member said, noting the ASR could take at least six weeks of dedicated effort.
Members also discussed governance: whether the county finance director should hold a dual county/school role or whether a separate school liaison or finance manager should be created. The group agreed to convene a follow-up meeting to define the consultant's scope and the division of responsibilities between the county director, a proposed school finance manager and the county administrator.
The board directed staff to prepare a timeline for soliciting consultant proposals and for auditing schedule alignment: staff recommended issuing the audit RFP by Sept. 1 to have a contract in place by December so audit work can begin on the FY27 cycle.
The Chair closed by scheduling follow-up meetings and emphasizing the priority of reconciling accounts before making major appropriations or closing the year’s books.
