Auditor: Pineville had roughly $32 million in cash; audit probes transactions tied to former mayor

Stephen McKay, partner at Rosier, McKay & Willis CPAs, presented the City of Pineville's audit for the year ended June 30, 2024, saying the city held roughly $32,000,000 in cash and cash equivalents and had about one year of expenditures in reserve.

"At the end of the year, we audited 06/30/2024. The city had a little bit more than $32,000,000 in cash and cash equivalents," McKay told the council. He said page 9 of the audit shows total expenses are about the same figure, and that the reserve level represented financial strength.

The auditor told the council the team devoted extra time to transactions related to a consensual relationship between the former mayor and a staff member. "This year has been difficult to audit because the former mayor and chief of staff had a consensual relationship with an employee," McKay said. He added auditors examined credit-card transactions "that are subject to a different set of controls" and reviewed compliance issues tied to those transactions.

McKay framed the audit as a factual review for citizens: "We're retained by the city to work for the citizens. We don't work for the mayor. We don't work for the council. We work for you." He said auditors assess the general ledger for material misstatement, identify areas of risk, and test compliance in those areas.

The presentation outlined the scope of audit work, the city's cash and reserve position, and identified weaknesses in internal control and compliance that the auditors flagged for the council. McKay said the audit team would continue to work with city leadership on corrective steps; the transcript records the presentation but does not list formal remedial actions or an implementation timetable.

No formal council action on the audit was recorded in the meeting transcript. The audit presentation closed after the auditor's remarks and council acknowledgment.