The Gainesville Audit Committee received a Wednesday update on the ongoing reviews taking place across the city.
The city auditor’s office finished the second phase of the continuous auditing process, and staff presented the report. Interim City Auditor Brecka Anderson also said that management has responded to the 18 findings from a state auditor report. Of those findings, the city has marked 12 as complete with six in progress.
In the continuous auditing process, staff reviewed purchase cards, and since phase 1, 185 cards have been closed. The city began cracking down on the cards earlier this year.
The auditor’s report found no incorrect purchases based on the 106 selected reviews and said that city staff remains ahead of schedule for the proposed changes to the purchase card system. Anderson said the major report on the purchasing cards and travel reimbursements will come after phase 3, expected during the first quarter of 2024.
On the state auditor report, Anderson said the city has given responses and the state auditor is in an active follow-up process.
The city finished many of the findings recently and resolved five findings by sunsetting the Reichert House. City Manager Cynthia Curry decided to place Ironwood Golf Course on a management watch, leaving the finding on the course in progress for now.
The auditor’s office listed expected deadlines for other in-progress items like indirect cost recovery between GRU and the general government (early 2024), employee evaluations (June 30) and budget management practices (the final quarter of 2023).
Gainesville Regional Utilities’ (GRU) level of debt remains in progress along with the annual transfer from the utility to the general government. However, the City Commission has set a formula to regulate that transfer.
The City Commission approved a plan in May to trim GRU’s debt by $315 million over the next decade. If accomplished, GRU will increase its equity to 30%— a goal set by bond rating agencies.