Village of Monticello – Financial Condition (2020M-107)

Issued Date
December 23, 2020

[read complete report - pdf]

Audit Objective

Determine whether the Village of Monticello (Village) Board of Trustees (Board) properly managed financial condition.

Key Findings

The Board did not adequately manage the Village’s financial condition. As a result, the Village is fiscally stressed.

  • The Village’s total fund balance will likely be fully depleted at the end of the 2019-20 fiscal year.
  • The Village has exhausted nearly 100 percent of its constitutional tax limit.
  • The Village has significant infrastructure needs that it lacks the funds to address.

Key Recommendations

The Board should:

  • Create a plan to address the declining fund balance and financial condition.
  • Monitor the Village’s constitutional tax limit to ensure real property tax levies do not exceed it.
  • Develop and adopt a multiyear capital plan that provides sufficient resources for necessary capital improvements.

Village officials generally agreed with our recommendations and indicated they plan to initiate corrective action.