City accepts 2024 audit; officials note unmodified opinion and strong fund balance

The Waupaca Common Council on Aug. 19 accepted the city’s 2024 financial audit after auditors from Johnson Block & Company reported an unmodified opinion and several financial highlights. Audit supervisor Mikaela (Johnson Block) told the council the audit for the year ended Dec. 31, 2024, produced an unmodified opinion — the highest level of assurance for financial statements — and was issued earlier than the prior year. The audit showed an overall decrease in total governmental fund balance of about $418,000 but a $721,000 increase in the general fund. The city’s general fund balance ended 2024 at about $3.1 million, representing approximately 36% of the general fund budget, above the city’s policy target. Nut graf: Auditors also reported gains in some enterprise utilities (water, sewer, telecommunications), increases in TIF increment for TIF 4 and recommended continued attention to collateral coverage for cash deposits and periodic cybersecurity training. Key findings and figures presented included an increase in water utility cash position and a 3% water rate increase effective Feb. 1, 2025; net operating income for the sewer and water utilities and a cash balance for sewer that auditors described as “healthy.” TIF 4’s increment rose roughly $633,000 in 2024. Auditors noted the city implemented GASB 101, which affected long-term obligation reporting. Council action: A motion to accept and place the audit on file carried by voice vote. Council members asked questions about TIF growth drivers, fund balance classifications and how interest-rate trends could affect future investment income. Ending: Auditors and finance staff thanked municipal staff for their cooperation; councilers said the results give breathing room as the city moves into 2026 budget planning.