Auditing Hyde Park: what the city's audit, budget and tax records show

The Utah Ledger is reviewing Hyde Park City's public financial records in a series called Auditing Hyde Park. The series reports what the city's audited financial statements, budget filings and council records state, and labels each figure with its year and basis.

The most recent audit on file with the State Auditor covers the year ended June 30, 2025. It was performed by Richey, May & Co., LLP of North Logan, and the auditor's report is dated Oct. 24, 2025. ^[1]

The audit opinion and findings

The auditor's opinion says the financial statements present fairly, in all material respects, the city's financial position as of June 30, 2025. That is an unmodified, or clean, opinion. ^[1]

In a separate report on state compliance, the auditor gave a qualified opinion on two areas, budgetary compliance and fund balance, and an unmodified opinion on the others it tested. It classified both findings as material weaknesses in internal control over compliance. A separate Ledger story covers the two findings. ^[6][7]

The auditor's report on internal control over financial reporting says it did not identify any deficiencies it considered material weaknesses. ^[14]

Fund balance and net position

The General Fund, the city's main operating fund, took in $6,353,968 in fiscal 2025 and spent $5,010,644. After transferring $350,000 to the city's two capital projects funds, its fund balance rose by $993,324 to $5,826,583. ^[3]

Of the General Fund balance, $2,634,063 was unassigned. The rest was restricted: $1,339,257 for roads, $1,046,459 for capital projects and $806,804 for impact fees. ^[4]

The city's total net position, an accounting measure of assets minus liabilities, was $47,418,670 at June 30, 2025. Of that, $35,023,295 was net investment in capital assets, which is not cash. ^[2]

Debt

The city's bond debt at June 30, 2025 was a $5 million Series 2021 water revenue bond, with $2,920,000 outstanding at 2.91% interest and $205,000 due within a year. The debt schedule runs through 2039. ^[5]

The governmental activities also carried $41,768 in vehicle lease liabilities and $56,985 in accrued compensated absences. ^[12]

The 2026-27 budget

On Aug. 26, 2026, the City Council held a hearing on a proposed certified tax rate of .00110, which the minutes describe as a 9.74% increase. It then voted 4-0 for Resolution 2026-21, adopting that rate, and 4-0 for Resolution 2026-20, adopting the city's final budget. A separate Ledger story covers the tax increase. ^[10]

The budget the city filed with the State Auditor lists $5,819,500 in General Fund revenue and the same amount in expenditures in its "Budgeted 2027" column. ^[8]

The same filing budgets $1,413,500 for the water fund, $1,300,000 for the sewer fund and $368,000 for the storm water fund. It lists $1,000,000 for a CMPO Bobcat Way project in the capital projects fund. ^[9][15][16]

Redevelopment

The fiscal 2025 audit describes the city's reporting entity as the city and one component unit, its Municipal Building Authority. It does not list a redevelopment or community reinvestment agency. ^[13]

What comes next

The city requested proposals for an audit of the year ending June 30, 2026, with proposals due March 3, 2026. The request says the audit must be completed and the report issued before Dec. 1, 2026, and that the same firm may be engaged for the following three years, subject to annual evaluation and council appropriation. ^[11]

The city's fiscal 2026 audit has not been published. ^[11]