Preparing for the Fiscal Year-End: A Q&A with Brian Opsahl, Shareholder at Brady Martz

As the fiscal year-end approaches, government entities often face the daunting task of closing the books, staying compliant, and maintaining transparency for stakeholders. To shed light on best practices, we sat down with Brian Opsahl, Shareholder at Brady Martz, to discuss how municipalities, counties, school districts, and other government entities can prepare for a smooth fiscal close. 

 

Q: Why is preparing for year-end such an important process for government entities? 

Brian Opsahl: Year-end reporting is more than just meeting compliance requirements—it’s an opportunity to demonstrate transparency, reinforce strong internal processes, and build public trust. Doing it well ensures accuracy and efficiency and sets the stage for a stronger start in the new fiscal year. 

 

Q: GASB updates seem to be a major factor in reporting. What should agencies know about recent changes? 

Brian: Absolutely. The Governmental Accounting Standards Board (GASB) regularly issues updates that affect how financial information is reported. For example: 

• GASB 101 – Compensated Absences: requires consistent recognition of employee leave liabilities. 

• GASB 102 – Disclosure of Certain Risks and Uncertainties: increases transparency around potential vulnerabilities. 

• GASB 103/104 – Financial Reporting Model Improvements: reshapes key sections like MD&A and budgetary comparisons. 

The best practice is to schedule regular review sessions throughout the fiscal year to evaluate how new standards may impact reporting. Even if the effective dates are still a year out, preparing early makes implementation much smoother. 

 

Q: What practical steps can governments take during the year to avoid last-minute headaches at close? 

Brian: The biggest one is reconciling accounts early and often. This includes bank accounts, grants, and interfund balances. Regular reconciliations not only reduce stress at year-end, but they also make it easier to adopt new standards as they come into play. 

 

Q: How important are internal controls in this process? 

Brian: Strong internal controls are absolutely foundational. At year-end, agencies should review segregation of duties, update documentation of financial procedures, and test control processes before auditors arrive. This proactive approach helps prevent audit findings and instills confidence in the accuracy of reports. 

 

Q: What about documentation? How should governments handle assumptions and estimates? 

Brian: Documentation is critical, especially under the latest GASB guidance. Governments should maintain clear records of assumptions and estimates related to things like capital projects, grant compliance, or compensated absences. Transparency in these areas supports both auditors and stakeholders. 

 

Q: Technology seems to be reshaping reporting—what role does it play here? 

Brian: Technology can make a huge difference. Agencies should evaluate whether their systems can handle enhanced disclosure formats, expanded reconciliations, and integration with budgeting tools. Investing in the right accounting software reduces manual work, improves accuracy, and helps agencies keep pace with evolving requirements. 

 

Q: How can finance teams stay ahead of the curve on training and best practices? 

Brian: Standards evolve quickly, so continuing education is a must. Attending industry events like the Government Finance Officers Association (GFOA) Best Practices Forum provides timely insights and CPE opportunities. Encouraging your team to participate in these events ensures consistent application of best practices. 

 

Q: Any closing advice for agencies preparing for year-end? 

Brian: Don’t view year-end as just a compliance exercise. Instead, treat it as a chance to improve transparency and strengthen your financial processes. By staying ahead of GASB updates, reinforcing controls, documenting assumptions, and leveraging technology and training, you’ll set your agency up for success in the year ahead. 

 

Final Note 

At Brady Martz, our professionals are dedicated to guiding government clients through the complexities of year-end reporting. From audits and compliance to forecasting and consulting, we’re here to support your agency every step of the way.