The town of Providence Village received a clean audit for 2023-24 during the council’s meeting on Tuesday night.
Auditors Susan LaFollett and Tung Pham from Vail & Park presented an unmodified opinion on the town’s finances, marking a $12.1 million increase in the town’s net position over the course of the year.
“We like to look at the net position of the city because that is your equity,” LaFollett said. “At the end of the year it was $22,242,292. This does represent an increase of about $12.1 million over the fiscal year. The increase is primarily due to the $9.4 million capital contribution of streets and infrastructure from a developer.”
Though the auditors presented a positive position, they did find a negative in the propriety fund which ended the year at $1.5 million, a decrease of $215,082.
“Unfortunately, that fund usually does have a decrease,” LaFollett said. “At the end of the year, the propriety fund did report a net investment in capital assets of $2,529,694 and that’s the assets netted for that fund, but with that being said, it leaves us with an unrestricted net position of negative $993,197. This is a decrease of $808,784.”
She continued saying the city is aware of the issue.
“I’m not sure what the exact answer is, but that’s the results,” LaFollett said.
The auditors finished their report with a series of recommendations for council on how to shore up the city’s finances.
Later in the meeting, council received a presentation from Nathan Harmon with Kimley-Horn about the needed water line realignments along FM 2931 given impending TxDOT road expansions.
“With the expansion of 2931, our water lines are not in a protected easement, so TxDOT is not footing the bill or worried about our water lines, but we need them,” Town Manager Brian Roberson said. “We’ve been working on figuring out how to reconnect on the south end.
The current proposed plan will cost the city just under $2.9 million. It has until 2028 to complete the project given TxDOT’s current projections.
“We’ve gone through the presentations with our engineers, so next month we’ll have Hilltop Securities, our financial planning group we utilize,” Roberson said. “They’ll be coming and talking through some scenarios for us.”
