By Mario Conde
The Calexico City Council accepted the annual report audit that gives a positive certification to the City.
The Comprehensive Annual Financial Report of the City of Calexico for fiscal year ended in June 30 of last year. The annual report has been prepared by the Finance Department in conformance with the principles and standards for financial reporting set forth by the Government Accounting Standards Board. The audit noted that the responsibility for the accuracy, comprehensiveness and fairness of the presented data, including all disclosures, rest in City Management.
The annual report was audited by the firm Pun & McGeady, LLP, and independent firm of certified accountants. The Firm’s audit was performed in accordance with generally accepted government auditing standards and their work resulted in an unqualified opinion. Most of the audit report focuses on the end of Redevelopment Agencies and how the City adapted to those changes.
The Net assets can be a good indictor City’s overall health in the long term, the report saw that Government-wide statements and the note that the City’s Net Assets were $110.3 million at June 30, 2012. It should also be noted that all but $11 million of the Net Assets is restricted or committed. Aat the end of the June 2011 Net Assets were $90.7 million.
Finance director John Quinn said in his report to the Council that cash can be a good indicator of the City’s ability to pay its bills and meet its short-trem financial obligations on a timely basis. General Fund cash for the same comparitive periods was $4.5 million and $3.0 million. Most of the increase in fiscal year 2011-12 was due to clean-up that realeased cash to the General Fund.
The Audit found no irrularities or fraud in its finding but it was recommended to have the audits to be completed in a timely manner. Calexico Mayor Maritza Hurtado remember how when she and Mayor Pro Tem Hodge came on board the City was facing a hard financial situation and asked Kenneth Pau who made a the presentation to the City Council if the City faced a threat of banckrupcy. Pau answered that the City is in good financial condidtion and that the posbility of banckrupcy is very far away.
The Council voted 5-0 to accept the report.
By Mario Conde