Rockland Had $560K Surplus, Not $4 Million Deficit

From Rockland Co.:An independent audit shows that Rockland County’s road back to a surplus started a year earlier than previously reported.

The new audit found that an error was made concerning a financial journal entry, incorrectly showing that Rockland County’s general fund had a $4 million deficit when it actually had a $560,000 surplus – the first such surplus in a decade.

“Our continuing financial recovery actually started a year earlier than was previously known,” Rockland County Legislator Aron Wieder said. “It’s tremendous news because, when coupled with the surplus of 2017, we’re seeing a new pattern, a return to having a surplus and more importantly, the end of the terrible era of having a deficit.”

A representative of Marks Paneth, the county’s independent auditor, was asked by legislators to attend this week’s meeting of the Budget & Finance Committee to answer questions regarding the company’s 2017 audit of the county’s financial books.

The Legislature holds overview presentations during public meetings to promote government transparency. Legislators asked about “a prior period adjustment” that was noted in the audit report.

According to Marks Paneth, certain long-term financial liabilities were included in the 2016 general fund that should not have been. The error made it appear that the county’s year-end unassigned fund balance had a $4 million deficit for that year and going into 2017.

In reality, the county’s year-end unassigned fund balance had a $560,000 surplus, the auditor said.

An adjustment was made to the county’s 2017 financial statements to address the error, the auditor said.

The $560,000 surplus was the first surplus recorded by the county since 2006.

The new audit shows a $6.3 million surplus in the county’s year-end unassigned fund balance for 2017.

The surplus in part reflects the local impact of the continuing strong national economy, something that has kept the county’s sales tax revenues strong in recent years. Sales tax accounts for more than 28 percent of all revenues to the county; and for more than 58 percent of all local tax revenues.

“This is a pattern and it shows that careful management and making the tough decisions has really paid off for the taxpayers of Rockland County,” Legislator Wieder said.

IMAGE/ Rockland County Legislature