City of Silver Bay receives A+ audit rating
At the March 17 meeting of the Silver Bay City Council, the 2013 city audit was presented by Kern DeWenter Viere, a St. Cloud-based accounting firm. KDV gave the City a glowing report for the last fiscal year after a review of it’s financial practices.
The council thanked department heads, administrative and city staff, saying that it was their efforts that contributed to a clean audit. They specifically thanked the City’s deputy clerk and treasurer, Cheryl Marolt, for her preparation of the required information for the audit.
City administrator Lana Fralich said she was also pleased with the results.
“The city audit went very well. We received a clear and unqualified opinion, which the highest that can be achieved. The financial position of the City is better than the previous years,” she said. “The only findings were related to segregation of duties and preparation of financial statements, which the City has every year because of our small size and that we don’t prepare the financial statements internally.” The findings are not considered material weaknesses.
“The audit is our report card and is a result of great staff following policies and procedures,” Fralich added.
In other news, the council approved to transfer a $150,000 in Federal Aviation Administration entitlement funds to the Cook County airport. According to Fralich the City receives the funds for airport-related projects each year. If it does not have a planned project, the oldest year of entitlement funds expire and are sent back to the federal pool to be disbursed to other airports. The City does have the option to transfer the funds to another local airport, however, instead of sending it back to the federal pool. In previous years, Silver Bay has given its entitlement funds to airports in Moose Lake, Thief River Falls, Hibbing-Chisolm and Duluth.
“This year we opted to transfer to Cook County. Transferring funds does not necessarily mean the City loses those funds; it keeps the allocated funds in our area to do projects,” Fralich said. “If the City chooses to have a project in the future, we can request the funds be transferred back or ask for entitlement funds from other airports. It is nice that the airport community works together, keeping allocated funds in our area for improvements to our transportation industry.”