June 24, 2013 8:49:58 AM
Nathan Gregory - firstname.lastname@example.org
The Columbus Light and Water Board of Trustees were given the results of CL&W's water division's latest audit and approved the budget for its next fiscal year Thursday.
Independent auditor Watkins, Ward and Stafford handed CL&W a clean bill of health, finding no deficiencies in internal control or material weaknesses. Deficiencies in internal control exist when the operation of a control does not allow management to detect and correct financial misstatements in a timely manner. Material weaknesses are defined in the report as deficiencies in internal control to a degree that material misstatements would not be prevented, detected or corrected.
The audit found the water division to have an operating budget of $9,332,795 in 2012, spending $8,218,626 for an operating income of $1,114,169. Net non-operating incomes and expenses totaled $1,177,644 and CL&W paid off $474,075 on a grant. In total, CL&W's net income for 2012 was $410,600, according to the audit.
The water division's special obligation bonds decreased by $1,195,073 in 2012 due to scheduled repayment of $1,180,000.
The audit was conducted in accordance with government auditing standards issued by the Comptroller General of the United States.
As for the next electric division budget year that begins July 1, CL&W is projecting an income of $43,924,400 with $42,907,400 to be spent -- a net income of $1,051,600. $34,708,800 of that will be used to purchase power, while $1,525,000 is set aside for distribution and maintenance. A total of $2,422,850 is budgeted for capital expenditures, including communications equipment, tools, transportation, line transformers and meters.
CL&W General Manager Todd Gale said that budget accounts for a rate increase from provider Tennessee Valley Authority, but that increase has not been announced.
Nathan Gregory covers city and county government for The Dispatch.