How healthy is the County? Its statement of net position, known in the private sector as the balance sheet, shows that the County has total assets valued at $321 million, and deducting liabilities, a total net position of $123 million. When money restricted for different projects and programs is set aside, there are $25 million in unrestricted funds. This is the county's "play with" money.
Hoefel warned that "play with" money might be in negative territory next year. That's because the county's liability on post-retirement benefits, which currently is $53 million, may have to be included in next year's balance sheet.
The audit also shows that Gracedale, the county's nursing home, earned nearly $500,000 in 2017.
This year's audit included the GPA, even though it is a separate body. In previous years, the GPA was audited separately from the County. Hoefel explained that it now must be considered a "component unit." This is because of the P3 bridge project , in which the County has guaranteed the debt incurred to replace or repair 32 bridges.
The problem identified at the GPA is one it has had for years. It's a lack of segregation of duties. That never mattered before the P3 bridge project, but now is considered a "material weakness" that must be addressed. It is being addressed, too. Fiscal Affairs Director Steve Barron has proposed a solution in which the county's fiscal department will handle the finances with internal controls that will prevent or detect fraud.
The RKL audit also recommends that the county establish a formal process for the disposal of assets that are no longer needed.
8 comments:
Sounds like the GPA really screwed up the works. Did any of the council people pick up on it?
Thank you John Brown. This news is a result of Browns good leadership.
Brown, the most non-transparent leader in the history of NC. It was Brown who left the GPA do anything they want; including enriching themselves. Him and his cronies made a mockery of NC and their valued employees. That POS will never get elected again in this county!
Yeah, and McClueless is taking us down the path of no return. The county has a huge slush fund and we the tax payers are struggling to make ends meet. Give us our money back. Brown is what he is but that surplus should be redistributed to those of us who made that surplus. Help us. your taxing us out of our homes.
A huge slush fund? I saw much made of the fund balance yesterday and Cusick suggested there should have been a tax cut last year, but the balance sheet tells you that this would be foolhardy. While it's nice to have $25 million unassigned, that's really not a lot of money in a $400 million operation that depends on the state and federal government for 58.3% of its revenue, as noted in this audit. The P3 will be taking money away from that cushion, starting next year. And if the county is required to include its liability on post-retirement benefits for medical care into this balance sheet, it will be negative $28 million. And you want to enact a tax cut? Sorry, but that's irresponsible.
Be civil or be deleted.i am sick of ugly anons who namecall
Regardless of party, these stories often come out several months before the entity in question is in big trouble. "Everything is fabulous! But we need more revenue." Wait for it ........
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