Johnson Block gives Milton School District an unmodified FY24–25 audit; auditors flag cybersecurity and internal-control awareness

Hui Meng, audit manager at Johnson Block, told the Milton School District board on Jan. 26 that the firm issued an unmodified opinion on the district’s FY24–25 financial statements, meaning the statements are fairly presented and free of material misstatement. “Our report issued an unmodified opinion,” Hui Meng said.

The audit presentation summarized key financial highlights: general fund cash of about $10,590,000 (an increase of roughly $1 million from the prior year), current liabilities near $4,500,000 (an increase of about $600,000), and a total fund balance of about $12,200,000. The auditors noted the district’s fund balance represented roughly 21% of next year’s budget, down slightly from about 22% the prior year. Hui Meng also summarized the government‑wide financial statements and a net cost of governmental services around $43,000,000, covered by the tax levy and general aid.

Hui Meng said there were no audit findings for the year and that the firm would issue a single‑audit report and submit required federal forms following issuance. The auditor recommended two areas for board attention: regular cybersecurity awareness training for employees and periodic internal risk assessments of financial procedures to identify and mitigate internal-control risks. “We encourage cybersecurity training and an internal risk assessment of financial procedures,” Hui Meng said.

Board members thanked the audit team and the district business office for timely reporting. The board asked whether the audit review included internal-control walkthroughs; Hui Meng confirmed auditors perform walkthroughs and would include internal-control opinions in the upcoming single-audit draft being shared with district staff.

The audit presentation included budget-to-actual comparisons and noted capital expenditures over budget—primarily reflecting an Apple lease recorded at year end and subscription-based IT accounting entries—while highlighting that some differences in food-service fund figures stem from full-accrual financial‑reporting versus day‑to‑day district accounting. The single-audit reporting and a data-collection form to the federal clearinghouse were described as the remaining steps.

The audit’s clean opinion gives the board a formal assurance that the FY24–25 financial statements can be relied on for public reporting, while the auditor’s operational recommendations on cybersecurity and internal-control review will inform future district work plans and oversight.