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City of Carlsbad finances OK after annual audit

A screenshot from the April 13, 2021 Carlsbad City Council meeting shows the cover of the annual audit conducted by an Albuquerque accounting firm.

An audit conducted by an Albuquerque accounting firm found no money problems in The City of Carlsbad, according to city officials.

In a news release, The City received an unmodified opinion from Hinkle and Landers on its annual audit.

In a memo to Carlsbad City Councilors, City of Carlsbad Finance Director Melissa Salcido said the audit was conducted for the fiscal year ending June 30, 2020.

The City of Carlsbad submitted the audit on Dec. 15. The City received notice the audit was approved by the Office of the State Auditor (OSA) on March 30.

The Carlsbad City Council approved the audit April 13. 

“The issuance of an unmodified opinion suggests the financial statements materially represent the financial condition of the agency in accordance with applicable financial reporting framework.  In lay terms, an unmodified opinion means the reader of the report can rely on the financial data presented,” said Stefanie Telles, OSA spokesperson.

She said audits check accuracy of financial statements for government entities.

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Melissa Salcido

“In accordance with the Audit Act, the purpose of the annual financial audit is to perform risk-based assessments with a focus on financial statement presentation to provide information to stakeholders regarding the financial statements being free from material misstatements and to express an opinion.  Auditors will also report on compliance with State and Federal regulations,” she said.

Per the OSA website, the Audit Act maintains government agencies receiving or expending public funds is required to account for the money and submit a report to the OSA on a yearly basis.