Top 3 Key Takeaways

1. Independent Audit Revealed Material Weakness in Revenue Recognition The Carpinteria Groundwater Sustainability Agency's FY 2024-25 audit by Clifton Larson Allen identified a material weakness related to assessment revenue that had been collected but should have been recognized in a prior year, leading to a restatement of the beginning balance. The audit received an unmodified opinion (the highest level), with the agency ending the year with net position of approximately $868,000, showing an increase of about $256,000 from the previous year. The agency had revenues of $572,000 and expenses of $316,000 for the fiscal year.