Fla. – The City of High Springs permanently lost $73,449.32 in half-cent sales-tax revenue after failing to meet state-mandated financial reporting deadlines for Fiscal Year 2023-24, the Florida Legislature’s Joint Legislative Auditing Committee (JLAC) confirmed to Alachua Chronicle
JLAC said Florida Department of Revenue (DOR) records show that High Springs lost $33,943.27 for April 2026 and $39,506.05 for May. Both distributions were transferred to the state General Revenue Fund under Section 218.63, Florida Statutes.
DOR previously confirmed to Alachua Chronicle that the May payment could not be restored. “The funds are no longer available, and there are no remedies to recover those funds from the General Revenue Fund and distribute them to the City,” wrote DOR Communications Director Bethany Cutillo.
Cutillo said High Springs is now compliant and has resumed receiving its monthly half-cent distributions.
Florida law required the City to submit its Fiscal Year 2023-24 audit and audited financial reports (AFR) by June 30, 2025, nine months after the fiscal year ended. The High Springs Community Redevelopment Agency (CRA) audit was due the same day, and its AFR information had to be included in the City’s AFR. Sections 218.32 and 218.39 establish these reporting requirements. Although the CRA was separately delinquent, JLAC confirmed that the City’s municipal reporting delinquency caused the loss of the half-cent revenue.
JLAC notified City officials on Sept. 18, 2025, that the City’s audit and AFR were overdue and stated that half-cent proceeds, if withheld, would be returned to the state. Four days later, then-Finance Director Diane Wilson responded to JLAC and said the reports would be submitted by Nov. 17. On Nov. 25, Wilson wrote another email to JLAC and said the City’s auditors expected to complete the audit by the end of December 2025. On Jan. 14, she asked JLAC to extend the audit deadline through April 30, 2026.
JLAC’s chairs ultimately authorized a 30-day delay in enforcement and gave the City through March 4 to comply. When the audit and AFR remained delinquent on March 5, JLAC directed DOR and the Department of Financial Services (DFS) to begin withholding eligible City funds on or after April 5.
The City’s 2023-24 audit is dated May 21, 2026, nearly 20 months after the fiscal year ended and almost 11 months after the filing deadline. The City submitted the audit to the Auditor General on June 5 and filed its AFR with DFS on June 11. The following day, JLAC told DOR and DFS to stop enforcement, refrain from withholding additional funds, and release any funds that were eligible to be released.
JLAC’s June 12 letter recounts its March 5 directive to withhold eligible High Springs funds beginning April 5 and instructs DOR and DFS to stop enforcement after the City filed its reports. (Courtesy of JLAC)
The late City audit was also a factor in the City Commission’s successful effort to remove City Manager Jeremy Marshall. At the Aug. 13 City Commission meeting, Mayor Andrew Miller questioned why the audit had not been addressed sooner. “If you could have caught up the audit in 26 days … why didn’t you help the old Finance Director catch up the audit? If you could do it in 26 days, we could have handled that years ago,” Miller said.
The Commission placed Marshall on paid administrative leave on July 23. On Aug. 13, Commissioners voted 3-2 to delay the formal removal process and authorize settlement talks. On Aug. 27, commissioners unanimously approved a separation agreement under which Marshall resigned effective immediately. The City waived the Charter’s 90-day notice requirement and agreed to pay Marshall for his accrued, unused paid time off.
At the same Aug. 27 meeting, the Commission accepted the fiscal year 2023-24 City and CRA audits as part of its consent agenda. Commissioners did not discuss the lost April and May distributions.
CRA Manager Amy Bohannon declined to comment and referred questions to Interim City Manager Jennifer Applebee, who also declined to comment. Commissioner Katherine Weitz said she needed to consult with Applebee and the City’s new Finance Director before responding; she did not provide additional comments. Commissioner Tristan Grunder did not respond to a request for comment.
Leslie Moyer, the City’s new Finance Director, is overseeing completion of the Fiscal Year 2024-25 audit.
