Auditor reports clean opinion on Grand Haven FY24–25 financials; pension and OPEB trends highlighted

Mike Vradeveld, the audit presenter, told the Grand Haven City Council on Dec. 1 that the city’s fiscal year 2024–25 financial statements received a clean audit opinion. "Did have a good clean opinion on it," Vradeveld said, adding auditors had "no difficulties dealing with management."

Vradeveld summarized the report’s key points: governmental activities’ net position remained broadly stable; business‑type activity increases were driven largely by the Board of Light and Power; the city transferred general fund dollars into the public improvement fund for capital projects; and most fund balances changed modestly in line with inflationary expectations. He described sewer fund operations as performing well and said the water fund showed a one‑time depreciation adjustment tied to an asset useful‑life study.

Council members pressed on retirement liabilities and targets. Vradeveld said the pension plan funding was near the city’s stated goal of 60%, and that actuarial assumptions and market activity produce large year‑to‑year swings. He noted the city’s OPEB (other post‑employment benefits) funding rate is lower—"a little over 35% funded now"—and that OPEB trends fluctuate based on plan membership and actuarial changes.

City officials thanked finance staff and auditors for the work; council members said the report shows the city is "actually in pretty good shape" despite external revenue headwinds and noted a continuing long‑term pension burden. The council did not take formal action on the audit during the session beyond accepting the presentation.

What’s next: staff will keep the audit on file as part of the city’s financial records and continue managing capital transfers and long‑term liability monitoring.