The City of Ithaca is nearing completion of its 2021 financial audit, but delays blamed on staffing shortages and outdated accounting practices have already cost the city its credit rating, according to The Ithaca Voice. The audit, initially expected by mid-2024, remains incomplete nearly three years after work began.
Auditing firm Insero & Co. cited inconsistent data and manual processes—including reliance on Excel spreadsheets—as major hurdles. The city also lacks a permanent controller and continues to fall behind on audits for 2022 through 2024. As a result, Moody’s withdrew the city’s credit rating, raising future borrowing costs.
Officials hope a new accounting system and audit completion will restore financial credibility, but Moody’s has yet to respond on reissuing the rating.
FingerLakes1.com is the region’s leading all-digital news publication. The company was founded in 1998 and has been keeping residents informed for more than two decades. Have a lead? Send it to news@fingerlakes1.com.