Milledgeville City Council heard an overview of the 2013 audit report Tuesday night.
Meredith Lipson of Maulding & Jenkins Certified Public Accountants said the City of Milledgeville put in “extra effort” beyond what the state requires.
“It’s something to be very proud of,” Lipson said Tuesday.
As of June 30, 2013, the city had $3.2 million worth of assets and just under $900,000 of deferred revenues and liabilities.
The general fund is $2.3 million.
“That is actually a decrease from the previous year,” Lipson said.
Total revenues were about $9.7 million with total expenditures at $10.8 million. The city transferred $600,000 from other funds leaving the municipality with a $539,000 deficit for 2013.
“You revenues came in about $1 million under what you budgeted, but fortunately, you all recognized that was happening and all of the departments expenditures were under budget as well,” she said.
Milledgeville’s water and sewer fund income was $700,000 before contributions or transfers. Capital contributions, the bulk of which came in the form of Special Purpose Local Option Sales Tax (SPLOST) funds, totaled $1 million.
The city transferred the $600,000 from water and sewer to the general fund to cover that deficit.
“This is not unusual,” Lipson told Council. “The water and sewer fund continues operating well.”
The solid waste fund actually makes money, netting $400,000 last year.
City Council and management heard some CPA recommendations and findings for the current year operations and reporting.
“It’s difficult to find new revenue sources while expenditures continue to increase,” Lipson said.
The audit mentioned “adjustments” to refer revenues relating to grant reimbursements.
Lipson did say her firm struggled reconciling the city’s inventory numbers with their findings.
“When we did our test counts of inventory like we always do; some of what we counted wasn’t agreeing with what they had,” she said. “The unit prices were way off in some cases. It did result in us making an adjustment to decrease the inventory by about $50,000. We recommend the departments in charge of that inventory pay special attention to and monitor that detailed listing.”
Future city audits will require additional reporting by the June 30, 2015 fiscal year.
The local government must show the unfunded liability in the pension plan.
“You’ll have to show that as a liability on your government wide balance sheet,” Lipson said. “You’ve never had to show that before. It won’t change anything about the way you operate the pension plan.”
That figure currently sits around $5.8 million.