All hands are on deck in squaring away the City of Blue Ridge’s finances, according to Mayor Andy Rhodes.
During the council’s workshop March 10, he explained that Finance Director Lisa Hoyle and Eric Soroka, former city administrator who was recently contracted to help with zoning matters, are preparing a revised 2026 budget.
“As we’re all aware, the 2026 budget was prepared by the previous administration,” Rhodes said. “I believe that it had some significant issues.”
Tammy Galvis, retired auditor who was contracted to see where the past-due audits stand, said the 2024 audit should be on track for submission by the end of June.
She believes this to be that case after speaking with JAT Consulting, who was contracted for audit preparation, and Tacie Jo Bracken, the city’s auditor.
JAT Consulting believes their end of the deal should be completed by the end of the month, and Bracken’s audit should be ready for submission by June.
The 2025 audit is due in June, but Galvis believes it is not achievable and recommended the city apply for an extension; though, she is not sure it will be granted since the city was past due on the 2023 audit and is still delinquent for 2024.
Due to federal grant funds received in 2025, an additional audit is required.
She said another firm cannot be hired either to try and expedite the 2025 audit as it cannot be submitted before one that is past due.
Audits are due to the state six months after close out for the fiscal year. Since the city is past due, they are not eligible for any state funding.
Galvis added that in normal circumstances, it is better to keep audit preparations in house since those within are familiar with their own practices.
Since JAT Consulting is now familiar and has added staff, Galvis said it may be appropriate to have them complete the 2025 audit preparations.
Galvis explained that due to the city closing several bank accounts in the fourth quarter of the 2025 fiscal year, it is near impossible to reconcile transactions for 2026 until the 2025 numbers are completed.
The 2025 numbers also await reconciliation until 2024 is finished.
Galvis also noted that the city’s purchasing procurement policy is unclear and needs to be communicated to staff.