Auditor: Crosslake records accurate again in 2016
Web posted April 18, 2017
By Bill Monroe, Northland Press Correspondent
On April 10, independent auditors assured the Crosslake City Council and the citizens of Crosslake that the city’s financial house is in order and that its financial reports are accurate.
Mary Reedy, CPA from the Clifton Larson Allen firm in Brainerd, told the council at a special audit meeting that the firm’s audit of the city’s 2016 financial records showed that its financial reports were accurate “in accordance with accounting principles generally accepted in the United States of America.” She said there have been no disagreements with city staffers about matters that could be significant to the financial statements and that the staff was “most cooperative and helpful” during the audit process. “There were no restrictions on our access to information…or other limitations on the audit,” she said.
The audit showed a 2016 breakdown of general fund expenditures as follows:
*Capital outlays $1,194,617 (32%);
*Public safety, $684,122 (18%);
*General government $660,284 (18%);
*Public works $462,814 (12%);
*Culture and recreation $431,947 (12%);
*Debt service $233,977 (6%);
*Miscellaneous $90,429 (2%)
After all the expenses involved in the sale of Crosslake Communications, $5,689,339 was deposited into the city’s general fund, resulting in fund a balance sufficient to cover about 30 months of city expenditures, Reedy said.
Auditors are required to report any internal control weakness they see when conducting an audit. Reedy reported that due to the small size of the city staff, there are not enough people employed to exhibit a perfect internal controls model. She encouraged the council members to bridge this gap by closely monitoring financial statements and asking questions about the numbers throughout the year.
“The City of Crosslake is fortunate to have a diligent and informed staff who are dedicated to preserving the excellent audit reports we receive year after year,” Mayor Patty Norgaard said. "Our staff plays a vital role ensuring that Crosslake is well represented both economically and financially,” she said.
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