Auditors give city ‘clean’ report

HARLINGEN — Outside auditors had good news for city leaders.

Fiscally conservative long-term planning helped amass a cash reserve fund capable of operating the city for 146 days in case of an emergency.

The certified public accounting firm of Carr, Riggs & Ingram gave the city a “clean” annual audit for the 2015-2016 fiscal year.

“It shows we’re a very responsible city,” City Manager Dan Serna said. “It’s a testament to the excellent financial planning of our elected officials and staff. Our elected officials are good stewards of our taxpayers’ money.”

The city has amassed a cash reserve fund of $16.7 million, auditor Quinten Anderson told city commissioners during his presentation in a meeting this past week.

“The city takes a strong stance in preserving its fund balance,” the auditors state in their report.

The state recommends municipal governments maintain fund balances capable of operating their cities for 90 days in case of emergencies.

Meanwhile, the city’s sales tax collection grew to $22.5 million, compared with $22 million the year before.

“Fiscal year 2016 continued the upward trend in sales tax that began in fiscal year 2011,” the auditors state.

The city’s budget “was prepared conservatively based on the current economic conditions to meet the goals of the city while staying within the resources of the city,” the auditors state.

“Careful long-term planning is important to the city and periodic review of the budget is made to adjust the operational appropriated expenditures for any changes in the city’s resources.”