PUD Receives Perfect Audit for 2020 Finances

Jefferson County PUD received a clean audit for its 2020 financial statements from independent auditing firm Jackson Thornton. The PUD uses an independent auditing firm in order to comply with federal reporting requirements related to the PUD’s $115M loan to purchase the electric system. In the fall, Washington State will review the independent audit to assure that the PUD is meeting state requirements as well.

From the audit report:  “An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Public Utility District No. 1 of Jefferson County, Washington, as of December 31, 2020, and the changes in financial position and its cash flows for the year then ended in accordance with accounting principles generally accepted in the United States of America.”

District Finance Director Mike Bailey knew the 2020 audit had gone well not so much when he received word that the auditors found no issues, but when the auditors reported to the PUD’s Board of Commissioners that Bailey was perhaps the most responsive and prompt of all the clients they worked with.

General Manager Kevin Streett also complimented Bailey and his team, “As a public utility, clean audits are a necessity. Mike and his team have worked to improve our processes and get our finances in the best shape they have ever been in.”

Audio from the Audit Report and written reports and presentations from the Auditor can be found in the PUD’s Meeting Archives.