Audit: Green Oak Township In Great Financial Condition
November 4, 2021
By Jessica Mathews / news@whmi.com
Green Oak Township has received a top-notch audit.
A report was delivered at a recent board meeting by John Pfeffer with the Pfeffer, Hanniford and Palka firm. The township was again given an unmodified opinion – the highest an independent auditor can issue - which was said to be important for bonding and state shared revenues. Pfeffer noted that coming out of the pandemic; both current and former township staff were very helpful in the process. He noted the retirement of a key person and said they were able to enlist previous accountants to help get things caught up and done and everything is in great order.
Pfeffer said the township’s overall financial condition is good and they were able to maintain fund balance while still accomplishing a number of projects and making a significant contribution to public safety.
Pfeffer commented the township has done a great job in budgeting and staying within budget and accomplished a number of things, part of which were related to bonds that were issued. He said some projects have already been completed and others are in the process – noting the new roof on the township hall was a great improvement that needed to be done, along with the parking lot expansion and M-36 Lemen Road trail.
Pfeffer stated the township the credit position for the township is very high quality and it has a AAA rating from Moody’s Investors Service. Notable credit factors include a robust financial position, a strong wealth and income profile, and a moderately sized tax base.
Pfeffer said that reflects an affordable debt burden and a small pension liability. He said the latter two items are very important and the township has done a great job of making sure revenues can meet those future payments. When it comes to pension liability, Pfeffer said a lot of municipal units in Michigan that they audit have a situation where their pension plans are unfunded or only at 40% or sometimes less. He said Green Oak has done a great job funding that and is in a strong position there so they’re not worried about the township being able to meet future obligations and as auditors, that’s something they look at very closely.
Supervisor Mark St. Charles commented that it has certainly been a difficult year all the way around and been tough but they got through it just like the recession.
Clerk Michael Sedlak stated that former employees came back to help and they were able to weather the storm and couldn’t be more grateful.
The audit report was accepted by the board and submitted to the state.