Auditing Garland: What the city's audit and budget show
Garland's fiscal 2025 audit gives the city an unmodified opinion on its financial statements and lists seven state-compliance findings. The year included $4.37 million in new sales tax revenue bonds and a general fund that took in $3.2 million and spent $6.1 million.
Continuing story: Auditing Garland
This series follows what the city's own financial records say, starting with the audit of the year ended June 30, 2025, and the fiscal 2027 budget report the city filed with the Utah State Auditor. [1][2]
Each story in the series is based on public records linked at the bottom of the page.
The audit opinion
Child Richards CPAs & Advisors of Ogden wrote that Garland's financial statements "present fairly, in all material respects" the city's financial position as of June 30, 2025. The report is dated Feb. 20, 2026. [1]
In a separate report on internal control over financial reporting, the auditors said they "did not identify any deficiencies in internal control that we consider to be material weaknesses." [1]
In its report on state compliance, the firm said Garland complied in all material respects but described "seven instances of noncompliance," numbered 2025-01 through 2025-07. They cover the fraud risk assessment, budget overspending, a deficit fund balance, fees, interfund service billing, interfund loans and impact fees. [1]
Spending and fund balance
The general fund took in $3,207,350 in fiscal 2025 and spent $6,119,820, including $3,686,653 for public works. It also recorded $4,374,000 in proceeds from bonds and other financing. Its fund balance rose by $1,396,530 to $2,486,936, of which $964,804 was unassigned. [1]
All governmental funds together ended the year with $2,660,393 in fund balance. The capital projects fund ended at negative $195,123. [1]
The management's discussion in the audit says general fund revenue rose 128% and spending rose 71% from the prior year, and that "these increases are largely due to capital projects and related grants and bond proceeds." [1]
Debt
At June 30, 2025, governmental activities owed $4,580,705: two 2024 sales tax revenue bonds totaling $4,297,683 and three equipment and vehicle notes totaling $283,022. [1]
The water and sewer side owed $9,510,381 on two sewer bonds, a 2018 refunding bond and a 2022 revenue bond, with a final maturity of 2055. The audit says the city began building a wastewater treatment plant in 2021 with USDA grants and bonds. [1]
Redevelopment
The audit says the Garland Redevelopment Agency "has reached the end of the agreements for collected tax increments" for the Downtown and Industrial areas and had no activity for the year. Its RDA #2 fund held $325,693 at year-end, of which $300,000 was due from other funds. [1]
The fiscal 2027 budget
The fiscal 2027 State Budget Report Garland filed with the State Auditor lists $3,168,400 in general fund revenue, including $700,000 in current-year property taxes and $465,069 of fund balance appropriated. It also lists a $135,000 budgeted increase in fund balance. [2]
The same report budgets $935,000 in sewer operating income and $594,000 in water operating income for the year. [2]
Figures come from the city's audited statements and the budget report it filed with the Utah State Auditor. Budget figures are planned amounts, not actual spending. Debt figures are balances at June 30, 2025.
Sources
- Garland City · Annual financial statements for the year ended June 30, 2025 (Child Richards CPAs & Advisors, filed with the Utah State Auditor)
- Garland City · State Budget Report, fiscal 2027 (07/01/2026 to 06/30/2027), filed with the Utah State Auditor
Background explainer by The Utah Ledger. AI-assisted reporting, checked against the sources above.