Independent Audit Affirms City's Fiscal Responsibility
Annapolis, MD (4-11-12) Annapolis Mayor Joshua J. Cohen released the results of an independent financial audit of the City’s finances to the public. The audit covers Fiscal Year 2011, the first complete fiscal year of Mayor Cohen’s term in office.
The audit revealed that for FY 2011 the city stopped a decadelong practice of deficit spending and showed a surplus for the first time. The audit also demonstrates that after eight years of depleting its unallocated fund balance, or rainy day fund, the City began to rebuild it.
“Since taking office in December 2009, we have been making painful but necessary decisions to downsize government while also increasing revenues,” Mayor Cohen said. “This independent audit shows clearly that the actions we have been taking are paying off.
“My first year as Mayor, when we cut the budget 13 percent – more than any other city in Maryland – we knew that setting a budget was one thing but living within it would be another. This audit shows that not only did we live within this new austere budget, we ended the year with a substantial surplus. I want to thank our dedicated City employees for their frugality with taxpayer dollars.”
The City’s external auditors, Clifton Larson Allen LLP, issued an unqualified opinion; this means the City passed the audit with no qualifying issues.
“This administration hired a new auditor so a rigorous review of our financial statements could be conducted with a fresh set of eyes,” said City Manager Michael Mallinoff. “We wanted this audit to verify that we were operating the budget to the high standards our residents demand of their local government officials.”
“The audit affirms the positive progress we have been making while offering additional suggestions for improvement,” Finance Director Bruce Miller said.
The audit is publicly available online at www.annapolis.gov