Rexburg auditor: financial statements materially accurate but general fund trending down; wastewater headworks bid may require bond

Theresa Flannery, the city’s external auditor, told Rexburg City officials that the fiscal-year 2024 financial statements are "materially accurate," but she warned that the city should watch several budget and capital pressures.

Flannery said total assets exceeded liabilities—"about $175,000,000"—and described a general fund balance at roughly $5.8 million, or about 38.5% of fund balance, down from prior years. "All said and done, we feel that what's being presented to you is materially accurate," she said.

The auditor and city staff spoke at length about several topics that could affect future budgets and borrowing: a recently bid wastewater headworks project that came in at more than $6 million; a water loan the city still owes about $6.9 million on; and a wastewater revenue bond that will be paid off next year (about $790,000). Flannery said city staff’s capital improvement plan suggests the city may need to issue a bond in roughly three years if the wastewater CIP proceeds on the proposed timeline, and that a judicial confirmation process (rather than a public vote) would likely be the route because the city…