For 36 consecutive years, the City of Mexico has been issued a Certificate of Achievement for Excellence in Financial Reporting — and it would appear that the city has done it again.

The Mexico City Council got an overview of the findings in its fiscal year 2025 financial report from Amanda Schultz, CPA, of Williams Keepers, who said the city received another clean audit and she expects it will receive the same distinction for its 37th year during the Feb. 9 Mexico City Council Meeting.

“The city prepared an Annual Comprehensive Financial Report again this year,” Schultz said. “That is a sign of excellence in financial reporting because it goes above and beyond the basic financial reporting requirements.”

The Annual Comprehensive Financial Report, prepared by the City of Mexico’s Administrative Services Department includes all funds that are controlled by or dependent on the city such as public safety, public works, parks and recreation, community development, sanitary sewage utility, economic development, aviation and sanitary landfill disposal or refuse.

Two reports were issued from the single audit — one was based on the city’s increased expenditures, and the other was related to the uniformed guidance standards.

According to Schultz, the city incurred federal expenditures exceeding $1 million in federal funding during fiscal year 2025 — an increased threshold from last year, which was $750,000. Moving forward, the threshold will stay at $1 million.

“We issued a report on internal control over financial reporting and noncompliance and other matters based on an audit of financial statements,” she said. “It does not have any findings and no instances of noncompliance were reported.”

The second report on compliance for each major program as well as internal control over compliance as required by the uniformed guidance standards.

“Everything is clean and looked good coming out of that single audit,” Schultz said.

Governmental Funds and Government Wide Statements

The city’s outflow and deferred assets increased by $1.5 million, or 2%, in fiscal year 2025 while total liabilities and deferred inflow decreased by $2.2 million, or -19%.

“The total balance for these governmental funds was 15.5 million,” Kristen Brown, CPA and Mexico’s audit manager, said.

Total revenue increased by $1.1 million, or 6%. According to WK’s report, this was primarily due to increases in churches for services, property taxes, sales taxes, franchise taxes and interest income on deposits. Total expenses increased by $2 million, or 14%, due to increases in general government, public safety, streets, parks and recreation and community development. A $1.5 million total increase in fund balances, otherwise known as net income of funds, was reported.

Proprietary Fund Statements

The Statement of Net Position of all business activities reported a total net position of $17.6 million, according to the City of Mexico’s Annual Comprehensive Financial Report for fiscal year 2025.

The city’s Statement of Revenues, Expenses and Changes in Net Position included operating revenues and operating expenses such as salaries and wages, employee benefits, materials and supplies, electricity, repairs and maintenance, telephone and utilities and fuel. There was a total increase in net position of $595,000 and the overall net increase in cash and cash equivalents was reported at $589,000.

“We noted no significant difficulties in performing our audit — no disagreements with management — Vicki (Duenke) and her team are always well prepared and available to answer questions when we’re out here,” Brown said.