Read this before reading any Arkansas audit: county and city reports carry a technical 'adverse opinion' on GAAP grounds because Arkansas law has them keep books on a simpler 'regulatory basis.' That phrase appears in every such audit in the state and signals the accounting format — not wrongdoing. A report is 'clean' or not in its findings, deficiencies, and noncompliance sections, which is what this page quotes.
“The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.”
On internal control, the auditors wrote: “During our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses.”
Source: Johnson County — Regulatory Basis Financial Statements and Other Reports, year ended December 31, 2024 (Arkansas Legislative Audit), page 6.
“We noted the following issues were in noncompliance with Ark. Code Ann. §14-25-114 when reviewing cash: a) Bank reconciliations prepared by the Treasurer were not accurate. b) The bank activity and ending bank balances for numerous accounts did not agree with the Treasurer's summary of fund activity resulting in $204,510 in unrecorded revenues and $150,573 in unrecorded withdrawals.”
The auditors also reported these matters to county officials in a separate letter. The letter continues in the report on page 8; parts that concern staff positions are left to the report, since this site doesn’t single out non-elected staff.
Source: Johnson County — Regulatory Basis Financial Statements and Other Reports, year ended December 31, 2024 (Arkansas Legislative Audit), page 8.
· From the 2024 report, dated January 6, 2026. Read by machine from the report’s text; the quotes are the auditors’ words. Older reports, and the separate federal (single) audits, aren’t on this page yet.
· Arkansas alternates between full audits and limited “financial and compliance” reviews; each line says which this is.