TRINITY — A financial audit presented by an accountant from Winston-Salem-based Gibson and Company at the January meeting of Trinity City Council indicated the city is in good financial standing.
The audit, completed June 30, 2020, detailed the city’s financials for the 2019-20 Fiscal Year. In addressing council, Monty Pendry, who performed the audit for the year, said the city has put itself in a favorable position relative to cities in comparable situations.
“We’ve audited the financial statements of the city of Trinity as of June 30, 2020, and in our opinion, the financial statements present fairly the financial position of the city of Trinity,” Pendry said. “This is what we call our unmodified opinion, or clean opinion, which is the best opinion we can issue.”
The city’s total assets came to $36.8 million, exceeding its liabilities, which totaled $12.9 million, to leave the city with a net position of roughly $23.9 million. Its unassigned fund balance — or the money on which no external or internal constraints exist — stood at approximately $6.5 million for the 2019-20 FY.
“This is about 237% of your general fund expenditures,” Pendry said. “The Local Government Commission likes to see at least 8% there as a cushion, so the city is well above that.”
The city was slightly over budget for revenues and under budget for expenses. Based on the report, the city has a “very strong balance sheet,” according to Pendry, who offered additional comparative information about Trinity as opposed to other municipalities.
According to the Local Government Commission, Trinity’s population was 6,599 as of June 30, 2019. That places the city in the category that consists of towns with populations between 2,500 and 9,999 people.
Trinity’s total unassigned fund balance is twice the average for cities in its category. Average unassigned fund balance ratio for that category is 77.89%, whereas Trinity’s is 237%, placing the city well above average.
The full financial report will soon be available online at www.trinity-nc.gov.
Staff writer Daniel Kennedy can be reached at 336-888-3578, or at email@example.com.