The Yukon City Council accepted the city’s audited financial statements for fiscal year 2023–24 and approved several budget amendments for FY2025–26 at its July 15 meeting.

Lonnie Heim of HBC CPAs reported the firm issued an unmodified (clean) audit opinion for the city’s financial statements. Heim said the auditor’s opinion indicates the financial statements “present fairly in all material respects.” He reviewed highlights including comparative financial summaries, assets and debt schedules, and required federal single-audit reporting for FEMA and COVID funds.

Following the audit presentation, Finance Manager Chris presented proposed budget amendments (labeled 01-01208) that included reinstituting a one-week birthday pay bonus for eligible city employees, funded by reallocations within the existing budget. The council approved the amendments.

Chris said the birthday bonus amounts to roughly one additional week’s pay for employees and that staff identified internal savings—largely from street paving adjustments—to cover the cost. The council clarified the bonus is retroactive to the beginning of the fiscal year.

Another amendment clarified an outstanding lease for the Veterans Museum at the American Legion and added roughly $11,000 from unallocated fund balance to cover the remaining year’s lease payments after staff discovered the contract remained in force.

The audit presentation also noted that the city’s financial statements show a reliance on sales tax revenues to fund government services; Heim highlighted the comparative tables and footnotes, including discussion of debt and large purchases. Council members were briefed that taxable receipts tied to new commercial projects may take time to generate net revenue because of negotiated incentives.

Council accepted the audit by motion, and the budget amendments were approved by unanimous vote.