Lazaro Aleman
ECB Publishing, Inc.
The City of Monticello’s financial state remains healthy, according to the latest annual audit report from James Moore and Company.
CPA Ben Clark, of James Moore, presented the findings of the independent audit to the Monticello City Council on Tuesday evening, Feb. 3. The audit covered the fiscal year that ran from Oct. 1, 2020, to Sept. 30, 2021.
The 60-plus-page document included the independent auditor’s report, a schedule of the findings, a mandatory management letter and an independent accountants’ examination review.
The audit found the city’s fund balance to be $1,469,130 on Sept. 30, 2021, compared with $951,380 in September 2020 and $787,502 in September 2019.
It listed the total assigned and unassigned fund balance at $1,296,161 and put expenditures and transfers-out at $3,063,436.
It listed the percentage of the assigned/unassigned fund balance, as a percentage of the expenditures and transfers-out, as 42.31 percent, compared with 29.42 percent for the prior year.
The Government Finance Officers Association (GFOA) recommends a two months minimum of at least 16.7 percent for the assigned/unassigned fund balance, which puts the city well above that percentage.
The city had total revenues of $3,561,667 in the general fund in 2021, a gain of $1,102,379 over the previous year, which had total revenues of $2,459,288.
On the outgoing side, the city had expenditures of $3,063,436 in the general fund in 2021, compared with $2,295,410 in the prior year, a difference of $768,026.
In terms of revenues to expenditures, the city had excess revenues of $498,231 in 2021, compared with excess revenues of $163,878 in 2020.
And in terms of its net position, which consists of restricted, unrestricted and net capital, the city’s total was $4,169,138 in 2021, compared with $3,375,056 in 2020 and $2,878,420 in 2019.
Regarding the proprietary funds, which encompasses the water and sewer business type funds, the audit found the unrestricted net position in this fund to be $605,495 in September 2021, compared with $428,955 at the same time in the previous year and $432,617 in 2019.
Clark noted that going forth, revenues from impact fees would have to go into a separate account because of a new state law.
“Overall, it’s a good report and another good year for the city,” Clark said of the audit, noting that the reserve was 47 percent above the minimum recommended, which he called a good thing.