Daleville audit shows city’s good financial health

By Cassie Gibbs cgibbs@southeastsun.com

Daleville audit shows city’s good financial health
During its regular meeting on Tuesday, July 18, the Daleville City Council received the results of its annual audit performed by Carr Riggs & Ingram, which showed the city to be in good short-term and long-term financial health.CPA Keith Hundley presented the audit and the accounting group's opinions to the council."Overall, we issue what's called an unmodified opinion, which is clean opinion," he said. The opinion was previously called an unqualified opinion. "That's overall. What that means is that your financial data that is presented here, your financial numbers, fairly represent the financial position of the city as of Sept. 30, 2016."The city's business-type activities and non-major fund for the rescue squad received a qualified opinion from the group."This is a repeat from last year," he said. "We've had issues in the past related to not being able to get sufficient documentation to test the revenue generated by the rescue squad for us to be comfortable issuing an unqualified opinion. I think what you will see in 2017, what we hope to see in 2017, is that will go away."The city has made improvements and implemented things. I know there were changes made in 2016, but they were made far enough into the year that we still had issues with some of the documentation. So, I'm hoping in 2017, since we've had these changes now in effect the entire year, we won't have this issue going forward. It should hopefully change."According to Hundley, the statement of net position, which includes the city's debts and capital assets, shows the long-term financial health of Daleville.The city's total net position funds are $9.9 million."Looking at this, we can take away from this that, long term-wise, the financial heath of the city looks good," Hundley said. "That's a very good thing."The balance sheet of governmental funds shows the "near-term" financial health of the city.""If you look at total assets (being) $4.4 million vs liabilities (being) $348,000, that's, again, another strong looking balance," Hundley said, stating that the near-term financial health of the city was good as well.The accounting group offers suggestions for those areas where qualified opinions are offered. In relation to the rescue squad fund, the audit states that "personnel charged with oversight control of rescue squad revenue follow the city's internal control procedures for maintaining adequate supporting documentation for all transactions."Hundley said the group also suggests creating a set of written policies and procedures for the Parks and Recreation Department.In other business, the council denied a request to use the Cultural and Convention Center for a memorial service.Though the council denied the request, members of the council suggested speaking to local citizens or other organizations to use their facilities. They also offered to help find other accommodations for the memorial service.The council also approved awarding the bid for a pavement project for Skyline, Apache Drive and Blackhawk Drive to Wiregrass Construction of Ariton.Joe Harmon, project engineer with David Hicks & Associates, said two bids were opened on June 16.Wiregrass Construction had the lowest bid at $213,189."They've done work for you all before," he said. "They did the paving for the (previous) sewer project."The city budgeted $226,000 for the project, but will only have to pay around $189,000 for the project.Harmon said the water board agreed to pay for a portion of Blackhawk due to damage from a waterline.He said he expects the paving project to start by mid-to-late August.The council also voted to let Kelly Brothers Roofing, in Dothan, to replace the roof of the Boy Scout hut. Kelly Brothers offered the lowest price for metal roofing at $10,900.The city's insurance will not cover the project.The next council meeting will be held on Tuesday, Aug. 8, at 5:30 p.m. at City Hall.
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CITY OF DALEVILLE ALABAMA
740 S. Daleville Ave * Daleville, Alabama 36322 * 334.598.2345


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