City of New London receives FY 2023 audit

The City of New London received its audit report for FY 2023 ending on June 30, 2023. It was completed by Ted Wiegand CPA. The financial highlight:

• The City’s receipts totaled $6,000,141. Disbursements totaled $5,357,927. This was a 9.7% increase over the prior year. The significant increases are due primarily to the purchase of a pumper truck for the Fire Department at a cost of $510,000.

Wiegard reported the following findings related to the receipt and disbursements of taxpayer funds.

1. Lack of segregation of duties - This finding is caused by the City’s limited number of employees. The recommendation was to utilize currently available staff and including elected officials.

2. Disbursements exceeding budgeted amounts - Disbursements during FY 2023 exceeded the amounts budgeted in the culture and recreation and capital projects. Budgets should be amended to reflect the increase and will be amended in the future when applicable.

3. Donations to non-profit organizations - In FY 2023, the City donated a total of $9,145 among six different organizations. The City Utilities donated a total of $4,000 among six different organizations and individuals. They were advised to make sure any donations are for public use. The Council will review their policies concerning donations and make any necessary changes.

4. City management must assume management responsibilities for the preparation of the financial statements and related footnotes. With a limited number of employees and due to the technical knowledge and expertise necessary to prepare the financial statements and footnotes, the City of New London will continue to rely on the auditor to provide the non-audit services of preparing the financial statements and footnotes.

Mr. Wiegand ended his report by commenting that the personnel of the City of New London extended “many courtesies and assistance” to him during the course of the audit.