Audit report earliest firm has ever issued

SALUDA — The city of Saluda got positive news this week that it is in good financial shape, with a 42 percent fund balance, or rainy day fund.

The Saluda Board of Commissioners met Monday and heard from Levonia Reese, with Carter Accounting, Tax, Assurance out of Asheville.

“This is the earliest we’ve issued the audit report,” Reese said. “This is the earliest we’ve issued any of our governments. Kudos to the staff.”

The deadline by state statutes to complete an audit report is Oct. 31.

The audit report is for fiscal year 2017-2018, which ended on June 30.

Saluda’s combined fund balances at the end of the fiscal year totaled $924,130, with a net increase of $64,271. Of the total, almost 35 percent, or $323,290, was reserved.

The unassigned fund balance for fiscal year 2017-2018 was 42 percent, or $484,569.

Other positive notes from the audit report were that Saluda’s total debt decreased by $66,671 last fiscal year.

“The key factor in this decrease were scheduled principal repayments and a decrease in the net pension liability,” states the audit report.

Saluda also had increased ad valorem taxes of approximately $44,000 because of growth and the updated property tax assessment.

Saluda recently turned over tax collections to Polk and Henderson counties.

Last year’s tax collection of property taxes was 99.39 percent. The statewide average for fiscal year ending 2018 was 98.78 percent.

The board of commissioners has determined that the city should maintain an available bund balance of 26 percent annually, so the city surpassed that goal last fiscal year. State statutes require that local governments keep a minimum of 8 percent in fund balance in case of emergencies.

In the water and sewer fund, Saluda also ended the year on a positive note. The water/sewer fund ended the year with an unrestricted net position of $428,768, according to the audit report. The total change in net position for the water/sewer fund was $209,250.