Speaker numbers apply only to this recording.
The Grand Junction City Council met in regular session at 5:30 p.m. on Wednesday, August 5, 2026, in the City Hall Auditorium at 250 North 5th Street. Council President Laurel Lutz presided. Councilmembers Robert Ballard (virtual), Scott Beilfuss, Cody Kennedy, Jason Nguyen (virtual), and Ben Van Dyke were present; Councilmember Anna Stout was absent. City Manager Mike Bennett, Interim City Attorney Jeremiah Boies, and other staff were also present. The meeting included the 2025 audit presentation, a library anniversary proclamation, public comments, routine consent items, public hearings, resolutions, and a wastewater treatment plant contract. The meeting adjourned at 8:25 p.m.
How do we give us a hug I can't think of a lot. Yeah. All right, everyone. We are going to um call to order the Wednesday, August 5th meeting of the City Council at 5 30 p.m. And will you please join me in standing for the Pledge of Allegiance, followed by a moment of silence? I pledge allegiance to the platter of the United States of America. Liberty, justice for all. Good evening. Thank you so much, Mayor and Council, for having me here tonight. My name's Christine McLeod. I'm with Haney and company, and we were the city's auditors for December 31st, 2025 year end. And so I'm just here to present the communications at the end of our audit to you as required under auditing standards. Um that are in the final um audited financial statements are required communications, whether or not we found any corrected or uncorrected misstatements in the financial statements, um, government auditing standards reporting, because there's there are federal funds that were reported on. We have a couple of opinions, additional opinions in our report that will touch on those upcoming generally accepted our governmental accounting standards pronouncements, and then any questions that you might have, I'd be happy to answer them. So the engagement team was myself, Christine McLeod, the audit partner, and then I have an audit manager, Diego Martinez. This is our information. We had a team that worked with us coming out here to perform field work. So if you have any additional questions and you wanted to reach out to us, you have our information provided. As far as our audit procedures and the work that we do, um, you sign an engagement letter with us. Um, you know, we perform a risk-based audit, which means that we take a look at where the highest risk might be in materialness of material misstatement in your financial statements, and we perform our procedures, develop our procedures from that standpoint. Revenues, grants, you know, federal funding, those are all things that are higher risk, and so we focus on those areas. So our report recognizes that the financial statements are free from material misstatement underneath generally accepted auditing standards and government auditing standards. So that's reasonable assurance, but not absolute assurance about whether the financial statements are free of material misstatement. We issued our opinions on June 30th, 2026 on the 2025 financial statements, as well as on internal controls and compliance related to major federal awards. Just some financial statement highlights, real quick here. So what we're looking at is just a government-wide overview, and this is on a full accrual basis. So this includes all capital assets and all debt of the city. So on a full accrual basis, you're showing total assets of 1.4 billion, deferred outflows, 11 million liabilities, 273 million offset by deferred inflows. The assets are offset by both liabilities and deferred inflows for that total net position. And you'll see total net position there is 1.3 billion. Most of that net position is invested in capital assets, about 1 million of that. And that's basically related to all the infrastructure that is, you know, out there servicing the citizens. It's not available in cash, it's tied up in capital assets, and so that's why that number you'll see that net investment in capital assets is large. And then there's an unrestricted portion of that net position of $81 million, and then restricted net position of $50 million. These are all shown in thousands, so that's why when I'm mentioning those numbers, I'm talking about billions and millions. So basically, you'll see that overall financial position remains strong, continued investment in long-term infrastructure and you know, public assets. The next slide that I'm showing you is going to show activity on a government-wide basis, so full accrual. It shows revenues, expenses, and resulting change in net position. So combined net position increased by about 38 million. And so that means that revenues, expenses, other activity for the year, ended stronger in a stronger overall position than when it started. Sales tax remains an important revenue stream, of course. And then the sales tax increased by about 3.1 million or about 4% compared to the prior year. Expenses also increased with total expenses up about 6.2% compared to the prior year. So really, I guess the story here is not just that revenues increased, also the cost of providing services increased, but that the revenue increase and expenses increase, but overall there's still a positive change in that net position. Then we'll look real quickly at governmental fund financial statement highlights.