The City of Seward earned good marks on its annual audit for the 2021-22 fiscal year.
Marcy J. Luth of AMGL CPAs and Advisors presented the audit report to the city council via Zoom on Feb. 7.
AMGL, city Finance Director Nick Wolf and staff at City Hall worked through the audit, which is meant to find any issues with the city budget or accounting practices and find solutions for correcting them.
Luth talked the council through a series of 12 benchmarks regarding the city’s funds. The city fell within acceptable ranges on all 12.
The city’s debt decreased by about $2 million, or 13%, with no new debt taken on in the last fiscal year.
The city’s general fund revenue outpaced its expenses by $718,000, which Luth said was positive.
Luth said the city should focus on continuing to build its cash reserves for future capital projects, but overall its finances were in good shape.
“We take the finances of the city incredibly seriously. We want to do what’s in the best interest of the ratepayers and the taxpayers and the citizens of Seward,” City Administrator Greg Butcher said. “We’ve seen how it can go bad in other communities, so we always want to do our best to be as diligent as possible with these funds that we’re entrusted with.”
AMGL found just one significant deficiency – that the small size of the city’s accounting and administrative staff makes it difficult to split up duties to prevent fraud.
The firm suggested the city council remain involved in all aspects of the city’s finances to provide additional oversight.
