Board accepts district's 2024 comprehensive financial report after clean audit opinion

The Utah City Public Utility District board voted unanimously June 20 to accept the district's 2024 Annual Comprehensive Financial Report and the accompanying audit letters. Erica, the district's independent auditor, told the board that "for fiscal year 24, the district did receive a clean or unmodified audit opinion," indicating no material misstatements in the financial statements.

The auditor outlined the audit process and several letters issued to the board: an independent auditor's report, a government auditing-standards letter showing no material weaknesses or significant deficiencies, and a management letter with two recommendations. Erica said the management letter addressed supply-inventory valuation inconsistencies and a capital-asset disposal that required a journal correction. The CFO highlighted key audited balances, including a net pension liability of about $15,500,000 and an OPEB liability near $1,400,000, and noted the board's Section 115 trust now holds funds restricted for the unfunded accrued liability.

Board members asked clarifying questions about which balances were restricted to the Section 115 trust and how the district allocates unrestricted net position; staff explained the restricted dollars are being held specifically for the UAL rather than being paid immediately to CalPERS. The board concluded by moving to accept the audit conclusions, after which the chair declared the motion carried unanimously. Staff said they will work on the management-letter recommendations (inventory valuation consistency and the capital-asset bookkeeping correction) as follow-up items.