Mayor's Report

Aug 22

[ARCHIVED] City Receives Back-to-Back Excellent Financial Audits

The original item was published from August 22, 2016 4:42 PM to August 22, 2016 4:43 PM

Earlier this year, the City of Southaven received another excellent financial audit.  The results show that the City is as clean as possible from a financial management and compliance standpoint.  Our fiscal year ends on September 30 and we do not receive our completed audit until April of the following year, so this audit was the Comprehensive Annual Financial Report for FY 2015.  I am extremely pleased with the fact that the first two audits that our city has received under my administration are two of the cleanest in our history.  It has been one of my top priorities, as well as our Board of Aldermen, to restore trust in our operation; therefore, I am happy to be able to present these results to the people of Southaven.   

FY 2015 CAFR-Audit Report Highlights

  • Unassigned General Fund fund balance increased from $3.7 million to $5.9 million 
  • Total Assets increased from $209 million to $211 million
  • Per Capita Debt decreased from $1,887 to $1,849
  • Total Net Debt applicable to statutory debt limit decreased from 73.7% to 66.7%
  • No material weaknesses
  • No significant deficiencies
  • No compliance findings

Original Report for FY 2014 Comprehensive Annual Financial Report

The City of Southaven just received excellent results from our FY 2014 financial audit.  We will continue to improve the financial strength and stability of our City.  Please see the audit highlights below. 

City of Southaven FY 2014 CAFR-Audit Report Highlights

  • The City has $242.8 million of capital assets. This is an increase of some $6 million from FY 2013.
  • The assets of the City exceeded its liabilities (net position) by $85,026,533 for the year end 2014; which represents an increase of some $6.3 million over 2013.  
  • As of the close of the 2014 fiscal year, the City’s governmental funds reported combined ending net position of $53,910,168 an increase of $2,084,901 in comparison with the prior year.  Approximately 7.5% of this total amount, $4,041,609, is available for spending at the government’s discretion.  
  • At the end of 2014 fiscal year, the unassigned fund balance for the General Fund was $3,751,667, or 10 % of total general fund expenditures for FY 2014.  
  • The City’s total debt increased by some 3.5% ($3.3 million) during the current fiscal year.  The key factor in this increase was a $6.565 million bond issuance (infrastructure-Getwell Road, Elmore Road, Swinnea Road) and $3.4 million in utility department loans issued in 2014. Sales tax revenues increased by some $596,000 over FY 2013. 
  • The City’s unemployment rate was reported at 4.6% as of 9/30/2014, compared to a national unemployment rate of 5.9%. 
  • The City maintained its AA- bond rating from Standard & Poor’s.
  • No material weaknesses were identified in the City’s financial reporting.
  • No significant deficiency(ies) were identified in the financial reporting or the City’s internal controls.  
  • No material noncompliance issues were identified in the City’s financial reporting.    
  • No difficulties were encountered by the independent auditor when dealing with City management in performing and completing their audit.