Auditing Midvale: What the city's budget, audit and debt records show

Auditing Midvale is a series that follows the city's money through its own records: the annual budget, the audited annual comprehensive financial report, and the decisions of the City Council and the Redevelopment Agency of Midvale City. Every figure links to the official document it comes from.

Midvale's fiscal year runs from July 1 to June 30. The latest audited report covers fiscal 2025, which ended June 30, 2025. The current budget covers fiscal 2027, which began July 1, 2026. ^[1][2]

The 2026-27 budget

At an Aug. 11, 2026 special meeting, the council voted 5-0 to adopt Resolution 2026-R-43, the city's operating and capital budgets for the year ending June 30, 2027. Staff said an interim budget adopted June 16, 2026 had served as the operating budget from July 1. ^[2]

The adopted budget sets General Fund revenues and expenditures at $24,179,095 and Public Safety Fund revenues and expenditures at $15,080,546. ^[2]

The approved budget book lists a $201,575 use of General Fund balance for fiscal 2027. Its fiscal 2025 actual column shows General Fund revenues of $29,191,087 and expenditures of $30,679,172. ^[3]

The budget book's financial policies call for a General Fund reserve of 15% of budgeted General Fund revenues and say debt service shall not exceed 15% of General Fund expenditures. ^[3]

The fiscal 2025 audit

Keddington & Christensen, a Woods Cross accounting firm, audited the fiscal 2025 statements. Its report, dated Jan. 15, 2026, says they present fairly, in all material respects, the city's financial position as of June 30, 2025, in accordance with generally accepted accounting principles. ^[1]

The council took up Resolution 2026-R-05, acknowledging completion and receipt of the annual audit, on Jan. 20, 2026. The city's public notice says the report was presented and reviewed at that meeting. ^[4][5]

The report's financial highlights put the city's total net position at $151,817,313, up $9,055,793 during the year. Governmental fund balances totaled $31,514,270, down $6,251,604 from $37,765,874, a decline of about 16.6%. The highlights put the decline at 19.8%, which is the drop divided by the ending balance rather than the beginning one. ^[1]

The auditor's separate report on state compliance, also dated Jan. 15, 2026, gives an unmodified opinion. It lists one finding, 2025-001: during testing of the Justice Court, the auditor noted that the city had not adequately reconciled the court activity to the general ledger monthly. The report classifies it as a significant deficiency in internal control over compliance. It does not classify it as a material weakness. It gives the cause as an oversight by management and says governance was not provided with accurate information on the trust account liability. ^[6]

In its response, management said the city prints Justice Court trust account checks monthly through a manual process, that a full reconciliation had historically been done annually, and that it would ensure the process is done monthly. The auditor recommended monthly reconciliation. The report lists no financial-statement findings. ^[6]

Reserves

The General Fund's unassigned balance was $8,451,073 at June 30, 2025, or 27.7% of revenues, according to the report's financial highlights. The city's policy minimum is 15%. A later page of the same report prints the figure as $8,451,173, or 26.8%. ^[1]

General Fund expenditures rose from $20,610,613 in fiscal 2024 to $23,077,166 in fiscal 2025, the report says. The fund's detailed statement and budget schedule show $30,540,861 in revenues and $5,506,195 in transfers out, so the fund's balance rose by $1,957,500 to $10,618,883. The report's narrative describes the same $1,957,500 as expenditures exceeding revenues, which the detailed statements do not support. ^[1]

Debt

The city reported $69,274,119 in long-term obligations at June 30, 2025, down $5,416,743, or 7.24%, from $74,690,862 a year earlier. ^[1]

The largest pieces were $30,370,000 in tax revenue bonds, $24,274,000 in water, sewer and storm water revenue bonds, and $4,390,000 in lease revenue bonds. The total also includes direct borrowings, bond premiums and compensated absences. The report says the city has no general obligation bonds outstanding. ^[1]

Redevelopment

The transmittal letter describes three redevelopment project areas: Bingham Junction, Jordan Bluffs and Main Street. It says Jordan Bluffs consists of 268 acres in the southwest corner of the city. ^[1]

Other stories in this series examine the agency's 2025 change to the Jordan Bluffs developer reimbursement cap, two 2026 business-loan decisions and the public safety property tax the council adopted in August 2026.