Auditor issues clean opinion on Purcellville FY2024 finances; town reports strong fund balance

Michael Lupton, partner in charge of the FY2024 audit for Robinson Farmer Cox Associates, told the Purcellville Town Council the firm is issuing an unmodified opinion on the town’s financial statements for the year ended June 30, 2024.

“The opinion that we are rendering is an unmodified opinion,” Lupton said, adding that audit procedures found the statements to be materially correct under generally accepted accounting principles. He told the council auditors identified no disagreements with management and no material internal control deficiencies requiring disclosure.

Lupton walked the council through key metrics. Governmental funds showed total assets of a little over $25,000,000, liabilities of a little more than $7,500,000, and total fund balances of about $14,000,000. The town’s unassigned general fund balance was reported at $10,800,000 against general fund expenditures of roughly $13,400,000 — a ratio Lupton said works out to about 75% of revenues and well above the town’s 30% target.

Council members pressed staff and the auditor about proprietary (utility) fund accounting differences. Lupton said unrestricted net position for the utilities was about $11,400,000, operating revenue near $6,000,000 and an operating loss of roughly $923,000 for FY2024; he emphasized that the loss is driven largely by noncash depreciation (about $1,380,000) rather than cash operating shortfalls.

The audit also included a single‑audit review of federal major programs required under uniform guidance; Lupton reported no instances of noncompliance for the town’s coronavirus state and local fiscal recovery (ARPA) program. The presentation concluded with staff and council discussing projected increases in debt service beginning in FY2025 and the need to manage utility cash coverage going forward.