Athens Council Receives Positive Financial Audit

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By Michael V. Hannigan

The Athens City Council received the city’s annual audit Monday night, and Marlin Smith didn’t mince his words.

Smith of Smith Lambright & Associates said the city’s finances are “in very good shape.”

“(The city) has good reserves and good position. They are able to pay their bills. You can’t get any better than that,” he said. 

The independent audit is required every year, but this year it happened to come on the first day of early voting in an election where the city’s finances have been strongly criticized.

Mayor Jerry Don Vaught didn’t miss the chance to get Smith on the record, asking the auditor a series of questions.

Below are Vaught’s questions paraphrased and Smith’s answers in quotes:

Are we in a good condition financially: “Yes. You have $3.8 million in unrestricted assets. ”

In your opinion is the financial staff managing the financial assets of the city appropriately: “You have one of the best financial staffs in the area. We audit 20-something school districts in the area and several cities, and other municipalities like fire districts and that kind of thing. You have one of the best.”

What is the cash position in the utility fund: “You started the year with about $2.5 million and you increased your cash by $341,000 leaving a balance of cash of $2.9 million.”

In the last 18 years since David (finance director David Hopkins) came on board with us, and you have been auditing us, have you always found the finances to be managed well: “Yes.”

Is this opinion the highest opinion auditors give in an opinion such as this: “Yes, it is an unmodified opinion, which means we didn’t have anything negative to say about it.”