Budget Box: Annual Audit

Each year, The Landings Association engages a local firm to conduct an annual audit of our financials. Currently, the Association uses the firm Holland, Bromley, Barnhill & Brett (HB3). This is the same firm that conducts the annual audit of the Association’s wholly owned subsidiary, The Landings Company, as well as administers our votes, to maintain confidentiality of how members have cast their ballots.

Every couple of years, HB3 assigns a new lead auditor, and annually assigns different accountants to perform fieldwork and sample testing, so that a fresh set of eyes can oversee the process. This provides an opportunity to focus on new areas, to improve the financial functions of the Association.

An unmodified audit opinion was issued for 2022. There were no audit findings or issues encountered during the engagement. For those who don’t dwell in audit lingo, those are good things! The ending members equity balance as of December 31, 2022, totals $12,185,708, with an additional $9,745,121 recorded in deferred revenue-reserves.

Though our Covenants do not require the annual audit, our Board Policy Manual has included this best practice to provide assurance to our members that their money is being managed in a fiscally responsible manner that conforms to Generally Accepted Accounting Principles (GAAP).

You can review the audited financials for each year in our Annual Reports, by clicking here. Then click Annual Reports.