Covington audit shows no general fund deficit… for now

  • Covington’s financial audit has come back clean and shows no deficit in the city’s general fund, although with the end of COVID funding looming, the future is unclear.
  • The general fund saw an increase in payroll tax revenue and a decrease in expenditures.
  • They will need to find some way to make up the gap long-term, likely through generating more occupational tax revenue.

Covington’s annual financial audit has come back clean for the third year in a row.

Additionally, fiscal year 2025, which concluded June 31, was the first time since fiscal year 2021 that the city’s general fund closed the fiscal year with revenues exceeding expenditures, i.e., without a deficit. The general fund is the city’s primary fund, from which it pulls much of its operating budget.

“In the words of the former mayor (Joe Meyer), make sure you get a clean audit,” said Mayor Ron Washington at the Board of Commissioners meeting on Jan. 27, where auditing firm Barnes Dennig first publicly presented its findings to the city government…

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