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NATCHEZ — The audit team at accounting firm Silas Simmons issued a “clean audit opinion” for the City of Natchez for its audit of the fiscal year that ended Sept. 30, 2023.

Carr Hammond, CPA, managing partner of Silas Simmons, presented the audit to the mayor and board of aldermen at its meeting on Tuesday evening.

“It’s a little crazy when you are excited to see the auditor,” commented Natchez Mayor Dan Gibson.

Hammond presented copies of the audit to the mayor, aldermen, and city clerk and walked them through its most important parts.

He hit the high points of the audit, explaining that citywide assets increased from FY 2022 to 2023, and liabilities increased, too.

“What is driving that is the bond issuance (for road repairs and the convention center improvements), as well as the net pension liabilities.

“That’s a number that can change significantly from one year to the next, particularly in times of inflation, but it does not impact operations,” Hammond said.

Hammond said the city’s fund balance at the end of the year is a key measure of the general fund, which is an indicator of cash available to meet expenses.

“The city ended fiscal year 2023 with right at $3 million in cash. That’s a pretty big uptick from 2022 when the fund balance was right at $600,000,” he said. He said the American Rescue Plan Act funds and state grant money received by the city account for the bigger balance.

In the findings portion of the audit, Hammond said the city clerk’s office has much improved on its reconciliation of bank accounts, but needs to continue improving that process.

“It is better than it has been in the past, but I think it’s just a staffing thing,” he said. Another area noted in the findings is not all duties are segregated.

“That’s a case of not having enough people or staff to separate all of the various tasks of accounting,” Hammond said. “That’s one of those small government staffing things.”

Natchez Mayor Dan Gibson said the audit shows “tremendous progress” in the City of Natchez.

“We are in an excellent financial position. Look at how our numbers have increased and all the things we have been able to do without raising taxes. And being timely on our audit. There was a time when the city was three audits behind,” prior to 2020, he said.

Gibson thanked City Clerk Megan McKenzie and her staff for their “hard work to get us where we are.”