Oakland auditors give town a clean opinion, note repeated segregation-of-duties weakness

Carly Kreipelter, an auditor presenting the independent auditors' report, said the audit delivered an "unmodified opinion, which is a clean opinion," meaning the town's financial statements were "fairly stated in all material respects." The auditors reported no material weaknesses but identified one significant deficiency — repeated from the prior year — involving insufficient segregation of duties that allows a single employee to approve, record and account for transactions.

The auditors told the commission they saw notable fiscal changes in the year: total revenues rose by about $1.3 million, mainly from property tax growth and new development on the tax roll, and total expenditures rose by roughly $1.5 million. The net effect was a $403,000 decrease in overall fund balance, though the unassigned fund balance increased to about 48% of current expenditures (roughly five months of spending), above the recommended three months.

Kreipelter said the auditors found no noncompliance with contract or grant agreements and confirmed compliance with Florida Statute 218.415 on investments of public funds. The audit also noted that the Oakland Avenue Charter School — reported as a special revenue fund of the town — overspent its budget by $93,600; that overspend was offset by additional revenue but, per statute, should have been addressed with a budget amendment.

The auditors reviewed recent and prior-year management recommendations. They reported progress on previously noted long‑outstanding internal balances and capital-asset disposal issues; the auditors said the town had resolved the disposal discrepancies noted last year. The report also described new GASB disclosure updates that affected presentation but not calculation of balances.

Commissioners thanked staff for the work to resolve prior findings and heard that management expects to continue addressing the segregation-of-duties deficiency in the coming year.