Very Merry Year-End Audit
The Village of East Hampton is in sound fiscal order, the village board was told on Friday.
In delivering an annual summary to the board at its meeting on Friday, Michael Tomicich of the accounting firm Satty, Levine, and Ciacco gave an upbeat report on both the village’s budget and compliance with reporting standards.
The auditor was able to deliver an unqualified, or clean, opinion, Mr. ?Tom?icich told the board, meaning that the village’s fiscal statements give a true and fair view in accordance with the reporting framework used in the preparation and presentation of statements. “The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under government auditing standards,” he said. “So the village is in very good shape financially. The books and records, the internal controls — everything is fine.”
In the fiscal year that ended on July 31, revenues were higher than expenditures by $790,000, Mr. Tomicich said, mostly due to license and permit fees, as well as state and federal aid received during the year. Expenditures, he said, were lower than anticipated on various line items, as were employee benefits. Consequently, he said, the village was able to appropriate more money to its capital projects fund to cover current and future expenditures.
The village’s balance sheet shows a total fund balance of $4.2 million, which represents an increase of $901,000 over last year. In addition, he said, “The village has very strong cash of over $4.8 million.” Within that figure, he said, is $100,000 in reserve for capital projects and $93,000 for insurance. Capital assets put in service for infrastructure, vehicles, and other equipment totaled $331,000.
A lower interest rate on new bonds issued led to a reduction in debt service payments of $280,000 over the next nine years, Mr. Tomicich said. “Principal payments on the existing serial bonds in the current year were about $823,000, which reduced your current debt,” he told the board.
Health insurance payments to retired employees totaled $528,000 last year, with the village’s total liability for post-employment benefits totaling $2.9 million at the fiscal year’s end.