Auditor recommended formal terms for Taylorsville's $831,000 advance to its storm drain fund
At a November 2025 council meeting the city's auditor described an unrepaid temporary loan from the General Fund to the storm drain fund and recommended formalizing it with interest. The audited report puts the balance at $831,774 at June 30, 2025. The council later raised the storm water fee.
Continuing story: Auditing Taylorsville
Taylorsville's auditor told the City Council in November 2025 that the General Fund had lent the storm drain fund about $831,000 on a temporary basis that had not been repaid, and recommended making the loan formal with an interest rate, according to the meeting minutes. [1]
The city's audited financial report for the fiscal year ended June 30, 2025 shows the storm drain fund owing the General Fund $831,774 at year end. [2]
The audit presentation
Chief Financial Officer Scott Harrington and Rob Wood of the city's audit firm presented the annual audit report at the council's Nov. 5, 2025 meeting. Harrington said the report was still a draft, awaiting figures from two component units. [1]
Wood said he expected an unmodified opinion and that all funds were spent within approved budgets. He noted the unrepaid $831,000 temporary loan between the General Fund and the storm drain fund and recommended formalizing it with an interest rate attached. The minutes record no motion or vote on the audit. [1]
The final report, dated Dec. 29, 2025, gives an unmodified opinion on the financial statements. [2]
What the audited report shows
The General Fund's balance sheet lists $831,774 due from other funds, and the storm drain fund's statement lists $831,774 due to other funds. The storm drain fund is the city's only enterprise fund. [2]
At June 30, 2025, the storm drain fund had $178,018 in cash and a total net position of $12,186,178, most of it invested in capital assets. Its unrestricted net position was negative $573,740. [2]
The fund also owed $634,800 on revenue bonds, of which $312,800 was due within one year. The debt note says payments on the city's 2015 sales tax revenue refunding bonds are made from the General Fund and the storm drain fund, with a final payment due in November 2026. [2][4]
The fee increase
The council's March 18, 2026 agenda included Resolution No. 26-05, which would raise the monthly storm water fee from $4 to $6 per equivalent residential unit, effective April 1, 2026. The copy in the meeting packet is unsigned and its roll-call lines are blank. The Ledger could not read the scanned approved minutes of that meeting. [3][6]
The consolidated fee schedule attached to the final fiscal 2027 budget lists a residential storm water fee of $6 a month per household. [5]
The records reviewed do not show whether the advance has been put into a written agreement or how much has been repaid.
An interfund advance is money one city fund owes another. It is not outside debt, and the audited report does not describe it as missing money. The negative unrestricted figure is one part of the storm drain fund's net position; its total net position is positive.
Sources
- Taylorsville City Council · Nov. 5, 2025 meeting minutes
- City of Taylorsville · FY2025 Annual Comprehensive Financial Report
- Taylorsville City Council · Resolution No. 26-05, updated storm water fee (March 18, 2026 packet)
- City of Taylorsville · FY2025 Annual Comprehensive Financial Report, long-term debt note (filed copy)
- Taylorsville City Council · Resolution No. 26-22, final FY2026-27 budget and fee schedule
- Utah Public Notice Website · Taylorsville City Council, March 18, 2026 meeting notice
Reporting by The Utah Ledger from the public records above. AI-assisted, checked against those records.