Tooele City Hall’s financial procedures and policies have been given high praise in an independent audit of the City’s 2017-18 fiscal year budget.
Randy Jensen of Salt Lake-based accounting firm WSRP, told the City Council on Dec. 19 that his firm did a rigorous audit report according to U.S. accounting principles and standards and has issued a “clean or unqualified opinion” of the city’s overall financial statements.
In auditing parlance that means the city’s books are in good shape.
While giving a financial recap of the report, Jensen said the net position of total assets of governmental activities was $120.19 million compared to $123.9 million in 2017. The net position of total assets of business-type activities was $125.67 million compared to $123.2 million in 2017, and the net position of total primary government assets was $245.86 million compared to $247.1 million in 2017.
“So [the numbers] are very comparable from year to year,” Jensen said. “It’s a good size corporation when you look at it from the standpoint of a business. You’re basically managing a $200 million corporation.”
He said total liabilities have been reduced from $54.2 million in 2017 to $49.8 million in 2018 for both governmental and business-type activities. He said the net position, which is basically the difference between the assets less the liabilities, is $192.37 million compared to $190.24 million in 2017.
Jensen said total revenues for the city’s primary government were $35.4 million compared to $33.4 million in 2017. Revenues include charges for services, grant contributions, taxes, investment earnings, impact fees, investment income, gain on sale of capital assets, gain on sale of water rights and miscellaneous.
According to the report, City expenditures for 2018 were $33.3 million compared to $34.2 million in 2017.
Jensen said his firm also audited the City’s compliance with federal and state regulations.
“We found no material instances of non compliance,” Jensen said. “In other words, the City was compliant with federal government auditing standards. There were no exceptions.”
However, in relation to state compliance, Jensen said one minor instance of non-compliance was found. That instance was related to a three-day reporting of publishing of the minutes of meetings.
“So basically, in relation to budgetary compliance, compliance with federal regulations and state regulations, the City has done a good job,” Jensen said.
He also said City management is required to establish financial controls and compliance throughout the city. He said City Finance Director Glenn Caldwell and his staff are doing an “excellent job.”