Auditor: Logan at ‘best possible place’ it can be

Logan is in strong financial position according to the city’s outside external independent auditors.Tuesday night the annual financial report was presented by Ed Erickson, partner in the CPA firm of Hansen, Bradshaw, Malmrose and Erickson. He said, at this time, Logan City has approximately $70 million in liabilities and also $70 million in liquid assets. Erickson said that means the city has enough liquid assets to pay off all of its liabilities, including long-term debt of around $50 million. Erickson told the council that Logan City’s unreserved fund balance is 18 percent of total revenues”State law has a floor and a ceiling,” Erickson explained to the council. “You should have a minimum of five percent of annual revenues and a maximum of 18 percent. Logan City is right at that maximum allowed level.”In his opinion, Erickson said Logan City is succeeding and doing quite well during the country’s current economic state. “So you’re, in my mind, at the best possible place you can be,” he said. “You don’t want to be above the 18 percent but I think, with this economy, you are smart to be there if you can. A lot of cities that used to be at 18 or 19 percent are down to 10 percent.”He said Logan was in full compliance with government auditing standards and he praised the work of Logan Financial Manager Richard Anderson.Copies of the audit report are available at the Logan Library and on the Logan City website.

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