Audit shows Laketown in strong financial health

Laketown Township is in solid financial condition, according to its recently completed audit.

Joshua Gabrielse, CPA and principal of Siegfried Crandall PC, presented the 2023-2024 fiscal year audit to the township board on Wednesday, July 10, 2024.

Click here for a copy of the audit.

Highlights from the report include:

• The township’s total net position increased by $486,095 (6 percent) as a result of the year’s activity;
• Of the $9,375,078 in total net position reported, $1,296,105 (14 percent) is available to be used to meet the township’s ongoing obligations without constraints established by debt covenants, enabling legislation or other legal requirements;
• The general fund’s unassigned fund balance at the end of the fiscal year was $1,464,070, representing 87 percent of general fund expenditures. “That’s a really good position to be in,” Gabrielse said. The almost $1.5 million fund balance could sustain township operations for about 10-and-a-half months.

Township Manager Al Meshkin asked Gabrielse to summarize how the township stands financially.

“I would say average to excellent,” he responded.

The audit also noted the township has $491,744 in long-term debt, a decrease of $169,990 due to timely principal payments. The board has been making several early payments on bonds including the Felt Estate.

The Fiscal Year 2024-2025 budget does not anticipate significant changes in revenue sources.

“The township has budgeted expenditures for the upcoming year at amounts sufficient to support its ongoing programs and activities, while maintaining the current levels of its resources,” the report said.

When asked if there were areas in the audit the township could improve upon, Gabrielse replied, “No.”

He said Meshkin and the township staff were easy to work with and the quality of the books were “extremely easy” to look at.

The township’s fiscal year is April 1 through March 31.

The township board approved its 2024-2025 budget in March. The current budget increases the end-of-year fund balance by about $5,000 over the previous year’s budget.

At Wednesday’s meeting, the board unanimously approved amendments to this year’s budget, mainly to move the funds from last year to this year for the demolition of the Huyser House.

Supervisor Linda Howell was absent from Wednesday’s meeting.

In other business, the township board:

• Accepted the retirement letter from Meshkin. His last day is Jan. 3, 2025. He has served the township for 35 years.
• Approved seeking full-service recruitment proposals to assist with the search for the next manager. Meshkin said proposals should be returned for action at the August meeting with a replacement chosen by the end of the year “for a seamless transition,” he said.
• Approved an amendment to the recently passed open burning ordinance. The changes better define recreational fires and give the Graafschap Fire Department chief more authority over permitting in the dune areas west of 66^th Street.