Finance Committee

City of Rome FINANCE COMMITTEE MEETING September 27, 2023 PRESENT: Committee Chairman Bill Collins City Commissioner Craig McDaniel City Commissioner Jamie Doss City Manager, Sammy Rich Assistant City Manager Meredith Ulmer Finance Director Toni Rhinehart Assistant Finance Director Kraig Ingalsbe Vicki Blair, Recording Secretary Guests: Christopher McKeller, Partner, Mauldin & Jenkins CPA Firm Doug Walker, Public Relations David Crowder, Rome News-Tribune Committee Chairman Bill Collins called the meeting to order and approved the minutes from the August 30th meeting by common consent. Christopher McKeller, Partner of Mauldin & Jenkins CPA Firm, began his presentation of the Auditor’s Discussion & Analysis along with the Annual Comprehensive Financial Report (ACFR). He reviewed the Governmental Practice information stating that Mauldin & Jenkins serves over 650 government offices within 13 offices in 5 states throughout the southeast. The responsibility of the auditors is to express an opinion on the financial statements from management according to auditing standards. He stated that the financial statements present fairly in all material respects resulting in an unmodified or “clean” audit. Lease agreements were reviewed to reflect the implementation of GASB Statement No. 87. Ms. Rhinehart stated that the City currently leases golf carts at Stonebridge and leases the building to the State that houses the DFACS offices. Discussion began regarding the pros and cons of leasing golf carts, and it is determined that it is more advantageous to continue leasing golf carts at this time. Mr. McKeller then explained the purpose of the ACFR which goes beyond the normal financial reporting required by accounting principles. He stated the General Fund is the main operating fund and general revenues for the year ending December 31, 2022 were approximately $35M. Revenues from the prior year were approximately $32M. The increase was mainly due to taxes and intergovernmental revenues. General Fund Expenditures for year ending 2022 were approximately $28M, up from the previous year of approximately $25M. The increase was mainly due to public safety and the increase in general government expenditures. The fund balance of the General Fund at December 31, 2022 was approximately $28M which is a decrease of approximately $1M from the prior year. Fund balance is the difference between assets and liabilities. The City reports certain amounts of fund balance as non-spendable (3%) and restricted (3%) leaving the remaining 94% of the City’s fund balance as unassigned and available for spending. Mr. McKeller stated there were no disagreements with management in relation to any accounting principles. There were also no significant issues to be discussed with management and no uncorrected adjustments. There were a few management recommendations, but these are immaterial items and have been discussed with management with plans in place going forward. 1 Mr. McKeller then went on to review the upcoming new Government Standards Board pronouncements going forward. He concluded his presentation by stating that beyond traditional audit and accounting services, their firm also provides a wide range of advisory services and training opportunities for their clients. With no other business, the meeting was adjourned. Respectfully Submitted, Vicki Blair 2