12/07/04 — City gets high marks on audit

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City gets high marks on audit

By Barbara Arntsen
Published in News on December 7, 2004 1:55 PM

The city received an excellent grade on its 2003-2004 fiscal year audit, the Goldsboro City Council learned Monday night.

Dean Horne of Pittard Perry & Crone Inc. presented a review of the city's financial health, saying the city put back more than a half million dollars in its general fund.

The city is required by state law to have an annual independent audit of its financial statements.

The city expected to use $1.5 million from its reserves, but managed to spend $3 million less than the $27 million budgeted.

"This was good budgetary management," Horne said.

In the utilities account, Horne said, the city had revenues of $11 million, which was about $300,000 less than what was budgeted.

Though spending was $9.3 million, the city still had a shortfall of almost $200,000 after paying interest and loan fees.

City Manager Richard Slozak said that was still much better than the anticipated $1.5 million shortfall.

Tax collections for the city, while still slightly lower than the statewide average, rose from the previous year. The collection rate for 2003-2004 was 94.8 percent, up from 92.3 percent.

"It sounds like we took lemons and made lemonade," said Councilman Chuck Allen. "But the council can't take the credit because that goes to the manager and department heads."

Mayor Al King said that the outlook looked a little bleak at the beginning of the year, but that the manager and staff worked hard to turn it around.