Orem: reserves, UTOPIA debt and redevelopment payments
The Ledger's review of Orem's budgets, audits, debt, redevelopment money and officials' disclosures. Every story in the series, sorted by subject, with the figures the records show and links to the official documents.
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Auditing Orem: what the city's own records show about its money
A records-only look at Orem's budget, reserves, debt, audits and redevelopment payments, drawn from audited reports, budgets, county filings and State Auditor letters.
Read the explainer →Key figures
- $70.0 millionBonds outstanding on June 30, 2025Auditing Orem: what the city's own records show about its money →
- $4.07 millionExcess over the state cap that auditors stated for FY2025; the balances in their finding do not reproduce itOrem's general fund topped the state reserve cap in every audit from 2019 through 2025 →
- $3.56 millionOrem's FY2025 UTOPIA pledge paymentOrem paid $3.56 million toward UTOPIA's bond debt in fiscal 2025 →
- $62.4 millionRemaining maximum UTOPIA pledge through 2040Orem paid $3.56 million toward UTOPIA's bond debt in fiscal 2025 →
- $6.38 millionTax increment paid to University Place owner, FY2021–FY2025Orem's redevelopment agency paid $6.4 million in increment to University Place's owner →
- $450,000Yearly property tax revenue increase for two officersOrem council raises property tax revenue $450,000 for two police officers →
- $3.68 millionFY2026 general fund contribution to capital projects fund in the budget amendment adopted Feb. 24, 2026Orem council approved moving $3.68 million to capital projects →
- $4.1 millionAmount packet said city must spend or transfer by FY2026 year-endOrem council approved moving $3.68 million to capital projects →
- $25 millionMaximum principal UIA board authorized for new network-revenue bondsFiber agency Orem helped create authorized up to $25 million in new bonds →
- $268.1 millionUIA bonds already outstanding secured by network revenuesFiber agency Orem helped create authorized up to $25 million in new bonds →
- $1.07 millionFY2027 utility transfers back to Orem's general fundOrem's utilities budgeted $1.07 million to return to the general fund in fiscal 2027 →
- $5.68 millionPaid to Layton Const Co, Inc., the city's largest payee in FY2026, as reported to the stateTransparent Utah: Orem City highest-paid vendors FY2026 →
Debt and bonds
Fiber agency Orem helped create authorized up to $25 million in new bonds
The Utah Infrastructure Agency's board adopted a resolution on Sept. 8, 2026, allowing up to $25 million in telecommunications revenue bonds. Its public notice says they would be repaid from the fiber network's revenues and does not mention pledges by member cities.
Orem paid $3.56 million toward UTOPIA's bond debt in fiscal 2025
Orem is one of 11 cities that pledged sales tax to cover shortfalls on UTOPIA's 2004 and 2008 bonds, and has paid its share each year since 2008.
Redevelopment money
Orem's redevelopment agency paid $6.4 million in increment to University Place's owner
Orem's only active redevelopment area passes 90% of its property tax increment to the University Mall owner under a 20-year agreement; most of the increment comes from Alpine School District taxes.
Budgets, reserves and taxes
Orem's utilities budgeted $1.07 million to return to the general fund in fiscal 2027
The general fund pays Orem's water, sewer, storm water and street light funds for city use, and the same $1,072,000 is planned to go back by transfer. Separate charges for administration and internal services appear in the same presentation.
Orem council raises property tax revenue $450,000 for two police officers
The Aug. 27 vote, 4-2 among council members with the mayor also voting yes, also moved all of the city's general operations property tax into a new public safety fund.
Contracts and spending
No story in the series on this yet.
Audits and compliance
Orem council approved moving $3.68 million to capital projects
The council adopted a February 2026 budget amendment, Ordinance O-2026-0004, that includes a $3,680,788.60 transfer from the general fund to the capital projects fund after an audit found the general fund over the state cap. The records reviewed do not show whether the money moved by June 30.
State Auditor found no procurement violation in Orem's 2022 school-split study contract
A May 2022 State Auditor letter said Orem's selection of a consultant without a bid fell within a city ordinance exception, and referred open-meetings concerns to the Attorney General.
Audits flagged a deficit in Orem's facilities fund four years running
Auditors found Orem did not budget to pay down a deficit in its Facilities Maintenance Fund in each audit from fiscal 2022 through 2025, along with other state compliance lapses.
Orem's general fund topped the state reserve cap in every audit from 2019 through 2025
Independent auditors reported Orem holding more general fund money than state law allows in seven straight annual audits. For fiscal 2025 they stated an excess of $4.07 million, a figure their own listed balances do not reproduce.