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City auditors give Joplin an unmodified opinion; auditors flag prior-period restatement and internal-control weakness
Summary
External auditors presented the 2024 financial-statement and single-audit results to the Joplin City Council: an unmodified opinion was issued, auditors noted prior-year misstatements and a material weakness related to capitalization/accounts-payable cutoffs, and single-audit work on ARPA showed no findings. The police-and-fire pension funded ratio improved to 90.1% in 2024 with projections to reach 120% by 2027.
Jonathan Nybarger of AGH presented the results of the city's 2024 audit to the Joplin City Council on June 7, saying auditors issued an unmodified (clean) opinion on the financial statements. "We issued an unmodified opinion," Nybarger told the council, noting that an "emphasis of matter" paragraph references a restatement in footnote 16 that corrected prior-year capital-assets and accounts-payable reporting.
Nybarger described two uncorrected misstatements that auditors considered immaterial to the overall opinion: a roughly $835,000 timing difference related to the police-and-fire pension employer contributions and a roughly $175,000 understatement in sewer-fund accounts payable. He also said auditors identified a material weakness in internal controls related to capitalization and account cutoffs, and recommended management review accounts-payable processes and cutoffs to reduce misstatement risk.
Finance Director Leslie Hawes summarized component reports: the Joplin Sports Authority net position decreased from 2023 to 2024; the pension actuary (GRS) reported the funded ratio rose from 79.5% at the end of 2023 to 90.1% at the end of fiscal year 2024, with projections indicating the plan could reach a 120% funded status by early 2027 assuming current sales-tax projections. Hawes also reported two active TIFs (17 Marketplace/15th Street and 32nd Street Place) with updates on construction and anticipated repayment timing.
Council members asked no substantive follow-ups after the presentation. Auditors and staff said the single-audit of federal awards (ARPA funds) received an unmodified opinion with no findings.
Next steps: staff will consider the auditors' recommendations for accounts-payable cutoffs and internal controls, and the council will receive any required follow-up reports or corrective plans.
