Finance committee receives clean audit; city fund balance up, cable fund flagged for decline

The Livonia Finance and Budget Committee reviewed Plant Moran’s independent audit of the city’s financial statements for the fiscal year ending Nov. 30, 2025. Committee chair Council member Tashnick summarized the audit packet and highlighted key findings from the auditor’s presentation.

The auditor provided an unmodified opinion — commonly referred to as a clean audit — and reported a $2.1 million increase in the general fund during fiscal 2025, bringing the balance to about $20.2 million (roughly 28% of current year expenditures). Plant Moran noted that general fund performance exceeded the amended budget by roughly $3.2 million, driven in part by lower police department spending due to vacancies.

Auditors called out two minor, immaterial misstatements that the city elected not to adjust because they did not affect the audit opinion. They also flagged two areas for attention: the cable television fund, which declined from more than $860,000 in 2021 to roughly $70,000 and may require evaluation of staffing and service levels; and a federal cash‑management policy finding that lacked a written policy during the audit period (the finance director has since drafted a policy).

Auditors recommended vigilance on cybersecurity and IT controls, noting enhanced risks from increasingly sophisticated threat actors and advising periodic outside testing. The committee recommended receiving and filing the audit report as submitted.

What it means: the clean opinion indicates the city’s financial statements fairly present its position; several non‑material items and declining special‑fund balances were raised as areas for operational attention during the upcoming budget cycle.