Clifton Larson Allen, an independent auditing firm, conducted the fiscal year 2023-2024 audit. The District received a clean financial audit report with no material weaknesses or deficiencies. The District included the audit in its tenth consecutive Annual Comprehensive Financial Report (ACFR). The report consists of a set of government financial statements that comply with the accounting requirements promoted by the Government Accounting Standards Board and include relevant statistical information about the District. In 2024, the Government Finance Officers Association (GFOA) awarded the District a Certificate of Achievement for Excellence in Financial Reporting for its ACFR for the 20222023 fiscal year. The District has received the ACFR award for nine consecutive years. Total revenues in Fiscal Year 2023-2024 were $31,502,222, while expenditures (shown above) totaled $27,085,599, generating an increase in fund balance of $4,416,623. As of June 30, 2024, the District’s total fund balance was $26,100,573. The Fiscal Year 2024-2025 revised budget anticipates revenues and reimbursements of $43,816,818 and expenditures of $44,810,168, with the difference as a contribution from general reserves. New Purchasing Policy The District revamped its purchasing policy to further facilitate a cost-effective, compliant, and efficient purchasing function. The new policy clarifies accountability guidelines for procurement activities and raises purchasing thresholds for the District’s informal and formal solicitations. It provides guidelines for restricted purchases and allows the use of various types of contracts such as Standing Supply, Master Services, Public Works, Goods and General Services, and Cooperative Purchasing agreements. Among other changes, the policy incorporates the California Uniform Construction Cost Accounting Act requirements for the District’s Public Contracts, which permits simplified bidding and expedited contracting based on project size. Other Financial Highlights The District negotiated and implemented new collective bargaining agreements with its three unions. The new union contracts amended district salaries based on peer-review salary surveys and included cost of living adjustments. These new agreements will also assist in reducing liabilities by introducing eligibility requirements for retiree healthcare reimbursements. As part of its efforts to increase resiliency, the District began procuring a backup power generator to ensure that District servers and critical systems continue to function during an outage. The District is in the final phase of reaching a settlement with the Monterey Peninsula Taxpayers Association regarding its collection of the Water Supply charge. Following a court ruling in September 2024, staff successfully worked with the County to rescind the Water Supply Charge from the 2024-25 property tax bills in time. 2023-24 EXPENDITURES $27.09 Million Certificate of Financial Excellence Awarded PAGE FIVE
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