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Home My WebLink About02/18/2025 - Work Session - Meeting MaterialsSALT LAKE CITY COUNCIL AGENDA WORK SESSION February 18, 2025 Tuesday 2:00 PM Council meetings are held in a hybrid meeting format. Hybrid meetings allow people to join online or in person at the City & County Building. Learn more at www.slc.gov/council/agendas. Council Work Room 451 South State Street, Room 326 Salt Lake City, UT 84111 SLCCouncil.com 7:00 pm Formal Meeting Room 315 (See separate agenda) Welcome and public meeting rules In accordance with State Statute and City Ordinance, the meeting may be held electronically. After 5:00 p.m., please enter the City & County Building through the main east entrance. The Work Session is a discussion among Council Members and select presenters. The public is welcome to listen. Items scheduled on the Work Session or Formal Meeting may be moved and / or discussed during a different portion of the Meeting based on circumstance or availability of speakers. The Website addresses listed on the agenda may not be available after the Council votes on the item. Not all agenda items will have a webpage for additional information read associated agenda paperwork. Generated: 14:02:19 Note: Dates not identified in the project timeline are either not applicable or not yet determined. Item start times and durations are approximate and are subject to change. Work Session Items 1.Informational: Winter Shelter Plans Update ~ 2:00 p.m. 15 min. The Council will receive an update from the Administration on the State homeless winter shelter plans. FYI – Project Timeline: (subject to change per Chair direction or Council discussion) Briefing - Recurring Briefing Set Public Hearing Date - n/a Hold hearing to accept public comment - n/a TENTATIVE Council Action - n/a 2.Informational: R-1 Single-Family Residential Districts Proposed Zoning Text Amendment ~ 2:15 p.m. 30 min. The Council will receive a briefing from the Planning Division about a proposal to consolidate and simplify the R-1 Single-Family Residential districts, including updates to the residential flag lot standards and the addition of new housing options. FYI – Project Timeline: (subject to change per Chair direction or Council discussion) Briefing - Tuesday, February 18, 2025 Set Public Hearing Date - n/a Hold hearing to accept public comment - n/a TENTATIVE Council Action - n/a 3.Ordinance: Zoning Map Amendment at Approximately 455 and 475 East 500 South ~ 2:45 p.m. 20 min. The Council will receive a briefing about a proposal that would amend the zoning of the properties at approximately 455 and 475 East 500 South from R-MU-45 (Residential/ Mixed Use District) to RO (Residential/ Office District). The proposal would allow additional building height to replace an existing three-level noncomplying parking garage with a new garage. The Planning Commission forwarded a negative recommendation. The project is located within Council District 4. Petitioner: Rick Magness, representing America First Credit Union. FYI – Project Timeline: (subject to change per Chair direction or Council discussion) Briefing - Tuesday, February 18, 2025 Set Public Hearing Date - Tuesday, March 4, 2025 Hold hearing to accept public comment - Tuesday, March 25, 2025 at 7 p.m. TENTATIVE Council Action - Tuesday, April 1, 2025 4.Resolution: Zoning Map Amendment at Approximately 704 East 900 South Extension ~ 3:05 p.m. 10 min. The Council will receive a briefing about a resolution extending the time period for satisfying the conditions set forth in Ordinance No.6 of 2023 rezoning the property at approximately 704 East 900 South from R-2 (Single- and Two-Family Residential) to SNB (Small Neighborhood Business). The deadline extension would give the property owner an additional six months to satisfy the conditions of the ordinance. FYI – Project Timeline: (subject to change per Chair direction or Council discussion) Briefing - Tuesday, February 18, 2025 Set Public Hearing Date - n/a Hold hearing to accept public comment - n/a TENTATIVE Council Action - Tuesday, February 18, 2025 5.Ordinance: Enacting a Temporary Land Use Regulation - Public School Development Standards ~ 3:15 p.m. 10 min. The Council will receive a briefing on a Temporary Land Use Regulation that would change zoning standards for K-12 public school development in the Public Lands District. FYI – Project Timeline: (subject to change per Chair direction or Council discussion) Briefing - Tuesday, February 18, 2025 Set Public Hearing Date - n/a Hold hearing to accept public comment - n/a TENTATIVE Council Action - Tuesday, February 18, 2025 6.Ordinance: Economic Development Loan Fund - Policy Kings Brewery, LLC.~ 3:25 p.m. 5 min. The Council will receive a briefing about an ordinance that would approve a $75,000 loan for Policy Kings Brewery, LLC. at 79 West 900 South from the Economic Development Loan Fund (EDLF). Policy Kings Brewery, LLC. is Utah’s first black-owned brewery relocating from Cedar City to Salt Lake City and is known for its craft beer, arts and music. This loan will assist in the creation of 15 new jobs in the next year and the retention of 15 current jobs. FYI – Project Timeline: (subject to change per Chair direction or Council discussion) Briefing - Tuesday, February 18, 2025 Set Public Hearing Date - n/a Hold hearing to accept public comment - n/a TENTATIVE Council Action - Tuesday, February 18, 2025 7.City’s Annual Financial Audit Report ~ 3:30 p.m. 30 min. The Council will receive a briefing about the City's Comprehensive Annual Financial Report for the previous fiscal year ending June 30, 2024. FYI – Project Timeline: (subject to change per Chair direction or Council discussion) Briefing - Tuesday, February 18, 2025 Set Public Hearing Date - n/a Hold hearing to accept public comment - n/a TENTATIVE Council Action - n/a 8.Tentative Break ~ 4:00 p.m. 20 min. FYI – Project Timeline: (subject to change per Chair direction or Council discussion) Briefing - Set Public Hearing Date - Hold hearing to accept public comment - TENTATIVE Council Action - 9.Informational: Update on the City’s Parental Leave Policy ~ 4:20 p.m. 20 min. The Council will receive a briefing on the City’s Parental Leave Policy. The policy has been updated to include two distinct leave opportunities: Recovery Leave and Bonding Leave. Each form of leave is designed to meet the specific needs of an eligible employee. In addition to new leave options, SDI (Short-term Disability Insurance) will no longer be required as part of the parental leave process. FYI – Project Timeline: (subject to change per Chair direction or Council discussion) Briefing - Tuesday, February 18, 2025 Set Public Hearing Date - n/a Hold hearing to accept public comment - n/a TENTATIVE Council Action - n/a 10.Advice and Consent: Salt Lake City Attorney – Mark Kittrell ~ 4:40 p.m. 10 min. The Council will interview Mark Kittrell prior to considering appointment as the Salt Lake City Attorney. FYI – Project Timeline: (subject to change per Chair direction or Council discussion) Briefing - Tuesday, February 18, 2025 Set Public Hearing Date - n/a Hold hearing to accept public comment - n/a TENTATIVE Council Action - Tuesday, February 18, 2025 11.Board Appointment: Business Advisory Board – Alyn Toalepai ~ 4:50 p.m. 5 min. The Council will interview Alyn Toalepai prior to considering appointment to the Business Advisory Board for a term ending December 31, 2029. FYI – Project Timeline: (subject to change per Chair direction or Council discussion) Briefing - Tuesday, February 18, 2025 Set Public Hearing Date - n/a Hold hearing to accept public comment - n/a TENTATIVE Council Action - Tuesday, February 18, 2025 12.Board Appointment: Human Rights Commission – Channae Haller ~ 4:55 p.m. 5 min The Council will interview Channae Haller prior to considering appointment to the Human Rights Commission for a term ending December 31, 2029. FYI – Project Timeline: (subject to change per Chair direction or Council discussion) Briefing - Tuesday, February 18, 2025 Set Public Hearing Date - n/a Hold hearing to accept public comment - n/a TENTATIVE Council Action - Tuesday, February 18, 2025 13.Informational: State Legislative Briefing Follow-up ~ 5:00 p.m. 30 min. The Council will receive a follow-up briefing about issues affecting the City that may arise during the 2025 Utah State Legislative Session. FYI – Project Timeline: (subject to change per Chair direction or Council discussion) Briefing - Tuesday, January 7, 2025; Tuesday, February 4, 2025; Tuesday, February 11, 2025; and Tuesday, February 18, 2025 Set Public Hearing Date - n/a Hold hearing to accept public comment - n/a TENTATIVE Council Action - n/a Standing Items 14.Report of the Chair and Vice Chair - - Report of Chair and Vice Chair. 15.Report and Announcements from the Executive Director - - Report of the Executive Director, including a review of Council information items and announcements. The Council may give feedback or staff direction on any item related to City Council business, including but not limited to scheduling items. 16.Tentative Closed Session - - The Council will consider a motion to enter into Closed Session. A closed meeting described under Section 52-4-205 may be held for specific purposes including, but not limited to: a. discussion of the character, professional competence, or physical or mental health of an individual; b. strategy sessions to discuss collective bargaining; c. strategy sessions to discuss pending or reasonably imminent litigation; d. strategy sessions to discuss the purchase, exchange, or lease of real property, including any form of a water right or water shares, if public discussion of the transaction would: (i) disclose the appraisal or estimated value of the property under consideration; or (ii) prevent the public body from completing the transaction on the best possible terms; e. strategy sessions to discuss the sale of real property, including any form of a water right or water shares, if: (i) public discussion of the transaction would: (A) disclose the appraisal or estimated value of the property under consideration; or (B) prevent the public body from completing the transaction on the best possible terms; (ii) the public body previously gave public notice that the property would be offered for sale; and (iii) the terms of the sale are publicly disclosed before the public body approves the sale; f. discussion regarding deployment of security personnel, devices, or systems; and g. investigative proceedings regarding allegations of criminal misconduct. A closed meeting may also be held for attorney-client matters that are privileged pursuant to Utah Code § 78B-1-137, and for other lawful purposes that satisfy the pertinent requirements of the Utah Open and Public Meetings Act. CERTIFICATE OF POSTING On or before 5:00 p.m. on Thursday, February 13, 2025, the undersigned, duly appointed City Recorder, does hereby certify that the above notice and agenda was (1) posted on the Utah Public Notice Website created under Utah Code Section 63F-1-701, and (2) a copy of the foregoing provided to The Salt Lake Tribune and/or the Deseret News and to a local media correspondent and any others who have indicated interest. KEITH REYNOLDS SALT LAKE CITY RECORDER Final action may be taken in relation to any topic listed on the agenda, including but not limited to adoption, rejection, amendment, addition of conditions and variations of options discussed. The City & County Building is an accessible facility. People with disabilities may make requests for reasonable accommodation, which may include alternate formats, interpreters, and other auxiliary aids and services. Please make requests at least two business days in advance. To make a request, please contact the City Council Office at council.comments@slc.gov, 801-535-7600, or relay service 711. Homeless Resource Center Utilization: •Feb 18: “At Capacity” https://endutahhomelessness.org/daily-bed- availability/ Encampment Impact Mitigation/ Rapid Intervention: •EIM- 2100 S – 1700 S of JRT •RIT-Jordan River Trail, Westside locations HEART Public Engagement Homelessness Update 2/18/25 Shelters: 801-990-9999 Additional System Information: Salt Lake Valley Coalition to End Homelessness (SLVCEH) endutahhomelessness.org/ salt-lake-valley Utah Office of Homeless Services (OHS) jobs.utah.gov/homelessness/ index.html CITY COUNCIL OF SALT LAKE CITY 451 SOUTH STATE STREET, ROOM 304 P.O. BOX 145476, SALT LAKE CITY, UTAH 84114-5476 SLCCOUNCIL.COM TEL 801-535-7600 FAX 801-535-7651 COUNCIL STAFF REPORT CITY COUNCIL of SALT LAKE CITY TO:City Council Members FROM:Brian Fullmer Policy Analyst DATE:February 18, 2025 RE: Proposed Zoning Text Amendment to Consolidate and Simplify the R-1 Single-Family Residential Districts, Including Updates to Residential Flag Lot Standards and the Addition of New Housing Options ISSUE AT A GLANCE The Council will receive a follow-up briefing on the potential approaches to simplifying and improving City code as it relates to R-1 single-family residential districts. Planning staff briefed the Council in August 2024, and the Council requested Planning provide recommendations for revising single-family residential zoning districts. Planning staff recommends revising and merging single-family residential districts with the following three main elements: •R-1 zoning district amendments •Reduce flag lot restrictions •Expanding housing options Planning has recommendations within each of these elements which are included in the additional information section below. Background is also included in the additional information section to provide context for the Council when reviewing potential straw polls. Goal of the briefing: Review the proposed text amendments, provide direction to Planning staff, determine if the Council supports moving forward with any aspects of the proposal. Item Schedule: Briefing: February 18, 2025 Set Date: TBD Public Hearing: TBD Potential Action: TBD Page | 2 POLICY QUESTIONS: 1. A Council Member was contacted by a constituent with a proposal to allow new construction on legal non-conforming lots within the R-1 districts. The Council may wish to ask the Administration whether their proposal would address this. 2. If the proposal does not address these lots, the Council may wish to ask the Administration for recommendations. 3. The Council may wish to discuss impacts on the affordable housing overlay and tradeoffs of the potential code changes related to the overlay. 4. The Council may wish to discuss differences between the Administration’s recommended Expanding Housing Options and the private R-1 zoning amendment. POTENTIAL STRAW POLLS The Council may wish to respond to each of the following straw polls to give staff guidance on which of these policies the Council supports Planning staff includes in the potential code amendments. •Consolidate the R-1/12,000, R-1/7,000, and R-1/5,000 single-family zoning text sections into one section. •Eliminate the front yard averaging option and establish a minimum front yard setback of 20 feet or equal to one of the abutting front yard setbacks on the block face. •Eliminate the building height averaging option. •Establish a maximum building height of 30 feet for pitched roof structures and 24 feet for a flat roof, both measured to the highest point of the roof. •Eliminate the maximum wall height for structures. •Change flag lots from conditional to permitted use and reduce the minimum size required to create a flag lot. •Create a “small lot dwelling” land use with specific regulations for lot size, setbacks, and building size that are feasible for creating small, detached homes, and include the ability to subdivide existing ADUs, whether attached or detached. •Allow new dwelling types (such as duplex, triplex, fourplex, and townhome) with up to four dwellings in the R-1, R-2, and SR zoning districts and develop specific regulations for the different types of housing. •Including a density bonus of one unit similar to the RMF-30 district if an existing single or two- family structure is retained. •Including an additional unit bonus for projects that meet the size limitations of the proposed Expanding Housing Options and provides deed-restricted affordable housing. ADDITIONAL INFORMATION 1. R-1 Zoning Amendments Consolidating the R-1 Residential Zones into One Zone (The policy discussion for this is found on page 5 of the transmittal.) Planning’s recommendation: Consolidate the three single-family zoning text sections into one section. Front Setback Averaging (The policy discussion for this is found on page 5 of the transmittal.) Planning’s recommendation: Eliminate the front yard averaging option and establish a minimum front yard setback of 20 feet or equal to one of the abutting front yard setbacks on the block face. Building Height Averaging (The policy discussion for this is found on page 5 of the transmittal.) Planning’s recommendation: Eliminate the building height averaging option. Page | 3 Increase Building Height and Eliminate Maximum Wall Height (The policy discussion for this is found on pages 5-6 of the transmittal.) Planning’s recommendation: Establish a maximum building height of 30 feet for pitched roof structures and 24 feet for a flat roof, both measured to the highest point of the roof. Eliminate the maximum wall height. The following table summarizing proposed changes to the R-1 zoning districts is included on page 6 of the Administration’s transmittal. This table is used as an example and is subject to change through the process. It is replicated here for convenience. R-1/12,000 R-1/7,000 R-1/5,000 Building Height – Pitched Roof 30 feet Building Height – Flat Roof 24 feet Front Yard 20 feet or equal to one abutting front yard Corner side yard 20 feet 10 feet Inter side – corner lot 6 feet Interior side yard 1 6 feet Interior side yard 2 10 feet Rear yard 25 feet 20 feet Building Coverage 35%40% Maximum lot size 18,000 square feet 10,500 square feet 7,500 square feet 2. Reducing Flag Lot Restrictions (The policy discussion for this is found on page 6 of the transmittal.) Planning’s recommendation: Change flag lots from conditional to permitted use and reduce the minimum size required to create a flag lot. 3. Expanding Housing Options Regulating Lot & Building Size (The policy discussion for this is found on page 7 of the transmittal.) Planning’s recommendation: Create a “small lot dwelling” land use with specific regulations for lot size, setbacks, and building size that are feasible for creating small, detached homes. This may also include the ability to subdivide existing ADUs, whether attached or detached. Legalizing Additional Building Forms (The policy discussion for this is found on page 7-8 of the transmittal.) Planning’s recommendation: Allow new dwelling types with up to four dwellings in the R-1, R-2, and SR zoning districts and develop specific regulations for the different types of housing. Page | 4 The following table is on page 8 of the Administration’s transmittal. It includes draft (subject to change) standards and regulations under the Expanding Housing Options, and the allowed zoning districts. Expanding Housing Options Zones All R-1 Districts, R-2, SR-1/1A, SR-2, SR-3 New Building Forms Permitted Two-family dwellings, multi-family residential, row house, sideways row house Lot size 2,000 square feet Lot width – single family Not regulated Lot width – single family attached & twin home Not regulated Lot width – two-family Not regulated Front yard 10 feet or equal to abutting Corner side yard 5 feet Interior side yard 4-10 feet (depending on unit type) Rear yard 10 feet or equal to abutting Building height – pitched District maximum Building height – flat District maximum Coverage 60% Maximum units 4 units for multi-family, row house, cottage developments 2 units for two-family or urban house 1 unit for single-family housing Footprint 800 square feet Gross square footage 1,600 square feet (Maximum height: 17 feet) 1,200 square feet (Maximum height: district maximum) Page | 5 Private R-1 Amendment Application SLC Neighbors 4 Neighbors submitted a petition, “Starter Homes SLC,” in December 2024 to amend the R- 1 zoning text. While there are similarities between this and the Administration’s proposals, Planning noted several differences which are included in the following table on page 10 of the Administration’s transmittal and replicated below to facilitate Council discussion. Starter Homes SLC (Private) Expanding Housing Options (Administration) Zones R-1/5,000, R-1/7,000, SR-1A, & SR-3 R-1/5,000, R-1/7,000, R-1/12,000, R-2, SR-1/1A, SR-2, SR-3 New Building Forms Permitted Two-family dwellings, single- family attached dwellings Two-family dwellings, multi- family residential, row house, sideways row house Minimum lot size 1,400 square feet per unit 2,000 square feet per unit (all unit types) via small lot development Lot width – Single-family 20 feet Not regulated Lot width – Single-family attached & twin home Interior: 20 feet Corner: 30 feet Not regulated Lot width – Two-family Interior: 30 feet Corner: 40 feet Not regulated Front yard 10 feet 10 feet or equal to abutting Corner side yard No change 5 feet Interior side yard 3 feet in all instances 4-10 feet (depends on unit type) Rear yard 10 feet 10 feet or equal to abutting Building height – Pitched 32 feet District maximum Building height – Flat 30 feet District maximum Maximum building coverage 70%60% Maximum units 5 units in R-1/7,000 4 units in R-1/5,000 4 units for multi-family, row house, cottage developments 2 units for two-family or urban house 1 unit for single-family dwelling Maximum primary building footprint Not regulated 800 square feet Maximum gross square footage Not regulated 1,600 square feet (Maximum height: 17 feet Page | 6 1,200 square feet (Maximum height: district maximum) 2025 Utah State Legislative Session To ensure there are no conflicts with potential land use changes being considered by the Utah State Legislature, any changes to City code resulting from the Administration’s proposal will not be finalized until after the 2025 legislative session. Salt Lake City // Planning Division www.slc.gov/planning Salt Lake City Council – February 11, 2025 R-1 REFORM Salt Lake City //Planning Division •September 2023: Council requested staff to study options for R-1 Districts. •April 2024: Planning Division produced “Potential Approaches to Simplifying and Improving R-1 Districts.” •August 2024: Council directed staff to provide a recommendation regarding R-1 zoning. •Today: Recommendation includes three big ideas: 1.R-1 Amendments 2.Reducing Flag Lot Restrictions 3.Expanding Housing Options INTRODUCTION Salt Lake City //Planning Division www.slc.gov/planning R-1 AMENDMENTS CONSOLIDATING & AMENDING R-1 ZONES •Avoids rezoning all R-1 properties. •Consolidate the three single-family zoning text sections into one section. •Removes averaging of building heights and front yards. •Make other changes to R-1 standards. Salt Lake City //Planning Division www.slc.gov/planning FRONT YARD AMENDMENTS FRONT SETBACK AVERAGING •Currently front yards must be equal to the average on the block face. •This requirement can be difficult to explain to residents and costly to implement. •Recommendation: Establish a front yard of 20’ and remove the averaging option. Salt Lake City //Planning Division www.slc.gov/planning BUILDING HEIGHT AMENDMENTS MAXIMUM BUILDING HEIGHT •Existing Standards: •Pitched Roof: 28’ or the average height on the block face •Flat Roof: 20’ •Exterior Wall Height: 20’ •Recommendation: •Eliminate building height averaging. •30’maximum height for pitched roof. •24’ maximum height for flat roof. •Eliminate maximum wall height requirement. Salt Lake City //Planning Division www.slc.gov/planning REDUCING FLAG LOT RESTRICTIONS AMENDING FLAG LOT STANDARDS •Simplify the approval process by changing from conditional to permitted use. •Reduce the minimum lot size requirements. •Allow less restrictive access requirements. Salt Lake City //Planning Division www.slc.gov/planning EXPANDING HOUSING OPTIONS SMALL LOT DWELLINGS •Create new “small lot dwelling” land use category. •Allow new housing types, but only with limited building size. •Would not replace the R-1/R-2/SR1-3 zoning standards for a typical single-family home. Intended to provide a new option for property owners interested in building smaller homes. Standard R-1 Subdivision Affordable Housing Incentives Building Preservation Incentives Small Lot Dwelling 1 unit per lot Minimum lot sizes and widths apply. Up to 4 units 1 or 2 units must be Affordable. Multiple units per lot Must preserve a 50+ year old building. Minimum lot sizes apply. Up to 4 units Units must be less than the maximum footprint and floor area allowed. Existing Existing Existing Proposed DEVELOPMENT OPTIONS IN R-1 DISTRICTS New option Salt Lake City //Planning Division www.slc.gov/planning EXPANDING HOUSING OPTIONS LEGALIZE ADDITIONAL BUILDING FORMS •Under the “small lot dwelling” option, staff recommends allowing duplexes, triplexes, fourplexes, and townhomes. •Unit counts are proposed to be capped at 4 units. Single Duplex Triplex Fourplex Townhomes Salt Lake City //Planning Division PROPOSED STANDARDS •Reduces minimum lot size. •Regulates maximum footprint and gross square footage (applies on a per unit basis). •Does not require frontage on a public street. •Reduces setback requirements. •Increases the maximum lot coverage percentage. EXPANDING HOUSING OPTIONS Salt Lake City //Planning Division www.slc.gov/planning EXAMPLES FROM DURHAM, NC SMALL HOME SALES •In 2023, Durham reported that the median sales prices of a 1,200 sq. ft. “small home” was $348,000. •Zillow listings show new construction “small homes” ranging from $200,000 - $500,000. Salt Lake City //Planning Division EXPANDING HOUSING OPTIONS… •Covers more districts. •Allows additional housing types. •Regulates footprints and gross square footage amounts. 2024 PRIVATE R-1 APPLICATION Salt Lake City //Planning Division www.slc.gov/planning INPUT NEEDED FROM COUNCIL BUILDING FORMS & DENSITY •Which building forms are appropriate to allow in R-1 neighborhoods (duplex, triplex, fourplex, or townhomes)? •How many units are appropriate per residential lot? DENSITY BONUSES •Should a density bonus be provided for developments that retain an existing structure? •Would an additional unit bonus be appropriate for projects that meet the size limitations for “small lot dwellings” and also provide deed-restricted affordable housing? Salt Lake City //Planning Division www.slc.gov/planning Andy Hulka andy.hulka@slc.gov Ben Buckley benjamin.buckley@slc.gov Salt Lake City //Planning Division www.slc.gov/planning SINGLE FAMILY DWELLING + SMALL LOT DWELLING Salt Lake City //Planning Division www.slc.gov/planning SINGLE FAMILY DWELLING + SMALL LOT DUPLEX SALT LAKE CITY TRANSMITTAL To: Salt Lake City Council Chair Submission Date: 01/22/2025 Date Sent to Council: 01/28/2025 From: Department * Community and Neighborhood Employee Name: Hulka, Andy E-mail Andy.Hulka@slc.gov Department Director Signature Chief Administrator Officer's Signature Director Signed Date 01/27/2025 Chief Administrator Officer's Signed Date 01/28/2025 Subject: Informational Briefing - Proposed zoning text amendment to consolidate and simplify the R-1 Single-Family Residential districts Additional Staff Contact: Presenters/Staff Table Document Type Information Item Budget Impact? Yes No Recommendation: No specific action is required; however, the Council may want to discuss initiating a legislative intent if the desire is to move forward with the modifications identified. Background/Discussion See first attachment for Background/Discussion Will there need to be a public hearing for this item? * Yes No Public Process This page has intentionally been left blank Rachel Otto, Chief of Staff Date Received: Date Sent to City Council: TO:Salt Lake City Council DATE: January 22, 2025 Chris Wharton, Chair FROM: Nick Norris, Planning Director CC:Jill Love, Chief Administrative Officer; Tammy Hunsaker, Department of Community and Neighborhoods Director; Michaela Oktay, Deputy Planning Director SUBJECT: Briefing on a proposed zoning text amendment to consolidate and simplify the R-1 Single-Family Residential districts, including updates to the residential flag lot standards and the addition of new housing options. STAFF CONTACT: Andy Hulka, 801-535-6608, andy.hulka@slc.gov ACTION REQUESTED: No specific action is required; however, the Council may want to discuss initiating a legislative intent if the desire is to move forward with the modifications identified. DOCUMENT TYPE: Communication to the City Council BACKGROUND: On September 5, 2023, the Salt Lake City Council adopted a legislative intent requesting that the Planning Division study options for a zoning text amendment that would make changes to all R-1 single-family residential zoning districts. On August 27, 2024, the Council received a briefing about Potential Approaches to Simplifying and Improving R-1 Districts. After reviewing and discussing the study, the Council directed the Planning Division to provide a recommendation regarding R-1 zoning reform. This memo presents the Planning Division’s recommendation for revising and merging single- family residential districts. SALT LAKE CITY CORPORATION 451 SOUTH STATE STREET, ROOM 406 WWW.SLC.GOV PO BOX 145480 SALT LAKE CITY, UT 84114-5480 TEL 801-535-7757 FAX 801-535-6174 Communication to the City Council Department of Community and Neighborhoods Office of the Director 2 ACTION REQUESTED: No specific action is required; however, the Council may want to discuss initiating a legislative intent if the desire is to move forward with the modifications identified. KEY TAKEAWAYS OF PROPOSAL: The recommendation for revising and merging single-family residential districts includes three main components: 1. R-1 Amendments 2. Reducing Flag Lot Restrictions 3. Expanding Housing Options The Planning Division is requesting feedback on the following portions of the amendment, listed in detail on pages 9 and 10 of this memo: •Building Forms & Unit Densities •Incentives for Preservation of a Principal Building •Affordable Housing Incentives 3 1. R-1 Amendments Consolidating Into One Section With more than 60 zoning and overlay districts, the Salt Lake City zoning ordinance is notoriously complex and difficult to navigate. This project would build on the City’s recent efforts to simplify the zoning code by consolidating the existing R-1 districts (R-1/12,000, R-1/7,000, and R-1/5,000) from three sections into a single section. The regulations between the three zones are fairly similar in terms of some setbacks, building height, and wall height. Putting the zones into one chapter would remove duplication, reducing the length of the code. The standards and regulations of the three districts are largely proposed to remain the same, except as identified below. However, the layout of the regulations and standards will be added to a table that is easier to read and understand. Recommendation: Consolidate the three single-family zoning text sections into one section. Front Setback Averaging Currently front yards must be “equal to the average of the front yards of existing buildings within the block face.” Averaging can be a useful method to help achieve a more uniform appearance along a block face, but the standards can be difficult to explain to residents and costly to implement. For example, to determine the average front yard setback for a block, a resident would need to gain permission from each neighbor to access their property and measure from the house to the property line. However, the exact location of the front property lines is not easily identifiable except through an official property survey and requiring a survey of each property on the block face is not feasible. Utilizing aerial photographs poses its own set of challenges such as distortion, front building walls not being identifiable (due to eaves, vegetation, etc.), amongst other issues. To make the code easier to understand and implement, staff recommends the removal of block face averaging for front yards. The proposal would instead allow new homes to provide a 20-foot front yard setback or match one of their next door neighbors’ front yard setbacks, whichever is less. Recommendation: Eliminate the front yard averaging option and establish a minimum front yard setback of 20’ or equal to one of the abutting front yard setbacks on the block face. Building Height Averaging The current R-1 zoning allows a maximum building height of 28’ for pitched roofs or “the average height of other principal buildings on the block face.” While this standard would potentially allow new construction to achieve a taller structure, the process of measuring the height of each building on a block face makes this standard similarly difficult to implement. Removing the building height averaging standard would allow the ordinance to continue to be simplified. Recommendation: Eliminate the building height averaging option. Increasing Building Height and Eliminating Wall Height Another standard that staff recommends updating with this amendment is maximum building height. Salt Lake City’s existing standards allow up to 28 feet for a pitched roof building and 20 feet for a flat roof building. Neighboring municipalities (North Salt Lake, Millcreek, South Salt Lake, and West Valley City) each allow higher buildings in their residential zones, with maximums ranging from 30 to 35 feet. The elimination of the maximum wall height standard will allow a building’s wall height to be up to the maximum building height of the district. The wall height standard is one of the most confusing standards found in the City’s residential code and is difficult to explain to residents. Removing this 4 would help further the City’s goal of simplifying the code and making it easier for residents to understand. Recommendation: Establish a maximum building height of 30’ for pitched roof structures and 24’ for a flat roof, both measured to the highest point of the roof. Eliminate the maximum wall height. The table below is an example of how the zoning standards table could be used to consolidate the three residential districts into one section. Please note that this table includes the proposed changes to the R-1 districts such as building heights and setbacks: R-1/12,000 R-1/7,000 R-1/5,000 Building height - Pitched roof 30 feet Building height - Flat roof 24 feet Front yard 20 feet or equal to one abutting front yard Corner side yard 20 feet 10 feet Interior side - corner lot 6 feet Interior side yard 1 6 feet Interior side yard 2 10 feet Rear yard 25 feet 20 feet Building coverage 35%40% Maximum lot size 18,000 square feet 10,500 square feet 7,500 square feet 2. Reducing Flag Lot Restrictions: Named for their flagpole shape, flag lots are lots without street frontage, located behind an existing lot and connected to the street by an access strip. The current code includes extra standards that can make it more difficult to use flag lots to develop new housing. This project proposes to amend the flag lot standards to simplify the process and remove barriers that currently prevent this option from being used more frequently. Permitted Use & Reduced Lot Size Two significant changes are proposed for flag lots in residential districts. First, flag lots would be changed from a conditional use to a permitted use, which means they would no longer require Planning Commission approval. Second, the minimum lot size for flag lots would be equal to the minimum lot size of the underlying zone, rather than the current requirement to be 1.5 times the minimum lot area. The proposed changes are intended to streamline the flag lot approval process and make it easier to build homes behind existing homes. Recommendation: Change flag lots from conditional to permitted use and reduce the minimum size required to create a flag lot. 5 3. Expanding Housing Options: This text amendment also proposes creating a new land use category called “small lot dwelling,” which would allow new housing types subject to specific lot and bulk standards. This option is intended to allow the development of new housing units that are smaller in size than what might otherwise be built, making them comparatively more affordable. Under this proposal, a property owner who is interested in building on their land could choose to build a larger home according to the regular R-1 district standards or they could choose to build smaller homes based on the small lot dwelling standards. Regulating Lot & Building Size While real estate prices are determined by a variety of factors, two that can be directly regulated by zoning regulations are lot size and building size. Reducing the minimum lot size requirements and imposing maximum floor area standards is intended to allow new construction that is less expensive than a single-family home on a typical lot. While homes like this tend to have higher costs per square foot, the overall cost of the home is less because the total size of the home is smaller. The concept of “small lot development” has been proven as an effective strategy to improve housing affordability by Durham, North Carolina’s 2019 Expanding Housing Choices amendment. In a 2023 report, Durham found that the median sales price of a single-family house was $605,000, while the median sales price of a 1,200 square foot “small house” built through the Expanding Housing Choices program was $348,000. Staff proposes to implement Expanding Housing Options not only in the City’s single-family zoning districts, but also within the R-2 and SR districts. These zoning districts are similar to the R-1 districts in character and development pattern and options. This would help further expand housing options throughout similar zoning districts. Salt Lake City’s Expanding Housing Options will implement maximum building footprint and maximum gross floor area standards similar to Durham’s Expanding Housing Choices amendment. The minimum lot size would be reduced to 2,000 square feet and the maximum footprint set at 800 square feet, regardless of unit type. These requirements were drafted based on Durham’s successful amendment, with standards similar to what is allowed in other Salt Lake City zoning districts. The proposal would also allow additional space for accessory structures such as garages. Recommendation: create a “small lot dwelling” land use with specific regulations for lot size, setbacks, and building size that are feasible for creating small, detached homes. This may also include the ability to subdivide existing ADUs, whether attached or detached. Legalizing Additional Building Forms Changes also include new building forms allowed via the Expanding Housing Options. This would include duplexes, triplexes, fourplexes, and townhomes. Unit counts are proposed to be capped at four units per lot. To obtain four units on a lot, one would need to have a minimum of 8,000 square feet. The units, if maxed out in size, would cover no more than 3,200 square feet (800 square foot footprint x 4 units). Design standards and setbacks for the new building types will be aligned with the requirements of the RMF-30 District. These new building types would become legal in the R-1, R-2, and SR zoning districts by utilizing the small lot dwelling option. Additional questions about how these standards should be applied are included below under “Input Needed from Council.” Recommendation: Allow new dwelling types with up to four dwellings in the R-1, R-2, and SR zoning districts and develop specific regulations for the different types of housing. 6 It should be noted that the proposal does not eliminate the zoning standards found within the R-1, R- 2 and SR districts. Instead, it offers a path towards more units but at a smaller scale. No unit may be greater than 800 square feet in footprint while the gross square footage may range from 1,200 square feet to 1,600 square feet dependent on building height. The intent is to allow more floor area for single- story buildings with a basement, since those will have less of a visual impact. The table below highlights the proposed standards and regulations under this option, in addition to the zoning districts that it would be allowed in: Expanding Housing Options Zones All R-1 Districts, R-2, SR-1/1A, SR-2, SR-3 New Building Forms Permitted Two-family dwellings, multi-family residential, row house, sideways row house Lot size 2,000 square feet Lot width - single family Not regulated Lot width - single family attached & twin home Not regulated Lot width - two-family Not regulated Front yard 10 feet or equal to abutting Corner side yard 5 feet Interior side yard 4-10 feet (depending on unit type) Rear yard 10 feet or equal to abutting Building height - pitched District maximum Building height - flat District maximum Coverage 60% Maximum units 4 units for multi-family, row house, cottage developments 2 units for two-family or urban house 1 unit for single-family dwelling Footprint 800 square feet Gross square footage 1,600 square feet (Maximum height: 17 feet) 1,200 square feet (Maximum height: district maximum) 7 2024 Private R-1 Amendment Application On December 16, 2024, a private petition to amend the zoning text was submitted by a SLC Neighbors 4 More Neighbors, called “Starter Homes SLC.” This amendment is similar in many ways to Planning staff’s proposal, but with several key differences summarized below. Impacted Zoning Districts One key difference between the proposals is which zoning districts are impacted. The private petition would not apply to properties in the R-1/12,000 or R-2 zoning districts. This could be seen as an equity concern if significant zoning changes are adopted for most single-family zones, but not all. Permitted Building Forms While both proposals would allow duplex and townhome building forms as a permitted use, Planning staff’s proposal also includes small multi-family residential (triplex and fourplex) as a permitted use. Whether these uses are appropriate for existing R-1 neighborhoods is an important policy question that needs Council input. Questions about density, building forms, and owner occupancy are provided below for feedback. Building Heights Another significant difference between the proposals is the maximum building heights allowed. Notably, the private petition would increase the maximum height from 20 feet to 30 feet for buildings with flat roofs, and from 28 feet to 32 feet for buildings with pitched roofs. These height maximums would potentially allow three-story buildings. Staff is concerned that increasing building heights could make new construction less affordable and may lead to projects that are not compatible with the neighborhood. Other Differences Standards for setbacks and other lot requirements also differ between the proposals. The private petition’s lack of regulation on footprint and gross square footage is notable. Data supports the fact that the smaller the house, the more affordable it will be. For example, even at the minimum lot size, a project built to the maximum height, setbacks, and coverage permitted under the private petition could be 2,100 square feet (or more with the addition of a basement). As seen with Durham’s Expanding Housing Choices, limiting gross square footage can reduce the average sales price by nearly 50% compared to standard single-family homes. If a house is built to the maximum size allowed by the private petition, the total size of the house could be more than double the maximum size permitted under staff’s preferred option, which would be less affordable. The table provided on the following page is intended to facilitate Council discussion by highlighting the key differences between the two proposals: 8 Starter Homes SLC Expanding Housing Options Zones R-1/5,000, R-1/7,000, SR-1A, & SR-3 All R-1 Districts, R-2, SR-1/1A, SR-2, SR-3 New Building Forms Permitted Two-family dwellings, single- family attached dwellings Two-family dwellings, multi- family residential, row house, sideways row house Minimum lot size 1,400 square feet per unit 2,000 square feet per unit (all unit types) via small lot development Lot width - Single- family 20 feet Not regulated Lot width - Single- family attached & twin home Interior: 20 feet Corner: 30 feet Not regulated Lot width - Two- family Interior: 30 feet Corner: 40 feet Not regulated Front yard 10 feet 10 feet or equal to abutting Corner side yard No change 5 feet Interior side yard 3 feet all instances 4-10 feet (depends on unit type) Rear yard 10 feet 10 feet or equal to abutting Building height - Pitched 32 feet District maximum Building height - Flat 30 feet District maximum Maximum building coverage 70%60% Maximum units 5 units in R-1/7,000 4 units in R-1/5,000 4 units for multi-family, row house, cottage developments 2 units for two-family or urban house 1 unit for single-family dwelling Maximum primary building footprint Not regulated 800 square feet Maximum gross square footage Not regulated 1,600 square feet (Maximum height: 17ft) 1,200 square feet (Maximum height: district maximum) 9 2025 Utah Legislature The Utah Legislature is considering several housing related bills that could impact the City’s residential zoning districts. One bill, HB 90, would require cities to allow a detached single family dwelling on a lot of at least 4,000 square feet in any residential zone. If that passes as drafted, it essentially will modify the minimum lot sizes in most of the residential zones for detached single family dwellings. It is possible that other bills may also impact this proposal. Typically, bills passed by the legislature go into effect in early May, based on the end date of the legislative session, which will be sooner than either of these proposals could be adopted. To ensure that City code is consistent with any bills adopted by the Utah Legislature, the proposal will not be finalized until after the 2025 legislative session. INPUT NEEDED FROM COUNCIL: In addition to the above discussion items, staff requests that the Council provide direction on the following items: 1. Building Forms & Density As mentioned above, the decision to allow new building forms in R-1 neighborhoods is perhaps the most significant change proposed by this project. Cities and states across the country are implementing different strategies to help provide “missing middle housing” in their communities. For example, the State of Montana is attempting to allow duplexes on any lot in a city with 5,000 residents or more; the Minneapolis 2040 Plan proposed a rezoning initiative to allow triplexes; and Spokane City approved an ordinance to allowing up to six units on all residential lots (later amended to four units). •Staff seeks input from the Council on which building forms are appropriate to allow in R-1 neighborhoods (duplex, triplex, fourplex, or townhome) and how many units are appropriate per residential lot. 2. Preservation of a Principal Building Salt Lake City’s Affordable Housing Incentives and RMF-30 district standards both include incentives that encourage the preservation of existing buildings. Staff recommends including a density bonus provision similar to the RMF-30 district with this project, allowing one bonus unit for developments that retain an existing single or two-family structure. •Staff seeks input from the Council on whether to include a unit density bonus for developments that retain an existing structure. 3. Affordable Housing Incentives A concern that staff has had throughout this process has been making sure that the Affordable Housing Incentives remain a viable option for development in the residential zones. If four units are allowed under both the Affordable Housing Incentives and the small lot dwelling option, then property owners may be less likely to use the incentives. The key difference between the Affordable Housing Incentives and staff’s proposal is the inclusion of maximum footprint and gross square footage regulations in the small lot dwelling proposal and the requirement for some of the units to remain affordable for a specific period of time in the Affordable Housing Incentives. This means that a property owner who wishes to develop new units that are not deed-restricted would have to build smaller units, while those wishing to build larger units would be required to use the incentives process. Furthermore, the Affordable Housing Incentives will still be an option in all districts, while the small lot dwelling option would only be possible in the R-1, R-2, and SR districts. Staff could also create an 10 option for an additional density bonus for projects that provide both deed-restricted and reduced-size units, if supported by Council. For example, Portland, Oregon, allows up to four dwellings on a property, with two additional dwellings allowed if the two dwellings meet affordability requirements. •Staff seeks input from the Council on whether an additional unit bonus is appropriate for projects that meet the size limitations of the Expanding Housing Options proposal and also provide deed-restricted affordable housing. NEXT STEPS: As previously discussed, the City has received a private petition for a text amendment, Starter Homes SLC, which is similar in many ways to Planning staff’s proposal. Staff will continue to coordinate with the applicant as needed to hold the private petition while the City-initiated proposal moves forward. The proposed text amendment from the Planning Division will include a dedicated public involvement period. During this time, staff will actively engage with residents and stakeholders to discuss their concerns, suggestions, and ideas. By fostering open dialogue and encouraging feedback, the proposal can be refined to better reflect what is in the best interest of the City and its residents. The petition will follow the zoning text amendment process, which includes public noticing, open houses, community council meetings, Planning Commission recommendation, and the City Council approval process. This page has intentionally been left blank CITY COUNCIL OF SALT LAKE CITY 451 SOUTH STATE STREET, ROOM 304 P.O. BOX 145476, SALT LAKE CITY, UTAH 84114-5476 SLCCOUNCIL.COM TEL 801-535-7600 FAX 801-535-7651 COUNCIL STAFF REPORT CITY COUNCIL of SALT LAKE CITY TO:City Council Members FROM:Brian Fullmer Policy Analyst DATE:February 18, 2025 RE: America First Zoning Map Amendment at Approximately 455 & 475 East 500 South PLNPCM2022-0115 ISSUE AT A GLANCE The Council will be briefed about a proposal to amend the zoning map for two parcels at 455 East and 475 East 500 South from their current R-MU-45 (Residential Mixed-Use) to RO (Residential/Office). America First Credit Union (AFCU) owns the parcels, and the requested zoning map amendment is to allow demolition of an existing noncompliant three-level parking garage that is reportedly not structurally safe and currently not usable. The proposal calls for replacing the structure with a 52-foot, five-story garage to address parking needs for office space. Since the original application was submitted, the petitioner proposed adding a mixed-use development on the 475 East 500 South property. The Planning Commission reviewed the proposal at its May 8, 2024 meeting (prior to the addition of a mixed-use development) and held a public hearing at which one person spoke expressing concerns with construction, snow removal, and traffic resulting from the proposed structure. Planning staff recommended and the Commission voted 6-2 to forward a negative recommendation to the Council. Concerns cited were related to construction of a larger parking garage rather than rebuilding the current size under existing zoning, expanding parking facilities which could continue the existing development pattern rather than encouraging more pedestrian-friendly development. Goal of the briefing: Review the proposed zoning map amendments, determine if the Council supports moving forward with the proposal. Item Schedule: Briefing: February 18, 2025 Set Date: TBD Public Hearing: TBD Potential Action: TBD Page | 2 POLICY QUESTIONS 1. The Council may wish to discuss the goals for parking availability for these properties, and weigh the option of maintaining the existing parking if the structure were reconstructed under current zoning versus what could be built in the proposed zoning, and neighborhood impact of both. 2. The Council may wish to discuss with the Administration how the proposed mixed-use zoning consolidation project would affect the applicant’s request. ADDITIONAL INFORMATION Combined, the parcels are approximately 1.5 acres. A five-story AFCU credit union branch/office building with a nonconforming drive through and the previously mentioned parking garage are located on the 455 East parcel. The 475 East parcel includes a two-story office building and surface parking lot. Both subject parcels were zoned RO prior to the 2012 400 South Livable Communities project when they were rezoned to R-MU-45. That change resulted in the parking garage becoming non-complying and the drive through teller lanes nonconforming. It is worth noting that the parking garage could be demolished and reconstructed to its current size under the existing R-MU-45 zoning. Current RMU-45 zoning has a maximum building height of 45 feet for residential uses, and 20 feet for nonresidential uses. The proposed RO zoning allows buildings up to 90 feet high. The petitioner originally submitted three applications associated with the proposed project. •The subject zoning map amendment from R-MU-45 to RO. •A text amendment to add “financial institution with a drive-through facility” as a permitted use in the RO zoning district. This application has since been withdrawn by the petitioner. •A planned development for the proposed new parking garage. (Staff note: the Planning Commission is the decision-making body for planned developments. This will not come to the City Council.) It is worth noting that the Planning Commission voted 6:2 to table the planned development request until the City Council decides on the zoning map amendment request. As shown in the zoning map below, area zoning is primarily R-MU-45 and TSA-UN-C (Transit Station Area Urban Neighborhood, Core) on the north side of 500 South, while the south side consists of a mix of RO and mixed-use and multi-family zoning. The Council is only being asked to consider rezoning the property. Because zoning of a property can outlast the life of a building, any rezoning application should be considered on the merits of changing the zoning of that property, not simply based on a potential project. Page | 3 Area zoning map with subject parcels highlighted in yellow. Image Courtesy of Salt Lake City Planning Division. KEY CONSIDERATIONS Planning staff identified five key considerations related to the proposal which are found on pages 11-22 of the Planning Commission staff report and summarized below. For the complete analysis, please see the staff report. Consideration 1 – How the Proposal Helps Implement City Goals & Policies Identified in Adopted Plans Planning staff reviewed the proposed zoning map amendment and how it aligns with Plan Salt Lake and the Central Community Plan. While acknowledging financial institutions provide a necessary service and they are supported throughout the city, it is Planning’s opinion that plans to expand parking on the site is not supported by Plan Salt Lake and the Central Community Plan’s goals for sustainability, placemaking, and enhanced pedestrian safety. Consideration 2 – Other Policy Considerations The City Council recently adopted Thriving in Place, a new policy requiring properties upzoned through zoning map, general plan, or text amendments to provide a community benefit roughly proportional to potential increase in development rights for adopted amendments. Planning staff has been working with America First Credit Union on the proposed zoning map and text amendment since 2022, and they are vested under City Code in place at the time. Therefore, there is not a community benefit requirement for Page | 4 the proposed amendments. In addition, the Planning Division is working on a consolidation of 28 commercial zoning districts into six form-based zones. If the amendments are adopted, both the current R-MU-45 and RO zones will be consolidated into new zones. Consideration 3 – Existing Property Limitations Zoning for 455 East 500 South was “Multiple Family Limited Office” and 475 East 500 South was “Limited Business and Neighborhood Shopping” prior to the 1995 zoning code rewrite when they were changed to “Residential/Office” and “Neighborhood Commercial” respectively. The zoning for both properties was then changed to R-MU-45 in 2012. Zoning changes resulted in the parking structure being noncompliant and the drive through teller lanes nonconforming. The drive through lanes can continue as a nonconforming use unless they are removed, or the use is abandoned. As discussed above, the parking structure could be rebuilt to its current size under the existing R-MU-45 zoning. Consideration 4 – Impacts of the Proposed Zoning Amendments on Adjacent Properties Planning staff noted that the subject properties “were rezoned from RO to R-MU-45 in 2012 to promote true mixed-use development, supported by the light rail along 400 South.” The proposed RO zoning allows additional building height but does not have design standards such as ground floor use, building materials, glazing, among others. It is Planning’s opinion that the lack of design standards is not compatible with the TSA zoning district. They stated: “the proposed amendment to rezone the property from R-MU-45 to RO is an upzone that would grant the property owner more development rights than currently exist without the assurance that future development aligns with the transit-oriented neighborhood. While the current owners intend to maintain existing office buildings, future redevelopment under the RO zone could significantly alter the neighborhood’s character. Rezoning to accommodate a larger parking structure primarily benefits a private business without offering public benefits.” As discussed above, the petitioner withdrew their zoning text amendment application to add “financial institution with a drive-through facility” as a permitted use in the RO zoning district. Consideration 5 –Requested Planned Development Modifications As previously noted, the Planning Commission is the decision-making body for planned developments, and this will not come to the City Council. The Commission voted to table the planned development request until the City Council decides on the zoning map amendment request. Attachment D (pages 61-62 of the Planning Commission staff report) includes a table comparing the zoning districts. The table is replicated here for convenience. R-MU-45 (Current)RO (Proposed) Lot Area/Width Multi-Family Dwellings: 5,000 square feet for new lots. No minimum for existing lots. 50-foot lot width. Nonresidential Uses: No Offices: 20,000 square feet. 100-foot lot width. Offices in Existing Buildings on Lots Less than 20,000 square feet: 5,000-20,000 square feet. Page | 5 minimum lot area or lot width. 50-foot lot width. Multi-Family Dwellings: No minimum. 100-foot. lot width. Single-Family Residences: 5,000 square feet. 50-foot lot width. Two-Family Dwellings: 8,000 square feet. 50-foot lot width. Yards/Setbacks Nonresidential, Multifamily, and Mixed Use: Front/Corner side yard: Minimum 5 feet, Maximum 15 feet. Interior side yard: No setback required. Rear yard: 25% of lot depth but need not exceed 30 feet. Multifamily, and Offices on Lots Greater than 20,000 square feet: Front/Corner side yard: 25 feet. Interior side yard: 15 feet. Rear yard: 25% of lot depth but need not exceed 30 feet. Single- and Two-Family, and Offices on Lots Less than 20,000 square feet: Front/Corner side yard: 20 feet and 10 feet. Interior side yard: Corner lots 10 feet, and interior lots 4 feet on one side and 10 feet on the other. Rear yard: 25% of lot depth but need not exceed 30 feet. Building Coverage N/A 60% Maximum Building Height 45 feet, except that nonresidential buildings are limited to 20 feet and nonresidential uses are only permitted on the ground floor. Buildings up to a maximum of 55 feet may be authorized through the design review process. 60 feet, except single- and two- family dwellings are limited to 30 feet and if the property abuts a zoning district with a greater maximum building height, then the maximum height is 90 feet. Page | 6 Landscape Buffers Not required unless abutting a single- or two-family residential district. Not required unless abutting a single- or two-family residential district. Parking Structures/Circulation Parking structures not attached to the principal building shall maintain a 45- foot minimum setback from a front or corner side yard property line or be located behind the primary structure. The maximum parking limit does not apply to parking provided in parking garages, stacked or racked parking structures, or to off-site parking that complies with all other requirements of this title. Parking garages must meet requirements in 21A.44.060.15. Drive-Through Facilities must meet requirements in 21A.44.080. Parking Financial Institution: 2 spaces per 1,000 square feet. Offices: 2 spaces per 1,000 square feet. Maximum: 3 spaces per 1,000 square feet. (See Table 21A.44.040-A for additional uses.) Financial Institution: 2 spaces per 1,000 square feet. Offices: 3 spaces per 1,000 square feet. Maximum: 4 spaces per 1,000 square feet. (See Table 21A.44.040-A for additional uses.) Analysis of Standards Attachment E (pages 66-68) of the Planning Commission staff report outlines zoning map amendment standards that should be considered as the Council reviews this proposal. The standards and findings are summarized below. Please see the Planning Commission staff report for additional information. Factor Finding Whether a proposed map amendment is consistent with the purposes, goals, objectives, and policies of the city as stated through its various adopted planning documents. Does not comply Whether a proposed map amendment furthers the specific purpose statements of the zoning ordinance. Does not comply The extent to which a proposed map amendment will affect adjacent properties Does not comply Whether a proposed map amendment is consistent with the purposes and provisions of any applicable Not applicable Page | 7 overlay zoning districts which may impose additional standards. The adequacy of public facilities and services intended to serve the subject property, including, but not limited to, roadways, parks and recreational facilities, police and fire protection, schools, stormwater drainage systems, water supplies, and wastewater and refuse collection. Complies City Department Review During City review of the petitions, no responding departments or divisions expressed concerns with the proposal but stated additional review, permits, and utility upgrades would be required if the property is developed. PROJECT CHRONOLOGY • November 17, 2024 – Petition for zoning map amendment received by Planning Division. The applicant met with Planning staff multiple times to discuss options before moving forward with their proposal to rezone the property. • March 5, 2024 – Central Community Council and additional recognized organizations sent 45-dau public notice. None of the organizations provided comments. • March 7, 2024 – Early notification letters mailed to property owners and residents within 300 feet of the subject properties. • March 11, 2024 – Initial information posted to the City’s online open house webpage. • April 26, 2024 – Public hearing notice posted to City and State websites and hearing notice mailed. • May 8, 2024 – Planning Commission public hearing. The Commission voted 6:2 to forward a negative recommendation to the City Council. • May 15, 2024 – Ordinance requested from City Attorney’s Office. • June 6, 2024 – Planning received signed ordinance from the Attorney’s Office. • June 28, 2024 – Transmittal received in City Council Office. Regional Office 455 East & 475 East / 500 South A FINANCIAL STAPLE TO THE COMMUNITY FOR YEARS •An America First Credit Union branch has operated at this location for 40 years since 1985. •America First Credit Union purchased this property for over $8 million in October 2012. •Currently, 23,518 members use this branch at least once a year. •11,907 members consistently use this branch. •Branch averages 10,620 transactions/month. EXISTING CONDITIONS FIVE STORY OFFICE BUILDING •Two of five floors (+ 22,000 sf) are unusable & vacant due to lack of on-site parking. •Office building and garage considered one building with a pedestrian walkway. •Drive-through teller stations with ATM. TWO STORY OFFICE BUILDING •Currently vacant (500 South / 500 East) EXISTING CONDITIONS PARKING GARAGE (Two Stories) •Currently not in use due to unrepairable condition (143 parking stalls unusable). •AFCU is currently paying for off-site parking due to a lack of available on -site parking. DEVELOPMENT AGREEMENT HIGHLIGHTS •City keeps a corporate partner in the downtown area •+ $31 million investment to existing site •This site will provide +300 jobs in the downtown area, including +200 new jobs •Based on parking spaces / employee ratio (0.78 stall /employee) and customer parking approximately 26% of employees & customers will utilize multi-modal transportation •The interest to “activate” Denver Street does not work. It functions as an alley and only has the apartment building office space of + 15 ft. frontage. A better alternative is a mixed-use building at the corner of 500 East and 500 South. Development Agreement items AGREE: •New construction of a mixed-use retail / residential building at 500 East and 500 South •Photo-voltaic panels on top floor, providing energy savings ASK: •New construction of a five-story parking structure with 197 stalls that allows AFCU to utilize entire building as a regional office •Parking structure height of 52 feet •No Denver Street ground floor retail component to parking structure •Setbacks •15 ft. rear yard •5 ft. interior side yard •15 ft. corner side yard •Existing Office Building upgrades to exterior and interior •Existing drive-through ATM’s to remain NEW PARKING GARAGE ($24 Million) •Parking Garage (five stories / 197 spaces) •Parking Garage rooftop photovoltaic panels EXISTING OFFICE BUILDING FACE LIFT ($3 Million) •Five story Office Building with AFCU Branch •Updated office building elevation and colors • Drive-through reversed for greater safety and accessibility CONCEPTUAL MIXED-USE BUILDING ($4 Million) AMERICA FIRST CREDIT UNION REGIONAL OFFICE PROPOSED SITE IMPROVEMENT (+ $31 MILLION INVESTMENT) Parking Garage Existing Office Building Mixed Use Concept 500 South D e n v e r S t r e e t 5 0 0 E a s t PROPOSED PARKING GARAGE •Complies with 21A.37.050 regarding materials, screening, circulation, and access. •Proposed five-story parking structure (197 spaces) + 37 surface parking within the maximum parking allowed by code. •The proposed parking structure footprint is equal to the existing parking garage. •The proposed parking structure’s height is 52 ft., less than the maximum height of 60 ft. allowed by the RO code. •The parking structure roof incorporates a photovoltaic panel system that will reduce yearly CO2 emissions by 184 tons, providing ~65% energy savings. The original investment is $300k. CO2 & Energy EXISTING AND PROPOSED OFFICE BUILDING Updated Building Elevations and Colors Existing Elevation Proposed Elevations CONCEPTUAL MIXED USE RETAIL/RESIDENTIAL NW CORNER 500 SOUTH / 500 EAST NEW PARKING GARAGE ($24 Million) •Parking Garage (five stories / 197 spaces) •Parking Garage rooftop photovoltaic panels EXISTING OFFICE BUILDING FACE LIFT ($3 Million) •Five story Office Building with AFCU Branch •Updated office building elevation and colors • Drive-through reversed for greater safety and accessibility CONCEPTUAL MIXED-USE BUILDING ($4 Million) AMERICA FIRST CREDIT UNION REGIONAL OFFICE PROPOSED SITE IMPROVEMENT (+ $31 MILLION INVESTMENT) Parking Garage Existing Office Building Mixed Use Concept 500 South D e n v e r S t r e e t 5 0 0 E a s t Salt Lake City // Planning Division www.slc.gov/planning City Council –February 18, 2025 PLNPCM2022-01115 ZONING MAP AMENDMENT// AMERICA FIRST CREDIT UNION 455 E & 475 E 500 S Salt Lake City //Planning Division PROPERTY 1 –455 E 500 S •1.25 acres (54,500 SF) •Existing Uses: AFCU office building, drive-through, and two-story parking structure (33’ tall) •Parking Provided: 147 stalls within the existing structure, 23 surface stalls PROPERTY 2 –475 E 500 S •.23 acres (10,200 SF) •Existing Uses: Office building and surface parking •Parking Provided: 11 surface stalls BACKGROUND Salt Lake City //Planning Division REQUEST: Rezone both properties from R-MU-45 (Residential/Mixed Use) to RO (Residential/Office) PURPOSE: The rezone would allow for greater building height, facilitating the construction of a parking structure •52 feet tall •5 levels •197 stalls ZONING MAP AMENDMENT View of proposed western elevation from Denver Street Salt Lake City // Planning Division UPCOMING AMENDMENTS TO CITY CODE CITY-WIDE ZONE CONSOLIDATION: •The Planning Division is proposing to consolidate 27 commercial and mixed-use zones into 6 new mixed-use zones that are form based. •The subject property has been identified by the City to be rezoned from R-MU-45 to MU-5. •If the subject property is rezoned to RO prior to the adoption of the zoning consolidation, the property would be rezoned to MU-6, as the RO zone will no longer exist. Salt Lake City // Planning Division EXISTING PROPERTY LIMITATIONS BACKGROUND: •The AFCU branch and the associated offices have been in operation since 1985. •The properties have always been zoned for multi-family and limited office uses. •Changes to the zoning map (most recently in 2012) have rendered the parking structure noncompliant and the drive- through teller lanes nonconforming. NONCOMPLYING STRUCTURE: The existing noncomplying parking structure could be rebuilt under section 21A.38.050, which addresses noncomplying setbacks and height. NONCOMPLYING USE: Drive-throughs are not permitted in the RO or R-MU-45 zoning districts making the existing drive through a nonconforming use. Under section 21A.38.040, nonconforming uses can continue until abandoned or voluntarily removed. Code also allows some minor modifications. Nonconforming drive-through along the east side of the AFCU building, accessed from 500 S Noncomplying parking structure with skybridge to the existing AFCU building, garage access is off Denver Street Salt Lake City // Planning Division www.slc.gov/planning ZONING COMPARISON R-MU-45 Zone (current) RO Zone (proposed) •Height: 45’ for residential uses (up to 55’ with design review) // 20’ for non-residential uses •No minimum lot size or width •Open Space: 20% of lot area •Front/corner side yard: Min. 5’ / Max 15’ •Interior side yard: No min. •Detached parking structures shall have a min. setback of 45’ from a front/corner side yard property line or be located behind the primary structure. •Design Standards per 21A.37: ground floor use, building materials, glass, entrances, blank walls, step backs •Height: 60’ unless the property abuts a district with a greater max height, then the max height is 90’ •Minimum lot size: 20,000 SF •Minimum lot width: 100’ •Building coverage: 60% •Front/corner side yard: 25’ •Interior side yard: 15’ •Design Standards per 21A.37: none •Rear yard: 25% of lot depth – no more than 30’ •Allowable uses are similar •R-MU-45 code references non- residential development •RO code references office buildings on lots greater than 20,000 SF Salt Lake City // Planning Division www.slc.gov/planning FUTURE CONSIDERATIONS RO MU-6 (proposed by the City) •Height: 45’ for residential uses (up to 55’ with design review) // 20’ for non-residential uses •Front/corner side yard: Min. 5’ / Max 15’ •Interior side yard: No min. •Rear yard: 25% of lot depth – no more than 30’ •Detached parking structures shall have a min. setback of 45’ from a front/corner side yard property line or be located behind the primary structure. •Parking Context: Neighborhood •Height: 65’ •Building Forms: Storefront (all commercial), multi-fam (all residential or mixed-use) •Front/corner side yard: 0-10’ •Interior side yard: 0-10’ •Rear yard: 10-20’ •Parking Context: Transit •No minimum lot size or width •Allowable uses are similar, but MU-5 would add drive- through’s associated with a financial institution as a Conditional Use R-MU-45 code references non-residential development Salt Lake City // Planning Division www.slc.gov/planning DEVELOPMENT PROPOSAL Salt Lake City // Planning Division www.slc.gov/planning Subject Property 1 – AFCU building at 455 E 500 S Subject Property 2 – Office building at 475 E 500 S – driveway access #1 Office building at 475 E 500 S – driveway access #2 Driveway #3, which is closed and blocked with bollards Salt Lake City // Planning Division www.slc.gov/planning AFCU site from 500 South – driveway access #4 and #5 Salt Lake City // Planning Division www.slc.gov/planning Local Landmark Site – 466 S 500 E – R-MU-45 zoning Buildings on west side of 500 East – R-MU-45 (proposed MU-5) and TSA-UN-C (proposed MU-8) Salt Lake City // Planning Division www.slc.gov/planning AFCU site from Denver Street – the two properties to the north are zoned TSA-UN-C (proposed MU-8) Salt Lake City // Planning Division www.slc.gov/planning Parking structure and sky bridge across to second level of AFCU building – driveway access #6-8 Salt Lake City // Planning Division www.slc.gov/planning Rear Yard Setback: 15’ Required: 30’ Interior Side Yard Setback: 5’ Required: 15’ Corner Side Yard Setback: 15’ Required: 25’ Staff recommends closing this curb cut. Existing curb cuts Skybridge Drive-through location Salt Lake City // Planning Division www.slc.gov/planning PARKING R-MU-45 (Existing) RO (Proposed) Provided Parking 181 227 Minimum # of Stalls 122 177 Maximum # of Stalls*183 240 Both parcels are just under one quarter mile away from the Trolley TRAX station. EXISTING R-MU-45 ZONE – NEIGHBORHOOD PARKING CONTEXT •“Includes zoning districts with pedestrian-scale development patterns, building forms, and amenities.” •2 stalls per 1,000 SF for financial institutions and office uses – maximum of 3 stalls PROPOSED RO ZONE – GENERAL PARKING CONTEXT •Applies broadly and includes “zoning districts that tend to be more auto-dependent and/or suburban in scale and parking needs.” •2 stalls per 1,000 SF for financial institutions and 3 stalls for office uses – maximum of 4 stalls *The maximum parking limit does not apply to parking provided within a structure Proposed parking structure from Denver StreetExisting parking structure from Denver Street Salt Lake City // Planning Division www.slc.gov/planning ZONING DISTRICT COMPARISON R-MU-45 (existing zoning district) •Doesn’t allow the proposed height of 52’ – Maximum building height for nonresidential uses is 20’ •Structure doesn’t meet the rear yard setback of 30’ RO (applicant’s proposed zoning district) •Height is allowable and could be 40’ taller •Rear, side, and corner side yard setbacks would need Planned Development approval (the PC tabled the Planned Development petition) •There are no design standards associated with the zone that would require Design Review MU-5 (city proposed zone for both properties) & MU-6 •Proposed development would be considered a “storefront” building type •Original reviewer concluded that the skybridge counts as a substantial building connection; therefore, the two structures are being reviewed as one •Proposed height and setbacks would be allowed in both zones – Open space area requirement may not be met •Drive-throughs associated with a financial institution would be a Conditional Use in the MU-5 zone •Would need Design Review approval – The building does not meet the design standards related to ground floor use, glass percentages, street facing façade length, blank walls Proposed east (facing 500 East) and west (frontage on Denver St) building elevations Salt Lake City // Planning Division www.slc.gov/planning ZONING MAP AMENDMENT Salt Lake City // Planning Division www.slc.gov/planning ZONING MAP AMENDMENTS CHAPTER 21A.50.050.B •Consistency with adopted planning documents (Plan Salt Lake and the Central Community Plan) •Whether it furthers the purpose of the zoning district and applicable overlays •Potential impacts on adjacent properties •Adequacy of public facilities and services STANDARDS OF APPROVAL Salt Lake City // Planning Division ANALYSIS •Both properties were rezoned from RO to R-MU-45 in 2012 as part of the 400 South Livable Communities project •There are no design standards (21A.37) associated with the RO zone •Maximum building height of 60’ unless adjacent to a district with a higher max height, then the height allowance increases to 90’ •AFCU site is adjacent to the TSA-UN-C district, which has a max height of 75’; therefore, the allowable building height is 90’ •455 E 500 S abuts the R-MU-45 zone, which limits the building height to 60’ •As stated in purpose statement of section 21A.50.010, “The amendment process is not intended to relieve particular hardships nor to confer special privileges or rights upon any person, but only to make adjustments necessary in light of changed conditions or changes in public policy.” •Both the R-MU-45 and RO districts are being consolidated into form- based zones ZONING MAP AMENDMENT Zoning Map – properties with the RO zoning designation are located on the south side of 500 S Salt Lake City // Planning Division www.slc.gov/planning ADOPTED PLANS PLAN SALT LAKE Neighborhoods / Neighborhoods that provide a safe environment, opportunities for social interaction, and services needed for the wellbeing of the community therein. Transportation/ A transportation and mobility network that is safe, accessible, reliable, affordable, and sustainable, providing real choices and connecting people with places. Air Quality/ Air that is healthy and clean. Beautiful City/ A beautiful city that is people focused. Economy/ A balanced economy that produces quality jobs and fosters an environment for commerce, local business, and industry to thrive. CENTRAL COMMUNITY PLAN Future Land Use Map •Residential/Office/Mixed-Use – RO Zone aligns with the designation Plan Goals / livable neighborhoods, sustainable commerce, unique and active public spaces, pedestrian mobility and accessibility Access and Mobility Policies •Improve vehicle and pedestrian circulation through coordination of transportation and land use planning •Improve vehicle circulation through street design and traffic signal synchronization •Relate right-of-way designs to land use patterns •Ensure pedestrian mobility and safety •Address parking concerns Salt Lake City // Planning Division www.slc.gov/planning RECOMMENDATION Salt Lake City // Planning Division www.slc.gov/planning THE PLANNING COMMISSION RECOMMENDED DENYING THE ZONING MAP AMENDMENT FROM R-MU-45 (RESIDENTIAL/MIXED USE) TO RO (RESIDENTIAL/OFFICE) STAFF RECOMMENDATION Salt Lake City // Planning Division www.slc.gov/planning QUESTIONS AND COMMENTS Salt Lake City // Planning Division www.slc.gov/planning Amanda Roman // Urban Designer amanda.roman@slc.gov 801-535-7660 Salt Lake City // Planning Division www.slc.gov/planning Buildings on south side of 500 South – CN, RMF-75 and RO zoning Salt Lake City // Planning Division www.slc.gov/planning Partially underground surface parking on the west side of Denver Street – photos taken at 1 PM SALT LAKE CITY TRANSMITTAL 1 8*4 1 To: Start Date: Date Sent to Council: Salt Lake City Council Chair 06/24/2024 06/28/2024 Salt Lake City Redevelopment Agency Chair From: Employee Name:E-mail Roman,Amanda amanda.roman@slcgov.com Department Community and Neighborhood Department Director Signature Chief Administrator Officer's Signature* 5 qT -- 0&°e%w_ Director Signed Date Chief Administrator Officer's Signed Date 06/28/2024 06/28/2024 Subject: PLNPCM2022-0115-America First Credit Union Zoning Map Amendment at approximately 455 E&475 E 500 S Additional Staff Contact: Presenters/Staff Table Kelsey Lindquist,kelsey.lindquist@slcgov.com Document Type*Budget Impact* Budget Impact: Ordinance Yes No Recommendation: Follow the Planning Commission recommendation and deny the zoning map amendment at approximately 455 E&475 E 500 S Background/Discussion: Rick Magness,property owner representative for America First Credit Union(AFCU),is requesting a zoning map amendment from R-MU-45 Residential/Mixed Use)to RO(Residential/Office)for the properties at 455 E and 475 E 500 S.The rezone is to achieve additional building height. The current R-MU-45 zone has a maximum building height of 45 feet for residential uses and 20 feet for nonresidential uses.The proposed RO zone has a maximum building height of 90 feet;If the rezone is approved the applicant intends to replace an existing three-level noncomplying parking garage with a new garage that is 52 feet in height. PROJECT LOCATION The two properties are located in the Central City neighborhood on the northwest corner of 500 East 500 South.The parcel at 455 E 500 S is 1.25 acres(54,500 SF)and has frontage on 500 South and Denver Street.The smaller parcel at 475 E 500 S is.23 acres(10,220 SF)with frontage on 500 East and 500 South. BACKGROUND The property at 455 E 500 S contains the primary five-story AFCU office building,a nonconforming drive-through,and a noncomplying parking garage.The AFCU branch has been in operation since 1985.The property at 475 E 500 S(eastern corner lot)has an existing two-story office building and a surface parking lot. REZONE HISTORY A key point is that the existing parking garage can be rebuilt without a rezone of the properties.Because the applicant seeks to build a taller structure than what exists or what is permitted in the R-MU-45 zoning district,they are requesting to rezone the two properties back to the RO zoning district,which permits up to 90 feet of building height at this location. In 2012,the two properties were rezoned from RO(Residential/Office)to R-MU-45(Residential/Mixed Use)as part of the 400 South Livable Communities project,which established the Transit Station Area(TSA)zoning along and adjacent to 400 South.This zoning change made the existing parking structure noncomplying and the drive-through teller lanes nonconforming. INITIAL REQUESTS ASSOCIATED WITH PROJECT The applicant initially requested a zoning map amendment,text amendment and a planned development to facilitate the construction of a new parking garage.The parking garage has not been utilized since July 2022 due to structural concerns. The applicant proposes demolishing the existing three-level parking garage,which provides 147 parking stalls,and replacing it with a five-level 52- foot-tall garage with 197 parking stalls.The existing 30 surface level parking stalls are to remain.The proposal would result in a total of 227 parking spaces. The withdrawn zoning text amendment would have added"Financial Institution,with Drive-Through Facility"as a permitted use in the RO zoning district.Both the existing and proposed zoning districts permit financial institutions,but neither allow them with a drive-through component.At the time of submittal,the applicant was proposing to relocate and expand the existing nonconforming drive-through,which would not be allowed as nonconforming uses cannot be expanded or relocated.The applicant withdrew the petition because they are no longer proposing modifications to the drive-through. If the zoning map amendment is adopted,the applicant will move forward with their planned development petition to build a new parking garage in a similar location and request to reduce the rear yard,corner side yard,or interior side yard setbacks required by the RO zoning district.The planned development would have to be approved by the Planning Commission. The planned development petition was tabled by the Planning Commission and will be reconsidered if the zoning map amendment is adopted. Planning staff is recommending denial of the planned development petition,as the proposal does not meet the purpose of a planned development and the request to reduce setbacks to facilitate the construction of a five-level parking structure does not fulfill a planned development objective,which is required for approval. PLANNING COMMISSION RECOMMENDATION The Planning Commission voted 6:2 to forward a negative recommendation to the City Council regarding the rezone from the R-MU-45 zoning district to RO zoning district.There were concerns about allowing a rezone to facilitate construction of a parking garage that could be rebuilt within the existing zoning regulations.They also expressed apprehension that approving rezones for more parking facilities could perpetuate the existing development pattern instead of encouraging more pedestrian-friendly development. The Planning Commission voted 7:1 to forward a negative recommendation to the City Council regarding the proposed text amendment to add Financial Institution,with Drive-Through Facility"as a permitted use in the RO zoning district.The applicant formally withdrew the zoning text amendment petition on May 14,2024,after stating their intent to withdrawal during the May 8th Planning Commission hearing. Will the City Council need to hold a public hearing for this item?* Yes No Public Process The applicants met with Planning staff and management multiple times since 2022 to discuss their proposal and determine a path forward after deciding not to rebuild the parking structure under the noncomplying structure standards in Chapter 21A.38.The RO(Residential/Office)district was identified as a potential zone for the property as it would accommodate the desired height of the parking structure and the zone is found along the southern side of 500 South between 200-600 East. Early notification notices mailed out March 7,2024. o Notices were mailed to property owners/residents within-300 feet of the proposal. The Planning Division provided a 45-day comment period(March 5,2024-April 22,2024)notice to the Central City,Central 9th,East Central, and Downtown Community Councils and the Granary District Alliance. o The subject property is within the Central City Community Council boundary.The additional community councils were sent the text amendment proposal because the boundary proposed for the"Financial Institution,with Drive-Through Facilities"use abuts each of the districts. o None of the Councils provided comments regarding the three petitions. An online open house was posted to the Planning Division's webpage on March 11,2024. Planning staff received seven public comments regarding the petitions.Six were included in the Planning Commission Staff Report and the additional comment,which was received after the report was published,is attached. Chief Administrator Officer's Comments ERIN MENDENHALL L DEPARTMENT of COMMUNITY Mayor y and NEIGHBORHOODS x Blake Thomas c/1= Director CITY COUNCIL TRANSMITTAL Date Received: Jill Love, Chief Administrative Officer Date sent to Council: TO: Salt Lake City Council DATE: Victoria Petro, Chair FROM: Blake Thomas, Director, Department of Community&Neighborhoods SUBJECT: America First Credit Union Zoning Map Amendment at approximately 455 E &475 E 500 S STAFF CONTACT: Amanda Roman,Urban Designer Amanda.Roman(a,slcgov.com or 801-535-7660 DOCUMENT TYPE: Ordinance RECOMMENDATION: Follow the Planning Commission recommendation and deny the zoning map amendment at approximately 455 E & 475 E 500 S BUDGET IMPACT: None BACKGROUND/DISCUSSION: Rick Magness, property owner representative for America First Credit Union (AFCU), is requesting a zoning map amendment from R-MU-45 Residential/Mixed Use) to RO (Residential/Office) for the properties at 455 E and 475 E 500 S. The rezone is to achieve additional building height. The current R-MU-45 zone has a maximum building height of 45 feet for residential uses and 20 feet for nonresidential uses. The proposed RO zone has a maximum building height of 90 feet. If the rezone is approved the applicant intends to replace an existing three-level noncomplying parking garage with a new garage that is 52 feet in height. SALT LAKE CITY CORPORATION 451 SOUTH STATE STREET,ROOM 404 WWW.SLC.GOV P.O.BOX 145486,SALT LAKE CITY,UTAH 84114-5486 TEL 8oi.535.623o FAX 801.535.6o05 Project Location F Midi The two properties are located in the Central City neighborhood on the northwest corner4 tiLJ of 500 East 500 South. The parcel at 455 E t1:500 S is 1.25 acres (54,500 SF) and has frontage on 500 South and Denver Street. The smaller parcel at 475 E 500 S is.23 acres 10,220 SF) with frontage on 500 East and s, ' 500 South. CD TSA(IN CD eu Background The property at 455 E 500 S contains the Y` 1 primary five-story AFCU office building, a nonconforming drive-through, and a 11 noncomplying parking garage. The AFCU r 3 branch has been in operation since 1985.The property at 475 E 500 S (eastern corner lot) has an existing two-story office building and s3 t - - - T a surface parking lot. Zoning Map Rezone History A key point is that the existing parking garage can be rebuilt without a rezone of the properties. Because the applicant seeks to build a taller structure than what exists or what is permitted in the R-MU-45 zoning district, they are requesting to rezone the two properties back to the RO zoning district, which permits up to 90 feet of building height at this location. In 2012, the two properties were rezoned from RO (Residential/Office) to R-MU-45 Residential/Mixed Use) as part of the 400 South Livable Communities project,which established the Transit Station Area(TSA) zoning along and adjacent to 400 South. This zoning change made the existing parking structure noncomplying and the drive-through teller lanes nonconforming. Initial Requests associated with petition The applicant initially requested a zoning map amendment, text amendment and a planned development to facilitate the construction of a new parking garage. The parking garage has not been utilized since July 2022 due to structural concerns. The applicant proposes demolishing the existing three-level parking garage, which provides 147 parking stalls, and replacing it with a five-level 52-foot-tall garage with 197 parking stalls. The existing 30 surface level parking stalls are to remain. The proposal would result in a total of 227 parking spaces. The withdrawn zoning text amendment would have added "Financial Institution, with Drive- Through Facility" as a permitted use in the RO zoning district. Both the existing and proposed zoning districts permit financial institutions, but neither allow them with a drive-through component. At the time of submittal, the applicant was proposing to relocate and expand the existing nonconforming drive-through,which would not be allowed as nonconforming uses cannot be expanded or relocated. The applicant withdrew the petition because they are no longer proposing modifications to the drive-through. If the zoning map amendment is adopted, the applicant will move forward with their planned development petition to build a new parking garage in a similar location and request to reduce the rear yard, corner side yard, or interior side yard setbacks required by the RO zoning district. The planned development would have to be approved by the Planning Commission. The planned development petition was tabled by the Planning Commission and will be reconsidered if the zoning map amendment is adopted. Planning staff is recommending denial of the planned development petition, as the proposal does not meet the purpose of a planned development and the request to reduce setbacks to facilitate the construction of a five-level parking structure does not fulfill a planned development objective, which is required for approval. Planning Commission Recommendation The Planning Commission voted 6:2 to forward a negative recommendation to the City Council regarding the rezone from the R-MU-45 zoning district to RO zoning district. There were concerns about allowing a rezone to facilitate construction of a parking garage that could be rebuilt within the existing zoning regulations. They also expressed apprehension that approving rezones for more parking facilities could perpetuate the existing development pattern instead of encouraging more pedestrian-friendly development. The Planning Commission voted 7:1 to forward a negative recommendation to the City Council regarding the proposed text amendment to add "Financial Institution, with Drive-Through Facility" as a permitted use in the RO zoning district. The applicant formally withdrew the zoning text amendment petition on May 14, 2024, after stating their intent to withdrawal during the May 8th Planning Commission hearing. MEETINGS & PUBLIC ENGAGEMENT: The applicants met with Planning staff and management multiple times since 2022 to discuss their proposal and determine a path forward after deciding not to rebuild the parking structure under the noncomplying structure standards in Chapter 21A.38. The RO Residential/Office) district was identified as a potential zone for the property as it would accommodate the desired height of the parking structure and the zone is found along the southern side of 500 South between 200-600 East. Early notification notices mailed out March 7, 2024. o Notices were mailed to property owners/residents within—300 feet of the proposal. The Planning Division provided a 45-day comment period (March 5, 2024 — April 22, 2024) notice to the Central City, Central 9th, East Central, and Downtown Community Councils and the Granary District Alliance. o The subject property is within the Central City Community Council boundary. The additional community councils were sent the text amendment proposal because the boundary proposed for the "Financial Institution, with Drive-Through Facilities" use abuts each of the districts. o None of the Councils provided comments regarding the three petitions. An online open house was posted to the Planning Division's webpage on March 11, 2024. Planning staff received seven public comments regarding the petitions. Six were included in the Planning Commission Staff Report and the additional comment,which was received after the report was published, is attached. Planning Commission (PC)Records a) PC Agenda of May 8, 2024 (Click to Access) b) PC Minutes of May 8, 2024 (Click to Access) c) Planning Commission Staff Report of May 8, 2024 (Click to Access Report) EXHIBITS: 1) Ordinance 2) Project Chronology 3) Notice of City Council Public Hearing 4) Original Petition 5) Additional Public Comment 6) Mailing List TABLE OF CONTENTS 1. ORDINANCE 2. PROJECT CHRONOLOGY 3. NOTICE OF CITY COUNCIL PUBLIC HEARING 4. ORIGINAL PETITION 5. ADDITIONAL PUBLIC COMMENT 6. MAILING LIST 1. ORDINANCE SALT LAKE CITY ORDINANCE No. of 2024 Amending the zoning map pertaining to parcels located at 455 and 475 E 500 S from R-MU-45 Residential/Mixed Use District to RO Residential/Office District) An ordinance amending the zoning map pertaining to two parcels located at 455 and 475 E 500 S ("Property") from R-MU-45 Residential/Mixed Use District to RO Residential/Office District pursuant to Petition No. PLNPCM2022-0 1 1 1 5. WHEREAS, the Salt Lake City Planning Commission ("Planning Commission")held a public hearing on May 8, 2024, on an application submitted by Rick Magness to rezone the Property from R-MU-45 Residential/Mixed Use District to RO Residential/Office District pursuant to Petition No. PLNPCM2022-01115. WHEREAS, at its May 8, 2024, meeting, the Planning Commission voted in favor of forwarding a negative recommendation to the Salt Lake City Council ("City Council") on said petition; and WHEREAS, after a public hearing on this matter, the City Council has determined that adopting this ordinance is in the city's best interests. NOW, THEREFORE, be it ordained by the City Council of Salt Lake City, Utah: SECTION 1. Amending the Zoning Ma The Salt Lake City zoning map, as adopted by the Salt Lake City Code, relating to the fixing of boundaries and zoning districts, shall be and hereby is amended to reflect that the Property, as more particularly described on Exhibit"A" attached hereto, shall be and hereby is rezoned from R-MU-45 Residential/Mixed Use District to RO Residential/Office District. SECTION 2. Effective Date. This Ordinance shall become effective on the date of its first publication. 1 Passed by the City Council of Salt Lake City, Utah, this day of 2024. CHAIRPERSON ATTEST AND COUNTERSIGN: CITY RECORDER Transmitted to Mayor on Mayor's Action:Approved.Vetoed. MAYOR CITY RECORDER SEAL) APPROVED AS TO FORM Salt Lake City Attorney's Office Bill No. of 2024. Date: June 6, 2024 Published: Ordinance Rezoning 455 and 475 E 500 S to RO_vl By: Katherine D.Pasker,Senior City Attorney 2 Exhibit "A" Legal description of the property Tax ID No. 16-06-407-039-0000 BEG S 89057'40" W 123.75 FT FR SE COR LOT 1, BLK 34, PLAT B, SLC SUR; S 89°57'40" W 181.5 FT;N 0'01'50" W 330 FT;N 89°57'40" E 148.5 FT; S 0'01'50" E 165 FT;N 89°57'40" E 33 FT; S 0001'50" E 165 FT TO BEG. 7019-0416 Tax ID No. 16-06-407-040-0000 BEG SE COR LOT 1, BLK 34, PLAT B, SLC SUR; S 89°57'40" W 123.75 FT;N 0'01'50" W 82.5 FT;N 89°57'40" E 123.75 FT; S 0001'50" E 82.5 FT TO BEG. 7019-0416 8340-7518 9671- 3368 3 2. CHRONOLOGY PROJECT CHRONOLOGY Petition: PLNPCM2022-01115 November 17, 2022 Rick Magness,representing America First Credit Union, submitted the petition for a zoning map amendment March 5, 2024 The Central City Community Council and additional recognized organizations were sent the 45-day public notice. None of the Councils provided comments. March 7, 2024 Early Notification letters were mailed to property owners and residents within 300 feet of the subject properties March 11, 2024 Initial information posted to the city's online open house webpage April 26, 2024 Public hearing notice was posted to city and state websites and a notice of the hearing was mailed April 26, 2024 Staff report for Planning Commission hearing posted to Planning's website May 8, 2024 The Planning Commission held a public hearing and voted 6:2 to forward a negative recommendation to the City Council May 15, 2024 Ordinance requested from Attorney's Office May 22, 2024 The Planning Commission minutes from the May 8, 2024 public hearing were approved June 6, 2024 Final ordinance received from the Attorney's Office June 7, 2024 Transmitted to CAN Administration 3. NOTICE OF CITY COUNCIL PUBLIC HEARING NOTICE OF PUBLIC HEARING The Salt Lake City Council is considering Petition PLNPCM2022-01115 Zoning Map Amendment for the property at approximately 455 E and 475 E 500 S.Rick Magness,representing America First Credit Union,is requesting a zoning map amendment from R-MU-45 (Residential/Mixed Use)to RO Residential/Office)to allow for additional building height. At this location,the RO zone has a maximum building height of 90 feet,while the current R-MU-45 zone has a maximum building height of 45 feet for residential uses and 20 feet for nonresidential uses. As part of their study,the City Council is holding an advertised public hearing to receive comments regarding the petition. During the hearing, anyone desiring to address the City Council concerning this issue will be given an opportunity to speak. The Council may consider adopting the ordinance the same night of the public hearing. DATE: TBD TIME: PLACE:Electronic and in-person options. 451 South State Street, Roon 326, Salt Lake City,Utah This meeting will be held via electronic means, while also providing an in-person opportunity to attend or participate in the hearing at the City and County Building,located at 451 South State Street,Room 326,Salt Lake City,Utah.For more information,including Zoom connection information, please visit www.sic.2ov/council/virtual-meetin2s. Comments may also be provided by calling the 24-hour comment line at(801) 535-7654 or sending an email to council.comments(&slcgov.com. All comments received through any source are shared with the Council and added to the public record. If you have any questions relating to this proposal or would like to review the file, please call Amanda Roman at 801-535-7660 between the hours of 8:00 a.m. and 5:00 p.m.,Monday through Friday, or via e- mail at amanda.roman( slcgov.com. The application details can be accessed at https://citizepportal.slcgov.com/, by selecting the "planning" tab and entering the petition number PLNPCM2022-01115. The City & County Building is an accessible facility. People with disabilities may make requests for reasonable accommodation,which may include alternate formats,interpreters,and other auxiliary aids and services. Please make requests at least two business days in advance. To make a request,please contact the City Council Office at council.comments cgslcgov.com, 801-535-7600,or relay service 711. 4. ORIGINAL PETITION Al\XiIA ANDERSON WAHLEN & ASSOCIATES Great Basin Engineering South September 15,2023 Salt Lake City Planning Division 451 S State Street,Room 406 Salt Lake City,UT 84114 RE: Amend the Text of the Zoning Ordinance and Zone Change to allow a financial institution to have a drive-through within an R-O(Residential/Office)District. America First Credit Union(AFCU) is requesting a zone change from R-MU-45 to R-O,as well as amend the text of the zoning ordinance within the R-O District to allow a financial institution to have a drive-through. Background/Existing Conditions America First Credit Union purchased this property for over$8 million in October 2012 America First Credit Union has had a branch at this location since 1985 0 Currently 23,518 members use this branch at least once a year 11,907 members consistently use this branch This branch averages 10,620 transactions per month The five-story office building is attached to the existing parking garage.Unfortunately,the parking garage is not structurally safe and currently is not operable.This failure to provide adequate parking limits the ability to lease the entire office space. Parcel 1 does not meet the minimum parking requirements of 163 stalls (311000 sf) o Currently 23 surface parking stalls(4% of minimum required parking) o If parking structure was removed and surface parking installed: 61 stalls(37% of minimum required parking) The property is located on 500 South,one of the main vehicular arterial streets in the City AFCU currently owns the properties located at 475 E & 500 S and 455 E & 500 S. 475 E. 500 S. (NW corner 500 S 500 E) Parcel# 16-06-407-040 Existing two-story office building 455 E. 500 S. (NE corner Denver St. 500 S) Parcel# 16-06-407-039 Existing four-story office building with a three-level parking structure The current zoning code Residential Mixed-Use (R-MU-45) does not allow for a drive-through teller machines. p (801)521-8529 F (801) 521-9551 AWAEngineering.net 2010 N Redwood Rd,Salt Lake City,UT 84116 Civil Engineering Land Surveying Landscape Architecture . Transportation Engineering • Land Use Planning Proposed Site Plan Existing Primary Office Building will remain with minor revisions to elevation color and materials. Drive-thru teller machines will remain at existing locations, internal to the site. Drive-thru vehicular queuing will reverse in direction, ingress access from Denver Street to not conflict with the parking along the east side of the building. Minimum vehicular stacking lengths of 60 ft. are provided for each ATM lane. Parking Structure The proposed parking structure will replace the existing parking garage which is structurally unsafe and not in use. The proposed parking structure is substantially connected to the primary building by a connective walkway between structures. The parking structure complies with 21A.37.050 regarding materials, screening, circulation, and access. The proposed parking structure footprint is within the existing parking garage footprint. The proposed parking structure height is 52 ft., less than the maximum height of 75 ft. The parking structure roof will have photovoltaic panels and a system that will reduce yearly CO2 emissions of 184 tons,provide approximately 65% of energy savings. The original cost is approximately $300k. Reasons for Zone Change to Residential/Office (R-O) District 1. The purpose statement of the RO Residential/Office District is "intended to provide a suitable environment for a combination of residential dwellings and office use". The existing financial institution with drive-through and parking structure maintains the purpose of the goals, objectives, and policies, as well as the surrounding zoning and uses in the Central City area. 2. The proposed parking structure and primary building are considered to be substantially connected via the existing skybridge element. 3. Within the proposed R-0 zoning district, a parking structure maximum height of 75 ft. is allowed. The proposed five level parking structure height is 52 ft. Text amendment to the R-O (Residential/Office) District would add "Use: Financial Institution, with Drive-through facility"as a permitted use within the following code sections: 21A.24.180 RO Residential/Office District 21A.33.020 Table of Permitted and Conditional Uses for Residential Districts Add footnote language would state, "Permitted within the RO District along 500 South & 600 South rights-of-way between 700 East right-of-way and Interstate 15. " Reasons supporting the Text Amendment: 1. The purpose statement of the RO Residential/Office District is "intended to provide a suitable environment for a combination of residential dwellings and office use". The existing financial institution with drive-through and parking structure maintains the purpose of the goals, objectives, and policies, as well as the surrounding zoning and uses in the Central City area. p (801) 521-8529 F (801)521-9551 AWAEngineering.net 2010 N Redwood Rd,Salt Lake City,UT 84116 Civil Engineering • Land Surveying Landscape Architecture . Transportation Engineering • Land Use Planning 2. This America First Credit Union branch has served the community at this location for almost 40 years. 3. The proposed zoning is consistent with other R-O zoned uses on the 500 South corridor. 4. 500 South is classified as a One-Way Thoroughfare (Grand Boulevard) on the City's Street Typologies Map. The nature of this right-of-way is autocentric and supports the existing financial office building with existing parking structure and drive-through. 5. The drive-through location remains where currently located internal to the site. Vehicular direction is reversed to provide better vehicular flow and queuing off of Denver Street. The existing financial office building and drive-through complement the other existing uses along the 500 South corridor. This AFCU serves the area with financial services and support. The two-story office building at the corner of 500 East and 500 South will also provide necessary office space and parking within the proposed R-O zoned district. Because this is an existing development,no roadways,utilities, sidewalks or police and fire protection will be affected. Thanks in advance for your consideration and approval of this project. Please contact me if you have any questions or comments. Regards, Z" xv"" Rick Magness,AICP NW Land Planner p (801) 521-8529 F (801)521-9551 AWAEngineering.net 2010 N Redwood Rd,Salt Lake City,UT 84116 Civil Engineering • Land Surveying Landscape Architecture . Transportation Engineering • Land Use Planning 5. ADDITIONAL PUBLIC COMMENTS EXTERNAL) 1 11 • 1 11PLNPCM2022-0115 Reply <Fj Reply All Forward •• Morris o Roman, d t 1 You replied to this message on 4/30/2024 11:31 AM. Caution:This is an external email.Please be cautious when clicking links or opening attachments. I would like it to be known that I am against all three of these proposals for rezoning as it will adversely affect my property.Thank you,Bernie Morris at Trolley Pl.,Salt Lake City. Sent from my iPhone 6. MAILING LIST OWN-FULL-NAME OWN ADDR own-unit OWN CITY OWN-STATE OWN ZIP 433 SOUTH 400 EAST,LLC 672 E UNION SQ SANDY UT 84070 SALT LAKE COUNTY PO BOX 144575 SALT LAKE CITY UT 84114 425 SOUTH LLC 425 S 400 E SALT LAKE CITY UT 84111 NEXSTEP GROUP,LLC 176 N 2200 W#200 SALT LAKE CITY UT 84116 HORSEY SAUCE PARTNERS,LLC 1178 W LEGACY CROSSING BL CENTERVILLE UT 84014 R.CLARK ARNOLD;KATHLEEN MARIE ARNOLD(JT)998SOAKHILLSWY SALT LAKE CITY UT 84108 GREY OAK LLC 2157S LINCOLN ST SALT LAKE CITY UT 84106 MS2,LLC 2180 S 1300 E SALT LAKE CITY UT 84106 G&S PROPERTIES,LLC PO BOX 9069 SALT LAKE CITY UT 84109 LP 426 APARTMENTS 3595 S MAIN ST SOUTH SALT LAKE UT 84115 448 A SERIES OF HUK HOLDINGS,LLC 869 E4500S MILLCREEK UT 84107 SIC REVOCABLE TRUST 08/15/2018 1969 E SOUTHBRIDGE WY SANDY UT 84093 CO-WORKS SLC LLC 392 E WINCHESTER ST MURRAY UT 84107 AMERICA FIRST FEDERAL CREDIT UNION PO BOX 9199 OGDEN UT 84409 CYPRUS FEDERAL CREDIT UN ION 3876WCENTERVIEWWY WESTJORDAN UT 84084 UT UNIVERSITY BOULEVARD APARTMENTS LLC 9757 N E JUANITA DR KIRKLAND WA 98034 5TH EAST APARTMENTS,LLC 4343500E SALT LAKE CITY UT 84102 FIRST STEP HOUSE 440 S500E SALT LAKE CITY UT 84102 EAST DOWNTOWN LLC PO BOX 10 SCOTTSDALE AZ 85252 THE CITIZEN,LLC 7585 S UN ION PARK AVE MIDVALE UT 84047 NFS MCRAE LLC 452 E 500 S SALT LAKE CITY UT 84111 DENVER STREET PROPERTIES LLC 2136 S SCENIC DR SALT LAKE CITY UT 84108 UNIVERSITY FIRST FEDERAL CREDIT UNION 3450 S HIGHLAND DR SALT LAKE CITY UT 84106 DJH REAL ESTATE LLC 370 E SOUTHTEMPLE ST SALT LAKE CITY UT 84111 WENKAI SUN 520 S500E 111 SALT LAKE CITY UT 84102 WYMAN W CHEN(JT) 520 S 500 E#112 SALT LAKE CITY UT 84102 ONE AND NINE LLC 420 N REDWOOD RD#F NORTH SALT LAKE UT 84054 BERNIET MORRIS;NADINE MORRIS(JT) PO BOX 481 PRICE UT 84501 H ENRY LIU 1117CONNECTICUT OGDEN UT 84404 HUNG MING LEE;SZU CHIAWEI(JT) 520 S500E 116 SALT LAKE CITY UT 84102 ADAM KAINOA FERGUSON;ADAM D FERGUSON;REGINA FERGUSON 520 S 500 E 117 SALT LAKE CITY UT 84102 JULIET CHRISTINE BUCHMANN;LUKE BUCHMANN;ANNE NAUMER(JT) 520 S500E 118 SALT LAKE CITY UT 84102 IENNIFERCHEN 520 S500 E#119 SALT LAKE CITY UT 84102 XG LIVTR 249 E GREENBRIER DR EAST PEORIA IL 61611 CASEYZAUGG 14681 S PRISTINE DR DRAPER UT 84020 RACHEL HALL 12 DELGADALN STANSBURYPARK UT 84074 INNOCENTSHUMBA 520 S500E 319 SALT LAKE CITY UT 84102 TROLLEY PLACE OWNER'S ASSOCIATION INC 4655 S2300E HOLLADAY UT 84117 VICTOR'S PROPERTIES,LLC 1420 S700W SALT LAKE CITY UT 84104 MICHAEL TRAN;VAN CAM PHU(JT) 437 EAGLEPOINTE CIR NORTH SALT LAKE UT 84054 TODD L EVANS;JOANNE EVANS(JT) 4005 W 6305 S TAYLORSVILLE UT 84129 517 SOUTH 500 EAST LLC 672 E UNION SQ SANDY UT 84070 Current Occupant 431S400E Salt Lake City 84111 UT Current Occupant 432 S DENVER ST Salt Lake City 84111 UT Current Occupant 433S400E Salt Lake City 84111 UT Current Occupant 435 S400E Salt Lake City 84111 UT Current Occupant 461S400E Salt Lake City 84111 UT Current Occupant 420 E400S Salt Lake City 84111 UT Current Occupant 430 E 400 S Salt Lake City 84111 UT Current Occupant 440 E400S Salt Lake City 84111 UT Current Occupant 421 S400E Salt Lake City 84111 UT Current Occupant 416 S500E Salt Lake City 84102 UT Current Occupant 420 S500E Salt Lake City 84102 UT Current Occupant 426 S500E Salt Lake City 84102 UT Current Occupant 448 S500E Salt Lake City 84102 UT Current Occupant 454S500E Salt Lake City 84102 UT Current Occupant 462 S500E Salt Lake City 84102 UT Current Occupant 466 S500E Salt Lake City 84102 UT Current Occupant 455 E500S Salt Lake City 84111 UT Current Occupant 475 E500S Salt Lake City 84111 UT Current Occupant 480 E400S Salt Lake City 84111 UT Current Occupant 460 E400S Salt Lake City 84111 UT Current Occupant 510 E400S Salt Lake City 84102 UT Current Occupant 455 S500E Salt Lake City 84102 UT Current Occupant 515 S400E Salt Lake City 84111 UT Current Occupant 446 E500S Salt Lake City 84111 UT Current Occupant 515 S DENVER ST Salt Lake City 84111 UT Current Occupant 490 E500S Salt Lake City 84111 UT Current Occupant 466 E500S Salt Lake City 84111 UT Current Occupant 520 S500E 112 Salt Lake City 84102 UT Current Occupant 520 S500E 113 Salt Lake City 84102 UT Current Occupant 520 S500E 114 Salt Lake City 84102 UT Current Occupant 520 S500E 115 Salt Lake City 84102 UT Current Occupant 520 S500E 119 Salt Lake City 84111 UT Current Occupant 520 S500E 315 Salt Lake City 84102 UT Current Occupant 520 S500E 317 Salt Lake City 84102 UT Current Occupant 520 S500E 318 Salt Lake City 84102 UT Current Occupant 520 S500E Salt Lake City 84102 UT Current Occupant 511 S500E Salt Lake City 84102 UT Current Occupant 506 E500S Salt Lake City 84102 UT Current Occupant 510 E500S Salt Lake City 84102 UT Current Occupant 517 S500E Salt Lake City 84102 UT This page has intentionally been left blank Item E2 CITY COUNCIL OF SALT LAKE CITY 451 SOUTH STATE STREET, ROOM 304 P.O. BOX 145476, SALT LAKE CITY, UTAH 84114-5476 SLCCOUNCIL.COM TEL 801-535-7600 FAX 801-535-7651 MOTION SHEET CITY COUNCIL of SALT LAKE CITY TO:City Council Members FROM: Brian Fullmer Policy Analyst DATE:February 18, 2025 RE: Resolution Extending the Time Period for Complying with the Conditions in Ordinance 6 of 2023 MOTION 1 (adopt) I move that the Council adopt a resolution extending the time period to comply with the conditions in ordinance 6 of 2023 for an additional six months. MOTION 2 (reject) I move that the Council reject the resolution. CITY COUNCIL OF SALT LAKE CITY 451 SOUTH STATE STREET, ROOM 304 P.O. BOX 145476, SALT LAKE CITY, UTAH 84114-5476 SLCCOUNCIL.COM TEL 801-535-7600 FAX 801-535-7651 COUNCIL STAFF REPORT CITY COUNCIL of SALT LAKE CITY TO:City Council Members FROM:Brian Fullmer Policy Analyst DATE:February 18, 2025 RE: 704 East 900 South Zoning Map Amendment PLNPCM2022-00251 FEBRUARY 18, 2025 UPDATE On February 20, 2024, the Council adopted a resolution extending the deadline for the petitioner to complete requirements outlined in the ordinance by one year (until February 21, 2025). Since that time, Building Services reports progress has been made, and the required work is nearing completion. There is not sufficient time to complete the work and a final inspection before the February 21st deadline. The petitioner is requesting a six-month extension which would allow time to complete required work to protect the pending zoning map amendment. A resolution extending the time to complete required work is on this evening’s agenda for Council consideration. The following information was provided for previous meetings. It is included again for background purposes. BRIEFING UPDATE Several people spoke at the February 7, 2023 public hearing sharing support of, and opposition to, the proposed zoning map amendment. Those in favor noted flexibility for additional housing, proximity to transit, and potential to retain long-term rental housing. Opponents cited the Planning Commission’s unanimous negative recommendation, neighborhood opposition, zoning that is different than adjacent Item Schedule: Briefing: January 17, 2023 Set Date: January 17, 2023 Public Hearing: February 7, 2023 Potential Action: February 21, 2023 Page | 2 properties, potential to remove the historic structure, and unintended consequences from parking and short-term rentals. The Council closed the public hearing and deferred action to a future meeting. BRIEFING UPDATE At the January 17, 2023 briefing, Council Members discussed whether there is a path toward making the home legal non-conforming under current zoning. Planning staff stated there is not as only two dwelling units are allowed in the R-2 zone. The petitioner stated his intention is to retain the existing home and use it for four long-term rental units. The Council was generally supportive of the proposal if the petitioner is amenable to entering a development agreement with the City to keep the home and use the property for long-term residential use. The petitioner is open to these conditions. The Council will be briefed about a proposal to amend the zoning map for the parcel at 704 East 900 South in Council District Five from its current R-2 (Single- and Two-Family Residential) zoning district to SNB (Small Neighborhood Business). The applicant’s stated intent is to allow for future multiple-family use. It is worth noting any use allowed under the SNB zoning designation would be permitted at the location. These uses include a bed and breakfast (if a granted landmark site status), daycare, group home, multi-family, mixed-use, medical/dental office, retail goods and services establishments, among others. The approximately 0.24-acre parcel includes a house consisting of four dwelling units, three of which were divided illegally, reportedly by a previous owner, and have been used as short-term rental units. These do not meet code requirements for separate housing units. The property is under enforcement action for short-term rental use. At the time this report was written, the home is listed for sale. The petitioner’s application states bringing the building back to a single-family residence would cost more than $1 million, which he is unable to afford. He believes bringing the dwelling units up to code would be less costly. Planning staff recommended the Planning Commission forward a positive recommendation to the City Council for the proposal with a condition that the petitioner enter a development agreement with the city to construct at least one replacement dwelling unit to comply with Housing Loss Mitigation ordinance. A second recommended condition from Planning staff is the owner acknowledge nightly or short-term rentals would not be allowed on the property. The Planning Commission reviewed this proposal at its October 12, 2022 meeting and held a public hearing. A representative from the East Central Community Council spoke at the briefing and was not supportive of the proposed rezone. They expressed concern a rezone to SNB would ultimately lead to a loss of housing, in part due to the property’s increased value as commercial. They don’t feel the proposal is consistent with the Central Community Master Plan. The East Liberty Park Community Organization provided a letter supporting the proposed zoning map amendment with conditions which include rental use of the property would only be for 30+ day leases, and not allowing commercial or retail uses on the property. Several other people spoke at the public hearing, all in opposition to the proposed zoning map amendment. Concerns cited included potential loss of affordable long-term rental housing units, a change to commercial Page | 3 use would negatively alter the residential nature of 900 South, and potential for the house to continue use as short-term rental units. Following the hearing, the commission voted unanimously to forward a negative recommendation to the council for the proposal. The commission determined the proposed zoning map amendment does not support Plan Salt Lake because of housing loss. Commissioners also determined the Small Neighborhood Business zone will not necessarily decrease road congestion in the area. Adjacent parcels are zoned R-2 and R-1/5,000 (single-family residential). A parcel across 900 South to the north is also zoned Small Neighborhood Business and is used as a medical office. A parcel to the northwest across 700 East and 900 South is zoned Neighborhood Commercial and used as a retail store. Liberty Park is directly west across 700 East. Area zoning map with subject parcel highlighted (Note: Liberty Park is the green shaded area) Goal of the briefing: Review the proposed zoning map amendment, determine if the Council supports moving forward with the proposal. POLICY QUESTIONS 1. The Council may wish to consider whether it wants to rezone property that is for sale. 2. The Council may wish to weigh Planning Staff’s considerations (see below) with the Planning Commission’s public hearing and discussion. 3. The Council may wish to ask if affordable housing could be included as a component of the development agreement suggested by Planning Staff. ADDITIONAL INFORMATION The Council is only being asked to consider rezoning the property. No plan for the property has been Page | 4 submitted to the City nor is it within the scope of the Council’s authority to review such plans. Because zoning of a property can outlast the life of a building, any rezoning application should be considered on the merits of changing the zoning of that property, and potential future uses. KEY CONSIDERATIONS Planning staff identified four key considerations related to the proposal which are found on pages 4-7 of the Planning Commission staff report and summarized below. For the complete analysis, please see the staff report. Consideration 1: Compatibility with Adopted Master Plans The Central Community Master Plan’s (2005) future land use map lists the subject parcel and two other commercial corner parcels at this intersection as “Nonconforming properties to be evaluated for appropriate land use designation.” Planning staff found since the subject property is on the corner of an arterial road and large collector street, zoning compatibility is similar to the other corner commercial properties. It is Planning’s opinion “the size of the dwelling is large enough to accommodate a commercial business, while blending with the neighborhood as a residential dwelling.” Planning staff reviewed how the proposal aligns with Plan Salt Lake (2015). They cited the Plan’s encouragement of small businesses and neighborhood nodes to help create community identity. Small neighborhood businesses on arterial and collector roads help reduce neighborhood impacts from traffic and parking associated with the businesses. Planning found the proposed zoning map amendment supports the spirit of Plan Salt Lake. Consideration 2: Compatibility with Adjacent Properties The Small Neighborhood Business zoning district provides areas for small commercial uses adjacent to residential land uses. Size and scale of these uses are limited to reduce impact to the residential areas. Setbacks, heights, and limited uses are similar to single-family zoning and can serve as a transitional zoning change with limited impact to residents. The Victorian style home on the subject property (shown below) is larger than surrounding bungalow style homes and is on a lot twice the size of nearby lots on 900 South. Although zoning on this block face of 900 South is R-2 (single- or two-family residential), it is believed they are mostly single-family homes. Homes on the 700 East block face are zoned R-1/5,000 (single-family residential) and are a mix of bungalows and colonial revival style constructed in the early 1900’s. If the proposed zoning map amendment is adopted and the existing structure is retained, there would be little aesthetic change to the area. However, if the structure is demolished, a new building would likely be similar to the design of commercial buildings on the northeast and northwest corners of this intersection, though any style building could be constructed provided it meets zoning requirements. Page | 5 Photo of the subject property Image Courtesy of Google Consideration 3: R-2 Zoning vs. SNB Zoning Development Potential Planning staff identified some potential scenarios for the subject property if the requested zoning map amendment is adopted by the Council: •The existing dwelling would remain and be legally converted to multifamily or a mixed-use of residential and retail. •The existing dwelling could be demolished and a new building for a residential/commercial mix constructed. •The existing dwelling could be demolished and a new building for only commercial constructed. •Other listed land uses in the Small Neighborhood Business zone could be operated in the existing structure or in a newly constructed building if it meets building code and zoning requirements/setbacks. If the requested zoning map amendment is approved, the design review process would be required for the following: •New construction of primary dwelling •Parking lot •Addition to an existing building for non-residential use that includes demolition of a commercial structure or a structure containing residential units. If a new building was constructed, a seven-foot landscaping buffer would be required on the east and south property lines. Some uses not currently allowed in the R-2 single- and two-family residential zoning district but allowed under Small Neighborhood Business district are below. A more complete list of permitted and conditional uses is found on page 15 of the Planning Commission staff report. •Office use •Medical/health office use •Retail establishments •Mixed-use development Page | 6 •Bed & breakfast uses (provided the property is granted landmark site status) Consideration 4: Housing Loss Mitigation Plan A housing loss mitigation plan is required for “any petition for a zoning change that would permit a nonresidential use of land.” The proposed Small Neighborhood Business zoning designation allows uses other than residential, so a mitigation plan is required. The housing loss mitigation report for the subject property is found on pages 30-34 of the Planning Commission staff report. In summary, the plan calls for mitigation of potential housing loss by entering a development agreement for replacement housing. It is worth noting the development agreement would require maintaining only one residential unit as the other three units on the subject property are not recognized as legal dwelling units. ZONING COMPARISON The following table is found on page 14-15 of the Planning Commission staff report. It is replicated here for convenience. Regulation Existing Zoning (R-2)Proposed Zoning (SNB) Lot Area/Width 5,000 square feet/50 feet for single-family detached dwellings; 4,000 square feet per dwelling/25 feet for twin home dwellings; 8,000 square feet/50 feet for two-family dwellings. Lots legally existing as of April 12, 1995 shall be considered legal conforming lots. Multi-family dwellings 5,000 square feet/50 feet. Single-family detached 5,000 square feet/50 feet. Non-residential uses 5,000 square feet/50 feet. Setbacks Front yard-equal to average front yards of existing buildings within the block face. Corner side yard-10 feet. Interior side yard-twin home dwelling, no side yard requirement along one side lot line. A ten-foot side yard along the other. Other uses-four feet on one side, ten feet on the other. Rear yard-25% of the lot depth with a minimum of 15 feet, maximum of 25 feet. (All required front and corner side yards shall be maintained as landscape yards in conformance with the requirements of chapter 21A.48.) Front yard, corner side yard, and rear yards shall be equal to the required yard areas of the abutting zoning district along the block face. Buffer yards: any lot abutting a lot in a residential district shall conform to the buffer yard requirements of Chapter 21A.28. (All required front and corner side yards shall be maintained as landscape yards in conformance with the requirements of Chapter 21A.48.) Parking Setback No specific parking setback regulations. Two parking spaces on-site per dwelling unit. No parking is allowed within the front or corner side yard. Building Height Maximum building height:Maximum building height: 25 feet. Page | 7 Pitched roofs: 28 feet or the average height of other principal buildings on the block face. Flat roofs: 20 feet. (However, shall not exceed maximum height of any abutting residential zoning district along the block face.) Open Space No specific open space regulations.Residential and mixed-uses containing residential use: 20% of the lot area. ANALYSIS OF STANDARDS Attachment E (pages 17-19) of the Planning Commission staff report outlines zoning map amendment standards that should be considered as the Council reviews this proposal. The standards and Planning staff’s findings are summarized below. Please see the Planning Commission staff report for additional information. Factor Planning Staff Finding Whether a proposed map amendment is consistent with the purposes, goals, objectives, and policies of the city as stated through its various adopted planning documents. Complies Whether a proposed map amendment furthers the specific purpose statements of the zoning ordinance. Generally complies The extent to which a proposed map amendment will affect adjacent properties Complies Whether a proposed map amendment is consistent with the purposes and provisions of any applicable overlay zoning districts which may impose additional standards. Complies The adequacy of public facilities and services intended to serve the subject property, including, but not limited to, roadways, parks and recreational facilities, police and fire protection, schools, stormwater drainage systems, water supplies, and wastewater and refuse collection. Some public facilities and services may need to be upgraded if more intense use in SNB zone DEPARTMENT REVIEW COMMENTS Attachment H (pages 28-29 of the Planning Commission staff report) includes City department review comments which are summarized below. Please see the staff report for additional information. In its review of the proposals, Civil Enforcement noted a fourplex is not an allowed use within the existing zoning designation. Requirements to convert the building to a legal fourplex if the City Council adopts the requested zoning map amendment were provided. Sustainability encouraged the petitioner to review City fee waivers and low-interest loan products to assist development and operation of affordable housing units. Public Utilities stated redevelopment of the property may require additional utility improvements. Other departments had no objections to the proposals or did not provide comments. Page | 8 PROJECT CHRONOLOGY • March 16, 2022-Petition received by Planning Division. • April 4, 2022-Petition assigned to Diana Martinez, Principal Planner. • May 2, 2022- o Notice sent to East Central, Central City, and Liberty Wells Community Councils. o Notice mailed to property owners and residents within 300 feet of the property. o Project posted to the online open house webpage. • September 30, 2022-Planning Commission public hearing notice mailed to property owners and residents within 300 feet of the property. • October 2, 2022-Public hearing notice signs posted on property. • October 6, 2022-Notice posted on listserv. • October 12, 2022-Planning Commission public hearing. The Planning Commission voted unanimously to forward a negative recommendation to the City Council for the proposed zoning map amendment. • December 1, 2022-Transmittal received in City Council Office. • (Note-because the Planning Commission forwarded a negative recommendation to the City Council, no ordinance was requested of, or provided by the Attorney’s Office.) 1 SALT LAKE CITY RESOLUTION NO. ____ of 2025 (A resolution extending the time period for satisfying the condition set forth in Ordinance 6 of 2023 – an ordinance amending the zoning of property located at approximately 704 East 900 South from R-2 Single and Two-Family Residential to Small Neighborhood Business.) WHEREAS, the Salt Lake City Council (“City Council”) enacted Ordinance 6 of 2023 on February 21, 2023; and WHEREAS, that ordinance imposed certain conditions and required that those conditions be met within one year from the date that the ordinance was adopted; and WHEREAS, by Resolution 4 of 2024 the City Council extended the period set forth in Section 4 of Ordinance 6 of 2023 until February 21, 2025; and WHEREAS, the applicant is progressing towards meeting the requirements to enter in to the development agreement as required by the ordinance; and WHEREAS, an extension of the deadline is necessary in order to satisfy the requirements of Ordinance 6 of 2023 so that the development agreement can be executed, specifically, completing certain construction work to make four dwelling units at the property comply with required permits and associated building codes; and WHEREAS, the City Council finds that there is good cause to extend the deadline in the ordinance for a period of six months; NOW, THEREFORE, be it resolved by the City Council of Salt Lake City, Utah: SECTION 1. The deadline set forth in Section 4 of Ordinance 6 of 2023 shall be and hereby is extended from February 21, 2025 to August 21, 2025 for the property owner to comply with the condition set forth in Section 2 of Ordinance 6 of 2023. 2 Passed by the City Council of Salt Lake City, Utah, this ______ day of ______________, 2025. ______________________________ CHAIRPERSON ATTEST AND COUNTERSIGN: ______________________________ CITY RECORDER (SEAL) 2nd resolution granting extension of Ordinance 6 of 2023v1 APPROVED AS TO FORM Salt Lake City Attorney’s Office Date:___________________________ By: ____________________________ Katherine D. Pasker, Senior City Attorney February 11, 2025 Item E3 CITY COUNCIL OF SALT LAKE CITY 451 SOUTH STATE STREET, ROOM 304 P.O. BOX 145476, SALT LAKE CITY, UTAH 84114-5476 SLCCOUNCIL.COM TEL 801-535-7600 FAX 801-535-7651 MOTION SHEET CITY COUNCIL of SALT LAKE CITY TO:City Council Members FROM: Nick Tarbet Policy Analyst DATE:February 18, 2025 RE: Ordinance: Enacting a Temporary Land Use Regulation - Public School Development Standards MOTION 1 (adopt) I move that the Council adopt the ordinance. MOTION 2 (reject) I move that the Council reject the ordinance. SALT LAKE CITY ORDINANCE No. ____ of 2025 (An Ordinance Enacting a Temporary Land Use Regulation Pertaining to K-12 Public School Development Standards in the PL District) WHEREAS, Section 10-9a-504 of the Utah Code permits a municipality, without prior consideration or recommendation from the municipality’s planning commission, to enact an ordinance establishing temporary land use regulations for any part of a municipality if the legislative body makes a finding of a compelling, countervailing public interest; and WHEREAS, the voters of Salt Lake City approved a $730,000,000.00 general obligation bond on November 6, 2024 to rebuild two high schools, construct an athletic field house, and to make substantial sustainability upgrades at schools and facilities throughout the school district; and WHEREAS, the general obligation bond is secured by property taxes within the city; WHEREAS, the properties targeted for reconstruction or other capital improvements are subject to the City’s zoning and land use regulations; and WHEREAS, the City is committed to ensuring that all public schools are constructed for the purpose of providing a safe, functional, and excellent educational experience for all students and faculty; and WHEREAS, the current regulations of the PL zoning district are obstacles to the planned improvements; and WHEREAS, the design and construction documents must be completed by the end of August in order to maintain the construction schedule that was relayed to voters as part of the general obligation bond approval process; and WHEREAS, delays to the design and construction of the facilities will result in 2 estimated cost increases of 5% annually; and WHEREAS, during the 180 days that this temporary land use regulation is in effect the City intends to initiate formal petitions to amend the Salt Lake City Code to adopt the same or substantially similar zoning regulations through the processes required by Utah Code and Salt Lake City Code; and WHEREAS, the Salt Lake City Council desires to support the Salt Lake City School District and the voters of Salt Lake City who approved the general obligation bond by adopting this temporary land use regulation to avoid delays created by the existing zoning regulations so the design and production of construction documents to construct two new high schools in the City can proceed; and WHEREAS, the Salt Lake City Council finds that amending the development standards for K-12 public schools in the PL districts to facilitate the timely construction of schools funded by voter approved bonding constitutes a compelling, countervailing public interest which justifies a temporary land use regulation; and WHEREAS, the Salt Lake City Council intends for this temporary land use regulation to be effective only until 180 days after the effective date of this ordinance; and NOW, THEREFORE, be it ordained by the City Council of Salt Lake City, Utah: SECTION 1. Finding of Compelling Countervailing Public Interest. Pursuant to Section 10-9a-504 of the Utah Code, the Salt Lake City Council finds that enacting the development standards set forth in Section 3 in order to facilitate the timely construction of two public high schools and related improvements pursuant to voter approved general obligation bonds constitutes a compelling, countervailing public interest sufficient to justify this temporary land use regulation. The City Council also finds that such interest is met by expediting the design and 3 construction of the facilities in order to (1) reduce the overall cost of the general obligation by avoiding unnecessary delays in the overall timeline, (2) reduce the overall cost of the general obligation by reducing the project’s exposure to a volatile market for building materials, and (3) achieve the security upgrades for students and faculty embodied in the new schools. SECTION 2. Applicability. This temporary land use regulation shall apply only to the K- 12 Public School land use defined by Salt Lake City Code Title 21A in the Public Lands (PL) zoning district. SECTION 3. Development Standards. K-12 Public Schools located in the PL zoning district shall be subject to the following regulations: A. Maximum Building Height: 125 feet B. Setbacks (minimums): a. Setbacks and internal property lines: When a site for a public school includes multiple parcels or lots, setbacks shall apply to the perimeter of the site and to property lines shared between the school and a different property owner. b. Front and corner side yard: 30 feet c. Interior Side Yard: i. Buildings next to a residential or manufacturing zoning district: 50 feet ii. Buildings next to any other zoning district: 30 feet d. Rear Yard: i. Buildings next to a residential or manufacturing zoning district: 50 feet ii. Buildings next to any other zoning district: 30 feet C. Allowed obstructions in required yards: a. All yards: i. Parking stalls, vehicle drive aisles, and circulation elements necessary for the safe and efficient movement of people, bicycles, and vehicles. Curb cut locations, width, spacing and total number of curb cuts shall be determined by the Transportation Director on streets with city jurisdiction and the Utah Department of Transportation on streets under state jurisdiction. ii. Playground equipment and structures are allowed in any required yard. iii. Athletic fields and courts, including necessary accessory buildings to support the athletic facility. Bleachers over 20 feet in height shall be setback a minimum of 50 feet from a property line that is shared with a residential land use. 4 b. Any other obstruction allowed in 21A.36.020 Conformance with Lot and Bulk Controls. D. Effect of overlay zoning districts found in chapter 21A.34: K-12 public schools and their accessory uses are exempt from any provisions in Title 21A.34.020 Historic Preservation Overlay District. E. Approval Process: in accordance with applicable Utah Codes, the Planning Division shall review the site plans for K-12 public schools in the PL district. Such plans shall be approved if the plans and approved modifications comply with all applicable regulations in title 21A Zoning. F. Modifications for Health and Safety Purposes: The planning director may modify a regulation set forth in this ordinance or elsewhere in Title 21A Zoning if the modification does not negatively impact the health or safety of the general public or occupants of the school. SECTION 4. Duration. This temporary land use regulation shall remain in effect until 180 days after its effective date unless earlier amended, modified, or repealed. SECTION 5. Effective Date. This ordinance shall become effective on the date of its first publication. Passed by the City Council of Salt Lake City, Utah this _______ day of ______________, 2025. ______________________________ CHAIRPERSON ATTEST: ______________________________ CITY RECORDER Transmitted to Mayor on _______________________. Mayor’s Action: _______Approved. _______Vetoed. ______________________________ MAYOR 5 ______________________________ CITY RECORDER (SEAL) Bill No. ________ of 2025. Published: ______________. K-12 Public School in PL TLUR_v1 APPROVED AS TO FORM Salt Lake City Attorney’s Office Date: ________________________________ By: __________________________________ Katherine Pasker, Senior City Attorney February 11, 2025 Item E1 CITY COUNCIL OF SALT LAKE CITY 451 SOUTH STATE STREET, ROOM 304 P.O. BOX 145476, SALT LAKE CITY, UTAH 84114-5476 SLCCOUNCIL.COM TEL 801-535-7600 FAX 801-535-7651 MOTION SHEET CITY COUNCIL of SALT LAKE CITY TO:City Council Members FROM: Austin Kimmel Public Policy Analyst DATE:February 18, 2025 RE: ORDINANCE: ECONOMIC DEVELOPMENT LOAN FUND LOAN TO POLICY KINGS BREWERY, LLC, AT 79 WEST 900 SOUTH MOTION 1 – ADOPT ORDINANCE I move that the Council adopt the ordinance approving a $75,000 loan for Policy Kings Brewery, LLC from the Economic Development Loan Fund. MOTION 2 – NOT ADOPT I move that the Council not adopt the ordinance, and proceed to the next agenda item. CITY COUNCIL OF SALT LAKE CITY 451 SOUTH STATE STREET, ROOM 304 P.O. BOX 145476, SALT LAKE CITY, UTAH 84114-5476 SLCCOUNCIL.COM TEL 801-535-7600 FAX 801-535-7651 COUNCIL STAFF REPORT CITY COUNCIL of SALT LAKE CITY TO:City Council Members FROM: Austin Kimmel Public Policy Analyst DATE:February 18, 2025 RE: ORDINANCE: ECONOMIC DEVELOPMENT LOAN FUND LOAN TO POLICY KINGS BREWERY, LLC, AT 79 WEST 900 SOUTH ISSUE AT-A-GLANCE The Council will consider approving a loan from the City’s Economic Development Loan Fund (EDLF) to a business called Policy Kings Brewery, LLC, at 79 West 900 South, for an existing brewery relocating from Cedar City to Salt Lake City. The City’s Economic Development Loan Committee recommends the Council approve a $75,000 loan at an 8% interest rate over seven years. This loan is the second loan to Policy Kings and will assist in creating 15 new jobs in the next year and the retention of 15 existing jobs. Funds will also pay for building renovation, leasehold improvements, machinery and equipment, furniture and fixtures, working capital, and contingencies. The interest rate reflects the 8% prime rate at the time of the application (September 23, 2024) plus the standard EDLF four percentage points. The project qualified for a four-percentage-point reduction based on location within a priority area (State Street RDA Project Area), ownership by a socially and economically disadvantaged individual, low to moderate income, and sustainability (see section B below). Goal of the briefing: Review a proposed $75,000 loan from the Economic Development Loan Fund to Policy Kings Brewery, LLC, before taking action during the Feb. 18 formal meeting. POLICY QUESTIONS 1. The Council may wish to have a policy discussion with the Administration about interest rates charged by the City from this and other loan funds and whether it makes sense to reevaluate how interest rates are determined for lenders, especially since the City typically offers loans as a lender-of-last-resort. Item Schedule: Briefing: February 18, 2025 Public Hearing: N/A Potential Action: February 18, 2025 Page | 2 2. The Council may wish to ask the Administration whether the EDLF Committee considered any other unique information about this business that would help Council Members evaluate how this application compares to others. For example, are risk factors evaluated for each company, like outstanding loans, years in business, etc.? 3.What outreach does the Department do to ensure a diverse pool of businesses successfully applies to the EDLF? Are applications from diverse owners, particularly those whose businesses are located on the Westside, offered additional support through the application process? Does EDLF staff have ideas for improving access that would benefit from program changes or additional funding? 4. The Council may wish to request a more general update on EDLF use and processes. This could include the number of applications, review criteria used, loan program goals, etc. ADDITIONAL AND BACKGROUND INFORMATION Council Members will recall approving a $75,000 EDLF loan for this business on August 13, 2024. The business is now requesting a second loan primarily because the original location at 925 South Jefferson Street did not work out in the end, and the new location at 79 West 900 South requires a more expensive buildout. The Department of Economic Development and the City's Building Services visited the new location and expressed confidence in the additional costs necessary for code compliance. The business had a minor change in its ownership structure, resulting in only one of the two owners listed as the personal guarantor for the 2025 loan. In contrast, both owners were listed as personal guarantors for the 2024 loan. According to Economic Development guidelines, owners with a 20% or higher stake must be listed as guarantors; however, one owner's current stake is only 14%. A.Interest Rates. For context, the nationwide median rates for urban small business commercial and industrial loans in the second quarter of 2024 (the most recent data available) were 7.77% for fixed-rate loans and 8.88% for variable rate loans, according to the most recent U.S. Federal Reserve Small Business Lending Survey*. In the second quarter of 2022, these rates were 4.50% and 5.55% respectively. Interest rates for EDLF loans consider an assessment of the risk level of different applicants, among other factors, and include potential interest rate reductions. Interest rates have ranged from 7.25% for nearly all 2022 EDLF loans to an average of 9.55% in 2023 and 2024. *Source: Small Business Lending Survey, New Small Business Lending Declines as Credit Standards Continue to Tighten. Consulted on January 27, 2025, at https://www.kansascityfed.org/surveys/small-business-lending-survey/new-small-business-lending- declines-as-credit-standards-continue-to-tighten/. B.Interest Rate Reductions. The bases for potential reductions are as follows: 1.Location within a priority area: RDA Project Area; Opportunity Zone; West of I-15; or Neighborhood Business Improvement Program (NBIP, previously known as Façade Improvement) target area. 2.Socially and Economically Disadvantaged Individuals (SEDI)-Owned Businesses: 51% of the business is owned by at least one SEDI individual. 3.Low Income Business Owner: Income does not exceed 80% of Salt Lake County average median income (AMI) as defined by the U.S. Department of Housing and Urban Development (HUD). 4.Sustainability: Either, a. Membership in SLC Green’s E2 Business Program; or Page | 3 b. Loan proceeds will be used for the purchase of electric vehicles, electric vehicle charging stations and infrastructure, renewable energy including but not limited to wind and solar, heat pumps, high efficiency equipment, and/or energy efficiency. Page | 4 The interest rate reductions applied to this application are detailed below: Policy Kings Brewery, LLC 8.0% prime rate + 4% ELDF charge – 1% for location within a priority area – 1% for owned by a socially and economically disadvantaged individual – 1% for low to moderate income – 1% for sustainability ___________________________ 8.0% final interest rate C.Program. The EDLF is administered by the Department of Economic Development, which is charged with maintaining the corpus of the EDLF in a manner sufficient to perpetuate the program's goals. Each loan application is pre-screened, and an underwriting analysis and economic impact statement are completed before an application may be recommended for Loan Committee (see below) review. Information on successful applications is transmitted to the Council to consider for final approval. D.Available balance and amount of outstanding loans. The Department reported that the Fund’s available balance was approximately $8,300,000 on January 21, 2025, and outstanding loans totaled $4,758,116.35 on January 29, 2025. E.EDLF Committee Membership. The Department of Economic Development lists nine members of the EDLF Committee as follows: City Employees Community Volunteers 1. Finance Director, Community and Neighborhoods Department 2. Salt Lake City Business Advisory Board (BAB) member 3. Representative of the Mayor’s Office 4. Banker 5. Salt Lake City employee at large 6. Community lender 7. Representative of the Division of Housing Stability 8. Business mentor 9. Director, Department of Economic Development 10. SALT LAKE CITY TRANSMITTAL To: Salt Lake City Council Chair Submission Date: 01/29/2025 Date Sent to Council: 01/31/2025 From: Department * Economic Development Employee Name: Wright, William E-mail william.wright@slc.gov Department Director Signature Director Signed Date 01/30/2025 Chief Administrator Officer's Signature Chief Administrator Officer's Signed Date 01/31/2025 Subject: Economic Development Revolving Loan Fund (EDLF) – Policy Kings Brewery, LLC Additional Staff Contact: Roberta Reichgelt, Business Development Director, Roberta.Reichgelt@slc.gov Presenters/Staff Table Roberta Reichgelt, Business Development Director, Roberta.Reichgelt@slc.gov Will Wright, Project Manager, William.Wright@slc.gov Document Type Ordinance Budget Impact? Yes No Budget Impact: $75,000 from the Economic Development Loan Fund Recommendation: The EDLF Loan Committee recommends approval of $75,000 loan to Policy Kings Brewery, LLC. Background/Discussion See first attachment for Background/Discussion Will there need to be a public hearing for this item?* Yes No Public Process This page has intentionally been left blank DEPARTMENT of ECONOMIC DEVELOPMENT ERIN MENDENHALL MAYOR LORENA RIFFO-JENSON DIRECTOR CITY COUNCIL TRANSMITTAL ________________________________ Date Received: __________________________ Jill Love, Chief Administrative Officer Date sent to Council: _____________________ _____________________________________________________________________________________ TO: Salt Lake City Council DATE: January 28, 2025 Chris Wharton, Chair FROM: Lorena Riffo-Jenson, Director, Department of Economic Development SUBJECT: Economic Development Revolving Loan Fund (EDLF) – Policy Kings Brewery, LLC STAFF CONTACTS: Roberta Reichgelt, Business Development Director, Roberta.Reichgelt@slc.gov Will Wright, Project Manager, William.Wright@slc.gov DOCUMENT TYPE: Ordinance RECOMMENDATION: The EDLF Loan Committee recommends approval of $75,000 loan to Policy Kings Brewery, LLC. BUDGET IMPACT: $75,000 from the Economic Development Loan Fund BACKGROUND/DISCUSSION: On January 16, 2025, a loan request from Policy Kings Brewery LLC was presented to the EDLF Loan Committee for review and discussion. Policy Kings is Utah’s first black owned brewery relocating from Cedar City to Salt Lake City and is known for its craft beer, arts, music, and good community vibe. Basic Loan request Business Name: Policy Kings Brewery LLC Address: 79 West 900 South, Salt Lake City, Utah 84101 Loan Amount Requested: $75,000 Loan Term: 7 years Interest Rate: 8.0% Use of Funds: Building Renovation, Leasehold Improvements, Machinery and Equipment, Furniture and Fixtures, Working Capital, and Contingencies Loan Type: (Start-up/expansion) Expansion Council District: D5 Reasoning behind staff recommendation Applicants of The Economic Development Loan Fund (EDLF) go through a thorough application process consisting of pre-screening, underwriting analysis and an economic impact statement. Only after the loan applicant goes through these processes, then the loan is recommended to be reviewed by the Loan Committee members. Upon the thorough review of the Loan Committee members then a recommendation is made before the loan is transmitted to the Mayor for Council to receive the recommendation for final approval. Because the Loan Committee review process must adhere to the Open Meetings Act, DED’s staff has worked closely with the City Attorney’s Office to ensure that applicants’ information is protected and at the same time the public process is followed. In addition, the EDLF loans must meet the goals of the Economic Development Loan Fund as stated in the EDLF program guidelines. This loan meets the EDLF program guidelines in the following areas. •Increase employment opportunities, •Stimulate business development and expansion, •Encourage private investment, •Promote economic development, •Enhance neighborhood vitality, •Boost commercial enterprise. This loan will assist in the creation of 15 new jobs in the next year and retention of 15 current jobs. This loan was recommended by the EDLF Committee to the City Council for approval. EDLF Loan Balances •As of January 21, 2025, the EDLF available fund balance is approximately $8,300,000 •As of January 29, 2025, the total amount of outstanding loans is: $4,758,116.35 EDLF Loan Committee There is a total of nine (9) EDLF Committee members. City Employees: 1. Community and Neighborhood’s Finance 2.Mayor’s Office 3.Employee at large 4. Housing Stability 5. Economic Development Community Volunteers: 6. Business Advisory Board (BAB) member 7. Banker 8.Community lender 9.Business mentor Attachments: •EDLF Terms Sheet for Policy Kings Brewery LLC •Ordinance This page has intentionally been left blank LOAN TERM SHEET Applicant: Policy Kings Brewery, LLC Address: 79 West 900 South Salt Lake City, Utah 84111 Proposed Loan Terms Loan Amount: $75,000 Monthly Payment: $1,168.97 Loan Terms: 7 Years Interest Rate Calculation Prime Interest Rate: 8.0% (at the time of application fee and initiation of Part B of the application on September 23, 2024) Plus EDLF Charge: 4% Less Discount: 1% for each • Priority Area (State Street RDA Project Area) • Socially and Economically Disadvantaged Individual (SEDI) • Sustainability (e2 Business Program) • Low to Moderate Income Business Owner (LMI) Final Interest Rate: 8.0% Use of Funds: Building Renovation, Leasehold Improvements, Machinery & Equipment, Furniture and Fixtures, Working Capital, and Contingencies Loan Type: Expansion Collateral: Equipment and Inventory Personal Guarantees: Deandre Ridgel Conditions for Closing • Obtain all City approvals, execute all loan documents as deemed necessary by City legal counsel and DED staff, such other terms as recommended by City legal counsel and DED staff. This page has intentionally been left blank SALT LAKE CITY ORDINANCE No. _____ of 2025 (Ordinance approving a $75,000 loan for Policy Kings Brewery, LLC, a local business located at 79 W 900 S, Salt Lake City, Utah 84101from the Economic Development Loan Fund) WHEREAS, Salt Lake City Corporation’s (“City”) Economic Development Loan Fund (“EDLF”) is a program to stimulate local business development, encourage private investment, enhance neighborhood vitality, and boost commercial enterprise in Salt Lake City. WHEREAS, the EDLF is administered by the Department of Economic Development (“DED”) and loan applications are first prescreened by DED staff, and then reviewed by the EDLF Loan Committee. WHEREAS, the EDLF Loan Committee and DED staff recommend the approval of the attached loan term sheet for a$75,000 loan for Policy Kings Brewery, LLC, a local business located at 79 W 900 S, Salt Lake City, Utah 84101 NOW, THEREFORE, be it ordained by the City Council of Salt Lake City, Utah, that: SECTION 1. Loan Approval. The City Council approves the loan outlined in the Term Sheet attached hereto, subject to revisions that do not materially affect the rights and obligations of the City hereunder. The City Council authorizes the Mayor to negotiate and execute the loan agreement and any other relevant documents consistent with the Term Sheet, and incorporating such other terms and agreements as recommended by the City Attorney’s office. SECTION 2. Effective Date. This ordinance shall become effective on the date of its first publication. Passed by the City Council of Salt Lake City, Utah, this ______ day of _____________________, 2025. Chris Wharton, Council Chair ATTEST AND COUNTERSIGN: ______________________________ CITY RECORDER Transmitted to Mayor on _______________________. Mayor's Action: _______Approved. _______Vetoed. ______________________________ MAYOR ______________________________ CITY RECORDER (SEAL) Bill No. ________ of 2024. Published: ______________. APPROVED AS TO FORM Salt Lake City Attorney’s Office Date: Sara Montoya, City Attorney January 27, 2025 This page has intentionally been left blank SALT LAKE CITY TRANSMITTAL To: Salt Lake City Council Chair Submission Date: 02/11/2025 Date Sent to Council: 02/11/2025 From: Department * Finance Employee Name: Najarro, Andrea E-mail andrea.najarro@slc.gov Department Director Signature Director Signed Date 02/11/2025 Chief Administrator Officer's Signature Chief Administrator Officer's Signed Date 02/11/2025 Subject: Salt Lake City ACFR 06.30.2024 Final Additional Staff Contact: Mary Beth Thompson - marybeth.thompson@slc.govRuss Sundquist - russell.sundquist@slc.gov Presenters/Staff Table Mary Beth Thompson - marybeth.thompson@slc.govRuss Sundquist - russell.sundquist@slc.gov Document Type Information Item Budget Impact? Yes No Recommendation: The Council will receive a briefing from the Administration and the external auditors, Eide Bailly. Background/Discussion Please see the attachments. Will there need to be a public hearing for this item?* Yes No Public Process N/A This page has intentionally been left blank SALT LAKE CITY CORPORATION SALT LAKE CITY, UTAH ANNUAL COMPREHENSIVE FINANCIAL REPORT FOR THE YEAR ENDED JUNE 30, 2024 With INDEPENDENT AUDITOR’S REPORT Prepared by Department of Finance Mary Beth Thompson, Chief Financial Officer i INTRODUCTORY SECTION: Title Page .......................................................................................................................................................................................i Table of Contents ...........................................................................................................................................................................ii Transmittal Letter ..........................................................................................................................................................................v Organizational Structure ................................................................................................................................................................xiii Certificate of Achievement ............................................................................................................................................................xiv FINANCIAL SECTION: Independent Auditor’s Report .............................................................................................................................................................2 Management’s Discussion and Analysis .............................................................................................................................................5 Basic Financial Statements Government-wide Financial Statements Statement of Net Position .......................................................................................................................................................18 Statement of Activities ............................................................................................................................................................20 Governmental Fund Financial Statements Balance Sheet ..........................................................................................................................................................................23 Reconciliation of the Governmental Funds Balance Sheet to the Statement of Net Position .................................................24 Statement of Revenues, Expenditures, and Changes in Fund Balances .................................................................................25 Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances to the Statement of Activities ........................................................................................................................................................................26 Proprietary Fund Financial Statements Statement of Net Position .......................................................................................................................................................28 Reconciliation of Proprietary Fund Statement of Net Position to the Primary Government Business-type Statement of Net Position ....................................................................................................................................................................32 Statement of Revenues, Expenses, and Changes in Fund Net Position ..................................................................................34 Reconciliation of Proprietary Fund changes in Net Position to the Primary Government Business-type Changes in Net Position ...........................................................................................................................................................................36 Statement of Cash Flows .........................................................................................................................................................38 Fiduciary Fund Financial Statements Statement of Fiduciary Net Position .......................................................................................................................................43 Statement of Changes in Fiduciary Net Position ....................................................................................................................44 Notes to the Financial Statements .................................................................................................................................................. Note 1. Summary of Significant Accounting Policies .................................................................................................46 Note 2. Cash, Cash Equivalents and Investments ........................................................................................................57 Note 3. Loans Receivable ............................................................................................................................................62 Note 4. Restricted Assets .............................................................................................................................................62 Note 5. Capital Assets ..................................................................................................................................................63 Note 6. Long-term Obligations ....................................................................................................................................68 Note 7. Leases ..............................................................................................................................................................80 Note 8. Subscription Assets .........................................................................................................................................91 Note 9. Subscription Liabilities ...................................................................................................................................92 Note 10. Fund Equity .....................................................................................................................................................95 Note 11. General Fund Interfund Service Charges ........................................................................................................96 Note 12. Transfers ..........................................................................................................................................................97 Note 13. Risk Management ............................................................................................................................................97 Note 14. Pension Plans ...................................................................................................................................................99 Note 15. Deferred Compensation Plans .........................................................................................................................115 Note 16. Other Post-employment Benefits ....................................................................................................................116 TABLE OF CONTENTS Pages ii Note 17. Commitments and Contingencies ....................................................................................................................118 Note 18. Related Party Transactions ..............................................................................................................................124 Note 19. Joint Venture ...................................................................................................................................................125 Note 20. Recent Accounting Pronouncements ..............................................................................................................126 Note 21. Subsequent Events ...........................................................................................................................................127 Required Supplementary Information Budgetary Comparison Schedule – General Fund .........................................................................................................................130 Schedule of the Proportionate Share of the Net Pension Liability ................................................................................................131 Schedule of Contributions - Last Ten Fiscal Years .......................................................................................................................134 Schedule of Changes in Net Pension Liability - Last Ten Fiscal Years ........................................................................................138 Schedule of Changes in Total OPEB Liability - Library - Last Ten Fiscal Years ........................................................................140 Notes to Required Supplementary Information Budgetary - GAAP Reporting Reconciliation ...............................................................................................................................142 Post Employment Benefits other than Pensions ............................................................................................................................143 Pension Changes in Assumptions ..................................................................................................................................................143 Supplementary Information – Combining Statements and Individual Fund Statements and Schedules Governmental Funds Nonmajor Governmental Funds Combining Balance Sheet .................................................................................................................................................148 Combining Statement of Revenues, Expenditures and Changes in Fund Balance ...........................................................149 Combining Balance Sheet – Nonmajor Special Revenue Funds ......................................................................................150 Combining Statement of Revenues, Expenditures and Changes in Fund Balance – Nonmajor Special Revenue Funds .152 Budgetary Comparison Schedules Arts Council .................................................................................................................................................................154 Downtown Economic Development ...........................................................................................................................155 Community Development Operating Fund ..................................................................................................................156 Grants Operating Fund ................................................................................................................................................157 Street Lighting ............................................................................................................................................................158 Demolition, Weed and Forfeiture ................................................................................................................................159 Emergency 911 Dispatch .............................................................................................................................................160 Salt Lake City Donation Fund .....................................................................................................................................161 Salt Lake City Transportation Fund .............................................................................................................................162 DEA Metro Narcotic Task Force .................................................................................................................................163 Combining Balance Sheet – Nonmajor Debt Service Funds .............................................................................................164 Combining Statement of Revenues, Expenditures and Changes in Fund Balance ...........................................................165 Budgetary Comparison Schedules Special Improvement Fund ........................................................................................166 Major Governmental Funds Budgetary Comparison Schedules Capital Projects Fund ...................................................................................................................................................168 Other Improvement Fund .............................................................................................................................................169 Enterprise Funds Nonmajor Proprietary Funds Combining Statement of Net Position .........................................................................................................................172 Combining Statement of Revenues, Expenses and Changes in Fund Net Position .....................................................176 Combining Statement of Cash Flows ..........................................................................................................................178 Budgetary Comparison Schedules Street Lighting .......................................................................................................................................................180 Refuse Collection Fund ........................................................................................................................................181 TABLE OF CONTENTS Pages iii Housing and Loan Fund .......................................................................................................................................182 Golf Fund ..............................................................................................................................................................183 Major Proprietary Funds Budgetary Comparison Schedules Supplementary Information – Combining Statements and Individual Fund Statements And Schedules (continued) Department of Airports .........................................................................................................................................185 Water Utility Fund ................................................................................................................................................186 Sewer Utility Fund ................................................................................................................................................187 Stormwater Utility Fund .......................................................................................................................................188 Redevelopment Agency Fund ..............................................................................................................................189 Internal Service Funds Combining Statement of Net Position .........................................................................................................................192 Combining Statement of Revenues, Expenses and Changes in Fund Net Position .....................................................194 Combining Statement of Cash Flows ..........................................................................................................................196 Budgetary Comparison Schedules Fleet Management Fund ........................................................................................................................................198 Information Management Services Fund ..............................................................................................................199 Risk Management Fund ........................................................................................................................................200 Governmental Immunity Fund ..............................................................................................................................201 Local Building Authority Fund .............................................................................................................................202 STATISTICAL SECTION: (unaudited) Net Position by component – Last Ten Fiscal Years ....................................................................................................................205 Change in Net Position – Last Ten Fiscal Years ..........................................................................................................................206 Fund Balance of Governmental Funds – Last Ten Fiscal Years ...................................................................................................208 Changes in Fund Balances of Governmental Funds – Last Ten Fiscal Years ..............................................................................210 Governmental Activities Tax Revenues by Source – Last Ten Fiscal Years ................................................................................212 Business Type Activities Revenues by Source - Last Ten Fiscal Years .......................................................................................213 Assessed and Estimated Actual Value of Taxable Property – Last Ten Fiscal Years ...................................................................214 Direct and Overlapping Property Tax Rates - Last Ten Fiscal Years ...........................................................................................215 Principal Property Tax Payers - Current Year and Ten Years Ago ...............................................................................................216 Property Tax Levies and Collections – Last Ten Fiscal Years ......................................................................................................217 Ratios of Outstanding Debt by Type - Last Ten Fiscal Years .......................................................................................................218 Ratios of General Bonded Debt Outstanding – Last Ten Fiscal Years .........................................................................................219 Computation of Direct and Overlapping Bonded Debt ................................................................................................................220 Legal Debt Margin Information – Last Ten Fiscal Years ..............................................................................................................221 Pledged-Revenue Coverage – Last Ten Fiscal Years ....................................................................................................................222 Demographic and Economic Statistics - Last Ten Fiscal Years ....................................................................................................223 Full-time Equivalent City Government by Functions – Last Ten Fiscal Years .............................................................................224 Principal Employers - Current Year and Ten Years Ago ..............................................................................................................225 Operating Indicators by Function - Last Ten Fiscal Years ............................................................................................................226 Capital Asset Statistics by Function - Last Ten Fiscal Years ........................................................................................................227 TABLE OF CONTENTS Pages iv DEPARTMENT OF FINANCE February 10, 2025 The Honorable Mayor and Members of the City Council Salt Lake City Corporation Overview The Annual Comprehensive Financial Report of Salt Lake City Corporation (“the City”) for the fiscal year ended June 30, 2024, is submitted herewith. These financial statements have been prepared by the Salt Lake City Department of Finance in accordance with Generally Accepted Accounting Principles (GAAP) for local governments as prescribed by the Governmental Accounting Standards Board (GASB). The accuracy of the presented data and the completeness and fairness of the presentations, including all disclosures, are the responsibility of the management of the City. We believe the data, as presented, is accurate in all material respects and is presented in a manner that fairly sets forth the following aspects of the City: (1) the financial position of the governmental activities; (2) the business- type activities; (3) the discretely presented component units; (4) each major fund; (5) the aggregate remaining fund information; (6) the respective changes in financial position and (7) applicable cash flows. In order to provide a reasonable basis for making these representations, the management of Salt Lake City has established a comprehensive internal control framework that is designed both to protect the government’s assets from loss, theft, or misuse and to compile sufficient reliable information for the preparation of the Salt Lake City Corporation’s financial statements in conformity with GAAP. Because the cost of internal controls should not outweigh their benefits, Salt Lake City Corporation’s comprehensive framework of internal controls has been designed to provide reasonable, rather than absolute assurance that the financial statements will be free from material misstatement. As management, we assert that to the best of our knowledge and belief, this report is complete and reliable in all material respects. Eide Bailly, LLP an independent firm of Certified Public Accountants, has audited these basic financial statements and related notes. Their report is included herein. The goal of the independent audit is to provide reasonable assurance that the financial statements of Salt Lake City Corporation for the fiscal year ended June 30, 2024 are free of material misstatements. This independent audit involved examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used, and significant estimates made by management. Additionally, Eide Bailly, LLP audited the compliance requirements of the City’s federal grant programs for the year ended June 30, 2024 as part of the federally mandated “Single Audit” designed to meet the special needs of federal grantor agencies. That report is available under a separate cover. LOCATION: 451 SOUTH STATE STREET, ROOM 248, SALT LAKE CITY, UTAH 84111-3102 MAILING ADDRESS: PO BOX 145452, SALT LAKE CITY, UTAH 84114-5452 TELEPHONE: 801-535-7676 FAX: 801-535-7682 v GAAP requires that management provide a narrative introduction, overview, and analysis to accompany the basic financial statements in the form of Management’s Discussion and Analysis (MD&A). This letter of transmittal is designed to complement the MD&A and should be read in conjunction with it. The City’s MD&A can be found immediately following the report of the independent auditors. PROFILE OF SALT LAKE CITY Salt Lake City lies between the Wasatch Mountains and the Great Salt Lake at an altitude of 4,200 feet. Permanent settlement of the City began on July 24, 1847, when Brigham Young with a party of 148 Mormon pioneers entered the Salt Lake Valley after a 1,500-mile trek westward. Salt Lake City was incorporated on January 6, 1851 and soon became a major center for trade and commerce with the wagon trains carrying settlers and miners westward. Within a few years of the pioneers' arrival, other communities were settled throughout the Salt Lake Valley. Due to continuous economic and population growth, most of these cities in the valley survived and prospered and have grown into a single large metropolitan area of over 1,250,000 people according to the most recent population estimates. Salt Lake City is the commercial center of this metropolis and the most populous municipality in the state with a population over 212,000. Salt Lake City is also the center of the scenic intermountain west. Within a day's drive of the City, travelers can visit 70% of the officially designated national parks and monuments of America. The Wasatch Mountains, east of the City, are well known for their ski resorts, which are within a 45-minute drive from downtown Salt Lake City. During the 2023-24 ski season, Utah's resorts had their second strongest season ever with just over 6.7 million skier visits. Most of these out-of-state skiers come to the nearby resorts each year. The scenic Wasatch Front provided an excellent backdrop as the City hosted the 2002 Winter Olympics. , and will again demonstrate its unparalleled hospitality, fantastic accommodations and access to incredible recreational opportunities when it hosts the 2034 Winter Olympics. The city was chosen to host the 2034 Olympic and Paralympic Winter games at the 142nd International Olympic Committee (IOC) Session in Paris, France, on July 24, 2024. In addition to skiing, Salt Lake City also plays host to visitors who come to the area to enjoy a number of other outdoor recreational opportunities within a short drive from the City. Salt Lake City is the international headquarters of The Church of Jesus Christ of Latter-day Saints. At Temple Square in downtown Salt Lake City, over five million visitors see the famous Salt Lake Temple, Tabernacle, and visitor centers each year. The church is currently undertaking an extensive reconstruction of Temple Square and the surrounding areas. Completion is expected in 2026 at which time the church should be welcoming to the newly constructed and renovated buildings and grounds far in excess of the 5-plus million people who have visited the square on average in recent years. The Salt Palace Convention Center (located in downtown Salt Lake City) plays host to many different activities. This facility has a 45,000 square foot ballroom, over half a million square feet of exhibit space, and a total of 164,000 square feet of meeting space. This convention space provides its users with the most up-to-date technological capabilities available. It is wired with miles of wire and fiber optic cable for up-to-date computer and communications capabilities, including satellite uplink capability and a wireless network. The downtown area has close to 30 hotels where travelers and convention-goers can stay, with dozens more in close proximity to the City. A 26 story convention center hotel featuring over 700 rooms, and approximately 62,000 square feet of meeting space opened in October of 2022. Over the past year, private developers, as well as the city and state, have begun planning the downtown Salt Lake City revitalization project, which is a $900 million initiative to transform the area around the Delta Center into a sports, entertainment, culture and convention district with a goal to create a downtown that is inclusive, walkable, vi and thriving. The revitalization also seeks to attract more residents, jobs and businesses, preserve the city’s legacy while adding to it and generate revenue for the arts, communities and the city’s future. EDUCATIONAL OPPORTUNITIES Several universities and colleges are located in or near Salt Lake City. One of the strengths of the downtown economy is its young, highly educated workforce. The University of Utah is located on the east bench of Salt Lake City. This university was founded in 1850 and is the oldest mainland university west of the Missouri River. Over 33,000 full and part-time students are enrolled. The Utah Museum of Fine Arts and the Utah Museum of Natural History are located on the University of Utah campus. The University also includes a highly-ranked medical school and teaching hospital. Numerous additional institutions of higher education maintain campuses in the urban center, including Neumont University, Brigham Young University, Ensign College and Salt Lake Community College. Utah State University and Weber State University have campuses to the north and Brigham Young University and Utah Valley University are to the South. With educational opportunities so abundant, the Salt Lake area is plentiful with young, educated talent ready and able to join the workforce. CULTURE AND ENTERTAINMENT Salt Lake City is home to a thriving, vibrant, creative population supported by a larger community that values the arts in all forms. Salt Lake City has long placed significant value on the arts, starting one of the nation’s first publicly funded Arts Councils in 1899. Today, the Salt Lake City Arts Council puts on some of the city’s largest concerts and festivals, such as the Twilight Concerts and the Living Traditions Festival. These and other programs and partnerships help the City maintain a strong public art program making the arts accessible for everyone. Far from a sleepy perception that people might have of downtown SLC, evenings from Main Street and surrounding streets are hopping with bars and restaurants intermixed with performance venues, with some of the finest world-class entertainment and mixologists you’ll find anywhere. The Delta Center Arena, located three blocks directly west of Temple Square, is the home of the Utah Jazz of the National Basketball Association and The Utah Hockey Club of the National Hockey League. In addition to the aforementioned efforts at downtown revitalization, there have also been efforts by Salt Lake City based organizations to entice a Major League Baseball team to make the City its home. In early 2023, Gail Miller, wife of late Utah Jazz and Salt Lake Bees owner Larry H. Miller, formed a consortium, Big League Utah, in an effort to bring an MLB expansion team to Salt Lake City. The site for the stadium is located on the west side of Salt Lake City, a 100-acre parcel known as The Power District. The Utah Hockey Club, Salt Lake City’s professional ice hockey team, was created in April of 2024. The team began play in the 2024-25 season as an expansion team in the National Hockey League (NHL). The NHL Board of Governors granted an expansion franchise to Ryan Smith, the owner of the Utah Jazz. Smith acquired the hockey assets of the Arizona Coyotes, including players, coaching staff, and draft picks. The team played its inaugural season with a temporary name and colors. The team’s full identity, including name, colors, and jerseys, will be developed for the 2025-26 season. As the capital city of Utah, Salt Lake City provides an unparalleled quality of life. Residents and visitors enjoy an eclectic visual, musical and performing arts scene with hundreds of venues, galleries, museums and the popular state-of-the-art Broadway-style Eccles Theater, a 2,500-seat theater designed to suit traveling Broadway shows. vii Abravanel Hall, home of the Utah Symphony Orchestra, the Pioneer Memorial Theater, the Utah Civic Opera Company, Clark Planetarium and the Utah Heritage Foundation help round out the entertainment options available to area residents and visitors. Salt Lake City provides diverse and rich cultural and entertainment experiences that make living and working within the City more and more desirable. Additionally, family owned restaurants, friendly cafes, world-class microbreweries and craft cocktail establishments all help make Salt Lake City the foodie capital of the region. Over 90 lush parks and miles of protected open space and trails make Salt Lake City an urban outdoor paradise for hiking, biking and running, not to mention the city is surrounded by 10 world-class ski resorts within an hour's drive. SHOPPING AND OTHER ENTERTAINMENT The cultural aspects aren’t the only draw of the City’s downtown center. Salt Lake also hosts a number of high- quality stores for an enjoyable shopping experience. The City’s downtown has long been defined in part by its historically strong retail and restaurant economy. Downtown is home to two major shopping destinations, City Creek Center and the Gateway. City Creek Center maintains its role as the most popular shopping experience in downtown, accounting for a significant percentage of downtown’s sales in clothing and clothing accessories. Trolley Square, Brickyard Plaza and the 9th and 9th area of the City are other worthy inclusions in the list of the City's shopping destinations. Salt Lake City also has a well-developed system of municipal golf courses for the enjoyment of area residents. One of these golf courses in particular has been recognized for its excellence. Bonneville golf course was chosen by PGA professionals as one of six favorite classic golf courses (golf courses that have green fees less than $125 during peak season). COMMERCE, INDUSTRY, TRANSPORTATION AND FACTORS AFFECTING FINANCIAL CONDITION According to CBRE Location Intelligence, in 2020 there were over 2.5 million people – 27% of them in the 18- to-34 age demographic – live within 50 miles of downtown Salt Lake City, with a 9% projected growth rate over the next five years. Even during the pandemic it was apparent that housing construction was on the rise. The number of cranes above the city scape and the number of apartment complexes and new single family homes being built within the city and outlying areas proves this assessment to be correct. Salt Lake City is the population hub of Utah which, in the 2020 census, was listed as the fastest-growing state in the country. Since 2020, the state has grown from a population of 3,271,616 to an estimated 2024 population of 3,503,613 people. The estimated population of Salt Lake City in 2024 is 212,570, with tens of thousands more either visiting or working in the city each day. Although the downtown workforce numbers haven’t fully recovered from losses incurred during the Covid pandemic, the numbers continue to rise. Residential construction in the downtown area has seen unprecedented growth over the past decade, and the downtown residential population is expected to see an estimated 46% increase from a 2020 population of 14,469 to 21,197 anticipated in 2025. Further projections from Cushman Wakefield and the Kem C. Gardner Policy institute estimate the downtown population will be approximately 27,000 by 2030. This is nearly double the population recorded in 2020. Salt Lake City’s Downtown is bustling with construction activity as developers who capitalized on easy financing and high demand for housing continue to carry out their plans. Utah’s capital city is among the nationwide leaders viii in housing supply growth in relation to the amount of housing that existed in the Downtown area previously, and a 6-mile walkabout around the urban core shows why. Multiple high-rises are nearing completion and have already altered the city’s skyline. Mid-rises are going up in pockets throughout Downtown. Among these are the Astra Tower, a 41-story residential building that will hold the status of tallest in the city at 450 feet, and the Worthington Residences, a 31- story, 359 unit residential tower that opened in the city in 2024. Meetings, conventions and leisure tourism are also major drivers in the downtown economy with approximately $5.8 billion spent by travelers during 2023. Convention district attendance has increased dramatically since a low point during the pandemic. The number of rooms sold during 2023 were 1,911,995 compared to 778,373 in 2020. Salt Lake City is a major transportation crossroads in the intermountain west. Three major railroads, nine major airlines, two bus lines and many truck lines serve the area. The city is located at the convergence of four major highways and two interstate highway systems. The Salt Lake International Airport is a major intermountain air transportation hub and a principal hub and reservation center for Delta Air Lines. The Salt Lake International Airport has recently undergone a major terminal redevelopment program, substantially opened in 2020, with the final phases slated to be completed by 2024. This redevelopment effort is allowing the Airport to better cater to business as well as leisure travelers. The Utah Transit Authority operates an outstanding commuter bus, light rail, and heavy commuter rail system in Salt Lake City and throughout neighboring counties. The Frontrunner commuter rail system extends for nearly ninety miles from the Ogden area in the north to the Provo area in the south. Frontrunner provides an efficient and swift means of transportation all along the Wasatch Front with trains reaching 79 mph along their route. In recent years, over 1,000 new hotel rooms have been completed, are currently under construction or are planned, including a new convention center hotel located adjacent to the Salt Palace Convention Center. The City continues to receive accolades in the form of awards and recognition. The Milken Institute has ranked the City #4 on the list of Best-Performing Large Cities. As the economic hub of the State of Utah, the City deserves recognition when the state is ranked in areas such as #1 Best State for GDP Growth (Forbes), #1 Best State Economy (WalletHub), Best Economy (U.S. New & World Report) and Best Economic Outlook (Rich States Poor States). Other recent accolades include State Farm and BestPlaces’ rank of #1 on their list of Most Fiscally Fit Cities. The City was also ranked #1 on the Forbes list of Cities Poised to Become Tomorrow’s Tech Meccas. The City provides a full range of municipal services including police, fire, recreational activities including six municipal golf courses, libraries, water, sewer, storm water, airports, public improvements, highways and streets, planning and zoning, and general administrative services. The modern economy of Salt Lake City is rich in service-oriented businesses and continues to be recognized by economists and employers across the nation as the “Crossroads of the West” with major industries in government, trade, transportation, utilities, professional, business services and a growing alternative energy component. With Interstate 15 and Interstate 80 as major corridors for freight traffic, combined with numerous regional distribution centers, transportation is a significant portion of the employment base for the Salt Lake Valley. The Salt Lake City International Airport is also an important facet of this transportation corridor. As mentioned above, the burgeoning travel and transportation needs of the City and surrounding markets has necessitated the redevelopment of the Airport. The Airport Terminal Redevelopment Program has opened after many years of ix construction, with the new terminal being fully operational. The project, well in excess of $2 billion, has generated nearly 24,000 jobs and over $1 billion in wages over the duration of its construction. Salt Lake City’s growing business prowess is further demonstrated by the increasing number of tech startups and business incubators. The Google Fiber fiber optic network is well under way and 1 gigabit speeds are now being offered to residents and businesses in the downtown area of the city. In addition to being a prime location for industrial development, Salt Lake City has a unique location and effective transportation infrastructure to help it stand out as a hub for the global distribution industry. A surge in demand for freight volume has attracted companies such as FedEx, DHS and UPS to open distribution centers that provide hundreds of jobs for Salt Lake City residents. Salt Lake City also acts as a full-service 'customs port-city' to the 1,600 trucking companies that utilize Utah's transportation network. Salt Lake City International Airport is 2.5 hours from half the nation's population and offers direct flights to both Europe and Asia. The COVID-19 pandemic had a significant impact on the economy of the city as well as the state. The city has now recovered, and much of the City's business, retail and industry have returned to normalcy. Nonfarm employment is anticipated to reach pre-pandemic levels soon. In recent years it has been demonstrated how different Utah, and Salt Lake City, is from the rest of the U.S. economy right now. The Economic Coincident Indicator Index, which takes several measures – unemployment, job growth, compensation, and manufacturing hours worked, and groups them into one indicator, has shown that while the entire U.S. dropped by 5.2%, and every single state, except Utah, also showing a decrease, Utah is showed an increase of 5.9%. “We are on an island, a different place,” says Natalie Gochnour, Associate Dean of the University of Utah Eccles School of Business. EMPLOYMENT ACTIVITY Salt Lake City is the central city to more than 2 million inhabitants residing in four counties within an hour’s drive from downtown. The majority of Utah’s 3+ million residents live in the Wasatch Front urban corridor stretching from Ogden to Provo. The City’s daytime population increases greatly as a significant portion of the state’s total work force commutes to jobs located within the city limits. Over the thirteen plus years since the Great Recession, and prior to the COVID-19 pandemic, downtown Salt Lake City saw notable increases in office and restaurant employment at 17% and 7% respectively, and significantly the city saw an 83.3% increase in retail employment. Following national trends, Salt Lake City experienced declining employment during the recession, but has seen employment numbers rebound remarkably. Utah's unemployment rate is now estimated to be 3.5% , considerably lower than the national average unemployment rate. Salt Lake City's unemployment rate is approximately the same as the State of Utah. TAXABLE SALES ACTIVITY As overall economic growth is slowing, FY24 sales tax revenue saw a modest increase compared to the previous year. In contrast, the FY25 budget was raised by $9 million from the prior year. Of this increase, $7 million is attributed the realized revenue growth increase 1/2% Funding our Future sales tax revenue. SUMMARY OUTLOOK Salt Lake City endured the effects of the COVID-19 pandemic and the attendant national economic downturn. There remains hope on the horizon amid evidence that there will be continued and significant investment in the downtown core, continued improvements in job growth, and that the city will remain vibrant with a very optimistic outlook. x ECONOMIC AND FINANCIAL PLANNING As part of an overall strategic planning process, Salt Lake City developed several goals and objectives designed to keep the City on a firm financial footing. These goals and objectives include the following: Attract and retain small businesses by increasing the number of small business loans issued by at least five a year. Increase the number of businesses relocating to the City or expanding by at least 10 a year. Ensure that each Salt Lake City fund is financially secure by building and then maintaining a fund balance of at least 13% in the General Fund, by adding at least 1% of revenues per year to retained earnings in the Internal Service funds, by maintaining cash reserves of 25% of the operating expenses in the Airport Enterprise fund, and by maintaining cash reserves of 9-10% in the Utilities Enterprise funds. Maintain Aaa and AAA Moody’s and Fitch general obligation bond ratings by maintaining modest debt levels. For the City’s fiscal year 2024, total general fund revenue budget increased by 9.50%. The increase is primarily associated with anticipated sales tax revenues. INTERNAL CONTROL STRUCTURE The City utilizes a computerized financial accounting system, which includes a system of internal accounting controls. These controls are designed to provide reasonable assurance regarding: (1) the safeguarding of assets against loss from unauthorized use or disposition, and (2) the reliability of financial records for preparing financial statements and maintaining accountability for assets. The concept of reasonable assurance recognizes that: (1) the cost of a control should not exceed the benefits likely to be derived, and (2) the evaluation of costs and benefits requires estimates and judgments by management. The City adheres to the above framework for internal controls. We believe that the City's internal accounting controls adequately safeguard assets and provide reasonable assurance of proper recording of financial transactions. BUDGETARY CONTROL The City maintains budgetary controls. The objective of these budgetary controls is to ensure compliance with legal provisions embodied in the annual appropriated budget approved by the City Council. Activities of all funds used by the City are included in the annual appropriated budget. Project-length financial plans are adopted for the Capital Improvement Projects Fund. The level of budgetary control (that is, the level at which expenditures cannot legally exceed the appropriated amount) is established at the department level. For budgetary purposes, the City considers each enterprise fund to be a department. Management can move budgeted amounts from one line item to another within a department or decrease appropriations.The City also maintains an encumbrance accounting system as one technique of accomplishing budgetary control. Encumbered amounts lapse at year-end. However, encumbrances are generally re-appropriated as part of the following year's budget. The City Council can increase appropriations after holding a public hearing. During the year ended June 30, 2024, the City Council passed several supplementary appropriations. AWARDS AND ACKNOWLEDGMENTS The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to Salt Lake City Corporation for its Annual Comprehensive Financial Report for the fiscal year ended June 30, 2023. The City has now received this or an equivalent award for close to 30 years. In order to be awarded a Certificate of Achievement, the City must publish an easily readable and efficiently organized Annual Comprehensive Financial Report, the contents of which conform to program standards. Such reports must satisfy both Generally Accepted Accounting Principles and applicable legal requirements. xi A Certificate of Achievement is valid for a period of one year only. We believe our current report continues to conform to Certificate of Achievement Program requirements and we are submitting it to the GFOA to determine its eligibility for another certificate. The preparation of this report on a timely basis could not have been accomplished without the efficient and dedicated services of the staff of the Department of Finance. We appreciate Eide Bailly, LLP, Certified Public Accountants, for the assistance and guidance they have given us. We also thank the members of the City Council and the Mayor for their interest and support in planning and conducting the financial operations of the City in a responsible and progressive manner. Sincerely, Mary Beth Thompson Chief Financial Officer xii xiii xiv Financial Section 1 What inspires you, inspires us. | eidebailly.com 5 Triad Center, Ste. 600 | Salt Lake City, UT 84180-1106 | T 801.532.2200 | F 801.532.7944 | EOE 2 Independent Auditor’s Report To the Honorable Mayor and Members of the City Council Salt Lake City Corporation Report on the Audit of the Financial Statements Opinions We have audited the financial statements of the governmental activities, the business-type activities, the aggregate discretely presented component units, each major fund, and the aggregate remaining fund information of the Salt Lake City Corporation (the City), as of and for the year ended June 30, 2024, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements as listed in the table of contents. In our opinion, the accompanying financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business-type activities, the aggregate discretely presented component units, each major fund, and the aggregate remaining fund information of the Salt Lake City Corporation, as of June 30, 2024, and the respective changes in financial position, and, where applicable, cash flows thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America. Basis for Opinions We conducted our audit in accordance with auditing standards generally accepted in the United States of America (GAAS) and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States (Government Auditing Standards). Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the City and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the City’s ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter. 3 Auditor’s Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS and Government Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements. In performing an audit in accordance with GAAS and Government Auditing Standards, we: •Exercise professional judgment and maintain professional skepticism throughout the audit. •Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. •Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, no such opinion is expressed. •Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements. •Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the City’s ability to continue as a going concern for a reasonable period of time. We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control–related matters that we identified during the audit. Required Supplementary Information Accounting principles generally accepted in the United States of America require that the management’s discussion and analysis, budgetary comparison schedule – General Fund, Schedule of Proportionate Share of the Net Pension Liability, Schedule of Contribution – Last Ten Fiscal Years, Schedule of Changes in Net Pension Liability –Last Ten Fiscal Years and Schedule of Changes in Total OPEB Liability – Library – Last Ten Fiscal Years, as listed in the table of contents, be presented to supplement the basic financial statements. Such information is the responsibility of management and, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with GAAS, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. 4 Supplementary Information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City’s basic financial statements. The combining statements and individual funds statements and schedules, including the budgetary comparison schedules are presented for purposes of additional analysis and are not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with GAAS. In our opinion, the combining statements and individual funds statements and schedules, including the budgetary comparison schedules are fairly stated, in all material respects, in relation to the basic financial statements as a whole. Other Information Management is responsible for the other information included in the annual report. The other information comprises the introductory and statistical sections but does not include the basic financial statements and our auditor's report thereon. Our opinions on the basic financial statements do not cover the other information, and we do not express an opinion or any form of assurance thereon. In connection with our audit of the basic financial statements, our responsibility is to read the other information and consider whether a material inconsistency exists between the other information and the basic financial statements, or the other information otherwise appears to be materially misstated. If, based on the work performed, we conclude that an uncorrected material misstatement of the other information exists, we are required to describe it in our report. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated February 10, 2025 on our consideration of the City’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, grant agreements, and other matters. The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City’s internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control over financial reporting and compliance. Salt Lake City, Utah February 10, 2025 Salt Lake City Corporation's (the "City") management presents to the readers of its financial statements this narrative information. It contains an overview and analysis of the financial position and results of operations as of and for the year ended June 30, 2024. As management of the City, we encourage readers to consider information contained in this discussion along with the transmittal letter on page v. FINANCIAL HIGHLIGHTS The assets and deferred outflows of resources of the City exceeded its liabilities and deferred inflows of resources at the end of the current fiscal year by $4,037,237,500 (net position). Of this amount, $1,011,018,518 is unrestricted net position. Net position increased by $243,632,139. This included an increase in net position of $49,722,674 in the governmental activities and an increase of $193,909,466 in the business-type activities. The City's governmental funds reported a combined ending fund balance of $507,272,571, an increase of $3,110,363 compared to the prior years' ending amount. Of the combined total fund balance, $236,887,134 is available for spending at the discretion of the City (unassigned and assigned). The unassigned fund balance of the General Fund at June 30, 2024, which totaled $147,516,381, is 33 percent of the General Fund total revenues for the year and 62 percent of governmental assigned and unassigned fund balance. The General Fund has $3,188,435 of non-spendable fund balance. The City issued new bonded debt in fiscal year 2024. See Note 6. OVERVIEW OF THE FINANCIAL STATEMENTS This discussion and analysis serves as an introduction to the City's basic financial statements: (1) Government-wide financial statements, (2) Fund financial statements and (3) Notes to the financial statements. This report also contains information in addition to the basic financial statements that will help the reader to gain a more in-depth understanding of the City. Government-wide financial statements give readers a broad overview of the entire City's financial position and changes in financial position, similar to consolidated financial statements in a private sector business. These statements consist of the Statement of Net position and the Statement of Activities. The Statement of Net Position shows the City's entire assets, deferred outflows of resources, liabilities and deferred inflows of resources with the difference shown as net position. Increases or decreases over time in net position gives an indicator as to whether the financial condition of the City is improving or declining. The Statement of Activities shows the changes to net position that occurred during the most recent fiscal year. These changes are recorded on an accrual basis when the underlying event that causes the change occurs, regardless of when the cash transaction takes place. One example is the next debt 5 interest payment when the fiscal year ends in between interest payments. The Statement of Changes in Net Position shows an additional interest expense for the time period between the last interest payment and the end of the fiscal year. Both of the government-wide financial statements distinguish between activities that are largely supported by taxes and intergovernmental revenues (governmental activities) and those whose operations are entirely or largely financed by user charges and fees (business type-activities). The governmental activities for the City include general governmental (Council, Mayor, Attorney, Finance and Non-departmental); public safety (Police, Fire and Central Dispatch); streets and recreation (Public Services); and other development (Community & Neighborhoods and Economic Development). The business-type activities include water, sewer, stormwater, street lighting, airport, housing, refuse collection, golf and redevelopment. The government-wide financial statements include not only the City itself (the primary government), but also those of the legally separate Salt Lake City Library (Library), the Utah Performing Arts Center Agency (UPACA) and Gallivan. These three entities (component units) are financially accountable to the City and are presented separately from the primary government itself. Two other entities, the Redevelopment Agency of Salt Lake City (RDA) and the Local Building Authority (LBA) are also legally separate from the City, but for all practical purposes function as a part of the City and are therefore blended as an integral part of the primary government. The government-wide financial statements are found immediately following this discussion and analysis. FUND FINANCIAL STATEMENTS A fund is a set of closely related accounts that are used to maintain control over resources that have been segregated for specific activities or purposes. The City, like other state and local governments, uses fund accounting to demonstrate compliance with finance-related legal requirements. All of the City's funds can be categorized into one of three categories: governmental funds, proprietary funds and fiduciary funds. Governmental funds account for essentially the same activities as the governmental activities in the government-wide financial statements, but with a narrower focus. Governmental funds concentrate on near-term inflows and outflows of financial resources and the balances of spendable resources available to the government at the end of the fiscal year. This information can be useful in evaluating the government’s short term financing requirements. 6 Comparing similar information presented in the government-wide statements for the governmental activities with that presented in governmental funds statements can provide useful information because of the different focus of the two approaches. With the long-term focus of the government-wide statements, a reader may be able to better understand the long-term effects of the near term financing decisions. Both the governmental fund balance sheet and the governmental fund statement of revenues, expenditures and changes in fund balance show reconciliation between the governmental funds statements to the governmental activities in the government-wide statements to aid in the comparison. The City uses fourteen different individual governmental funds. Of this number, information is shown separately for the General, Capital Projects and Other Improvement Funds, all of which are deemed major funds. Information from the other eleven funds is presented in a single combined column. Individual presentations for these non-major funds are contained in combining information shown after the notes to the financial statements as listed in the table of contents. The City adopts an annual appropriated budget for all its governmental funds. Budgetary comparison schedules have been provided to demonstrate compliance with these budgets. Within the Proprietary funds are two types that the City utilizes; enterprise and internal service funds. Enterprise funds report the same functions as the business-type activities in the government-wide financial statements. The Enterprise funds maintained by the City are: the water, sewer, stormwater and street lighting utilities; the Salt Lake City International Airport (Airport); housing and business loans, refuse collection, golf, and the RDA. Internal service funds are used as an accounting device to accumulate and allocate costs among the City's various governmental and enterprise activities. The City uses internal service funds to account for its vehicle fleet, information technology, risk management and employee benefits, tort liability, and the LBA. Because all of these activities support primarily governmental rather than business-type activities, they have been included within the governmental activities column of the government-wide financial statements. Proprietary funds present the same information as in the government-wide statements, except in more detail. The fund statements for proprietary funds provide separate information for the Department of Airports, Water Utility, Sewer Utility, Stormwater Utility, and the Redevelopment Agency, all of which are considered to be major funds of the City. Individual presentations for the remaining enterprise funds are contained in the combining information elsewhere in this report. All internal service funds are shown in one single column in the proprietary fund financial statements. Individual fund information can be found in the combining information elsewhere in this report. The City also adopts annual appropriated budgets for all of its proprietary funds. As with the governmental funds, budgetary comparison statements are included to show compliance with these budgets. The basic proprietary fund financial statements can be found as listed in the table of contents. Fiduciary funds are used to account for resources held by the City for the benefit of entities outside of the government. Since these resources cannot be used to support the operations of the City, they are not shown in the government-wide financial statements. The accounting for fiduciary funds is similar to that of proprietary funds. The fiduciary fund financial statements can be found as listed in the table of contents. 7 Notes to the financial statements contain additional information important to a complete understanding of the information contained in the government-wide and fund financial statements. Notes to the financial statements are located after the statements for major funds as listed in the table of contents. GOVERNMENT-WIDE FINANCIAL ANALYSIS Salt Lake City Corporation's Net Position (in thousands) Governmental Activities Business-type Activities Total 2024 2023 2024 2023 2024 2023 Current and other assets $ 787,400 $ 766,273 $ 1,083,180 $ 735,841 $ 1,870,581 $ 1,502,113 Capital Assets 903,200 877,091 6,030,025 5,399,425 6,933,225 6,276,516 Non-current assets 43,730 33,205 701,501 897,978 745,232 931,183 Total assets 1,734,331 1,676,569 7,814,706 7,033,244 9,549,037 8,709,813 Deferred outflow of resources 74,589 59,839 23,038 19,670 97,628 79,509 Current and other liabilities 110,038 103,848 288,006 252,835 398,044 356,682 Long-term liabilities 445,770 435,068 4,429,461 3,836,814 4,875,231 4,271,881 Total liabilities 555,808 538,915 4,717,467 4,089,648 5,273,275 4,628,564 Deferred inflow of resources 133,493 127,596 202,659 239,557 336,152 367,153 Net position: Invested in capital assets, net 536,578 692,661 1,999,534 2,168,322 2,536,112 2,860,983 Restricted 253,288 194,727 236,819 375,410 490,107 570,136 Unrestricted 329,753 182,509 681,265 179,977 1,011,019 362,486 Total net position $ 1,119,619 $ 1,069,898 $ 2,917,618 $ 2,723,710 $ 4,037,238 $ 3,793,606 Net Position percentage - Current Fiscal Year Invested in capital assets, net 63% Restricted 12%Unrestricted 25% The largest component of the City’s net position is its investment in capital assets. 60 percent of total net position represents the City’s investment in land and land improvements, buildings, machinery and equipment, roads, streetlights, signals and bridges, less any related outstanding debt that was used to acquire these assets. The City uses these capital assets to provide services to citizens who live, work, pass through or benefit in other ways from the City. By their nature, these assets are not available for future spending. Further, even though these capital assets are reported net of any related debt, resources needed to repay the debt must come from other sources, as the assets themselves cannot be used to satisfy the related obligations. Of the remainder of net position, 13 percent, is assets that are subject to external restrictions on how they may be expended (debt reserve funds or unexpended debt proceeds). 8 Salt Lake City Corporation's Changes in Net Position (in thousands) Governmental Activities Business-type Activities Total 2024 2023 2024 2023 2024 2023 Revenues Program revenues Charges for Services $ 129,840 $ 104,788 $ 646,895 $ 567,371 $ 776,735 $ 672,159 Operating grants and contributions 13,928 64,853 — — 13,928 64,853 Capital grants and contributions 3,801 32,331 144,707 105,643 148,508 137,974 General revenues Property taxes 157,143 146,170 — — 157,143 146,170 Other taxes 200,970 201,166 — — 200,970 201,166 Investment Earnings 28,641 18,237 89,234 51,668 117,874 69,905 Total revenues 534,323 567,545 880,836 724,682 1,415,159 1,292,227 Expenses General Government 8,173 41,232 — — 8,173 41,232 Council 5,880 4,333 — — 5,880 4,333 Mayor 6,971 5,569 — — 6,971 5,569 City Attorney 12,092 9,747 — — 12,092 9,747 Finance 27,246 11,052 — — 27,246 11,052 Fire 52,037 41,287 — — 52,037 41,287 Combined Emergency Services 10,466 8,600 — — 10,466 8,600 Human Resources 4,402 3,850 — — 4,402 3,850 Justice Courts 5,395 4,050 — — 5,395 4,050 Police 120,022 94,882 — — 120,022 94,882 Economic Development 10,577 8,170 — — 10,577 8,170 Community and Neighborhoods 82,584 64,180 — — 82,584 64,180 Public Services 51,201 78,920 — — 51,201 78,920 Infrastructure depreciation 11,614 13,143 — — 11,614 13,143 Interest on long-term debt 11,255 10,752 — — 11,255 10,752 Department of Airports — — 492,514 437,993 492,514 437,993 Water — — 86,478 82,228 86,478 82,228 Sewer — — 52,802 48,158 52,802 48,158 Storm Water Utility — — 12,088 11,020 12,088 11,020 Street lighting Utility — — 4,883 5,055 4,883 5,055 Refuse Collection — — 18,534 15,871 18,534 15,871 Golf — — 11,701 10,165 11,701 10,165 Housing and Loan — — 720 807 720 807 Redevelopment Agency — — 32,585 34,513 32,585 34,513 Total expenses 459,221 399,767 712,306 645,811 1,132,220 1,045,577 Change in net position before transfers 75,102 167,778 168,530 78,871 243,633 246,650 Transfers (25,379) (29,009) 25,379 29,009 — — Change in net position 49,723 138,769 193,909 107,880 243,633 246,650 Net position, beginning 1,069,897 931,128 2,723,708 2,615,828 3,793,604 3,546,956 Net position, ending $ 1,119,619 $ 1,069,897 $ 2,917,618 $ 2,723,708 $ 4,037,236 $ 3,793,605 9 Governmental Activities net position increased by $49,722,674 for the year ended June 30, 2024, which is 20 percent of the total increase in net position for the City as a whole. Property and sales tax revenue continue to remain strong. Several Congressional Legislative responses (like the CARES Act) gave substantial support to the local economy. Expenses increased by $59,453,677. Most of this increase is due to increased personnel costs. The Capital Improvement fund also benefited from the sales tax increase with an increase in spending on roads and other transportation projects. Governmental Activities - Expenses and Program Revenues (in Millions) Expenses Program Revenues Fire Police Community Develop. Public Svs. All Others 0 10 20 30 40 50 60 70 80 90 100 110 120 130 Governmental Revenues by Source Charges for Services 24.3% Operating grants and contributions 2.6% Capital grants and contributions 0.7% Property taxes 29.4% Other taxes 37.6% Other 5.4% Business-type activities net position increased $193,909,466 or 80 percent of the total increase to net position. A healthy economy benefited all entities increasing revenue and expenditures. Airport, 10 Water and Sewer Utilities continue to invest heavily in capital assets. During FY 2021, the Airport completed and opened Phase I of the Terminal Redevelopment Program and North Concourse Program. This resulted in higher square footage for terminal rents and the debt service on the Airport’s revenue bonds being included in terminal rents. These factors caused the terminal rent rate to increase considerably. The Sewer Utility has planned major projects for the sewer collection system that will accommodate the current and planned development in the northwest area of the City. A new water reclamation facility is being constructed on the existing plant site that will cost in excess of $711 million and is anticipated to be in operation by 2027. Business-type Activities - Expense and Program Revenues (in Millions) Expenses Program Revenues Airport Water Sewer Storm Water Redevelopment All Others 0 50 100 150 200 250 300 350 400 450 500 550 Business Type Revenues by Source Charges for Services: 81.8% Capital grants and contributions: 18.2% 11 FINANCIAL ANALYSIS OF CITY FUNDS The City’s governmental funds provide information on the short-term resource inflows and outflows and account balances at the end of the fiscal year. The total fund balance is a measure of total available resources and the unassigned portion of this total fund balance is a measure of the available spendable resources at June 30, 2024. For the period ended June 30, 2024, the City’s governmental funds reported a combined fund balance amount of $507,272,571, an increase of $3,110,363 compared to the prior fiscal year. Of the total balance at year-end, $147,516,381 is Unassigned and $89,370,753 is Assigned. Most of the Assigned fund balance is assigned to roads, parks, other capital improvements, grant activities, encumbrances and debt service. The Committed fund balance is $8,222,371. The majority of the restricted funds of $258,924,886 are for capital projects. The Non-spendable funds of $3,238,180 are receivables and prepaid items. The General Fund is the main operating fund for the City. At June 30, 2024, the General Fund’s unassigned fund balance was $147,516,381 while total fund balance equaled $172,909,750. A useful measure of liquidity is to compare the unassigned fund balance and the total fund balance to expenditures (including transfers out) for the year. Unassigned fund balance was 39 percent of total expenditures and transfers while total fund balance equaled 46 percent. The fund balance for the City’s General Fund decreased by $29,665,991. Higher property values resulted in higher property taxes collect and an increase in economic activity resulted in higher sales tax in 2024, offset by higher personnel costs. There was also a rebound in licensing and permits as economic activity begins to normalize. . Charges for services revenue rebounded in the areas of field reservations and program fees in the wake of to the COVID-19 pandemic recovery. The Capital Projects Fund has a total fund balance of $293,367,676 at June 30, 2024, all of which is either restricted or assigned to unfinished projects. The largest restrictions are for road reconstruction and transportation projects. The City has received significant general obligation funding or roads several grants for transportation projects. A smaller portion is restricted for parks and trails. Council approved new funding for large maintenance projects. Increase revenue means is due to the funding of new projects through new grants, impact fees and bonding. The net increase in fund balance for the year amounted to $35,787,411. The Other Improvements Fund has a total fund balance of $15,771,679 at June 30, 2024, all of which is restricted. The Other Improvements Fund is a debt service fund established to provide for all debt payments. The fund balance increased $2,322,319 for the year. Additional information about debt can be found in Note 6. The City’s proprietary funds provide the same type of information found in the government-wide financial statements, but in more detail. Unrestricted net position of the City’s Major proprietary funds totaled $302,164,391 for the Department of Airports, $64,917,320 for the Water Fund, $8,141,948 for the Sewer Fund, $25,672,527 for Stormwater Fund and $225,378,691 for the 12 Redevelopment Agency Fund. Discussions about the finances of these five funds are addressed in the City’s business-type activities. GENERAL FUND BUDGETARY HIGHLIGHTS Differences between the original and final amended budgets amounted to a total increase in appropriations of $67,428,100. By department, the changes are: • $1,444,715 increase for City Council • $7,271,926 increase for Mayor • $43,505 increase for City Attorney • $389,442 increase for Finance • $423,095 increase for Fire • $476,450 increase for Human Resources • $630,954 increase for Combined Emergency Services • $6,538,504 increase for Police • $567,060 increase for Community & Neighborhoods • $441,256 increase in Economic Development • $8,476,853 increase in Justice Court • $3,774,323 increase for Public Services • $36,950,017 increase for Nondepartmental (including transfers out) Increases to all budgets included $7,870,332 for prior year encumbrances. The majority of the increase comes from an increase in salaries, pension and insurance of $18.1 million. The budget also includes the addition of 49 FTEs at an anticipated cost of approximately $4.6 million. Affordable housing was a focus of the administration which resulted in $4.6 million of new funding. CAPITAL ASSET AND DEBT ADMINISTRATION The City’s investment in capital assets for its governmental and business type activities had a combined totaled of $6,933,224,540, including $8,319,367 of lease assets and $15,785,699 of subscription assets (net of accumulated amortization) at June 30, 2024. Types of assets included in this category are land, land improvements, buildings, machinery and equipment, park and other recreation facilities, roads (including curb and gutter), street lights, traffic signals, parking facilities, water and waste water distribution and collection systems, airport runways and taxiways and bridges. The City’s investment in capital assets equals 63 percent of total net position. In comparing investment in capital assets to net position, the percentages for Governmental activities and Business-type activities were 48 percent and 69 percent, respectively. 13 Major capital asset activities that occurred during the past fiscal year for Governmental Activities include the following: The City added $34,123,614 for city roads and curbs and $498,675 in signals. Other new capitalization included various parks, other improvements and equipment totaling $14,084,117. The Airport added approximately $483,637,000 in work in process costs for the new terminals construction and the Utilities added $287,092,200 in water, storm and sewer infrastructure. Salt Lake City Corporation's Capital Assets Governmental Activities Business-Type Activities Total Government 2024 2023 2024 2023 2024 2023 Land and water rights $ 80,809,363 $ 215,563,778 $ 213,834,698 $ 210,788,512 $ 294,644,061 $ 426,352,290 Infrastructure 571,554,833 400,289,075 839,544,912 — 1,411,099,745 400,289,075 Buildings 424,290,668 424,290,668 2,811,621,635 2,441,237,231 3,235,912,303 2,865,527,899 Lease assets 8,319,367 8,319,367 — — 8,319,367 8,319,367 Improvements other than buildings 137,461,649 127,356,927 1,791,662,646 2,435,054,805 1,929,124,295 2,562,411,732 Machinery and equipment 149,691,119 135,204,730 537,888,664 458,945,782 687,579,783 594,150,512 Subscription asset 10,405,776 10,405,776 5,379,923 5,270,522 15,785,699 15,676,298 Construction in progress 23,435,580 23,387,560 1,582,711,719 1,419,822,172 1,606,147,299 1,443,209,732 Accumulated depreciation and amortization (508,043,971) (466,934,188) (1,752,619,524) (1,571,693,530) (2,260,663,495) (2,038,627,718) Net book value $ 897,924,384 $ 877,883,693 $ 6,030,024,673 $ 5,399,425,494 $ 6,927,949,057 $ 6,277,309,187 At June 30, 2024, the City’s bonded debt amounted to $4,210,235,000. The portion that is backed by the full faith and credit of the City amounted to $136,340,000. All other bonded debt is known as revenue bonds and is secured by specific revenue sources. General obligation debt of the City is limited by statute to 8 percent of the reasonable fair cash value of property. The debt limit for FY2024, which calculates to $5,395,521,220, is well in excess of the City’s outstanding general obligation debt. Additional information on the City’s capital assets and debt can be found in Notes 5 and 6, respectively. Salt Lake City Corporation's Outstanding Debt General Obligation and Revenue Bonds Governmental Activities Business-Type Activities Total 2024 2023 2024 2023 2024 2023 General obligation bonds $ 136,340,000 $ 123,320,000 $ — $ — $ 136,340,000 $ 123,320,000 Revenue bonds 171,885,000 180,630,000 3,902,010,000 3,341,875,000 4,073,895,000 3,522,505,000 Total $ 308,225,000 $ 303,950,000 $ 3,902,010,000 $ 3,341,875,000 $ 4,210,235,000 $ 3,645,825,000 14 Economic factors and next year’s budgets and rates As a result of COVID-19, revenues for fiscal year 2024 were estimated conservatively with projected decreases. Expenditures were adjusted accordingly. Sales tax has exceeded projections but smaller revenues such as event fees and parking have decreased, as expected. The City has received approximately $86 million in American Rescue Plan Act (ARPA) funding from the Department of Treasury. Approximately 99% of the total ARPA funds have been budgeted and spent as of June 30, 2024. The remainder has been spent as of December 2024. The City has received over $23 million for Emergency Rental Assistance (ERA) grants from the Department of Treasury over the past three years. Approximately 90% of the total ERA funds have been budgeted and spent as of June 30, 2024. The remainder is projected to be budgeted and spent in fiscal year 2025. Requests for information This financial report is designed to give its readers a general overview of the City’s finances. Questions regarding any information contained in this report or requests for additional financial information should be addressed to the Department of Finance, Chief Financial Officer, 451 South State Street, Room 245, P.O Box 145451, Salt Lake City, Utah 84114-5451. 15 This page intentionally left blank 16 Basic Financial Statements 17 SALT LAKE CITY CORPORATION STATEMENT OF NET POSITION June 30, 2024 Primary Government Component Units Governmental Activities Business-type Activities Total Library Utah Performing Arts Center Agency Gallivan ASSETS Current assets: Cash, cash equivalents, and investments (Note 2) Unrestricted $ 38,218,289 $ 529,017,778 $ 567,236,067 $ 2,450,058 $ 17,011,299 $ 1,631,465 Restricted (Note 2 & 4) 152,527,278 280,090,035 432,617,313 — — 10,018 Investments (Note 2) 388,982,305 94,388,897 483,371,202 19,834,678 — — Receivables: Property, franchise and excise taxes 175,562,809 — 175,562,809 29,217,213 — — Assessments, including $1,997,733 of delinquent assessments 7,390,502 — 7,390,502 — — — Loans and other receivables, current portion 164,100 8,930,439 9,094,539 374 — — Lease receivable, current portion — 45,611,399 45,611,399 — — — Accounts, less allowance for doubtful accounts of $4,312,772 — 99,886,633 99,886,633 — 1,043,612 55,382 Due from other governments 6,621,398 — 6,621,398 — — — Other, principally accrued interest receivable 83,589 20,530,830 20,614,419 — — — Prepaids 4,253,991 820,134 5,074,125 281,151 60,155 10,000 Inventories 1,109,827 16,390,586 17,500,413 — — — Internal balances 12,486,405 (12,486,405) — — — — Total current assets 787,400,493 1,083,180,326 1,870,580,819 51,783,474 18,115,066 1,706,865 Noncurrent assets: Restricted cash and cash equivalents (Note 2) — 223,596,189 223,596,189 — — — Lease Receivables, net of current portion — 145,991,646 145,991,646 — — — Restricted investments — 144,779,963 144,779,963 — — — Capital assets (Note 5) Capital assets not being depreciated or amortized 107,065,665 1,796,546,417 1,903,612,082 5,613,221 — — Infrastructure 571,554,833 839,544,912 1,411,099,745 — — — Buildings 424,290,668 2,811,621,635 3,235,912,303 14,060,657 130,608,164 — Improvements other than buildings 137,461,649 1,791,662,646 1,929,124,295 1,922,608 649,856 — Machinery and equipment 149,691,119 537,888,664 687,579,783 16,067,494 662,070 — Lease assets (Note 7) 8,319,367 — 8,319,367 — — — Subscription assets (Note 8) 10,405,776 5,379,923 15,785,699 618,974 — — Accumulated depreciation and amortization (505,589,210) (1,752,619,524) (2,258,208,734) (18,992,482) (19,220,643) — Capital assets, net of accumulated depreciation and amortization 796,134,202 4,233,478,256 5,029,612,458 13,677,251 112,699,447 — Total capital assets 903,199,867 6,030,024,673 6,933,224,540 19,290,472 112,699,447 — Loans and other long-term receivables — 118,991,637 118,991,637 — — — Net pension asset 42,605,189 — 42,605,189 — — — Land and buildings held for resale — 39,483,917 39,483,917 — — — Investment in joint venture (Note 19) 1,125,273 25,205,863 26,331,136 — — — Other — 3,452,086 3,452,086 — — — Total noncurrent assets 946,930,330 6,731,525,974 7,678,456,302 19,290,472 112,699,447 — TOTAL ASSETS 1,734,330,823 7,814,706,300 9,549,037,122 71,073,946 130,814,513 1,706,865 DEFERRED OUTFLOWS OF RESOURCES Deferred outflow on the refunding of debt 5,792,007 3,733,552 9,525,559 — — — Deferred outflows 68,797,386 19,304,743 88,102,129 2,789,593 — — Total deferred outflows 74,589,393 23,038,294 97,627,688 2,789,593 — — Total assets and deferred outflows of resources $ 1,808,920,216 $ 7,837,744,595 $ 9,646,664,811 $ 73,863,539 $ 130,814,513 $ 1,706,865 The accompanying notes are an integral part of this statement 18 SALT LAKE CITY CORPORATION STATEMENT OF NET POSITION June 30, 2024 Primary Government Component Units Governmental Activities Business-type Activities Total Library Utah Performing Arts Center Agency Gallivan LIABILITIES Current liabilities: Accounts payable $ 32,804,170 $ 109,310,663 $ 142,114,833 $ 1,817,217 $ 184,753 $ 58,033 Accrued liabilities 21,558,225 30,897,638 52,455,863 — 10,429,945 — Current portion of long-term compensated absences (Note 6) 23,833,839 2,174,743 26,008,582 — — — Current portion of lease liability 834,270 96,407 930,677 — — — Current portion of subscription liability 1,492,995 706,773 2,199,768 156,333 — — Current portion of long-term debt (Note 6), — payable from restricted assets 22,015,772 47,988,670 70,004,442 — — — Accrued interest, payable from unrestricted assets 2,033,910 93,070,250 95,104,160 — — — Other liabilities, payable from restricted assets 569,215 — 569,215 — — — Current deposits and advance rentals 4,895,321 3,761,268 8,656,589 770 — — Total current liabilities 110,037,717 288,006,412 398,044,129 1,974,320 10,614,698 58,033 Noncurrent liabilities: Deposits, advance rentals and long term accruals — 1,027,300 1,027,300 — 914,840 — Long-term compensated absences liability (Note 6) 1,793,941 8,942,501 10,736,442 936,018 — — Pollution remediation liability — 120,734 120,734 — — — Other liabilities payable from restricted assets — 42,741,226 42,741,226 — — — Other post employment benefits (Note 16) — — — 171,858 — — Estimated claims payable (Note 13) 15,087,064 — 15,087,064 — — — Revenues collected in advance 20,768,949 6,084,463 26,853,412 — — — Bonds payable (Note 6) 307,126,806 4,358,437,483 4,665,564,289 — — — Net pension liability (Note 14) 80,431,311 10,573,677 91,004,988 1,566,907 — — Notes payable (Note 6) 9,175,745 — 9,175,745 — — — Lease liability 5,204,265 278,289 5,482,554 — — — Subscription liability 6,182,218 1,255,114 7,437,332 193,556 — — Total noncurrent liabilities 445,770,299 4,429,460,787 4,875,231,086 2,868,339 914,840 — TOTAL LIABILITIES 555,808,016 4,717,467,199 5,273,275,215 4,842,659 11,529,538 58,033 DEFFERRED INFLOWS OF RESOURCES Deferred property tax revenues 132,998,798 — 132,998,798 32,031,058 — — Deferred inflows - revenue collected in advance 650 12,362,392 12,363,042 — — — Deferred inflows - leases — 190,162,502 190,162,502 — — — Deferred inflows - pension 493,484 134,270 627,753 15,759 — — Total deferred inflows of resources 133,492,932 202,659,164 336,152,096 32,046,817 — — NET POSITION Net investment in capital assets 536,577,886 1,999,533,636 2,536,111,522 18,365,789 112,545,186 — Restricted for: Debt service — 139,961,377 139,961,377 — — — Capital projects 210,682,808 96,858,086 307,540,894 243,654 — 10,018 Pension Asset 42,605,189 — 42,605,189 — — — Unrestricted 329,753,385 681,265,133 1,011,018,518 18,364,620 6,739,789 1,638,814 Total net position 1,119,619,268 2,917,618,232 4,037,237,500 36,974,063 119,284,975 1,648,832 Total liabilities and net position $ 1,808,920,216 $ 7,837,744,595 $ 9,646,664,811 $ 73,863,539 $ 130,814,513 $ 1,706,865 The accompanying notes are an integral part of this statement 19 SALT LAKE CITY CORPORATION STATEMENT OF ACTIVITIES For the Fiscal Year Ended June 30, 2024 Program Revenues Functions/Programs Expenses Charges for Services Operating Grants and Contributions Capital Grants and Contributions Primary government: Governmental activities: General Government $ 8,173,277 $ 22,404,404 $ — $ — City Council 5,880,212 495,905 — — Mayor 6,970,760 1,602,906 73,399 — City Attorney 12,092,487 1,651,908 49,528 — Finance 27,245,940 18,816,857 — — Justice Court 5,395,226 2,823,094 99,298 — Human Resources 4,402,440 725,693 — — Fire 52,037,251 8,023,284 247,828 — Combined Emergency Services 10,465,886 460,340 — — Police 120,021,838 18,020,311 4,635,946 — Community and Neighborhoods 82,583,658 27,057,905 7,771,268 3,800,613 Economic Development 10,577,094 4,117,290 574,831 — Public Services 51,201,349 21,795,588 126,098 — Public Lands 39,304,447 1,844,291 350,000 — Unallocated infrastructure depreciation 11,613,670 — — — Interest on long-term debt 11,255,050 — — — Total governmental activities 459,220,587 129,839,775 13,928,196 3,800,613 Business-type activities: Airport Authority 492,514,281 395,664,073 — 99,477,317 Water 86,477,753 113,975,470 — 3,593,322 Sewer 52,802,097 82,853,202 — 2,469,467 Storm Water Utility 12,088,448 15,701,861 — 2,922,035 Street Lighting 4,883,128 4,765,451 — — Refuse Collection 18,534,194 16,883,686 — — Golf 11,701,281 12,507,643 — — Housing and Loan 719,519 909,824 — — Redevelopment Agency 32,585,271 3,634,273 — 36,244,995 Total business-type activities 712,305,971 646,895,482 — 144,707,136 Total primary government $ 1,171,526,558 $ 776,735,257 $ 13,928,196 $ 148,507,749 Component unit Library $ 29,786,047 $ 2,672,000 $ 21,556 $ — Component unit UPACA $ 9,491,616 $ 7,638,426 $ — $ 50,000 Component unit Gallivan $ 2,705,012 $ 1,208,878 $ 1,690,237 $ 101,983 General revenues Taxes: Property Franchise taxes Sales tax Investment earnings Transfers Total general revenues and transfers Change in net position Net Position July 1, 2023 (UPACA Jan 1, 2023) Net Position June 30, 2024 (UPACA Dec 31, 2023) The accompanying notes are an integral part of this statement 20 Net (Expense) Revenue and Changes in Net Position Primary Government Component Units Governmental Activities Business-type Activities Total Library UPACA Gallivan $ 14,231,127 $ — $ 14,231,127 $ — $ — $ — (5,384,307) — (5,384,307) — — — (5,294,455) — (5,294,455) — — — (10,391,051) — (10,391,051) — — — (8,429,083) — (8,429,083) — — — (2,472,834) — (2,472,834) — — — (3,676,748) — (3,676,748) — — — (43,766,139) — (43,766,139) — — — (10,005,546) — (10,005,546) — — — (97,365,582) — (97,365,582) — — — (43,953,873) — (43,953,873) — — — (5,884,973) — (5,884,973) — — — (29,279,663) — (29,279,663) — — — (37,110,156) — (37,110,156) — — — (11,613,670) — (11,613,670) — — — (11,255,050) — (11,255,050) — — — (311,652,003) — (311,652,003) — — — — 2,627,109 2,627,109 — — — — 31,091,039 31,091,039 — — — — 32,520,572 32,520,572 — — — — 6,535,448 6,535,448 — — — — (117,677) (117,677) — — — — (1,650,508) (1,650,508) — — — — 806,362 806,362 — — — — 190,305 190,305 — — — — 7,293,997 7,293,997 — — — — 79,296,647 79,296,646 — — — $ (311,652,003) $ 79,296,647 $ (232,355,357) $ (27,092,491) $ (1,803,190) $ 296,086 $ 157,143,132 $ — $ 157,143,132 $ 31,144,472 $ — $ — 14,345,434 — 14,345,434 — — — 186,624,691 — 186,624,691 — — — 28,640,687 89,233,552 117,874,239 — 592,110 — (25,379,267) 25,379,267 — — — — 361,374,677 114,612,819 475,987,496 31,144,472 592,110 — 49,722,674 193,909,466 243,632,139 4,051,981 (1,211,080) 296,086 1,069,896,594 2,723,708,766 3,793,605,360 32,922,082 120,496,055 1,352,746 $ 1,119,619,268 $ 2,917,618,232 $ 4,037,237,500 $ 36,974,063 $ 119,284,975 $ 1,648,832 The accompanying notes are an integral part of this statement 21 Major Governmental Fund Financial Statements General Fund - The General Fund is the principal fund of the City and is used to account for resources traditionally associated with governments which are not required to be accounted for in another fund. The General Fund accounts for the normal activities of the City, (i.e. police, fire, public works, parks, community and economic development, general government, etc.). These activities are funded principally by property taxes, sales and use taxes, franchise taxes, licenses and permits. Capital Projects Fund - The City's Capital Projects Fund is used to account for resources designated to construct general capital assets which, by their nature, may require more than one budgetary cycle for completion. Project budgets are adopted for the Capital Projects Fund. Other Improvements Fund - This fund is used to account for the cost of servicing the debt created by financing projects other than Special Improvements. The City borrowed $7 million to construct a parking structure. The loan is being reported in the Other Improvements Fund. 22 SALT LAKE CITY CORPORATION BALANCE SHEET GOVERNMENTAL FUNDS June 30, 2024 General Capital Projects Other Improvements Nonmajor Governmental Funds Total Governmental Funds ASSETS Cash, cash equivalents and investments (Note 2) Unrestricted $ 166,302,960 $ 149,656,659 $ 9,124,171 $ 49,247,771 $ 374,331,561 Restricted 25,337 147,656,243 6,748,562 — 154,430,142 Receivables: Property, franchise and excise taxes 168,236,116 — — 2,270,678 170,506,794 Accounts receivable 2,391,723 3,613,365 — 1,375,053 7,380,141 Taxes receivable 5,056,015 — — — 5,056,015 Current portion of loans receivable 39,636 — — 124,464 164,100 Due from other governments — — — 6,621,398 6,621,398 Other, principally accrued interest — — — 83,589 83,589 Prepaids 3,188,435 — — 49,745 3,238,180 Total assets $ 345,240,222 $ 300,926,267 $ 15,872,734 $ 59,772,698 $ 721,811,920 LIABILITIES Accounts payable $ 11,940,896 $ 7,558,592 $ 101,055 $ 11,199,350 $ 30,799,893 Accrued liabilities 21,267,062 — — 84,825 21,351,887 Current deposits and advance rentals 2,969,080 — — 1,926,241 4,895,321 Current portion of long-term compensated absences 3,154,636 — — — 3,154,636 Revenues collected in advance — — — 20,768,949 20,768,949 Other liabilities payable from restricted assets — — — 569,215 569,215 Total liabilities 39,331,674 7,558,592 101,055 34,548,580 81,539,901 DEFERRED INFLOWS OF RESOURCES Receivables not meeting the available criterion 132,998,798 — — — 132,998,798 Unavailable grant revenue — — — 650 650 Total deferred inflows 132,998,798 — — 650 132,999,448 FUND BALANCES Non-spendable 3,188,435 — — 49,745 3,238,180 Restricted 22,204,934 210,682,808 15,771,679 10,265,465 258,924,886 Committed — — — 8,222,371 8,222,371 Assigned — 82,684,867 — 6,685,886 89,370,753 Unassigned 147,516,381 — — — 147,516,381 Total fund balances 172,909,750 293,367,675 15,771,679 25,223,467 507,272,571 Total liabilities, deferred inflow of resources and fund balances $ 345,240,222 $ 300,926,267 $ 15,872,734 $ 59,772,698 $ 721,811,920 The accompanying notes are an integral part of this statement 23 SALT LAKE CITY CORPORATION RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET TO THE STATEMENTS OF NET POSITION June 30, 2024 Total fund balances for governmental funds $ 507,272,571 Total net position reported for governmental activities in the statement of net position is different because: Capital assets used in governmental activities are not financial resources and therefore are not reported in the funds. Those assets consist of: (see Note 5) Land $ 80,809,363 Infrastructure 571,554,833 Buildings 424,290,668 Improvements other than buildings 137,461,649 Equipment 149,691,119 Construction in progress 26,256,302 Lease assets 8,319,367 Subscription assets 10,405,776 Less accumulated depreciation and amortization (505,589,210) Total capital assets 903,199,867 Other assets are reported for governmental activities as they are not considered collectible until after year end. These include other receivables that are long-term in nature and bond issue costs less amortization Accounts Receivable 10,361 Investment in joint venture 1,125,273 Prepaids 2,125,638 Pension asset 42,605,189 Deferred loss on refunding of debt 5,792,007 Deferred pension outflow 68,797,386 120,455,854 Internal services funds are used by the City to charge the costs of the fleet management system, data processing services, insurance for employee health, accident, long-term disability, unemployment and worker's compensation, general liability claims, and acquisition and lease to the City of purchased or constructed property. 50,966,169 Some of the internal service net income is allocable to business-type activities. These amounts are shown in the internal balances in the governmental activities statement. 12,486,405 Long-term liabilities applicable to the City's governmental activities are not due and payable in the current period and accordingly are not reported as fund liabilities. Interest on long-term debt is not accrued in governmental funds, but rather as an expenditure when due. Obligation for compensated absence liabilities due within 60 days are included in the governmental fund statements in accrued liabilities. All liabilities -both current and long-term are reported in the statement of net position. (See Note 6) Accounts payable (2,004,277) Accrued liabilities (206,338) Obligation for compensated absence liabilities due after one year (1,793,941) Current portion of long-term debt (22,015,772) Current portion of lease liability (834,270) Current portion of SBITA liability (1,492,995) Current portion of obligation for compensated absence liabilities (20,679,203) Accrued Interest (2,033,910) Deferred pension inflow (493,484) Bonds payable (307,126,806) Notes payable (9,175,745) Net pension liability (80,431,311) Lease liability (5,204,265) SBITA liability (6,182,218) Estimated claims liability (15,087,064) Total liabilities (474,761,599) Total net position of governmental activities $ 1,119,619,268 The accompanying notes are an integral part of this statement 24 SALT LAKE CITY CORPORATION STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE GOVERNMENTAL FUNDS For the Fiscal Year Ended June 30, 2024 General Capital Projects Other Improvements Nonmajor Governmental Funds Total Governmental Funds Revenues: General property taxes $ 139,801,077 $ — $ 17,342,055 $ — $ 157,143,132 Sales, use and excise taxes 172,015,265 — 1,100,000 13,509,426 186,624,691 Franchise taxes 14,345,434 — — — 14,345,434 Licenses 21,123,023 — — — 21,123,023 Permits 21,024,471 5,872,333 — — 26,896,804 Fines and forfeitures 2,900,359 — — 175,897 3,076,256 Assessments — — — 1,524,608 1,524,608 Interest and investment income (loss) 12,916,113 14,106,466 284,977 1,005,572 28,313,128 Intergovernmental 6,211,734 17,974,386 2,179,461 17,713,272 44,078,853 Interfund service charges 27,065,875 — — — 27,065,875 Parking meter 3,008,803 — — — 3,008,803 Parking ticket 2,057,827 — — — 2,057,827 Rental and other income 1,204,532 11,323 648,342 — 1,864,197 Charges for services 6,556,077 57,311 — 136,849 6,750,237 Contributions — — — 2,447,836 2,447,836 Miscellaneous 3,817,519 318,020 3,012,739 525,987 7,674,265 Total revenues 434,048,109 38,339,839 24,567,574 37,039,447 533,994,969 Expenditures: Current: City Council 5,316,524 — — — 5,316,524 Mayor 5,963,765 — — — 5,963,765 City Attorney 10,515,213 — — — 10,515,213 Finance 11,495,948 — — — 11,495,948 Fire 50,621,507 — — 20,697 50,642,204 Combined Emergency Services 10,288,938 — — — 10,288,938 Police 115,639,676 — — 174,955 115,814,631 Community and Neighborhoods 34,260,751 — — 24,738,791 58,999,542 Economic Development 4,060,682 — — 2,494,332 6,555,014 Justice Court 5,351,866 — — — 5,351,866 Human Resources 4,323,420 — — — 4,323,420 Public Services 41,278,890 — — 740,230 42,019,120 Public Lands 27,258,939 27,258,939 Nondepartmental 53,352,139 — — 120 53,352,259 Capital improvements — 73,436,026 — — 73,436,026 Debt service: Principal — — 21,100,171 — 21,100,171 Interest and other fiscal charges — — 12,444,205 — 12,444,205 Total expenditures 379,728,258 73,436,026 33,544,376 28,169,125 514,877,785 Revenues over (under) expenditures 54,319,851 (35,096,187) (8,976,802) 8,870,322 19,117,184 Other financing sources (uses): New bonds issued — 24,660,000 105,000 — 24,765,000 Premium on new bonds — — 120,893 — 120,893 Contribution of assets — — — (1,352,747) (1,352,747) Proceeds from sale of property 8,421 100,006 — — 108,427 Transfers in 12,976,848 55,541,903 11,073,228 748,739 80,340,718 Transfers out (96,971,111) (9,418,311) — (13,599,690) (119,989,112) Total other financing sources (uses) (83,985,842) 70,883,598 11,299,121 (14,203,698) (16,006,821) Net change in fund balances (29,665,991) 35,787,411 2,322,319 (5,333,376) 3,110,363 Fund Balance July 1, 2023 202,575,741 257,580,265 13,449,360 30,556,844 504,162,210 Fund Balance June 30, 2024 $ 172,909,749 $ 293,367,676 $ 15,771,679 $ 25,223,468 $ 507,272,573 The accompanying notes are an integral part of this statement 25 SALT LAKE CITY CORPORATION RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES For the Fiscal Year Ended June 30, 2024 Net change in fund balances - total governmental funds $ 3,110,363 The change in net position reported for governmental activities in the statement of activities is different because: Governmental funds report capital outlays as expenditures. However, in the statement of activities the cost of those assets is allocated over their estimated useful lives and reported as depreciation expense. This is the amount by which capital outlay $73,436,026 plus Work in Process reclassifications $32,226,621 included as additions exceeded depreciation expense and unallocated depreciation $40,467,089. (See Note 5.) 65,195,558 Repayment of principal as an expenditure in the governmental funds but reduces the liability in the statement of net position. (See Note 6.) 21,100,171 In governmental funds the proceeds from the bonds and notes are considered a source of financing, but in the statement of net position, the obligation is reported as a liability. (see Note 6.) (24,885,893) Under the modified accrual basis of accounting used in the governmental funds, expenditures are not recognized for transactions that are not normally paid with expendable available financial resources. In the statement of activities, however, which is presented on the accrual basis,expenses and liabilities are reported regardless of when financial resources are available. In addition, interest on long-term debt is not recognized under the modified accrual basis of accounting until due, rather than as it accrues. This adjustment contains the following: Personnel $ (28,454,484) Refunding deferred amortization 1,189,155 Other financing 14,269,127 Interest 327,559 (12,668,643) Internal services funds are used by the City to charge the costs of the fleet management system, data processing services, insurance for employee health, accident, long-term disability, unemployment and worker's compensation, general liability claims, acquisition and lease to the City of purchased or constructed property and equipment and photocopying and printing services. The net revenue of internal service funds is allocated between governmental activities and business-type activities. Internal service fund net loss of $(10,357,524) in addition to business-type activities of $(2,122,853). (2,128,881) Change in net position of governmental activities.$ 49,722,674 The accompanying notes are an integral part of this statement 26 Major Proprietary Fund Financial Statements Department of Airports - This fund is used to account for the activities related to the operation of City airports. Water Utility Fund - This fund is used to account for the activities related to providing water service to the residents of the City and certain residents of Salt Lake County. Sewer Utility Fund - This fund is used to account for the activities relating to providing sewer service to the residents of the City. Stormwater Utility - This fund is used to account for the activities associated with the collection and disposition of stormwater runoff. Redevelopment Agency Fund - This fund is used to account for urban redevelopment activities such as acquisition of land sites and sale of such land for development, and loans provided for improvements in existing housing and the repayment of loans and related interest. 27 SALT LAKE CITY CORPORATION STATEMENT OF NET POSITION PROPRIETARY FUNDS June 30, 2024 Business-type Activities - Enterprise Funds Department of Airports Water Utility Sewer Utility Stormwater Utility ASSETS Current assets: Cash, cash equivalents, and investments: Unrestricted $ 318,683,921 $ 26,824,500 $ 1,032,037 $ 24,288,360 Restricted 248,762,893 — — — Investments 78,814,278 15,574,619 — — Receivables: Accounts, less allowance for doubtful accounts of $0, $255,583, $85,657, $17,752, $2,500,000, and $375,468 respectively, totaling $3,234,460. 70,832,427 16,668,700 8,699,559 1,689,057 Current portion of loans receivable 5,923,000 — — — Current portion of leases receivable 45,203,870 — — — Other 19,095,548 827,868 58,160 77,265 Prepaids — 384,367 180,359 63,350 Inventory of supplies 6,464,649 9,018,659 619,425 — Total current assets 793,780,586 69,298,713 10,589,540 26,118,032 Noncurrent assets: Restricted cash, cash equivalents 97,728,355 72,585,109 47,973,350 5,228,742 Leases Receivable, net of current portion 118,057,309 3,449,365 — — Restricted Investments 144,779,963 — — — Property and equipment, at cost: Land and water rights 113,440,510 57,904,850 8,476,372 4,035,611 Infrastructure — 451,838,441 231,045,605 156,660,866 Buildings 2,546,798,522 82,712,052 166,851,557 10,173,461 Improvements other than buildings 1,675,293,214 4,743,507 16,775,983 6,358,161 Machinery and equipment 439,110,106 32,763,989 34,900,050 5,607,805 Subscription asset 3,806,870 1,573,053 — — Construction in progress 899,970,760 111,720,130 541,367,791 16,304,402 Accumulated depreciation (1,254,836,429) (195,095,922) (144,972,046) (73,284,624) Net property and equipment 4,423,583,553 548,160,100 854,445,312 125,855,682 Loans and other long-term receivables, net of current portion 11,697,940 — — — Land and buildings held for resale — — — — Investment in joint venture — — — — Other 249,224 3,202,862 — — Total noncurrent assets 4,796,096,344 627,397,436 902,418,662 131,084,424 TOTAL ASSETS 5,589,876,930 696,696,149 913,008,202 157,202,456 DEFERRED OUTFLOWS OF RESOURCES Deferred outflows - refunding of debt — — — — Deferred outflows - pension 10,271,949 5,518,179 1,488,453 353,754 Total assets and deferred outflows of resources $ 5,600,148,879 $ 702,214,328 $ 914,496,655 $ 157,556,210 The accompanying notes are an integral part of this statement 28 Business-type Activities - Enterprise Funds Governmental Activities - Internal Service Funds Redevelopment Agency Nonmajor Proprietary Funds Total $ 97,257,090 $ 60,931,870 $ 529,017,778 $ 50,153,843 30,414,629 912,513 280,090,035 917,858 — — 94,388,897 — 37,741 1,959,149 99,886,633 6,798 905,469 2,101,970 8,930,439 — 407,529 — 45,611,399 471,989 — 20,530,830 — 65,110 126,948 820,134 1,015,811 — 287,853 16,390,586 1,109,827 129,559,557 66,320,303 1,095,666,731 53,204,137 — 80,633 223,596,189 — 24,484,972 — 145,991,646 — — — 144,779,963 — 24,145,697 5,831,658 213,834,698 1,069,180 — — 839,544,912 — 576,742 4,509,301 2,811,621,635 28,670,307 55,022,531 33,469,250 1,791,662,646 — 547,841 24,958,873 537,888,664 103,793,419 — — 5,379,923 — 13,348,636 — 1,582,711,719 2,879,945 (49,544,388) (34,886,115) (1,752,619,524) (79,881,459) 44,097,059 33,882,967 6,030,024,673 56,531,392 82,402,735 24,890,962 118,991,637 — 36,796,546 2,687,371 39,483,917 — 49,920,762 25,205,863 75,126,625 — — — 3,452,086 — 237,702,074 86,747,796 6,781,446,736 56,531,392 367,261,631 153,068,099 7,877,113,467 109,735,529 3,733,552 — 3,733,552 — 267,949 1,404,459 19,304,743 3,255,491 $ 371,263,132 $ 154,472,558 $ 7,900,151,762 $ 112,991,020 The accompanying notes are an integral part of this statement 29 SALT LAKE CITY CORPORATION STATEMENT OF NET POSITION PROPRIETARY FUNDS June 30, 2024 Business-type Activities - Enterprise Funds Department of Airports Water Utility Sewer Utility Stormwater Utility LIABILITIES Current Liabilities: Accounts payable $ 59,041,255 $ 11,053,502 $ 32,790,661 $ 1,616,508 Accrued liabilities 30,875,866 5,375 — — Current portion of lease liability 96,407 — — — Current portion of subscription liabilities 544,000 162,773 — — Current portion of long-term compensated absences 1,183,742 423,681 196,742 52,459 Current portion of long-term debt 25,065,000 2,377,490 10,893,198 885,852 Accrued interest 82,188,112 2,438,591 7,868,426 241,693 Current deposits and advance rentals 532,206 1,503,288 1,000,779 76,643 Total current liabilities 199,526,588 17,964,700 52,749,806 2,873,155 Noncurrent liabilities: Deposits, advance rentals and long-term accruals — — — — Long-term compensated absences liability 4,710,193 2,069,281 900,199 291,022 Pollution remediation liability 120,734 — — — Other liabilities payable from restricted assets 35,914,743 4,617,429 1,328,847 880,207 Lease liabilities 278,289 — — — Subscription liabilities 407,973 847,141 — — Estimated claims liability — — — — Revenues collected in advance 149,920 5,934,543 — — Net pension liability 5,599,412 3,142,969 778,830 184,658 Bonds, mortgages, and notes payable, net of discounts and current portion 3,701,932,644 140,793,628 452,483,573 15,267,783 Total noncurrent liabilities 3,749,113,908 157,404,991 455,491,449 16,623,670 TOTAL LIABILITIES 3,948,640,496 175,369,691 508,241,255 19,496,825 DEFERRED INFLOWS OF RESOURCES Deferred inflows - pension 76,388 29,925 11,540 2,783 Deferred inflows - leases 163,261,179 3,449,365 — — Deferred inflows - revenue collected in advance 12,362,392 — — — Total deferred inflows of resources 175,699,959 3,479,290 11,540 2,783 NET POSITION Net investment in capital assets 984,418,235 446,688,219 396,393,641 108,673,118 Restricted for debt service 139,961,377 — — — Restricted for capital acquisition 49,264,421 11,759,808 1,708,271 3,710,957 Unrestricted 302,164,391 64,917,320 8,141,948 25,672,527 TOTAL NET POSITION 1,475,808,424 523,365,347 406,243,860 138,056,602 Total liabilities, deferred inflows of resources and net position $ 5,600,148,879 $ 702,214,328 $ 914,496,655 $ 157,556,210 The accompanying notes are an integral part of this statement 30 Business-type Activities - Enterprise Funds Governmental Activities - Internal Service Funds Redevelopment Agency Nonmajor Proprietary Funds Total $ 2,645,702 $ 2,163,035 $ 109,310,663 $ 2,004,277 — 16,397 30,897,638 23,199 — — 96,407 — — — 706,773 — 61,284 256,835 2,174,743 466,298 6,265,000 2,502,130 47,988,670 1,924,573 297,986 35,442 93,070,250 112,780 — 648,352 3,761,268 — 9,269,972 5,622,191 288,006,412 4,531,127 — 1,027,300 1,027,300 — 286,789 685,017 8,942,501 1,787,706 — — 120,734 — — — 42,741,226 — — — 278,289 — — — 1,255,114 — — — — 13,812,064 — — 6,084,463 — 136,628 731,180 10,573,677 1,829,661 38,225,000 9,734,855 4,358,437,483 16,361,383 38,648,417 12,178,352 4,429,460,787 33,790,814 47,918,389 17,800,543 4,717,467,199 38,321,941 2,406 11,228 134,270 23,369 23,451,958 — 190,162,502 — — — 12,362,392 — 23,454,364 11,228 202,659,164 23,369 44,097,059 19,263,364 1,999,533,636 26,301,119 — — 139,961,377 — 30,414,629 — 96,858,086 — 225,378,691 117,397,423 743,672,300 48,344,591 299,890,379 136,660,787 2,980,025,399 74,645,709 $ 371,263,132 $ 154,472,558 $ 7,900,151,762 $ 112,991,020 The accompanying notes are an integral part of this statement 31 SALT LAKE CITY CORPORATION RECONCILIATION OF THE PROPRIETARY FUNDS STATEMENT OF NET POSITION TO THE PRIMARY GOVERNMENT BUSINESS-TYPE STATEMENT OF NET POSITION June 30, 2024 Total assets and deferred outflows of resources for Proprietary Funds $ 7,900,151,762 Elimination of investment in discrete component unit (49,920,762) Internal service fund allocation for proprietary funds - prior years' cumulative (10,357,524) Internal service fund allocation for proprietary funds - current year (2,128,881) Total assets for Primary government business-type activities $ 7,837,744,595 Total net position for Proprietary Funds $ 2,980,025,399 Elimination of investment in discrete component unit (49,920,762) Internal service fund allocation for proprietary funds - prior years' cumulative (10,357,524) Internal service fund allocation for proprietary funds - current year (2,128,881) Total net position for Primary government business-type activities $ 2,917,618,232 The accompanying notes are an integral part of this statement 32 This page intentionally left blank 33 SALT LAKE CITY CORPORATION STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND NET POSITION PROPRIETARY FUNDS For the Fiscal Year Ended June 30, 2024 Business-type Activities - Enterprise Funds Department of Airports Water Utility Sewer Utility Stormwater Utility Sales and charges for services $ 314,131,399 $ 108,901,068 $ 81,664,901 $ 15,401,464 Rental and other 12,525,656 5,445,487 1,545,057 449,605 Total operating revenue 326,657,055 114,346,555 83,209,958 15,851,069 Personnel services 66,723,633 26,339,849 13,073,563 4,215,242 Operating and maintenance 17,819,717 5,066,807 3,781,121 187,737 Charges and services 99,900,162 38,517,135 8,506,011 3,914,081 Depreciation and amortization 162,698,321 11,276,130 10,053,362 3,279,520 Total operating expenses 347,141,833 81,199,921 35,414,057 11,596,580 Operating income (loss) (20,484,778) 33,146,634 47,795,901 4,254,489 Interest income 55,116,019 7,338,110 9,147,742 1,325,721 Interest expense (143,045,325) (5,277,832) (17,388,040) (491,868) Equity in joint venture income (loss) — — — — Passenger & Customer facility charges 68,876,053 — — — Increase (decrease) in value of investments 4,360,601 — — — Bond Issuance costs (2,327,123) — — — Gain on disposition of property and equipment 590,788 169,365 14,678 14,429 Total non-operating revenues (expenses) (16,428,987) 2,229,643 (8,225,620) 848,282 Grants and other contributions 100,232,925 3,593,322 2,469,467 2,922,035 Capital Distributions (755,608) — — — Total capital contributions 99,477,317 3,593,322 2,469,467 2,922,035 Income (loss) before transfers 62,563,552 38,969,599 42,039,748 8,024,806 Transfers in — 200,000 — — Transfers out — — — — Change in net position 62,563,552 39,169,599 42,039,748 8,024,806 Net Position July 1, 2023 1,413,244,872 484,195,748 364,204,112 130,031,796 2 3 Net Position June 30, 2024 $ 1,475,808,424 $ 523,365,347 $ 406,243,860 $ 138,056,602 The accompanying notes are an integral part of this statement 34 Business-type Activities - Enterprise Funds Governmental Activities - Internal Service FundsRedevelopment Agency Nonmajor Proprietary Funds Total $ 1,322,012 $ 34,353,199 $ 555,774,043 $ 112,954,018 1,879,513 1,069,453 22,914,771 674,830 3,201,525 35,422,652 578,688,814 113,628,848 2,686,069 11,769,462 124,807,818 27,185,141 1,407,280 2,127,151 30,389,813 12,285,574 25,984,673 17,979,999 194,802,061 77,217,534 643,083 3,523,499 191,473,915 8,487,601 30,721,105 35,400,111 541,473,607 125,175,850 (27,519,580) 22,541 37,215,207 (11,547,002) 7,286,446 3,195,091 83,409,129 163,713 (1,864,166) (438,011) (168,505,242) (756,209) (506,837) 1,970,659 1,463,822 — — — 68,876,053 — — — 4,360,601 — — — (2,327,123) — — 163,400 952,660 543,020 4,915,443 4,891,139 (11,770,100) (49,476) 36,244,995 — 145,462,744 — — — (755,608) — 36,244,995 — 144,707,136 — 13,640,858 4,913,680 170,152,243 (11,596,478) 22,670,278 3,257,729 26,128,007 14,269,127 — (748,739) (748,739) — 36,311,136 7,422,670 195,531,511 2,672,649 263,579,243 129,238,117 2,784,493,888 71,973,060 $ 299,890,379 $ 136,660,787 $ 2,980,025,397 $ 74,645,710 The accompanying notes are an integral part of this statement 35 SALT LAKE CITY CORPORATION RECONCILIATION OF THE PROPRIETARY FUNDS CHANGE IN NET POSITION TO THE PRIMARY GOVERNMENT BUSINESS-TYPE CHANGES IN NET POSITION For the Fiscal Year Ended June 30, 2024 Change in net position for Proprietary Funds $ 195,531,511 Elimination of investment (income)/loss in discrete component unit 506,837 Internal service fund allocation for proprietary funds (2,128,881) Change in net position for Primary government business-type activities $ 193,909,466 The accompanying notes are an integral part of this statement 36 This page intentionally left blank The accompanying notes are an integral part of this statement 37 SALT LAKE CITY CORPORATION COMBINING STATEMENT OF CASH FLOWS PROPRIETARY FUNDS For the Fiscal Year Ended June 30, 2024 Department of Airports Water Utility Sewer Utility Cash Flows from Operating Activities: Receipts from customers and users $ 339,646,072 $ 108,678,956 $ 80,763,603 Receipts from (payments to) internal fund services (26,722,852) (5,719,881) (3,363,659) Payments to suppliers (97,850,634) (39,807,633) (9,247,856) Payments to employees (67,325,772) (27,697,976) (13,371,723) Net cash from (used for) operating activities 147,746,814 35,453,466 54,780,365 Cash flows from non-capital and related financing activities: Contributions from other taxing entities — — — Transfers in — 200,000 — Transfers out — — — Net cash from (used for) non-capital and related financing activities — 200,000 — Cash flows from capital and related financing activities: Proceeds from issuance of debt, net of discount and issuance costs 655,006,179 — — Proceeds from sale of assets and equipment 590,788 6,094 250 Contributions for aid in construction 92,855,089 1,866,033 1,736,401 Passenger and Customer Facility Charges 70,215,208 — — Payment on long-term obligations, net of capitalized interest (173,766,979) (7,346,431) (24,859,005) Payments for purchase and construction, including capitalized interest (522,592,902) (39,434,833) (231,352,600) Interest received from leases 5,081,338 — — Property and equipment purchased and contributed to a non-profit (755,608) — — Net cash from (used for) capital and related financing activities 126,633,113 (44,909,137) (254,474,954) Cash flows from investing activities: Cash paid for investments (295,973,592) — — Cash proceeds from investments 260,621,950 6,549,789 9,147,742 Interest used, investments and loans 55,182,868 — — Net cash from investing activities 19,831,226 6,549,789 9,147,742 Net increase (decrease) in cash and cash equivalents 294,211,153 (2,705,882) (190,546,847) Cash and cash equivalents at beginning of year 370,964,016 102,115,491 239,552,234 Cash and cash equivalents at end of year $ 665,175,169 $ 99,409,609 $ 49,005,387 Cash and cash equivalent components: Unrestricted 318,683,921 26,824,500 1,032,037 Restricted - current 248,762,893 — — Restricted - noncurrent 97,728,355 72,585,109 47,973,350 Cash and cash equivalents at end of year $ 665,175,169 $ 99,409,609 $ 49,005,387 The accompanying notes are an integral part of this statement 38 Stormwater Utility Redevelopment Agency Nonmajor Proprietary Funds Total Governmental Activities- Internal Service Funds $ 15,381,318 $ (13,098,011) $ 37,311,295 $ 568,683,233 $ — (1,741,767) — (82,518) (37,630,677) 113,622,050 (2,266,864) (27,375,371) (19,572,868) (196,121,226) (87,833,479) (4,276,929) (2,709,384) (12,187,597) (127,569,381) (28,256,026) 7,095,758 (43,182,766) 5,468,312 207,361,949 (2,467,455) — 36,244,995 — 36,244,995 — — 22,670,278 3,257,729 26,128,007 14,269,127 — — (748,739) (748,739) — — 58,915,273 2,508,990 61,624,263 14,269,127 — — — 655,006,179 913,268 — — 204,570 801,702 3,737,469 785,112 — — 97,242,635 — — — — 70,215,208 — (1,555,633) (7,413,580) (3,433,294) (218,374,922) (5,107,644) (5,002,855) (2,976,962) (3,643,698) (805,003,850) (15,713,425) — 390,792 — 5,472,130 — — — — (755,608) — (5,773,376) (9,999,750) (6,872,423) (195,396,527) (16,170,331) — — — (295,973,592) — 1,325,721 — — 277,645,202 — — 8,124,365 3,195,097 66,502,330 46,813 1,325,721 8,124,365 3,195,097 48,173,940 46,813 2,648,103 13,857,122 4,299,976 121,763,626 (4,321,844) 26,868,999 113,814,597 57,625,041 910,940,378 55,393,545 $ 29,517,102 $ 127,671,719 $ 61,925,016 $ 1,032,704,004 $ 51,071,701 24,288,360 97,257,090 60,931,870 529,017,778 50,153,843 — 30,414,629 912,513 280,090,035 917,858 5,228,742 — 80,633 223,596,189 — $ 29,517,102 $ 127,671,719 $ 61,925,016 $ 1,032,704,004 $ 51,071,701 The accompanying notes are an integral part of this statement 39 SALT LAKE CITY CORPORATION COMBINING STATEMENT OF CASH FLOWS PROPRIETARY FUNDS For the Fiscal Year Ended June 30, 2024 Department of Airports Water Utility Sewer Utility Reconciliation of operating income (loss) to net cash from (used for) operating activities Operating Income (Loss)$ (20,484,777) $ 33,146,634 $ 47,795,901 Adjustments to reconcile operating income (loss) to net cash from (used for) operating activities: Depreciation and amortization 162,698,321 11,276,130 10,053,362 Pension expense 1,024,256 — — Increase (decrease) due to change in: Accounts receivable (1,563,656) (4,805,359) (2,330,996) Prepaids — — — Other current assets 315,243 (2,687,115) 77,225 Accounts payable 4,735,987 929,734 (808,070) Deferred outflows (2,345,476) — — Accrued liabilities affecting operating activities — (552,253) (232,982) Other liabilities (2,542,141) (1,159,748) 210,802 Pension liability 1,351,325 4,838,876 (22,744) Deferred pension outflows and inflows (30,105) (5,533,433) 37,867 Deferred inflows 5,076,827 — — Compensation liability (488,990) — — Total adjustments 168,231,591 2,306,832 6,984,464 Loans disbursed — — — Principal collected on loans — — — Net cash from (used for) operating activities $ 147,746,814 $ 35,453,466 $ 54,780,365 Non-cash transactions affecting financial position: Recognition of equity interest in joint venture $ — $ — $ — Contributions of capital assets from (to) other entities (755,608) 1,727,290 733,065 Leases receivable recognized 2,059,593 — — Contributions and grants 7,377,836 — — Passenger facility charges (includes interest) (593,516) — — Customer facility charges (includes interest) 509,211 — — Bond issuance costs (1,197,271) — — Net increase (decrease) in fair value of investments (2,709,668) — — Loss on disposition of property 590,788 — — Subscription asset recognized 109,401 — — Subscription liability recognized (109,401) — — Total non-cash transactions $ 5,281,365 $ 1,727,290 $ 733,065 The accompanying notes are an integral part of this statement 40 Stormwater Utility Redevelopment Agency Nonmajor Proprietary Funds Total Governmental Activities- Internal Service Funds $ 4,254,489 $ (27,519,580) $ 22,541 $ 37,215,208 $ (11,547,001) 3,279,520 643,083 3,523,499 191,473,915 8,487,600 — — — 1,024,256 — (450,777) (123,948) 1,405,318 (7,869,418) (6,798) — 23,555 (40,300) (16,745) — (15,714) — 144,235 (2,166,126) (606,937) 12,051 (99,450) 780,624 5,550,876 (659,769) — — (281,746) (2,627,222) (801,234) (113,049) — (185,627) (1,083,911) (286,923) 62,160 — (26,167) (3,455,094) 2,395,768 (113,459) (32,456) 155,999 6,177,541 429,038 180,537 76,281 — (5,268,853) — — (874,044) 10,334 4,213,117 (7,744) — 25,337 (40,398) (504,051) 136,548 2,841,269 (361,642) 5,445,771 185,448,285 9,079,548 — (16,415,880) — (16,415,880) — — 1,114,336 — 1,114,336 — $ 7,095,758 $ (43,182,766) $ 5,468,312 $ 207,361,949 $ (2,467,455) $ — $ (506,837) $ — $ (506,837) $ — 2,136,923 — — 3,841,670 — — — — 2,059,593 — — — — 7,377,836 — — — — (593,516) — — — — 509,211 — — — — (1,197,271) — — — — (2,709,668) — — — — 590,788 — — — — 109,401 — — — — (109,401) — $ 2,136,923 $ (506,837) $ — $ 9,371,806 $ — The accompanying notes are an integral part of this statement 41 Fiduciary Funds Deferred Compensation Fund - This fund is used to account for amounts deferred under the City's employee deferred compensation plan for which the City acts in a fiduciary capacity as trustee. 42 SALT LAKE CITY CORPORATION STATEMENT OF FIDUCIARY NET POSITION FIDUCIARY FUNDS June 30, 2024 Deferred Compensation Trust ASSETS Restricted cash, cash equivalents and investments $ 381,872 Total assets $ 381,872 NET POSITION - Restricted for deferred compensation $ 381,872 Total net position 381,872 Total liabilities and net position $ 381,872 The accompanying notes are an integral part of this statement 43 SALT LAKE CITY CORPORATION STATEMENT OF CHANGES IN FIDUCIARY NET POSITION FIDUCIARY FUNDS For the Fiscal Year Ended June 30, 2024 Deferred Compensation Trust Additions: Investment income $ 20,351 Total additions 20,351 Deductions: Benefits paid to participants 10,946 Total deductions 10,946 Net decrease in Net Position 9,405 Net Position July 1, 2022 372,467 Net Position June 30, 2024 $ 381,872 The accompanying notes are an integral part of this statement 44 Notes to the Financial Statements 45 1. Summary of Significant Accounting Policies Salt Lake City Corporation (the City) was incorporated January 6, 1851. The City operates under a Council-Mayor form of government and provides services to residents and businesses in many areas including police and fire protection, street maintenance, refuse collection, planning and zoning, building construction inspection, parks and recreation, prosecution, water, sewer, stormwater, airports, and general administrative services. Reporting Entity For financial reporting purposes, the reporting entity includes all funds, agencies and authorities for which the City holds corporate powers and all component units for which the City is financially accountable. The Governmental Accounting Standards Board (GASB) has established criteria to consider in determining financial accountability. The criteria are: appointment of a majority of the voting members of an organization’s governing board, and either (1) the City has the ability to impose its will on the organization or (2) there is potential for the organization to provide specific financial benefits to, or impose specific financial burdens on, the City. As required by Generally Accepted Accounting Principles (GAAP), these financial statements present the City, the primary government, and its component units. The component units are included in the City’s reporting entity because of the significance of their operational or financial relationship with the City. The following funds, all with fiscal years ended June 30, 2024, have separately issued financial statements that can be obtained from their respective administrative offices: (1) The Arts Council (a special revenue fund), (2) the Water, Sewer, Stormwater and Street Lighting Utility Funds (enterprise funds), (3) the Department of Airports (an enterprise fund) and (4) the DEA Metro Narcotic Task Force (DEA) (a special revenue fund). Blended Component Units The Local Building Authority and the Redevelopment Agency of Salt Lake City are legally separate entities from the City, but are part of the City and are blended into the internal service and enterprise funds, respectively. The Redevelopment Agency has separately issued financial statements for the year ended June 30, 2024, which are available at the Agency’s administrative office. The sole purpose of the Local Building Authority is to serve the City as a financing agency for debt financed projects. The sole purpose of the Redevelopment Agency is the elimination of blight through the process of redevelopment in designated project areas within the boundaries of the City. The Salt Lake City Council serves as the Board of Directors of both the Local Building Authority and the Redevelopment Agency. There is a financial benefit (burden) and operational responsibility between the City and the Local Building Authority and the Redevelopment Agency. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 46 Discretely Presented Component Units The discretely presented component units are the Salt Lake City Library, the Utah Performing Arts Center (UPACA) and the Gallivan Center (Gallivan). The Library is legally separate from, but financially accountable to the City, as the City can impose its will on the Library through the entire nine member Library Board appointment as well as the budget and property tax rate setting process. The Library provides services to residents rather than to the City and therefore meets the criteria of a discretely presented component unit. It is not financially dependent upon another government organization and should not be presented in any other governmental entity’s financial statements. The Salt Lake City Library is a governmental fund and has separately issued financial statements for the year ended June 30, 2024, which are available at the administrative offices of the Library. Utah Performing Arts Center Agency (UPACA) - In March 2013, Salt Lake City (City), the Redevelopment Agency (RDA) and Salt Lake County (County), executed an Interlocal Cooperation Agreement to form and create a separate legal entity, the Utah Performing Arts Center Agency (UPACA), that owns, operates, maintains and improves the George S. and Dolores Doré Eccles Theater (Theater). This state-of-the-art Theater opened in October 2016, and provides an excellent venue for Broadway shows, concerts and other entertainment events, as well as local performances and community events. UPACA provides services to residents rather than to the City and therefore meets the criteria of a discretely presented component unit of the City. UPACA is reported as an Equity Interest in Joint Venture in the RDA’s and Salt Lake County’s separately issued financial statements. UPACA has separately issued audited financial statements for the year ended December 31, 2023. The City and the RDA own 75% with the County having a 25% ownership in UPACA. UPACA is governed by a board of trustees consisting of nine members. Board membership is comprised of three representatives appointed by the County and six representatives appointed by the City and the RDA. Each representative has one vote and each representative's term continues until a successor is appointed. In March 2013, an Operating Agreement was entered into by UPACA, the Agency, the City and the County assigning responsibility for the operation and management to the County Center for the Arts (CFA) through December 31, 2041. CFA accounts for UPACA on a calendar year. Net operating income is distributed annually to the partners in amounts outlined in organizational agreements after required contributions to operating and capital reserve accounts. The County is responsible for any operating deficits and the City and RDA are responsible for the bond debt. The discretely presented component unit of the RDA is The Gallivan Center (Gallivan), a separate legal entity which maintains a popular downtown year-round outdoor venue for the enjoyment of the residents and guests of the City. The RDA and City appoint the majority of board members. In addition, there are financial obligations on the RDA and operational responsibilities between the RDA and Gallivan, therefore it meets the criteria for a discretely presented component unit. The venue SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 47 includes an amphitheater, public plazas with unique art installations, a banquet/meeting center, an ice rink and professional stage. The Gallivan serves as a hub for concerts, festivals and other public gatherings and celebrations. It also provides space for exhibits, workshops, debates and lectures, and other events, both public and private. Previously, the Gallivan was accounted for in the donation fund in the Salt Lake City ACFR. As of June 1, 2023, the equity for the the Gallivan was transferred to the RDA. The RDA began reporting Gallivan as a component unit as a result of the equity transfer. The transfer is reported as non-operating revenue. Joint Venture The City is a fifty percent partner with Salt Lake County in two joint ventures. One is known as the City/County Landfill. The purpose of this joint venture is to provide solid waste management and disposal services (see note 19). The other joint venture is the Sugarhouse Park. This joint venture provides open space for enjoyment and other leisure activities for residents of the City, the County and non-resident guests. Related Organizations The City also has activities with three other related organizations, the Metropolitan Water District, the Housing Authority of Salt Lake City and the Salt Lake City Mosquito Abatement District. City officials appoint members of these three boards, but the City’s accountability does not extend beyond making the appointments. Basis of Presentation - Government-wide and fund financial statements Government-wide statements are comprised of the Statement of Net Position and the Statement of Activities. They contain information on all of the activities of the primary government and its component units except for fiduciary activities. Most effects of inter-fund activities have been eliminated from these statements. The exceptions are (1) payments-in-lieu-of-taxes the General Fund charges enterprise funds; (2) charges for water, sewer, storm-water and refuse that all customers pay to these enterprise funds and (3) charges for centrally provided services of the General Fund that benefit the receiving fund. Examples are payroll, purchasing, human resources and legal services. The government-wide statements for the primary government are separated based on the predominance of the type of revenues that support them. Governmental activities are normally supported by taxes and intergovernmental revenues, while business-type activities receive a significant portion of revenues from fees and charges for services. Certain entities that are legally separate, but financially accountable to the primary government are reported separately on the government-wide statements. The City currently has two of these entities, its discretely presented component units. The statement of activities is presented to show the extent that program revenues of a given activity support direct expenses. Direct expenses are those that can clearly be associated with a SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 48 particular activity or program. Program revenues are: (1) charges to customers or others who purchase, use or directly benefit from the services or goods provided by a given activity or segment or (2) grants or other contributions that are restricted to operating or capital needs of a specific activity or segment. General revenues are those revenues like taxes and other items that are not properly reported as program revenues. Separate financial statements are included for governmental funds, proprietary funds and fiduciary funds. Fiduciary funds, however, are not included in the totals for the government-wide financial statements. Major individual governmental funds are reported in separate columns in the governmental funds statements, as are major individual proprietary funds in the proprietary funds statements. Measurement focus and basis of accounting Measurement focus refers to the types of assets that appear on the statement of net position and changes to those same assets that appear on the statement of changes in net position. The current financial resources measurement focus shows current assets, liabilities and deferred inflows on the statement of net position and changes to net position in the statement of changes in net position. The flow of economic resources measurement focus shows total assets, deferred outflows, liabilities and deferred inflows on the statement of net position and changes to net position on the statement of changes in net position. Basis of accounting refers to when revenues and expenditures or expenses are recognized in the accounts and reported in the financial statements. Government-wide, proprietary and fiduciary fund statements use the economic resources measurement focus and the accrual basis of accounting. Revenues are recognized in the accounting period in which they are earned and expenses are recognized in the period incurred, regardless of the timing of the related cash flows. Un-billed fees for proprietary funds are recorded as receivables at year end. Property taxes are recorded as revenues in the year for which they are levied. Grants and similar other contributions are recognized as revenue as soon as the eligibility requirements of the provider have been met. The City’s major enterprise funds are: (1) The Department of Airports, (2) Water Utility Fund, (3) Sewer Utility Fund, (4) Stormwater Utility of Salt Lake City and (5) The Redevelopment Agency whose purpose is described previously in the section titled “Blended Component Units”. The Water Utility collects or purchases fresh water, then treats it, and delivers the now potable water to nearly all residents and businesses located in the City and many residents and businesses located geographically outside the boundaries of the City. The Department of Airports operates the Salt Lake City International Airport, Airport II and the Tooele Valley Airport, the latter two of which are located outside the boundaries of The City. The Sewer Utility Fund provides treatment and disposition services for waste water. The Stormwater Utility provides treatment and disposition services for storm runoff. In addition to the major enterprise funds, The City also operates five non-major enterprise funds and five internal service funds. The non-major enterprise funds are the Street Lighting Utility, Housing SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 49 and Loan, Golf, and Refuse Collection. The Street Lighting Utility provides general street lighting for residents and commercial property owners. The Housing and Loan Fund provides loans to low and moderate-income families and individuals as well as businesses. Resources for these loans are received from a variety of sources including federal government, state government, financial institutions and internally generated sources. The Housing and Loan Fund also services these same loans. The Golf Fund operates all City-owned golf courses, while the Refuse Fund provides refuse collection and recycling services for residences and businesses of the City. Internal service funds provide services to other departments or agencies of the City on a cost reimbursement basis. The internal service funds are Fleet Management, Information Management, Risk Management, Governmental Immunity and the Local Building Authority. The Fleet Management fund owns and services all vehicles of the governmental funds and services vehicles owned by many of the enterprise funds. Information Management maintains the infrastructure for the hard-wired telephone system, centralized computer services and the network of personal computers. Risk Management provides centralized services for the employee benefits of health, life, accident, dental, and long-term disability as well as unemployment, workers’ compensation and property insurance needs. The Governmental Immunity Fund manages the City’s general liability activities. The Local Building Authority’s purpose is discussed previously in the section titled “Blended Component Units”. The fiduciary fund is the Executive Deferred Compensation Fund. The City is the trustee for this fund and manages it in accordance with provisions of the Utah State Money Management Act and the City’s own ordinances, policies and procedures. In the past, city executives could elect to have some or all of their deferred compensation contributed to this fund, but it is now closed to further contributions. Proprietary funds separate operating and non-operating revenues and expenses. Operating revenues and expenses normally arise from providing goods and services in connection with the fund’s normal ongoing operations. The principal source of operating revenues for the proprietary funds and the internal service funds are charges to customers for goods and services. Operating expenses include the cost of sales and services, administrative overhead expenses and depreciation on capital assets. All other revenues or expenses are recorded as non-operating. Governmental fund statements use the current financial resources measurement focus and the modified accrual basis of accounting. Under the modified accrual basis, revenues are recognized when they become measurable and available. "Measurable" means that amounts can be reasonably determined within the current period. "Available" means that amounts are collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. As a practical matter, the City uses two months as a cutoff for meeting the available criterion. Property taxes are considered “measurable” when levied and available when collected and held by Salt Lake County (the County). Any amounts not available are recorded as deferred inflow of resources. Franchise taxes are considered "measurable" when collected and held by the utility company, and are recognized as revenue at that time. Other revenues that are determined to be susceptible to accrual include grants-in-aid earned and other intergovernmental revenues, charges for services, interest, assessments, inter-fund service charges, permits, fines, forfeitures, parking ticket and meter fees, and sale of property. Property taxes and assessments are recorded as receivables when levied or assessed; however, they are reported as deferred SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 50 outflow of resources until the "available" criterion has been met. Sales and use taxes collected by the state and remitted to the City within the “available” time period are recognized as revenue. Revenues collected in advance are recorded as advances and recognized in the period to which they apply. Revenues that are determined to not be susceptible to accrual because they are either not available soon enough to pay liabilities of the current period (two months) or are not objectively measurable include licenses, contributions, and miscellaneous revenues. These revenues are recognized when cash is received. Expenditures are recognized in the accounting period in which the fund liability is incurred, except for long-term obligations (debt service payments, long term compensated absences and other post-employment benefits) and related interest which are recognized as expenditures when due. Inventories of supplies are expended when purchased. The City has three major governmental funds, the General Fund, the Capital Projects Fund and the Other Improvements Debt Service Fund. The General Fund is the main operating fund. It accounts for all financial resources of the general government, except for those required to be accounted for in another fund. The Capital Projects Fund accounts for resources dedicated to the construction or improvement of capital assets, which may take more than one budgetary cycle to complete. These constructed or improved capital assets are for the benefit of any or all governmental funds. The Other Projects Debt Service Fund accounts for all debt service activities except special improvement debt. In addition to the listed major governmental funds, the City also has a total of eleven non-major governmental funds: (1) the Arts Council, (2) Downtown Economic Development, (3) Community Development Block Grant (CDBG) Operating, (4) Grants Operating, (5) Street Lighting, (6) Demolition, Weed & Forfeiture, (7) Emergency 911 Dispatch, (8) Salt Lake City Donation, (9) Transportation Fund, (10) DEA and (11) Special Improvement Debt Service. In 2018 the State of Utah imposed a statewide .25% sales tax to be used for transportation. The City created a new transportation special revenue fund to collect and spend the sales tax to improve transportation within the City. The last one is a debt service fund while the first ten are special revenue funds. Budgets and budgetary accounting Budgets are legally required for governmental funds. The City has a policy of budgeting for proprietary funds. Annual budgets are prepared and adopted by the City Council on or before June 22 for the fiscal year commencing the following July 1, in accordance with Utah State law. The operating budget includes proposed expenditures and the proposed sources of financing for such expenditures. Prior to June 22, a public hearing is conducted to obtain taxpayer input. Budgets are adopted by ordinance in total for each department. Expenditures cannot exceed appropriations at the department level. For budgetary purposes, the City considers each enterprise fund to be a department. Management can move budgeted amounts from one line item to another within a department or decrease appropriations. The City Council can increase appropriations after holding a public hearing. During the year ended June 30, 2024, the City Council passed several supplementary appropriations. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 51 The General Fund budget is prepared using the modified accrual basis of accounting adjusted for encumbrances and changes in compensated absences. Encumbrance accounting is used by the City to assure effective budgetary control and accountability, and to comply with State law. However, only the General Fund budget is prepared under the assumption that actual expenditures will be adjusted for encumbrances. Unencumbered General Fund appropriations lapse at year end and encumbered amounts carry over to the subsequent year. Generally accepted accounting principles require that open encumbrances not be reported with expenditures. However, in the General Fund budget to actual financial statement, the actual amounts are adjusted to include encumbrances. Compensated absences are budgeted on a cash basis. Non-cash changes in the balances of compensated absences are therefore eliminated for budgetary purposes. Lease purchases are budgeted in the year payments are due rather than in the year purchased. Budgets for the Special Revenue Funds, Debt Service Funds and the Capital Projects Fund are also prepared using the modified accrual basis of accounting and are adopted on an annual basis. The budget for the Community Development Operating, Grants Operating (special revenue funds), and the Capital Projects Fund are prepared annually for a specific set of projects. The Debt Service Funds' budgets are not prepared by project. By state law only budgets in the Capital Projects Fund do not lapse at year-end. Therefore any remaining budget in the Grants Operating Fund and the Community Development Operating Fund are re-appropriated by Council action in the following year. State law also requires a budget comparison for all funds for which an annual budget is adopted. In these three funds, the Council adopts the entire amount of the project, even though the project may not be completed in the first year. As a result, the budget comparisons on an annual basis may show large amounts of unexpended appropriations. Budgets for the Downtown Economic Development Fund, Street Lighting Fund, Demolition, Weed Abatement & Forfeiture Fund, Emergency 911 Fund, Salt Lake City Donations Fund, DEA and the Transportation Fund (special revenue funds) lapse at year end. Encumbrances are not reported as expenditures, but where necessary, are re-appropriated in the ensuing year's budget. Budgets for the proprietary funds are prepared using the accrual basis of accounting except for depreciation, lease amortization, and the changes in compensated absences and other post-employment benefits, which are not budgeted. Budgets are adopted for the entire amount of estimated proceeds from the sale of property and equipment rather than on the gain or loss from the sale as is reported in the financial statements. Budgets are also adopted for the entire amount of any debt issued to finance multi- year acquisition and construction projects. Budget comparisons in the proprietary funds may therefore show large amounts of unexpended appropriations for construction projects. These unexpended amounts are re-appropriated the following year. Cash, Cash Equivalents and Investments The City complies with GASB Statement No. 72 Fair Value Measurement and Application. The statement requires certain investments to be reported at fair value and the change in fair value to be included in revenues or expenses. The City’s policy is to report all investments at fair value except for money market investments and interest-earning investment contracts with a remaining maturity at time of purchase of ninety days or less. These are reported at amortized cost. The City’s investment in the SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 52 State Treasurer’s Pool has a fair value equivalent to the value of the pool shares. This pool is administered by the State of Utah and is regulated by the Money Management Council under provisions of the Utah State Money Management Act. In all statements, the City considers all highly liquid investments (including restricted assets) that mature within ninety days or less when purchased to be cash equivalents. Inventories of supplies Inventories of supplies are valued at cost using the first-in/first-out method and consist of expendable supplies and merchandise. The cost of such inventories is recorded as expenditures/expenses when used (consumption method). Depreciable capital assets Capital assets are valued at historical cost or estimated historical cost for assets where actual historical cost was not available. Donated capital assets are valued at their acquisition costs. In the event that donated capital assets are received under a service concession agreement those assets would be recorded at acquisition value. The City has a capitalization threshold of $100,000 for infrastructure in the public right of way and $5,000 for all other assets. The City does not capitalize interest as part of construction in process. Depreciation of capital assets is computed using the straight-line method over the following estimated useful lives: Buildings 35-60 years Building improvements 5-40 years Improvements other than buildings 25-35 years Machinery and equipment, including right-to-use assets for leased property 3-20 years Infrastructure in public way; Roads, signals, lights and bridges 20-50 years Water and sewer lines 13-100 years Construction in Progress is not depreciated until the asset is placed into service Right to use leased assets are recognized at the lease commencement date and represent the City's right to use an underlying asset for the lease term. Lease assets are measured at the initial value of the lease liability plus any payments made to the lessor before commencement of the lease term, less any lease incentives received from the lessor at or before the commencement of the lease term, plus any initial direct costs necessary to place the lease asset into service. Lease assets are amortized over the shorter of the lease term or useful life of the underlying asset using the straight line method. The amortization period varies from two to 20 years. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 53 Right to use subscription IT assets are recognized at the subscription commencement date and represent the City's right to use the underlying IT asset for the subscription term. Right to use subscription IT assets are measured at the initial value of the subscription liability plus any payments made to the vendor at the commencement of the subscription term, plus any capitalizable initial implementation costs necessary to place the subscription asset into service. Right to use subscription IT assets are amortized over the shorter of the subscription term or useful life of the underlying asset using the straight-line method. The amortization period varies from three to five years. Bond Premiums and Discounts Amortization of bond premiums or discounts are computed on the effective interest or straight- line method over the life of the related bonds. When the straight-line method is used, it approximates the effective interest method. Bond issue costs are expensed in the period in which the debt is incurred. Lease Receivables Lease receivables are recorded by the City as the present value of future lease payments expected to be received from the lessee during the lease term, reduced by any provision for estimated uncollectible amounts. Lease receivables are subsequently reduced over the life of the lease as cash is received in the applicable reporting period. The present value of future lease payments to be received are discounted based on the interest rate the City charges the lessee. Property taxes Ad valorem (based on value) property taxes constitute a major source of General Fund revenue. Taxes are levied through the passage of an ordinance in June of each year. The levy is applicable to only one year. All taxable property is required to be assessed and taxed at a uniform and equal rate on the basis of its fair market value. The State Tax Commission is required to assess certain statutorily specified types of property including public utilities and mining property. The county assessor is required to assess all other taxable property, and both entities are required to assess the respective types of property as of January 1, the assessment date. The County is then required to complete the tax rolls by May 15. By July 21, the county treasurer is to mail assessed value and tax notices to property owners. Then a taxpayer may petition the county board of equalization between August 1 and August 15 for a revision of the assessed value. Approved changes in assessed value are made by the county auditor by November 1 and on this same date the auditor is to deliver the completed assessment rolls to the county treasurer. Tax notices are mailed with a due date of November 30, and delinquent taxes are subject to a penalty. Unless the delinquent taxes and penalties are paid before January 15, a lien is attached to the property, and the amount of taxes and penalties bear interest from January 1 until paid. If after five years delinquent taxes have not been paid, the County sells the property at a tax sale. Tax collections are remitted to the City from the County on a monthly basis. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 54 GASB Statement No. 33, Accounting and Financial Reporting for Nonexchange Transactions, defines a non-exchange transaction as one in which “a government either gives value to another party without directly receiving equal value in exchange or receives value from another party without directly giving equal value in exchange.” For property taxes, at January 1 of each year (the assessment date), the City has the legal right to collect the taxes, and in accordance with the provisions of the statement, has recorded a receivable and a corresponding deferred inflow of resources for the assessed amount of those property taxes as of January 1, 2024. Interfund transactions In the normal course of its operations, the City has various transactions between funds. Various City funds provide a number of services such as administrative, fleet maintenance, and information processing to certain other City funds. Charges are treated as revenues in the fund providing the service and as operating expenses in the fund receiving the service (see note 11). Transfers are recognized as transfers in and out, respectively, by the funds receiving and providing the transfer. Short-term payables are shown as due to/from other funds. Long-term payables are shown as advances to/from other funds. Long-term liabilities Long-term liabilities that will be financed from governmental funds are accounted for in the governmental activities portion of the government-wide statements, while those of proprietary funds are accounted for in their respective fund. Lease liabilities represent the City's obligation to make lease payments arising from the lease. Lease liabilities are recognized at the lease commencement date based on the present value of future lease payments expected to be made during the lease term. The present value of lease payments are discounted based on a borrowing rate determined by the City. Subscription liabilities Subscription liabilities represent the City's obligation to make subscription payments arising from the subscription contract. Subscription liabilities are recognized at the subscription commencement date based on the present value of future subscription payments expected to be made during the subscription term. The present value of subscription payments are discounted based on a borrowing rate determined by the City. Pensions The City complies with GASB Statement 68, Accounting and Financial Reporting for Pensions which measures the net pension liability, deferred outflows of resources and deferred inflows of resources related to pensions, and pension expense, information about the fiduciary net position of the Utah Retirement Systems Pension Plan (URS). Additions to/deductions from the URS’s fiduciary net position have been determined on the same basis as they are reported by URS. For this purpose, benefit payments (including refunds of employee contributions) are recognized when due and payable in accordance with the benefit terms. Investments are reported at fair value. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 55 Deferred Outflows/Inflows of Resources In addition to assets, the statements of financial position will sometimes report a separate section for deferred outflows of resources. This separate financial element, deferred outflows of resources, represents a consumption of net assets that applies to future periods and so will not be recognized as an outflow of resources (expenditure/expense) until then. The business type fund statements and government wide statements of net position report deferred outflow on the refunding of debt, unrecognized items not yet charged to pension expense and contributions from the employer after the measurement date but before the end of the employer's reporting period. In addition to liabilities, the statement of financial position will sometimes report a separate section for deferred inflow of resources. This separate financial statement element, deferred inflows of resources, represent an acquisition of net assets that applies to future periods and so will not be recognized as an inflow of resources (revenues) until that time. The government has items which qualify for reporting in this category. The governmental funds report unavailable revenue from property taxes and unavailable grant revenue. The government wide statement of net position reports unavailable revenue from property taxes and unearned annuity interest. These amounts are deferred and recognized as an inflow of resources in the period that the amounts become available. The government wide statement of net position also includes the unamortized portion of the net difference between projected and actual earnings on pension plan investments and other unrecognized items not yet charged to pension expense. The City also has deferred inflows related to leases where the City is the lessor and is reported in the statement of net position. The deferred inflows of resources related to leases are recognized as an inflow of resources (revenue) on the straight line method over the term of the lease. Fund Balance When both restricted and non-restricted fund balance is available for expenditure appropriation, the City’s policy is to use restricted fund balance first. When committed, assigned or unassigned fund balance is available to use for expenditure appropriation, the City’s policy is to use committed first, assigned second and then unassigned fund balance. Fund balance commitments would be made by the City’s legislative body, the City Council by ordinance in formal action in a public meeting. Fund balance assignments are made possible by the City Council by legally approving budgets in the governmental funds. For the General Fund, any year-end outstanding encumbrance that has been created by a City official with signatory authority and is within the budget constraints set by the Council is an assignment of fund balance. For other governmental funds any fund balance that is not restricted is assigned to the same purpose as it was originally appropriated by the City Council. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 56 Net Position The City’s net position is classified as follows: (1) Net investment in capital assets consists of the total investment in capital assets, net of accumulated depreciation and reduced by the outstanding debt obligations related to those assets. To the extent debt has been incurred, but not yet expended for capital assets, such amounts are not included as a component of net investment in capital assets; (2) Restricted for capital projects are amounts that are restricted by debt covenants to be expended for capital assets; (3) Restricted for debt service consists of that portion of net position that is restricted by debt covenants for debt service; (4) Unrestricted net position consists of everything else that does not meet the criteria above. Land and buildings held for resale The cost of land and buildings held for resale in the Housing and Loan Fund and Redevelopment Agency (enterprise funds) are capitalized until the related property is subsequently sold. Land and buildings held for resale are carried at the lower of cost, market, or committed sales price. Costs of buildings and improvements that management determines are not recoverable are expensed. Gains and losses on dispositions of land and buildings held for resale are included in the operating statement. Use of Estimates in Preparing Financial Statements The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires the management of the City to make estimates and assumptions that affect the reported amounts of assets and liabilities. Estimate use also requires the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. Total columns The total columns shown on the accompanying fund financial statements are mathematical totals only and do not eliminate inter-fund transactions or include other entries required to present consolidated financial statements. The government-wide financial statements do, however, eliminate most inter-fund transactions and the double counting of revenues and expenses. They are therefore much closer to the consolidated financial statements presented in private sector accounting. 2. Cash, Cash Equivalents and Investments The City maintains a cash pool and an investment pool that are available for use by all funds. Each fund type's portion of these pools is included in the combined balance sheet as "Cash and cash equivalents" and "Investments". Also included are investments separately held by several of the City's funds. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 57 It is the policy of Salt Lake City Corporation to invest public funds in accordance with the principles of sound treasury management and in compliance with state and local laws, regulations, and other policies governing the investment of public funds, specifically, according to the terms and conditions of the Utah State Money Management Act of 1974 and Rules of the State Money Management Council as currently amended (the “Act”), and the City’s own written investment policy. Public treasurers may use investment advisers to conduct investment transactions on behalf of public treasurers as permitted by statue, Rules of the Money Management Council and local ordinance or policy. Investment advisers must be certified by the Director of the Utah State Division of Securities of the Department of Commerce (the “Director”) and meet the requirements of the Utah Money Management Act (Rule 15 of the State Money Management Council). Broker/dealers and agents who desire to become certified dealers must be certified by the Director and meet the requirements of the Utah Money Management Act (Rule 16 of the State Money Management Council). Only Qualified Depositories as certified by Utah’s Commissioner of Financial Institutions are eligible to receive and hold deposits of public funds (Rule 12 of the State Money Management Council). The Utah Money Management Council issues a quarterly list of certified investment advisers, certified dealers, and qualified depositories authorized by state statute to conduct transactions with public treasurers. Transactions involving authorized deposits or investments of public funds may be conducted only through issuers of securities authorized by Section 51-7-11(3), qualified depositories included in the current state list and certified dealers included in the current state list. All securities purchased through a certified investment adviser or certified dealer are required to be delivered to the custody of the City Treasurer or to the City’s safekeeping bank or trust company. The City may place public money in investments/deposits authorized by the Money Management Act (U.C.A. 51-7-11). The Treasurer shall ensure that all purchases and sales of securities are settled within 15 days of the trade date for outstanding issues, and 30 days on new issues. In general these investments can be any of the following subject to restrictions specified in the Act: (1) Obligations of the U.S. Treasury and most Government-Sponsored Agencies; (2) Commercial paper that is classified as “first tier” by two nationally recognized statistical rating organizations, one of which must be Moody’s Investors Service or Standard & Poor’s; (3) Bankers’ Acceptances; (4) Publicly traded fixed rate corporate obligations rated “A” or higher, or the equivalent of “A” or higher, by two nationally recognized statistical rating organizations; (5) Certain variable rate securities and deposits with the same rating requirements as the fixed rate corporate obligations; (6) Utah State Public Treasurer’s Investment Pool; (7) Certain fixed rate negotiable deposits with a qualified depository or through a certified dealer; (8) Qualifying repurchase agreements. The City did not enter into any reverse repurchase agreements during the year ended June 30, 2024. City policy provides that not more than 25% of total City funds or 25% of the qualified depository's allotment, whichever is less, can be invested in any one qualified depository. Not more than 20% of total City funds may be invested in any one certified out-of-state depository institution. However, there shall be no limitation placed on the amount invested with the Public Treasurers’ SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 58 Investment Fund (State Treasurer’s Pool) and other money market mutual funds, provided that the overall standards of investments achieve the City’s policy objectives. The City's deposits are insured up to $250,000 per account by the Federal Deposit Insurance Corporation. Deposits above the $250,000 per account are exposed to custodial credit risk. Custodial credit risk for deposits is the risk that in the event of a bank failure, the City’s deposits may not be recovered. The bank balance of the Primary Government’s deposits totaled $27,531,093. Of this amount, $961,323 was insured and the remaining $26,569,770 was uninsured and uncollateralized. The bank balance of the Library component unit totaled $3,361,061. Of this amount, $250,000 was insured and the remaining $3,111,061 was uninsured and uncollateralized. The City has no formal policy regarding deposit credit risk. Investments - The City Treasurer may take physical delivery of securities or may use a qualified depository bank for safekeeping securities. An account with a money center bank may be maintained for the purpose of settling investment transactions, safekeeping and collecting those investments. A safekeeping receipt issued by a qualified depository supports repurchase agreements with qualified depositories; otherwise, the securities are held in the custody of the City Treasurer or the City's safekeeping bank or trust company. Online access to accounts and monthly statements support investments in the State Treasurer’s Pool. All funds pledged or otherwise dedicated to the payment of interest and principal of bonds issued by the City are invested in accordance with the terms and borrowing instruments applicable to such bonds. City policy also provides that the remaining term to maturity of an investment may not exceed the period of availability of the funds invested. The investment of City funds cannot be of a speculative nature. Custodial credit risk for investments is the risk that, in the event of a failure of the counter party, the City will not be able to recover the value of the investment or collateral securities that are in the possession of an outside party. Of the total $1,843,135,426 invested by the City, $25,915,626 was exposed to custodial credit risk. The entire amount exposed was held in the City’s name by the counterparty. Investment interest rate risk is the risk that changes in interest rates of debt investments will adversely affect the fair value of an investment. The City currently has no policy regarding investment interest rate risk. The table below shows the maturities of the City’s investments. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 59 Fair Investments maturities (in years) Primary government: Value Less than 1 1 - 5 6 - 10 More than 10 Debt Securities U.S. Agency Notes $ 394,841,077 $ 147,406,167 $ 247,434,910 $ — $ — Corporate notes 52,011,787 28,393,259 23,618,528 — — Money market mutual funds 25,915,626 25,915,626 — — — $ 472,768,490 $ 201,715,052 $ 271,053,438 $ — $ — Other investments Investment in State Treasurer's Pool 1,370,366,936 Total investments, primary government $ 1,843,135,426 Component units: Other investments Investment in State Treasurer's Pool 19,834,678 Total investments, component units $19,834,678 Investment credit risk is the risk that an issuer or other counterparty to an investment will not fulfill its obligations. Salt Lake City’s policy is to follow the previously described Utah Money Management Act to reduce exposure to investment credit risk. The Library Component unit has funds invested in the Utah State Treasurer's pool. The city measures and records its investment using fair value measurement guidelines established by generally accepted accounting principles. These guidelines recognize a three tiered fair value hierarchy, as follows: Level 1: Quoted prices for identical investment in active markets. Level 2: Observable inputs other than quoted market prices. Level 3: Unobservable inputs The securities classified as Level 1 are valued as stated above. Money markets funds classified as level 2 use published fair value per share (unit) for each share and State Treasurer's Pool funds use the application of the June 30, 2024 fair value as calculated by the Utah State Treasurer, to the City's average daily balance in the Fund. The City currently has no assets that qualify for Level 3 investments. The following table illustrates the investments by the appropriate levels. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 60 Fair Value Fair Value Measurement Using 6/30/2024 Level 1 Level 2 Level 3 Primary government: Debt Securities U.S. Agency Notes $ 394,841,077 $ — $ 394,841,077 $ — Corporate notes 52,011,787 — 52,011,787 — Money market mutual funds 25,915,626 — 25,915,626 — Investment in State Treasurer's Pool 1,370,366,936 — 1,370,366,936 — $ 1,843,135,426 $ — $ 1,843,135,426 $ — Component units: Other investments Investment in State Treasurer's Pool 19,834,678 — 19,834,678 — Total investments, component units $ 19,834,678 $ — $ 19,834,678 $ — At June 30, 2024, the City's investments had the following quality ratings: Fair Quality Ratings Primary government: Value AAAm Am A1m Unrated Debt Securities U.S. Agency Notes $ 394,841,077 $ 394,841,077 $ — $ — $ — Corporate Notes 52,011,787 52,011,787 — — — Money market mutual funds 25,915,626 25,915,626 — — — Investment in State Treasurer's Pool 1,370,366,936 — — — 1,370,366,936 The following is a summary of restricted and unrestricted cash, cash equivalents and investments at June 30, 2024. Primary Government Component Unit Library Component Unit Utah Performing Arts Center Agency Component Unit Gallivan Unrestricted cash and cash equivalents $ 567,236,067 $ 2,450,058 $ 17,011,299 $ 1,631,465 Restricted cash and cash equivalents 656,213,502 ——10,018 Unrestricted investments 483,371,202 19,834,678 —— Restricted investments 144,779,963 ——— Total $ 1,851,600,734 $ 22,284,736 $ 17,011,299 $ 1,641,483 At June 30, 2024, the balances by type were as follows: Deposits (book balance)$ 8,426,694 $ 2,448,003 $ — $ 1,641,483 Investments 1,843,135,426 19,834,678 17,011,299 — Cash on hand 38,614 2,055 — — Total $ 1,851,600,734 $ 22,284,736 $ 17,011,299 $ 1,641,483 SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 61 Concentration of credit risk is the risk of loss attributed to the magnitude of a government’s investment in a single issuer. Salt Lake City’s policy is to follow the Rules of the Money Management Council. Rule 17 of the Money Management Council limits investments in a single issuer of commercial paper and corporate obligations to between 5% and 10% depending upon the total dollar amount held in the portfolio. The City had no debt securities investments as of June 30, 2024 with more than 5% of total investments. Included in both deposits and investments are cash equivalents with an original maturity of ninety days or less. For statement of cash flows and balance sheet purposes, only those items with maturities of ninety days or less when purchased are considered cash and cash equivalents. 3. Loans Receivable The Housing and Loan Fund (an enterprise fund) provides loans to residents for improvements in existing housing within designated project areas. It also provides mortgage loans to residents within the same designated project areas. Some loans are payable in monthly installments, others are due on sale or transfer of ownership of the related property, and other loan payments are deferred. These loans have interest rates ranging from 0% to 7% and are collateralized by property or a letter of credit. Housing loans receivable as of June 30, 2024 were $26,977,565, net of $353,000 estimated as uncollectible. The Redevelopment Agency (RDA - an enterprise fund) provides housing loans to homeowners and construction loans to contractors within designated areas of the City. These loans total $83,308,204 at June 30, 2024, are payable in monthly installments, bear interest from 0% to 7.0% and are collateralized by property, letters of credit or restricted cash accounts. During the second half of FY 2020, construction of the new SLC airport was ongoing and the airlines and concessionaires began their buildouts in the new buildings. When the COVID-19 pandemic hit, many of the tenants were unable to continue funding their buildouts. In order to have the airlines and a certain amount of concessions open and operating when the Terminal Redevelopment Project and the North Concourse Program were completed, the Airport loaned funds to tenants to complete the buildouts. The Airport continued to loan funds through December 2020. These funds will be repaid by the end of FY 2025 with the exception on one loan going through FY 2034. 4. Restricted Assets The bond resolutions require all bond proceeds and revenue earned on bond proceeds to be restricted to the payment of bond construction projects specified within the resolutions, the payment of bond principal and interest, and the renewal and replacement of specified property and equipment. Certain Water Utility certificates of deposit are also restricted for consumer deposits and for contributions for reservoir and supply line construction. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 62 Restricted assets in the Department of Airports (an enterprise fund) are restricted for construction projects at the Airport under the Passenger Facilities Charges (PFC) Program agreement. Restricted assets in the Redevelopment Agency (an enterprise fund) are restricted by provision of bond resolutions. Restricted assets in the Demolition, Weed and Forfeiture special revenue fund are restricted while awaiting the adjudication of Police Department asset seizures related to criminal cases. Restricted assets in the Capital Projects Fund are restricted debt proceeds to be used for capital construction. Restricted assets in the Water, Sewer and Stormwater Utilities (enterprise funds) are restricted by: Bond resolution or contractual agreement for debt service or completion of debt funded capital construction; Bond resolution for renewal and replacement; Customer deposit agreements; and the Utah Impact Fee Act. Restricted assets in the Fleet Management internal service fund are assets held by a trustee and are restricted for the purchase of capital equipment funded by debt proceeds. Restricted assets in the Local Building Authority internal service fund are assets held by a trustee and are restricted for capital construction funded by bond proceeds. Restricted assets in the Other Improvement debt service funds are restricted for debt service. 5. Capital Assets The following table and the one on the following page summarize the changes in capital assets for governmental and business-type activities during the year ended June 30, 2024: SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 63 Beginning Balance Increases Decreases Ending Balance Primary Government Governmental activities: Capital assets, not being depreciated or amortized: Land and water rights $ 215,563,778 $ 3,852,779 $ (138,607,194) $ 80,809,363 Construction in progress 23,387,559 104,700,094 (101,831,351) 26,256,302 Total capital assets, not being depreciated or amortized 238,951,337 108,552,873 (240,438,545) 107,065,665 Capital assets, being depreciated and amortized Buildings 424,290,668 — — 424,290,668 Lease assets 8,319,367 — — 8,319,367 Improvements other than buildings 127,356,927 12,516,768 (2,412,046) 137,461,649 Machinery and equipment 135,204,729 19,250,959 (4,764,569) 149,691,119 Infrastructure 400,289,076 571,554,832 (400,289,075) 571,554,833 Subscription assets 10,405,778 — — 10,405,776 Total capital assets being depreciated and amortized 1,105,866,545 603,322,559 (407,465,690) 1,301,723,416 Less accumulated depreciation and amortization: Buildings 146,553,118 9,014,921 — 155,568,039 Lease assets 1,623,778 880,008 — 2,503,786 Improvements other than buildings 49,050,548 5,910,721 — 54,961,269 Machinery and equipment 103,499,267 10,737,585 (2,604,925) 111,631,927 Infrastructure 166,207,477 12,338,136 — 178,545,613 Subscription assets 792,858 1,585,718 — 2,378,576 Total accumulated depreciation and amortization 467,727,046 40,467,089 (2,604,925) 505,589,210 Total capital assets, being depreciated and amortized, net 638,139,499 562,855,470 (404,860,765) 796,134,202 Governmental activities capital assets, net $ 877,090,836 $ 671,408,343 $ (645,299,310) $ 903,199,867 Business-type activities Capital assets, not being depreciated or amortized: Land and water rights $ 210,788,512 $ 5,624,512 $ (2,578,326) $ 213,834,698 Construction in progress 1,419,822,172 770,729,798 (607,840,251) 1,582,711,719 Total capital assets, not being depreciated or amortized 1,630,610,684 776,354,310 (610,418,577) 1,796,546,417 Capital assets, being depreciated and amortized Buildings 2,441,237,231 370,384,404 — 2,811,621,635 Improvements other than buildings 1,631,392,230 160,270,416 — 1,791,662,646 Infrastructure 803,662,575 35,928,574 (46,237) 839,544,912 Machinery and equipment 458,945,782 90,941,352 (11,998,470) 537,888,664 Subscription assets 5,270,522 109,401 — 5,379,923 Total capital assets being depreciated and amortized 5,340,508,340 657,634,147 (12,044,707) 5,986,097,780 Less accumulated depreciation and amortization: Buildings 421,159,154 84,614,207 — 505,773,362 Improvements other than buildings 703,776,365 62,159,251 — 765,935,616 Machinery and equipment 189,386,844 26,382,276 (10,510,863) 205,258,258 Infrastructure 255,932,090 16,758,988 (17,429) 272,673,649 Subscription Asset 1,439,077 1,559,193 (19,630) 2,978,640 Total accumulated depreciation and amortization 1,571,693,531 191,473,915 (10,547,921) 1,752,619,524 Total capital assets, being depreciated and amortized, net 3,768,814,809 466,160,232 (1,496,786) 4,233,478,256 Business-type activities capital assets, net $ 5,399,425,493 $ 1,242,514,542 $ (611,915,363) $ 6,030,024,672 SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 64 Depreciation and amortization expense for the year ended June 30, 2024 for governmental and business type activities is shown in the table below. Depreciation Governmental activities: Expense General Government $ 11,211,216 Public Lands 2,443,290 Mayor 1,505 City Attorney 934 Finance 2,540,088 Human Resources 4,264 Fire 341,771 Combined Emergency Services 71,962 Police 436,858 DEA 141,812 Community and Economic Development 589,116 Public Services 2,398,003 Infrastructure Depreciation 11,798,671 Capital assets held by the government's internal service funds are charged to the various functions based on their usage of the assets 8,487,600 Total depreciation and amortization expense - governmental activities $ 40,467,089 Business-type activities: Airport Authority $ 162,698,321 Water 11,276,130 Sewer 10,053,362 Storm water 3,279,520 Redevelopment Agency 643,083 Other Activities 3,523,499 Total depreciation and amortization expense - business-type activities $ 191,473,915 SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 65 Capital asset information for the City’s component unit, the Salt Lake City Library is as follows: Beginning Ending Capital assets, not being depreciated: Balance Increase Decrease Transfers Balance Land $ 126,107 $ — $ — $ — $ 126,107 Construction in progress 611,674 4,875,440 — — 5,487,114 Total capital assets, not being depreciated 737,781 4,875,440 — — 5,613,221 Capital assets, being depreciated Buildings 14,475,220 173,078 (587,641) — 14,060,657 Improvements other than buildings 1,892,625 39,325 (9,342) — 1,922,608 Furniture, fixtures and equipment 8,563,577 437,828 — — 9,001,405 Circulating collections 7,251,126 1,101,866 (1,300,903) — 7,052,089 Website development 14,000 — — — 14,000 Subscription right to use asset 531,143 87,831 — — 618,974 Total capital assets being depreciated 32,727,691 1,839,928 (1,897,886) — 32,669,733 Less accumulated depreciation: Buildings (8,317,700) (375,951) 587,641 — (8,106,010) Improvements other than buildings (683,164) (136,954) 9,342 — (810,776) Furniture, fixtures and equipment (5,610,316) (518,446) — — (6,128,762) Circulating collections (4,100,100) (871,386) 1,300,903 — (3,670,583) Website development (11,750) (2,000) — — (13,750) Subscription right to use asset (105,880) (156,721) — — (262,601) Total accumulated depreciation (18,828,910) (2,061,458) 1,897,886 — (18,992,482) Total capital assets, being depreciated net 13,898,781 (221,530) — — 13,677,251 Component unit capital assets, net $ 14,636,562 $ 4,653,910 $ — $ — $ 19,290,472 SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 66 Capital asset information for the City’s component unit, Utah Performing Arts Center Agency is as follows: Beginning Ending Balance Increase Decrease Balance Capital assets being depreciated: Land improvements $ 649,856 $ — $ — $ 649,856 Leased equipment 195,395 — — 195,395 Buildings 130,608,164 — — 130,608,164 Furniture, fixtures, and equipment 466,675 — — 466,675 Total capital assets being depreciated 131,920,090 — — 131,920,090 Less accumulated depreciation: Land improvements (133,332) (48,783) — (182,115) Leased equipment (41,870) (13,957) — (55,827) Buildings (15,996,702) (2,606,722) — (18,603,424) Furniture, fixtures, and equipment (350,066) (29,211) — (379,277) Total accumulated depreciation (16,521,970) (2,698,673) — (19,220,643) Total capital assets, being depreciated net $ 115,398,120 $ (2,698,673) $ — $ 112,699,447 SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 67 6. Long-term Obligations Changes in long-term obligations Revenue bonds and other long-term liabilities directly related to and intended to be paid from proprietary funds are included in the accounts of such funds. All other long-term obligations of the City are accounted for in the Governmental Activities of the government-wide statements. The table below summarizes changes in long-term obligations for the year ended June 30, 2024. Amount of Balance Balance Original Issue June 30,June 30,Due Within (bonds only)2023 Additions Retirements 2024 One Year Governmental Activities General obligation bonds - 2010B $ 100,000,000 $ 44,975,000 $ — $ 5,060,000 $ 39,915,000 $ 5,210,000 General obligation bonds - 2013A 6,395,000 735,000 — 735,000 — — General obligation bonds - 2015A 14,615,000 5,740,000 — 1,085,000 4,655,000 1,115,000 General obligation bonds - 2017B 12,920,000 9,620,000 — 1,210,000 8,410,000 1,235,000 General obligation bonds - 2019A 17,540,000 11,045,000 — 485,000 10,560,000 505,000 General obligation bonds - 2019B 5,300,000 3,420,000 — 505,000 2,915,000 525,000 General obligation bonds - 2020 17,745,000 12,200,000 — 500,000 11,700,000 525,000 General obligation bonds - 2021 20,660,000 16,230,000 — 610,000 15,620,000 640,000 General obligation bonds - 2022 21,785,000 19,355,000 — 640,000 18,715,000 670,000 General obligation bonds - 2023 24,765,000 — 24,765,000 915,000 23,850,000 785,000 Sales tax revenue bonds - 2013B 7,315,000 355,000 — 355,000 — — Sales tax revenue bonds - 2014B 10,935,000 7,460,000 — 515,000 6,945,000 535,000 Motor fuel revenue bonds - 2014 8,800,000 960,000 — 960,000 — — Sales tax revenue bonds - 2016A 21,715,000 13,880,000 — 2,125,000 11,755,000 2,190,000 Sales tax revenue bonds - 2019A 2,620,000 1,270,000 — 295,000 975,000 310,000 Sales tax revenue bonds - 2019B 58,540,000 56,790,000 — 490,000 56,300,000 500,000 Sales tax revenue bonds - 2021 15,045,000 14,840,000 — 535,000 14,305,000 1,240,000 Sales tax revenue bonds - 2022A 8,900,000 8,320,000 — 615,000 7,705,000 655,000 Sales tax revenue bonds - 2022B 40,015,000 40,015,000 — — 40,015,000 — Sales tax revenue bonds - 2022C 24,240,000 24,240,000 — 1,925,000 22,315,000 2,020,000 Governmental bank notes Chase — 469,143 — 183,177 285,966 189,119 Siemens 4,926,117 — 785,283 4,140,834 820,061 State of Utah 7,000,000 6,582,709 — 402,564 6,180,145 422,019 General compensated absences — 23,567,303 22,388,938 22,582,461 23,373,780 21,737,615 Internal Service Fund Debt: Lease revenue bonds - 2013A 7,180,000 330,000 — 330,000 — — Lease revenue bonds - 2014A 7,095,000 — — — — — Lease revenue bonds - 2016A 6,755,000 5,220,000 — 280,000 4,940,000 290,000 Lease revenue bonds - 2017A 8,115,000 6,950,000 — 320,000 6,630,000 340,000 ISF bank notes Key Bank — 377,927 — 377,927 — — Chase — 7,659,252 913,268 3,004,330 5,568,190 1,294,573 ISF compensated absences — 2,117,456 2,011,583 1,875,035 2,254,004 2,096,224 Governmental premiums/discounts — 15,796,746 120,893 1,999,451 13,918,189 — Total Governmental long-term debt $ 365,446,654 $ 50,199,682 $ 51,700,228 $ 363,946,108 $ 45,849,611 SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 68 Amount of Balance Balance Original Issue June 30,June 30,Due Within (bonds only)2023 Additions Retirements 2024 One Year Business-type Activities Sewer 2009 Series $ 6,300,000 $ 2,520,000 $ — $ 315,000 $ 2,205,000 $ 315,000 Sewer 2010 Series 12,000,000 5,370,000 — 610,000 4,760,000 625,000 Storm 2011 Series 8,000,000 2,250,000 — 545,000 1,705,000 555,000 Sewer and Storm 2012 Series 28,565,000 4,160,000 — 2,415,000 1,745,000 575,000 Sewer and Storm 2017 Series 72,185,000 58,535,000 — 4,090,000 54,445,000 3,190,000 Water 2020 Series 157,390,000 157,390,000 — — 157,390,000 3,175,000 Sewer and Storm 2022 Series 329,025,000 329,025,000 — — 329,025,000 5,830,000 Federal Loan - Utilities 13,267,190 178,376 — 13,445,566 — Redevelopment Agency 2013A tax increment 64,730,000 3,765,000 — 3,765,000 — — Redevelopment Agency 2015A tax increment 12,215,000 8,845,000 — 1,300,000 7,545,000 1,380,000 Redevelopment Agency 2019 tax increment 44,640,000 41,720,000 — 4,775,000 36,945,000 4,885,000 Airport 2017A 826,210,000 808,925,000 — — 808,925,000 7,065,000 Airport 2017B 173,790,000 169,590,000 — — 169,590,000 955,000 Airport 2018A-2018B 850,550,000 850,550,000 — 24,000,000 826,550,000 8,000,000 Airport 2021A 776,925,000 775,520,000 — 1,620,000 773,900,000 7,820,000 Airport 2021B 127,645,000 127,475,000 — 195,000 127,280,000 1,225,000 Airport 2023A 600,000,000 — 600,000,000 — 600,000,000 — Enterprise bank notes Chase 4,831,036 — 1,746,491 3,084,545 1,319,145 Siemens 4,785,705 — 385,309 4,400,397 413,761 Loan financing notes (Ally/UBS) 3,454,092 — 743,077 2,711,014 660,764 Enterprise compensated absences 11,810,108 — 692,863 11,117,245 2,174,743 RDA premiums/discounts (27,637) — (27,637) — — Airport premiums/discounts 383,526,499 56,221,000 18,994,855 420,752,644 — Utilities premiums/discounts 62,506,051 — 2,559,350 59,946,701 — Total Business-type long-term debt $ 3,829,793,044 $ 656,399,376 $ 68,724,308 $ 4,417,468,112 $ 50,163,413 Total long-term debt $ 4,195,239,698 $ 706,599,058 $ 120,424,535 $ 4,781,414,220 $ 96,013,024 Library compensation liability 903,039 1,092,032 1,059,053 936,018 — Total component unit long-term debt $ 903,039 $ 1,092,032 $ 1,059,053 $ 936,018 $ — SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 69 The annual debt requirements to maturity, including principal and interest, as of June 30, 2024 are listed in the tables below for debt with regularly scheduled payments: Year Revenue Bonds General Obligation Bonds Ending Governmental Activities Business Activities Governmental Activities June 30 Principal Interest Principal Interest Principal Interest 2025 8,080,000 6,514,002 45,595,000 185,223,164 11,210,000 4,565,003 2026 8,370,000 6,239,201 75,040,000 183,414,271 11,645,000 4,163,483 2027 8,700,000 5,921,518 83,430,000 180,488,407 12,100,000 3,745,358 2028 8,705,000 5,581,601 93,665,000 176,839,240 12,560,000 3,308,323 2029 9,065,000 5,235,063 100,585,000 172,767,446 11,810,000 2,852,123 2030-2034 58,615,000 21,264,220 549,775,000 725,036,944 35,715,000 9,013,664 2035-2039 56,180,000 9,927,960 671,915,000 596,072,488 26,805,000 4,741,582 2040-2044 14,170,000 1,901,500 840,595,000 438,607,750 14,495,000 1,057,850 2045-2049 — — 1,018,465,000 236,377,113 — — 2050-2054 — — 422,945,000 48,071,388 — — Subtotal 171,885,000 69,099,068 3,902,010,000 3,128,121,373 136,340,000 33,447,386 Less (premiums)/discounts (3,104,421) — (425,159,681) — (8,208,482) — Net debt $ 174,989,421 $ 69,099,068 $ 4,327,169,681 $ 3,128,121,373 $ 144,548,482 $ 33,447,386 Year Other Debt Ending Governmental Activities Business Activities June 30 Principal Interest Principal Interest 2025 3,226,842 263,209 3,076,047 276,073 2026 2,059,251 189,152 2,879,218 216,086 2027 1,469,469 146,109 3,143,925 154,658 2028 1,394,769 107,152 2,408,132 119,152 2029 2,510,291 298,329 9,880,505 538,392 2030-2034 1,567,601 61,848 854,315 431,423 2035-2039 — — 990,832 153,435 2040-2044 — — 969,866 161,721 2045-2049 — — 31,250 22,315 Total $ 16,175,135 $ 1,433,759 $ 24,234,091 $ 2,073,256 SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 70 Compensation Liabilities (Compensated Absences) Vacation leave, compensatory leave, and the portion of sick leave that will eventually be paid are recognized as liabilities as they are earned. In the event of termination or retirement, an employee is reimbursed for unused accumulated vacation. Employees participating in Plan A are reimbursed for 25 percent of unused accumulated sick leave upon retirement, or 50 percent if the funds remain with the city to be used for retiree health insurance premium, while those employees participating in Plan B are reimbursed for 50 percent of the earned balance of personal leave upon separation or retirement. Upon retirement any unused severance account balance is reimbursed at 100 percent. The liability for accumulated compensated absences at June 30, 2024 is reported in the individual funds except for the long term portion relating to the governmental funds, which is recorded in the Governmental Activities column of the Government-wide Statements. Compensated absence liabilities in the enterprise and internal service funds have traditionally been liquidated by the specific enterprise or internal service fund to which the employee’s salary is charged. Compensated absences are reported in the governmental funds for unpaid balances of reimbursable unused leave for employees that terminated during the current fiscal year. For governmental funds, any compensated absence liability has typically been liquidated by the General Fund. GASB Statement No 88 - Certain Disclosure Related to Debt, including Direct Borrowings and Direct Placements To comply with GASB Statement No 88 “Certain Disclosures Related to Debt, including Direct Borrowings and Direct Placements, the City has identified bonds that have been directly placed. Also, included in the notes is a section describing direct borrowings by the City. The detail for each direct borrowing lender is also included in the debt tables within this note. General Obligation Bonds On November 18, 2010 the City issued General Obligation Bonds Series 2010B (Series 2010B) in the amount of $100,000,000. The City incurred $160,680 issuance costs, resulting in net proceeds of $99,839,320. The bonds carry an interest rate of 3.02 percent, and were issued to finish the $125,000,000 Public Safety Building and Command Center construction. The remaining balance of the 2010B bonds at June 30, 2024 was $39,915,000. This bond was a direct placement. On March 27, 2013 the City issued General Obligation Series 2013A (Series 2013A) at the par amount of $6,395,000. The bonds were issued with a premium of $622,808 and incurred issuance costs in the amount of $67,650, resulting in net proceeds of $6,950,158. The bonds were issued to defease the par amount of the General Obligation Bonds of Series 2004A due to mature from June 15, 2015 to June 15, 2024 in the total amount of $6,635,000. The net proceeds, along with other available funds were deposited in an irrevocable escrow account with an escrow agent to provide for all future debt service payments on the affected 2004A bonds. As a result, $6,635,000 is considered to be defeased and the SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 71 liability for those bonds was removed from the balance sheet. The advance refunding resulted in a difference between the reacquisition price and the net carrying amount of the old debt of $313,501. While incurring a deferred loss for accounting and reporting purposes, the City realized an economic gain of $1,788,882. The outstanding balance of the 2013A bonds at June 30, 2024 was $0. On February 24, 2015, the City issued Federally Taxable General Obligation Refunding Bonds, Series 2015A at the par amount of $14,615,000. The City incurred a total of $120,808 in issuance costs, resulting in net proceeds of $14,494,192. The bonds carry coupon rates of .45 percent to 3.322 percent and have final maturity date in fiscal year 2028. The bonds were issued to defease the par amount of the General Obligation Bonds Series 2013B due to mature on June 15, 2028 in the amount of $14,423,000. As a result, $14,423,000 is considered to be defeased and the liability for those bonds was removed from the balance sheet. The 2015A Bonds maturing on or after June 15, 2025 are subject to redemption prior to maturity, at the election of the City, on December 15, 2024, and on any date thereafter, in whole or in part, from such maturities or parts thereof as will be selected by the City, at a redemption price equal to 100 percent of the principal amount of the 2015A Bonds to be redeemed plus accrued interest thereon to the date fixed for redemption. While incurring a deferred gain of $71,191 for accounting and reporting purposes, the City realized an economic loss of $150,726. The remaining balance of the defeased bonds at June 30, 2024 was $4,655,000. On October 25, 2017, the City issued General Obligation Refunding Bonds Series 2017B at a par amount of $12,920,000. The bonds carry coupon rates of 2.00 percent to 5.00 percent and have a final maturity of June 15, 2030. The bonds were issued to crossover refund a portion of the General Obligation Series 2010A Build America Bonds which were originally issued for the construction of the Public Safety Building. The crossover refunding results in cash flow savings of $660,669 and resulted in a deferred gain of $1,010,681. The effective discount rate is 2.201%. The remaining balance of the 2017B bonds at June 30, 2024 was $8,410,000. On October 23, 2019, the City issued General Obligation Bonds Series 2019 at par amount of $22,840,000 with a premium of $3,665,151. The bonds carry coupon rates of 4.00 percent to 5.00 percent and have a final maturity date of June 15, 2039. The bonds were issued to fund construction of streets and to refund the General Obligation Bonds Series 2017. The True Interest Cost of the bonds is 2.078%. The refunding of the Series 2017 bonds resulted in net present value savings of $340,911 and a net cash flow savings of $372,874. The remaining balance of the 2019 bonds as of June 30, 2024 was $13,475,000. On September 29, 2020, the City issued General Obligation Bonds Series 2020 at par amount of $17,745,000 with a premium of $2,709,886. The bonds carry coupon rates of 3.00 percent to 5.00 percent and have a final maturity date of June 15, 2040. The bonds were issued to fund street construction. The True Interest Cost of the bonds is 1.63%. The remaining balance of the 2020 bonds as of June 30, 2024 was $11,700,000. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 72 On November 30, 2021, the City issued General Obligation Bonds Series 2021 at par amount of $21,785,000 with a premium of $2,879,180. The bonds carry coupon rates of 3.00 percent to 5.00 percent and have a final maturity date of June 15, 2041. The bonds were issued to fund street construction. The True Interest Cost of the bonds is 1.83%. The remaining balance of the 2021 bonds as of June 30, 2024 was $15,620,000. On October 5, 2022, the City issued General Obligation Bonds Series 2022A at a par amount of $21,785,000 with a premium of $1,709,958. The bonds carry coupon rates of 4.00 percent to 5.00 percent and have a final maturity date of June 15, 2042. The bonds were issued to improve various streets and roads throughout the City and related infrastructure improvements. The True Interest Cost of the bonds is 3.51%. The remaining balance of the bonds as of June 30, 2024 was $18,715,000. On August 23, 2023, the City issued General Obligation Bonds Series 2023 at a par amount of $24,765,000 with a premium of $120,893. The bonds carry coupon rates of 4.67 percent to 5.50 percent and have a final maturity date of June 15, 2043. The bonds were issued to improve various parks, trails and open space and related facilities throughout the City. The True Interest Cost of the bonds is 4.98%. The True Interest Cost of the bonds is 4.98%. The remaining balance of the bonds as of June 30, 2024 was $23,850,000. Sales Tax Revenue Bonds For all of the series of the Sales and Excise Tax Revenue bonds, the City has pledged sales tax revenues as collateral for the bonds. On November 26, 2013, the City issued the Series 2013B Sales and Excise Tax Revenue Bonds in the par amount of $7,315,000 with a final maturity date of October 1, 2033. With the original issuance premium of $568,437 added and a total issuance cost of $ 156,111 subtracted, the net proceeds equaled $7,727,326. The bonds carry interest rates from 4 percent to 5 percent, and were issued to fund the construction and improvements for the Sugar house Streetcar and Greenway project. The outstanding balance of the 2013B bonds at June 30, 2024 was $0. On September 24, 2014, the City issued the Series 2014B Sales and Excise Tax Revenue Bonds in the par amount of $10,935,000 with a final maturity date of October 1, 2034. With the original issuance premium of $621,745 added and a total issuance cost of $188,745 subtracted, the net proceeds equaled $11,368,000. The bonds carry interest rates from 2 percent to 4 percent, and were issued to fund City construction and acquisition projects. The Series 2014B Bonds maturing on or after October 1, 2025, are subject to redemption at the election of the City, on any date on or after October 1, 2024, in whole or in part, from such maturities or parts thereof as shall be selected by the City, upon notice given as provided in the Indenture, at a redemption price equal to 100 percent of the principal amount of the Series 2014B Bonds to be redeemed plus accrued interest thereon to the date fixed for redemption. The outstanding balance of the 2014B bonds at June 30, 2024 was $6,945,000. On June 1, 2016 the City issued Series 2016A Sales and Excise Tax Revenue Refunding Bonds at the par amount of $21,715,000, resulting in a deferred gain of $1,010,681. The bonds were issued SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 73 with a premium of $2,924,990 and incurred a total of $158,354 in issuance costs resulting net proceeds of $24,481,636. The bonds carry coupon rates of 1.5 percent to 4.0 percent and have final maturity date in fiscal year 2029. Bonds maturing after October 1, 2026 are subject to redemption in whole or in part at the election of the City. The redemption price is equal to the principal amount thereof plus accrued interest. The bonds were issued to defease the par amount of the Series 2009A Sales and Excise Tax Revenue Bonds due to mature on October 1, 2029 in the amount of $22,075,000. As a result, $22,075,000 is considered to be defeased and the liability for those bonds was removed from the balance sheet. The outstanding balance of the 2016A bonds at June 30, 2024 was $11,755,000. On December 10, 2019, the City issued Sales Tax Revenue Refunding Bonds Series 2019A at a par amount of $2,620,000 with a premium of $343,625. The bonds carry coupon rates of 4.00 percent to 5.00 percent and have a final maturity of April 1, 2027. The True Interest Cost of the bonds is 1.42%. The bonds were issued to refund the Sales Tax Revenue Bonds Series 2007A and resulted in net present value savings of $299,661. The remaining balance of the 2019A bonds as of June 30, 2024 was $975,000. On December 10, 2019, the City issued Sales Tax Revenue Refunding Bonds Series 2019B at a par amount of $58,540,000. The bonds carry coupon rates of 1.794 percent to 3.102 percent and have a final maturity of April 1, 2038. The bonds have a True Interest Cost of 3.03%. The bonds were issued to refund the Sales Tax Revenue Bonds Series 2013A and resulted in net present value savings of $6,710,695 and a net cash flow savings of $8,618,611. The remaining balance of the 2019B bonds as of June 30, 2024 was $56,300,000. On December 15, 2021, the City issued Sales Tax Revenue Refunding Bond Series 2021 at the par amount of $15,045,000. The bonds carry coupon rates of .48 percent to 2.49 percent and have a final maturity date of October 1, 2034. The bonds were issued to advance refund Sales Tax Revenue Bond Series 2013B and the LBA Series 2013A and 2014A Bonds. The True Interest Cost of the bonds is 2.01%. The bonds resulted in net present value savings of $941,768 and net cash flow savings of $1,112,566. The remaining balance on the Sales Tax Series 2021 as of June 30, 2024 was $14,305,000. On January 13, 2022, the City issued Sales Tax Revenue Refunding Bond Series 2022A at a par amount of $8,900,000 with a premium of $1,511,735. The bonds carry a coupon rate of 4.00 percent and have a final maturity date of June 30, 2033. The bonds were issued to refund Sales Tax Revenue Bond Series 2012A. The True Interest Cost of the bonds is 1.23%. The bonds resulted in net present value savings of $955,814 and net cash flow savings of $1,013,504. The remaining balance of the 2022A bonds as of June 30, 2024 was $7,705,000. On November 17, 2022, the City issued Sales Tax Revenue Bonds Series 2022B at a par amount of $40,015,000 with a premium of $2,782,846. The bonds carry coupon rates of 4.73 percent to 5.21 percent and have a final maturity date of October 1, 2042. The bonds were issued fund construction and improvements of various capital projects, including City Cemetery, 600 North Corridor transformation, new radio towers for City Communication, Westside railroad quiet zones, and Warm Springs Plunge SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 74 structure stabilization and improvements. The True Interest Cost of the bonds is 4.38%. The remaining balance of the bonds as of June 30, 2024 was $40,015,000. On November 17, 2022, the City issued Sales Tax Revenue Bonds Series 2022C at a par amount of $24,240,000. The bonds carry coupon rates of 4.73 percent to 5.21 percent and have a final maturity date of October 1, 2042. The bonds were issued to fund construction and improvements of various capital projects, including Pioneer Park, an upgrade of the electrical transformer at the Central Plant and emergency backup generators, Smith's Ballpark improvements, urban wood reutilization equipment and storage additions, and Fisher Mansion stabilization and improvements. The True Interest Cost of the bonds is 5.05%. The remaining balance of the bonds as of June 30, 2024 was $22,315,000. Motor Fuel Revenue Bonds On August 20, 2014, the City issued Motor Fuel Excise Tax Revenue Bonds, Series 2014 at the par amount of $8,800,000. The City incurred a total of $50,000 in issuance costs, resulting in net proceeds of $8,750,000 deposited to Construction Fund for the construction or acquisition of City projects. The bonds carry a coupon rate of 2.180 percent and have a final maturity date of April 1, 2024. The bonds are not subject to optional redemption. The outstanding balance of the bonds at June 30, 2024 was $0. This bond was a direct placement. Water, Sewer and Stormwater Utility Bonds The bond resolution approved in conjunction with the issuance of the Salt Lake City Water and Sewer Revenue Bonds provides, among other things, that certain funds be established and that certain accounting procedures be followed. Under the terms of the resolution, the City irrevocably pledged the net revenues of the Water and Sewer Utilities to the payment of the bonds and covenanted that rates will be established to yield net revenues, as defined, equal to at least 1.25 times the debt service to become due in the next fiscal year. On November 17, 2009, the Sewer Utility issued $6,300,000 in Revenue Bonds. The 2009 Stimulus Bonds were issued as part of economic stimulus funding through the State of Utah. The Sewer Utility used the funds to replace the digester cover and walls at the reclamation plant facility. These bonds mature 2012 through 2031 with annual principal payments of $315,000 beginning February 2012 and the average interest of 0 percent. The Sewer Utility incurred issuance costs of $69,740 related to the 2009 series bonds. The issuance cost is being amortized commensurate with the debt service payments beginning February 2012. The outstanding balance of the bonds at June 30, 2024 was $2,205,000. This bond was a direct placement. On September 14, 2010, the Sewer Utility issued $12,000,000 in Revenue Bonds at an interest rate of 2.73 percent. The 2010 Series Bonds were issued by direct purchase through JPMorgan Chase Bank as authorized by City Council resolution for the purchase, acquisition and construction of improvements, facilities and properties including the sewer Orange Street trunk line or other various SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 75 improvements. This issue matures February 1, 2031. The outstanding balance of the bonds at June 30, 2024 was $4,760,000. This bond was a direct placement. On October 19, 2011, the Utilities issued $8,000,000 in Revenue Bonds at an interest rate of 2.37 percent. The Series 2011 Bonds were issued by direct purchase through JPMorgan Chase Bank as authorized by City Council resolution for the purchase, acquisition and construction of improvements, facilities and properties including the Folsom Avenue stormwater project or other various stormwater improvements. This issue matures February 1, 2027. The outstanding balance of the bonds at June 30, 2024 was $1,705,000. This bond was a direct placement. On December 11, 2012 the Sewer and Stormwater Utilities issued $28,565,000 ($23,708,950 Sewer and $4,856,050 Stormwater) in Revenue Bonds at an interest rate of 1.73 percent. The Series 2012 Bonds were issued by direct purchase through JPMorgan Chase Bank as authorized by City Council resolution. The principal purpose of the Series 2012 Bonds was to defease a portion of the Series 2004 Bonds; $20,490,662 was placed in escrow that, when combined with related interest earnings, will be necessary to make principal and interest payments totaling $19,145,000 and $1,384,181, respectively. The net carrying amount of the defeased bonds was $20,519,304 ($19,145,000 due at maturity add $1,187,044 of unamortized premium and $372,703 of accrued interest, and less unamortized issuance costs of $185,443). The refunding transaction resulted in a $28,642 deferred inflow of resources, which was amortized through February 2014. The Series 2012 bonds also generated funds of $8,000,814 (after payment of bond issue costs of $73,524) for the construction and purchase of improvements at the Sewer Treatment Plant and other sewer line upgrades. This issue matures February 1, 2027. The outstanding balance of the bonds at June 30, 2024 was $1,745,000. This bond was a direct placement. On April 5, 2017 the Salt Lake City Public Utilities issued $72,185,000 ($6,400,000 Water, $63,569,743 Sewer, and $2,215,257 Street Lighting) in Revenue Bonds. The bonds were issued at a premium of $9,593,680 and carry interest rates of 2.00 percent to 5.00 percent with a final maturity of February 1, 2037. The bonds were issued for the purpose of financing improvements to the City’s water, sewer, storm drain, and street lighting utilities, and refunding a portion of the City’s outstanding water and sewer revenue bonds. The Series 2017A Bonds maturing on or after February 1, 2028 are subject to redemption at the election of the City. The outstanding balance of the bonds at June 30, 2024 was $54,445,000. On August 12, 2020, the Water, Sewer and Stormwater Utilities issued $157,390,000 ($61,362,110 Water, $84,472,630 Sewer and $11,555,260 Stormwater) in Revenue Bonds at an average interest rate of 4.6 percent. The principal purpose of the Series 2020 Bonds was to finance a new water reclamation facility and water treatment plant updates. The Series 2020 bonds will also help finance improvements to the City’s storm drainage system. The issuance resulted in net proceeds of $197,500,000 after premium of $40,810,454 and $700,454 cost of issuance. This issue fully matures February 1, 2050. The outstanding balance of the bonds at June 30, 2024 was $157,390,000. On September 15, 2020, the Utilities’ secured funding from the EPA under the Water Infrastructure Finance and Innovation Act (WIFIA) program of up to $348,635,000. This funding will be SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 76 provided on a reimbursement basis and will be used for the construction of a water reclamation facility to replace the fully depreciated facility that is still in use. The Sewer incurred financial charges of $102,255 related this agreement. The interest rate on the funding is 1.34 percent per year. During fiscal year 2022 the Utilities drew down $13,267,190; accordingly, the outstanding value of this loan on June 30, 2022 is $13,267,190. Accrued interest related to the amount outstanding is $59,250. Under the agreement with the EPA the Utilities will begin repaying the amounts reimbursed by the program plus deferred interest in 2029, and the debt service schedule and future maturities will be determined. On June 29, 2022, the Water and Sewer Utilities issued $329,025,000 ($64,317,477 Water and $264,707,523 Sewer) in Revenue Bonds at an average interest rate of 3.9 percent. The principal purpose of the Series 2022 Bonds is to finance a new water reclamation facility and water treatment plant updates. The issuance resulted in net proceeds of $347,893,193 after premium of $20,291,293 and $1,423,100 cost of issuance. This issue fully matures February 1, 2052. The outstanding balance of the bonds at June 30, 2024 was $64,317,477 and $264,707,523, respectively. Redevelopment Agency Bonds The master indenture approved in conjunction with the issuance of Tax Increment Revenue Bonds provides, among other things, that certain funds are established and certain accounting procedures be followed. Under the terms of this indenture, the Redevelopment Agency irrevocably pledged the incremental property tax revenues and investment income of the Agency to the payment of the bonds and covenanted that the estimated annual tax increment revenues will be equal to at least 1.25 times the debt service to become due in the next fiscal year. In October 2013, the Agency issued $64,730,000 in federally taxable tax increment revenue bonds, with interest rates ranging from 3.0% to 6.0%. The bond proceeds were used to fund the construction of the Eccles Theater. The Agency received net proceeds of $63,929,046, including accrued interest of $1,377,835, and net of issuance costs of $735,103 (which were expensed on the statement of revenues and expenses and changes in net position), and a discount of $65,851, which is being amortized over the life of the bonds using the effective interest method. The outstanding balance of the bonds at June 30, 2024 was $0. In May 2015, the Agency issued $12,215,000 in Series 2015A subordinate tax increment revenue bonds and $1,060,000 in Series 2015B taxable subordinate tax increment revenue bonds (total of $13,275,000) for the construction of the Regent Street Improvements. The interest rates on the Series 2015A and 2015B bonds are 2.57% and 2.66%, respectively. The Agency received net proceeds of $12,543,274, including accrued interest of $631,975 and issuance costs of $99,752, which were both expensed as incurred. The outstanding balance of the 2015A and 2015B bonds at June 30, 2024 was $7,545,000 and $0, respectively. These bonds were direct placement. On December 11, 2019, the RDA issued Tax Increment Revenue Refunding Bonds Series 2019 at par amount of $44,640,000. The bonds carry coupon rates of 1.90 percent to 2.976 percent and have a final maturity date of April 1, 2031. The bonds were issued to refund Tax Increment Bonds Series 2013. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 77 The True Interest Cost of the bonds is 2.745%. The refunding of the Series 2013 bonds resulted in net present value savings of $2,309,062 and a net cash flow savings of $2,639,619. The remaining balance of the 2019 bonds as of June 30, 2024 was $36,945,000. Local Building Authority Bonds On June 20, 2013, the Local Building Authority issued $7,180,000 par Lease Revenue bond Series 2013A. The bonds were issued at a premium of $92,650, carry interest rates of 2.00 percent to 4.00 percent and will be used to construct a new branch Library in the Glendale area of Salt Lake City. The outstanding balance of the bonds at June 30, 2024 was $0. On March 20 2014, the Local Building Authority issued $7,095,000 par Lease Revenue Bonds, Series 2014A. The bonds were issued at a premium of $319,104 and carry interest rates of 2.00 percent to 5.00 percent with final maturity of April 15, 2035. The Series 2014A Bonds maturing on and after April 15, 2024 are subject to redemption on or after October 15, 2023 at a price par. The Authority incurred a total of $134,591 in issuance costs and also funded a capitalized interest fund of $427,724. The net amount of $6,851,788.00 will be used to acquire and construct a new branch Library in the Marmalade area of Salt Lake City. The outstanding balance of the bonds at June 30, 2024 was $0. On March 29, 2016, the Local Building Authority issued $6,755,000 par Lease Revenue Bonds, Series 2016A. The bonds were issued at a premium of $704,812 and carry interest rates of 2.00 percent to 5.00 percent with final maturity of April 15, 2037. The Series 2016A Bonds maturing on and after April 15, 2027 are subject to redemption in whole or in part at par plus accrued interest. The outstanding balance of the bonds at June 30, 2024 was $4,940,000. On April 27, 2017, the Local Building Authority issued $8,115,000 par Lease Revenue Bonds, Series 2017A. The bonds were issued at a premium of $1,324,158 and carry interest rates of 4.00 percent to 5.25 percent with final maturity of April 15, 2038. The Series 2017A Bonds maturing on and after April 15, 2028 are subject to redemption in whole or in part at par plus accrued interest. The outstanding balance of the bonds at June 30, 2024 was $6,630,000. Airport On February 8, 2017 the Salt Lake City Airport issued $1,000,000,000 in Airport Revenue Bonds, Series 2017A & 2017B. The bonds were issued at a premium of $126,480,831 and carry an interest rate of 5.00 percent with a final maturity of July 1, 2047. The bonds were issued for the purpose of financing a portion of the design and construction of the Terminal Redevelopment Program (TRP) and North Concourse Program (NCP). The City currently expects that it will issue additional series of airport revenue bonds to fund approximately $1.1 billion of construction costs of elements of the TRP and NCP in addition to the costs funded with the Series 2017 Bonds. The Series 2017A & B Bonds maturing on or after July 1, 2028 are subject to redemption at the election of the City. The outstanding balance of the bonds at June 30, 2024 was $808,925,000 and $169,590,000, respectively. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 78 On October 31, 2018 the Salt Lake City Airport issued $850,550,000 in Airport Revenue Bonds, Series 2018A & 2018B. The bonds were issued at a premium of $82,567,209 and carry an interest rate of 4.28 percent with a final maturity of July 1, 2048. The bonds were issued for the purpose of completing the construction of the Terminal Redevelopment Program (TRP) and North Concourse Program (NCP). The Series 2018A & B Bonds maturing on or after July 1, 2029 are subject to redemption at the election of the City. The outstanding balance of the bonds at June 30, 2024 was $826,550,000. On August 5, 2021 the Airport issued $776,925,000 of Series 2021A (AMT), and $127,645,000 of Series 2021B (Non-AMT) bonds. The proceeds of the bonds are being used to finance portions of the TRP and NCP. As of June 30, 2022, unspent Series 2021 bond proceeds was approximately $15.8 million. The Series 2021A & B bonds maturing on or after July 1, 2032 are subject to redemption at the election of the City. The outstanding balance of the bonds at June 30, 2024 was $773,900,000 and $127,280,000, respectively. On August 2, 2023, the Airport issued $600,000,000 of Series 2023A (AMT) bonds. The proceeds of the bonds are being used to finance portions of the TRP and NCP. As of June 30, 2024, unspent Series 2023 bond proceeds was approximately $119.1 million. The outstanding balance of the bonds at June 30, 2024 was $600,000,000. Bank Notes The City directly borrows funds from multiple banks and financing companies to purchase equipment for city use. They are listed by bank or agency below: The City has an equipment financing contract with JPMorgan Chase. Equipment such as police vehicles, fire trucks, and other primary government purpose equipment are eligible to be financed under this contract. The City enters into several financing contracts a year with terms less than seven years. The interest rate is fixed and is determined separately for each contract. The initial amount available for financing was $35,000,000 and extends five years ending July 10, 2026. Each financing agreement reduces the amount available regardless of whether the final payment has been paid. As of June 30, 2024, $29,692,897 was still available for equipment purchase financing. Most of the agreements have been for fleet and refuse equipment but there is one agreement for fire apparatus. Public Services has four financing contracts with Siemens Public Inc. to purchase upgraded energy efficient equipment. Two contracts are for city parks, one is for Steiner Aquatics Center equipment and one is for golf courses. In July 2010 $832,588 was borrowed at 4.213 percent with final payment occurring in 2026. In January 2013, $6,315,796 was borrowed at 2.45 percent with the final payment occurring in 2029. These were both used in the parks division to improve efficiency in water usage and irrigation in city parks. A third agreement borrowed $3,470,79 in July 2013 at 2.95 percent maturing in 2030 and used for energy efficient equipment for Steiner Aquatics. The County contributes half of the debt service to the City as both entities agreed to share the cost of the Aquatic SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 79 Center debt. The golf fund borrowed $6,068,464 in December 2014 at 2.5 percent with final payment made in 2031. The funds were used to improve efficiency in water usage and irrigation. The Information Management Services fund, an internal service fund, borrowed $1,420,313 from Key Government Finance, Inc. for system security hardware and software in December 2018. The contract is for a fixed term of 5 years, ending January 21, 2023 with 0 percent interest rate. The fund borrowed $1,889,636 from Key Government Finance, Inc. for system security hardware and software in April 2020. The contract is for a fixed term of 5 years, ending May 24, 2024 with 0 percent interest rate. The Housing and Loan Fund has two contracts that are used to provide mortgage loans for low income housing. The city funds 20 percent of the purchase price and two contracts fund the remaining 80 percent, as described below. In August 2018 multiple bank loans were consolidated and refinanced into one loan with Ally Bank for $9,500,000 at 4.5 percent interest and matures in 2031. The City makes monthly payments plus any principal payments received from low-income borrowers when they sell or refinance their mortgages. For new low-income properties, the City borrows directly from UBS Bank, USA. The is a revolving loan participation agreement with a limit of $5,000,000 and is used to pay 80 percent of participation interest in low-income mortgage loans. Each new mortgage has a different interest rate based on the current federal funds rate. The City receives principal and interest payments from the borrowers and forwards those payments to UBS Bank. Final payments are expected to be made in 2048. The outstanding amount of the Ally Bank and UBS Bank notes as of June 30, 2024 total $2,711,014, as shown on the Business-type Activities loan schedule under "Loan Financing Notes." On March 1, 2021, the Airport entered into a short-term revolving credit facility in which the Airport can access up to $300 million (line of credit) secured by one or more notes; which notes constitute subordinate obligations under the Subordinate Obligation Trust Indenture. The line of credit was terminated in September 2023. 7. Leases Lessor Agreements - Airport The Airport, as a lessor, recognizes a lease receivable and a deferred inflow of resources at the commencement of the lease term, with certain exceptions for leases of assets held as investments, certain regulated leases, short-term leases, and leases that transfer ownership of the underlying asset. As lessor, the asset underlying the lease is not derecognized. The lease receivable is measured at the present value of the minimum lease payments expected to be received during the lease term. The deferred inflow of resources should be measured at the value of the lease receivable in addition to any payments received at or before the commencement of the lease term that relate to future periods. For the purposes of the GASB No. 87 implementation, Airport Leases have been categorized as follows: 1. GASB No. 87 Leases - Included SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 80 2. GASB No. 87 Leases - Excluded Leases - Regulated 3. GASB No. 87 Leases - Excluded Leases - Short Term GASB No. 87 - Included Leases In accordance with GASB No. 87, the Airport recognizes a lease receivable and a deferred inflow of resources for leases the Airport categorizes as GASB No. 87 - Included. The Airport has grouped these leases into three categories: Concession Leases, Rental Car Leases, and Other Property Leases. Concession leases are leases for retail and food and beverage tenants at the Airport. Rental Car Leases are rental car agencies located at the Airport. Other Property Leases contain various leases for property and space located around the Airport. For the year ended June 30, 2024, the Airport reported lease revenue of $43,051,124 and interest revenue of $5,081,337 related to lease payments received. GASB No. 87 - Included Leases for the year ended June 30, 2024 are summarized as follows: Building Lease Receivable Receivable Additions Implied Interest Receivable Deduction Annual Lease Revenue Ending Lease Receivable Concession Leases $ 81,964,504 $ 1,586,872 $ 1,981,445 $ 10,507,429 $ 12,488,875 $ 73,043,947 Rental Car Leases 79,444,336 —1,681,435 28,624,049 30,305,484 50,820,287 Other Property Leases 42,843,869 472,722 1,418,457 3,919,646 5,338,103 39,396,945 $ 204,252,709 $ 2,059,594 $ 5,081,337 $ 43,051,124 $ 48,132,462 $ 163,261,179 As of June 30, 2024, the lease receivable is $45,203,870 and $118,057,309 for current and non- current assets, respectively. Concession Leases The new Airport terminal and Concourse A opened in September 2020 and Concourse B opened in October 2020. At this time, all existing concession contracts were cancelled and new contracts went into effect. The Airport has 26 food and beverage locations managed by 6 operators and 33 retail locations managed by 5 operators. All food and beverage contracts are for ten years and retail contracts are for eight years. There are no options to extend. Each contract has a minimum annual guarantee (MAG) and a variable component (percentage of gross revenues). The tenant pays the higher amount of the MAG or variable amount. MAGs were set in each contract and increase to 90% of the prior year’s rent, but cannot decrease. Based on these terms, the minimum payment will always be the initial MAG. The lease receivable is calculated using minimum payments due each year over the course of contract. The variable component is not used to calculate the lease receivable. Due to the COVID-19 pandemic, all MAG payments were suspended and only the percentage rent was required. The suspension of MAG’s was held until enplaned passengers reached a rate of 90% of FY 2019 recorded enplaned passengers for three consecutive months. This was an agreement with tenants and the Airport and occurred in June, July, and August 2021. Payments of MAGs were reinstated in September 2021. Also due to the pandemic, the contract termination dates for all tenants were moved to expire at the end of eight or ten years from the time the MAG payments were reinstated. All retail contracts from Phase I expire on August 31, 2029, and all food and beverage contracts from Phase I expire on August 31, 2031. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 81 During FY 2024, the Airport finished Phase II, which opened 22 additional gates on Concourse A. This new space added 7 retail locations and 12 food and beverage locations. The new retail contracts expire on October 31, 2031, and the food and beverage contracts expire on October 31, 2033. For the new contracts, a MAG was not established at the beginning of the lease, but will be determined after approximately 2 years, so no lease receivable was recorded at the inception of the lease. The new contracts do contain a portion for support space and this resulted in an addition to the lease receivable of $1,586,872 in FY 2024. For the year ended June 30, 2024, the lease receivable was reduced, and interest recognized of $10,507,429 and $1,981,445, respectively. The deferred inflow was also reduced by $10,507,429. The lease receivable was discounted to the net present value using the 30-year bond buyer index rate on the date of lease commencement or implementation date of the standard. The Airport uses the 30-year bond buyer index rate in its Airline Use Agreement to record the return on investment on the unamortized portion of capitalized assets received from the signatory airlines. This applies to all assets with any useful life. The Airport considered this rate to be the most appropriate for leases of Airport property to match the return received from the airlines. For the year ended June 30, 2024, the Airport received $17,993,975 of revenue from the variable component on top of the lease payments. Future minimum lease payments are as follows: Principal Interest 2025 $ 10,941,290 $ 1,748,066 2026 10,863,814 1,467,953 2027 11,036,106 1,188,684 2028 11,280,951 902,995 2029 11,583,194 610,558 2030-2034 15,689,169 730,315 2035-2038 1,649,423 77,157 $ 73,043,947 $ 6,725,728 Rental Car Leases As part of construction of the new airport, new rental car facilities were built. In March 2016, the Airport entered into a new ten year agreement with seven rental car agencies. Each agreement includes the rental of counter and office space, parking stalls, quick turnaround (QTA) space, QTA common space, QTA storage space, and remote service site space. All contracts expire on February 28, 2026, and there are no options to extend. Each contract has a MAG and a variable component (10% of gross revenues), in addition to the space rentals. The tenant pays the higher amount of the MAG or variable amount. MAGs were set in each contract and increase a minimum of 3% each year. The lease receivable is calculated using the contractual amounts for the space rental and minimum payments due for percentage rent each year over the course of contract. The variable component is not used to calculate the lease receivable. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 82 For the year ended June 30, 2024, the lease receivable was reduced, and interest recognized of $28,624,049 and $1,681,435, respectively. The deferred inflow was also reduced by $28,624,049. The lease receivable was discounted to the net present value using the 30-year bond buyer index rate on July 1, 2021 (implementation date) of 2.53%. The Airport received $8,237,551 of revenue from the variable component on top of the lease payments. Future minimum lease payments are as follows: Principal Interest 2025 $ 30,048,408 $ 940,862 2026 20,771,879 197,557 $ 50,820,287 $ 1,138,419 Other Property Leases At implementation, the Airport entered into several agreements to lease space inside the airport or property on airport grounds. These agreements include ground transportation booths, rooms for communication equipment, the weather service building, space to operate the hardstand consortium, land for the post office, land for the Delta MRT Center, land for the Delta Flight Operations Training Center, and land for Boeing. The termination dates for these contracts range from May 2023 to May 2055, including all options expected to be exercised. The lease receivable is calculated using the contractual amounts for the space rental. In FY 2024, the Airport entered into two new lease agreements adding $472,722 to the lease receivable. These new agreements expire between April 2026 and November 2044. For the year ended June 30, 2024, the lease receivable was reduced, and interest recognized of $3,919,646 and $1,418,457, respectively. The deferred inflow was also reduced by $3,919,646. The lease receivable was discounted to the net present value using the 30-year bond buyer index rate on the date of lease commencement or implementation date of the standard. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 83 Future minimum lease payments are as follows: Principal Interest 2025 $ 4,214,172 $ 1,312,464 2026 2,704,266 1,202,741 2027 2,217,091 1,124,373 2028 2,366,526 1,045,240 2029 2,517,606 960,422 2030-2034 12,603,137 3,349,268 2035-2039 2,361,819 2,173,646 2040-2044 2,414,434 1,770,658 2045-2049 2,872,942 1,271,773 2050-2054 4,185,833 607,847 2055 939,119 17,985 $ 39,396,945 $ 14,836,417 GASB No. 87 Excluded Leases – Regulated In accordance with GASB No. 87, the Airport does not recognize a lease receivable and a deferred inflow of resources for regulated leases. Regulated leases are certain leases that are subject to external laws, regulations, or legal rulings, e.g. the U.S. Department of Transportation and the Federal Aviation Administration, regulated aviation leases between airports and air carriers and other aeronautical users. Regulated leases include Airline Use Agreement Signatory Airlines, Cargo Facilities, Corporate Hangars, Flight School and Skydiving, Fixed Based Operator, FAA Space Rental, Fuel System, National Guard, and the Delta and Skywest Maintenance Hangars, as follows: Airline Use Agreement Signatory Airlines The rights, services and privileges, including the lease of preferentially-assigned gates, an airline has in connection with the use of the airport and its facilities is addressed in the Airline Use Agreement (AUA). By definition, the AUA is considered a regulated lease and does not recognize a receivable and corresponded deferred inflow of resources. The Airport and certain airlines entered into the original ten year AUA that became effective July 1, 2014 and expires on June 30, 2024. The Airport has entered into an AUA with eight (8) passenger airlines and recognized terminal, cargo ramp, federal inspection services (FIS) facilities, and passenger boarding bridge lease revenue of $82,649,927, $270,825, $3,131,526, and $1,944,580, respectively, for the year ended June 30, 2024. Due to the variable nature of the revenues from year-to-year, expected future minimum payments are indeterminable. Cargo Facilities The Airport has entered into month-to-month agreements with 7 companies for space in cargo facilities located at the airport. Revenue from these companies was $1,116,463 for the year ended June 30, 2024. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 84 The Airport has entered into agreements with 8 additional companies for space in cargo facilities. The termination dates range from February 28, 2023 to November 8, 2045. Only one contract has options to extend. They are on the second of 4 one-year extensions, all of which are anticipated to be used. Revenue from these companies was $903,422 for the year ended June 30, 2024. Future minimum lease payments are as follows: 2025 $ 509,363 2026 486,775 2027 486,775 2028 486,775 2029 316,336 2030-2034 1,070,360 2035-2039 1,070,360 2040-2044 1,070,360 2045-2046 113,776 $ 5,610,880 Corporate Hangars The Airport has entered into several agreements with companies for corporate hangars and the associated ground rent. Termination dates for these contracts range from April 2023 to September 2048. There are no extension options for corporate hangars. Revenue for FY 2024 from corporate hangars was $904,161. Future minimum lease payments are as follows: 2025 $ 472,587 2026 454,849 2027 339,396 2028 255,900 2029 228,107 2030-2034 1,025,027 2035-2039 1,084,079 2040-2044 872,714 2045-2049 406,805 $ 5,139,464 Flight School and Skydiving The Airport has entered into one agreement for skydiving and five agreements with flight schools and training. Termination dates for these contracts range from March 2023 to April 2025. Any options in the contracts are expected to be used. Revenue for FY2024 from flight schools and skydiving was $132,633. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 85 Future minimum lease payments are as follows: 2025 $ 39,125 $ 39,125 Fixed Based Operator The Airport has entered into agreements with two fixed based operators to manage general aviation. Termination dates for these contracts are June 2025 and September 2042. There are no extension options for fixed based operators. Revenue for FY 2024 from fixed based operators was $1,656,027. Future minimum lease payments are as follows: 2025 $ 989,731 2026 892,258 2027 892,258 2028 954,811 2029 1,044,102 2030-2034 4,874,419 2035-2039 2,441,731 2040-2043 1,135,239 $ 13,224,549 FAA Space Rental The Airport has entered into an agreement with the FAA for space for equipment. The lease expires on September 30, 2028 and there are no options to extend. Revenue for FY 2024 from this lease was $9,448. Future minimum lease payments are as follows: 2025 $ 9,448 2026 9,448 2027 9,448 2028 9,448 2029 2,362 $ 40,154 Fuel System The Airport has entered into an agreement with a company to lease and operate the fuel system. The lease expires on December 31, 2040 with an option to extend 5 years. The option is expected to be exercised. Revenue for FY 2024 from the fuel system lease was $3,708,707. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 86 Future minimum lease payments are as follows: 2025 $ 3,611,362 2026 3,620,444 2027 3,629,798 2028 3,639,432 2029 3,649,356 2030-2034 18,406,370 2035-2039 18,703,119 2040-2041 5,673,886 $ 60,933,767 National Guard The Airport has entered into agreements with the Utah Air National Guard at Salt Lake City International Airport and the Utah National Guard at South Valley Regional Airport. Termination dates for these contracts are December 31, 2028 and December 31 2049, respectively. There are no extension options. Revenue for FY 2024 from these contracts was $156,794. Future minimum lease payments are as follows: 2025 $ 156,794 2026 156,794 2027 156,794 2028 156,794 2029 121,547 2030-2034 431,500 2035-2039 431,500 2040-2044 431,500 2045-2049 129,450 $ 2,172,673 Delta and Skywest Maintenance Hangars The Airport has entered into agreements with Delta and Skywest for their maintenance hangars and associated ground rent. Delta’s agreement expired on May 31, 2023 and a new 10 year agreement was entered into on June 1, 2023, expiring on May 31, 2033, with no option to extend. Skywest’s agreement expires on November 18, 2027 with an option to extend 10 years. As of October 16, 2024, it is unknown if Skywest will exercise the option. Revenue for FY 2024 from the maintenance hangars was $4,561,529. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 87 Future minimum lease payments are as follows: 2025 $ 4,058,205 2026 4,100,616 2027 4,144,298 2028 3,813,577 2029 2,771,016 2030-2033 8,267,338 $ 27,155,050 GASB No. 87 Excluded Leases – Short-term In accordance with GASB No. 87, the Airport does not recognize a lease receivable and a deferred inflow of resources for leases short-term leases. Short-term leases are certain leases that, at the commencement of the lease term, has a maximum possible term under the lease contract of 12 months (or less), including any options to extend, regardless of their probability of being exercised. Month-to- month leases are considered short-term. Lessor Agreements - Utilities The Utilities leases land to various parties. The estimated carrying value of the parcels or partial parcels of land related to the lease agreements on June 30, 2024, was $512,288. For the years ended June 30, 2024, the Utilities earned a total of $66,582 in lease revenue and $106,915 in lease interest revenue, respectively. As of June 30, 2024, the Utilities anticipate receiving the following amounts from Lessees in satisfaction of amounts receivable as of that date: Principal Interest 2025 $ 81,339 $ 102,602 2026 89,425 100,071 2027 96,098 97,292 2028 84,171 94,611 2029 93,023 91,974 2030-2034 616,706 410,192 2035-2039 813,071 303,010 2040-2044 678,155 186,334 2045-2049 638,798 82,346 2050-2051 258,579 6,969 $ 3,449,365 $ 1,475,401 SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 88 Lessor Agreements - RDA The Redevelopment Agency of Salt Lake City (RDA) has accrued a receivable for three parking structure leases. The remaining receivable for these leases was $24,892,501 for the year ended June 30, 2024. Deferred inflows related to these leases were $23,451,958 as of June 30, 2024. Interest revenue recognized on these leases was $771,924 for the year ended June 30, 2024. Principal receipts of $390,792 were recognized during the fiscal year. The interest rate on the leases is 3.5%. Final receipt is expected in fiscal year 2052. As of June 30, 2024, the RDA anticipates the following payments on lease receivables: Fiscal Year Ended June 30,Principal Interest 2025 $ 407,529 $ 870,276 2026 459,254 855,085 2027 475,701 838,638 2028 492,737 821,602 2029 548,627 803,342 2030-2034 3,174,750 3,701,373 2035-2039 3,987,883 3,067,607 2040-2044 4,981,960 2,289,925 2045-2049 6,324,999 1,298,530 2050-2052 4,039,061 200,141 Total $ 24,892,501 $ 14,746,519 Lessee Agreements Salt Lake City leases several buildings in the city. In association with these leases, the City recorded right to use assets and lease liabilities of $8,319,367 as of July 1, 2021. The City is required to make annual principal and interest payments and the leases expire at various dates from April 2027 to September 2041. The leases carry interest rates ranging from 1.8% to 4.2%. As of June 30, 2024, the lease liability was $6,038,535. During FY 2024, the City paid principal on the leases and reduced the lease liability by $789,409, recorded implied interest expense of $171,695, and recorded amortization expense of $880,008. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 89 Future minimum lease payments are as follows: Principal Interest 2025 $ 834,271 $ 148,078 2026 869,397 123,295 2027 905,866 97,271 2028 495,128 74,137 2029 523,305 56,786 2030-2034 996,637 171,252 2035-2039 954,946 86,894 2040-2042 458,985 9,843 $ 6,038,535 $ 767,556 The Airport leases a building near the airport for ground transportation operations and inspections. The lease began on December 1, 2007 and expired December 31, 2022. An amendment to extend the agreement was signed in August 2022 for an additional 5 years, expiring on December 31, 2027. During FY 2024, the Airport paid principal on the lease and reduced the lease liability by $88,020, recorded implied interest expense of $16,932, and recorded amortization expense of $100,835. Future minimum lease payments are as follows: Principal Interest 2025 $ 96,407 $ 13,255 2026 104,802 9,246 2027 113,718 4,893 2028 59,769 699 $ 374,696 $ 28,093 Deferred Inflows and outflows of resources - Leases In accordance with GASB No. 87, the Airport recognizes a lease receivable and a deferred inflow of resources for leases the Airport categorizes as GASB No. 87 - Included. For these leases, the Airport is reporting Deferred Inflows of $163,261,179 as of June 30, 2024, and reported deferred lease revenue of $43,051,124. These GASB No. 87 - Included leases for the year ended June 30, 2024 are summarized below: SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 90 Beginning Deferred Inflows Additional Deferred Inflows Deferred Revenue Recognized Ending Deferred Inflows Concession Leases $ 81,964,504 $ 1,586,872 $ (10,507,429) $ 73,043,947 Rental Car Leases 79,444,336 —(28,624,049)50,820,287 Other Property Leases 42,843,869 472,722 (3,919,646)39,396,945 $ 204,252,709 $ 2,059,594 $ (43,051,124) $ 163,261,179 8. Subscription Assets During FY 2023, the City implemented GASB Statement No. 96 – Subscription-Based IT Arrangements. The City recognizes a right-to-use asset (subscription asset) at the commencement of the subscription term, with certain exceptions for short-term contracts. The subscription asset is measured as the sum of the following: (a) the amount of the initial measurement of the subscription liability, (b) payment associated with the contract made to the vendor at the commencement of the subscription term, and (c) capitalizable initial implementation costs. The City recognizes a subscription asset at the commencement of the subscription term, with certain exceptions for short-term contracts. The subscription asset is measured as the initial measurement of the subscription liability plus the capitalizable initial implementation costs. A subscription asset should be amortized in a systematic and rational manner over the shorter of the subscription term or the useful life of the underlying IT Asset and the City uses the straight-line method of amortization. For the year ended June 30, 2024, the City did not add any subscription assets and recognized amortization expense of $1,585,718. On June 30, 2024, the net subscription asset was $8,027,201. Beginning Subscription Asset Additions Deletions Ending Subscription Asset Subscription Asset $ 10,405,778 $ — $ — $ 10,405,778 Accumulated Amortization 792,859 1,585,718 —2,378,577 Net Subscription Asset $ 11,198,637 $ 1,585,718 $ — $ 8,027,201 The Airport recognized seven contracts as subscription-based IT arrangements. They include contracts for map solutions in the SLCDA app and website, passenger boarding bridge maintenance systems, a DBE database, an enterprise asset management system, flight data for Airport Operations, and flight information for public viewing. All contracts but one have options to extend, and all are intended to be used. Expiration dates (including anticipated options to extend) range from December 2024 to June 2030. Rates change based on terms in each contract and rate changes are considered in the calculation of the subscription liability. There are no variable components related to any of the contracts. On July 1, 2022 (implementation date), the Airport recognized a subscription asset of $3,478,100. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 91 For the year ended June 30, 2024, the Airport added $109,401 to the subscription asset and recognized amortization expense of $1,187,300. On June 30, 2024, the net subscription asset was $1,552,057. Beginning Subscription Asset Additions Deletions Ending Subscription Asset Subscription Asset $ 3,697,469 $ 109,401 $ — $ 3,806,871 Accumulated Amortization 1,067,514 1,187,300 —2,254,814 Net Subscription Asset $ 2,629,955 $ (1,077,899) $ — $ 1,552,057 The Utilities recognized three subscription-based information technology agreements (SBITAs) including work order software, customer service software, and regulation compliance monitoring software. The Utilities are required to make payments through fiscal year 2030 under the SBITAs. On July 1, 2022 (implementation date), the Utilities recognized a subscription asset of $1,573,053. For the year ended June 30, 2024, the Utilities did not add any subscription assets and recognized amortization expense of $270,893. On June 30, 2024, the net subscription asset was $1,166,713. Beginning Subscription Asset Additions Deletions Ending Subscription Asset Subscription Asset $ 1,573,053 $ — $ — $ 1,573,053 Accumulated Amortization 155,077 270,893 19,630 406,340 Net Subscription Asset $ 1,417,976 $ (270,893) $ 19,630 $ 1,166,713 The Library has entered into multiple SBITA contracts for website license subscriptions, incident reporting software, and project management software. For the year ended June 30, 2024, the Library added $87,831 to the subscription asset and recognized amortization expense of $156,721. On June 30, 2024, the net subscription asset was $356,373. Beginning Subscription Asset Additions Deletions Ending Subscription Asset Subscription IT Assets $ 531,143 $ 87,831 $ — $ 618,974 Accumulated Amortization 105,880 156,721 —262,601 Net Subscription Asset $ 425,263 $ (68,890) $ — $ 356,373 9. Subscription Liabilities In accordance with GASB No. 96, the City recognizes a subscription liability at the commencement of the subscription term. The subscription liability is measured at the present value of subscription payments expected to be made during the subscription term. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 92 Subscription liabilities represent the City’s obligation to make subscription payments arising from the subscription contract. Subscription liabilities are recognized at the subscription commencement date based on the present value of future subscription payments expected to be made during the subscription term. The present value of subscription payments is discounted based on a borrowing rate determined by the City. All contracts with a recognized subscription asset also have a corresponding subscription liability and the same contract terms apply. Beginning Subscription Liability Additions Implied Interest Expense Liability Deduction Annual Subscription Payment Ending Subscription Liability Subscription Liability $ 9,075,290 $ — $ 378,440 $ 1,400,077 $ 1,778,517 $ 7,675,213 Future minimum subscription payments are as follows: Principal Interest 2024 $ 1,492,995 $ 320,056 2025 1,084,994 257,799 2026 1,157,096 212,554 2027 1,232,739 164,303 2028 1,312,088 112,898 2029 1,395,302 58,184 $ 7,675,214 $ 1,125,794 The Airport subscription liability was discounted to the net present value using the 30-year bond buyer index rate on July 1, 2022 (implementation date) of 3.82%. The Airport uses the 30-year bond buyer index rate in its Airline Use Agreement to record the return on investment on the unamortized portion of capitalized assets received from the signatory airlines. This applies to all assets with any useful life. The Airport considered this rate to be the most appropriate for subscription-based contracts. The other rate available to the Airport is our borrowing rate on bond issuances. Using that rate would yield an immaterial difference from the bond buyer index rate. Beginning Subscription Liability Additions Implied Interest Expense Liability Deduction Annual Subscription Payment Ending Subscription Liability Subscription Liability $ 1,452,321 $ 109,401 $ 49,212 $ 609,749 $ 658,961 $ 951,973 Future minimum subscription payments are as follows: SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 93 Principal Interest 2025 $ 543,440 $ 25,977 2026 142,650 12,411 2027 84,923 8,574 2028 59,486 5,852 2029 59,078 3,608 2030 62,396 1,290 $ 951,973 $ 57,712 The Utilities subscription liability was valued using discount rates between 2.9% and 3.8% based on the Utilities’ incremental borrowing rate at the inception of each subscription agreement. The balance of the subscription liabilities was $1,009,914 on June 30, 2024. Beginning Subscription Liability Additions Implied Interest Expense Liability Deduction Annual Subscription Payment Ending Subscription Liability Subscription Liability $ 1,113,382 $ — $ 32,091 $ 103,468 $ 301,845 $ 1,009,914 Future minimum subscription payments are as follows: Principal Interest 2025 $ 163,138 $ 189,617 2026 246,654 25,209 2027 260,089 17,785 2028 132,184 10,075 2029 102,449 5,927 2030 105,400 2,951 $ 1,009,914 $ 251,564 The Library entered into multiple SBITA contracts, as mentioned in the SBITA Asset section. The Library is required to make principal and interest payments through March 2027. The subscription liability was valued using discount rates between 3.4% and 3.6% based on the Library’s incremental borrowing rate at the inception of the subscriptions. The balance of the subscription liabilities was $1,009,914 on June 30, 2024. Beginning Subscription Liability Additions Liability Deduction Ending Subscription Liability Subscription Liability $ 413,234 $ 87,831 $ 151,176 $ 349,889 SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 94 Future minimum subscription payments are as follows: Principal Interest 2025 $ 156,333 $ 9,785 2026 140,874 4,435 2027 52,682 662 $ 349,889 $ 14,882 10. Fund Equity Non-spendable amounts represent the portion of fund balance that is not in a spendable form or are contractually required to remain unspent. Receivables and prepaid items are classified as non- spendable. Restricted amounts represent that portion of fund balance or net position that is legally restricted for the payment of debt service, operations and maintenance, renewal and replacement of property and equipment. Debt service and funds restricted by state or federal agencies are included in this category. The largest are impact fees and class C funds which are regulated by the state. Encumbrances, for homeless services, housing, transit and other social services, are used in the General Fund and are included in this category and reflect ongoing contractual obligations that we consider to be legally restricted for operations across all general fund departments. Committed amounts represent the portion of fund balance that can only be used for specific purposes that requires specific action by the highest decision making authority. The City Council is the highest decision making authority and approves all budgets and uses of fund balances by ordinance in official meetings designated to perform such duties. Assigned amounts represent the portion of fund balance that are intended to be used for a specific purpose but are not restricted or committed. Unassigned amounts represent residual balances in the General Fund. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 95 The table below shows a detail of the fund balance categories. Capital Nonmajor General Projects Other Governmental Fund Funds Improvement Funds Total Fund Balances: Nonspendable: Taxes and loans receivable, and prepaid items $ 3,188,435 $ — $ — $ 49,745 $ 3,238,180 Restricted for: Class C Roads — 16,044,018 — — 16,044,018 Debt Service — — 15,771,679 — 15,771,679 Misc Capital Projects — 124,932,409 — — 124,932,409 Impact Fees — 50,244,412 — — 50,244,412 Grants — 686,432 — 1,363,066 2,049,498 Community Development — — — 72,466 72,466 Emergency 911 — — — 827,393 827,393 Transportation — 18,775,537 — 7,333,634 26,109,171 DEA Metro Narcotic Task Force — — — 668,906 668,906 Encumbrances 22,204,934 — — — 22,204,934 Total restricted 22,204,934 210,682,808 15,771,679 10,265,465 258,924,886 Committed: Weed demolition and forfeiture — — — 549,151 549,151 Emergency 911 — — — 7,347,372 7,347,372 Debt Service — — — 187,365 187,365 Arts Council — — — 138,483 138,483 Total committed — — — 8,222,371 8,222,371 Assigned to: Misc Capital Projects — 82,684,867 — — 82,684,867 Arts Council — — — 847,668 847,668 Downtown economic development — — — 1,683,531 1,683,531 Street lighting special districts — — — 627,874 627,874 Weed demolition and forfeiture — — — 1,233,208 1,233,208 Donations — — — 1,884,520 1,884,520 DEA Metro Narcotic Task Force — — — 409,085 409,085 Total assigned — 82,684,867 — 6,685,886 89,370,753 Unassigned: 147,516,381 — — — 147,516,381 Total fund balances $ 172,909,750 $ 293,367,675 $ 15,771,679 $ 25,223,467 $ 507,272,571 11. General Fund Interfund Service Charges The General Fund charges certain proprietary and special revenue funds, the Capital Projects Fund and the Library component unit for various services. These transactions have been recorded as revenue and expenses or expenditures to the funds as if they involved organizations external to the City, which are generally eliminated for the government wide statements. The amounts of the charges to those funds for the year ended June 30, 2024, are as shown in the table below: SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 96 General Fund charges for: Fire Police Administrative protection protection Enterprise funds:services services services Total Water Utility $ 927,783 $ — $ — $ 927,783 Sewer Utility 778,011 — — 778,011 Storm Water Utility 118,000 — — 118,000 Street Lighting 55,937 — — 55,937 Airport 2,344,962 7,099,000 11,962,748 21,406,710 Refuse Collection 309,287 — — 309,287 Golf 526,777 — — 526,777 Redevelopment Agency 1,377,892 — — 1,377,892 Internal service funds: Fleet Management 516,918 — — 516,918 Information Management 466,725 — — 466,725 Governmental Immunity 126,978 — — 126,978 Risk Management 454,857 — — 454,857 Total reporting entity $ 8,004,127 $ 7,099,000 $ 11,962,748 $ 27,065,875 12. Transfers Transfers were made to and from several funds during the course of the year ended June 30, 2024. The principal reason for transfers is to provide the receiving fund resources to carry out the activities for which the receiving fund was created. The more significant examples are transfers from the General Fund to the Capital Projects Fund, to Fleet Management for the purchase of governmental fund vehicles, Other Improvement Fund for Debt Service and to Governmental Immunity to pay general liability claims. Also, Redevelopment Agency to Debt Service Funds provide resources to make scheduled principal and interest payments. The table on the following page show the detail of transfers. Transfer in to: Capital Other Nonmajor Nonmajor Internal Transfers out from:General Projects Improvements Water RDA Governmental Proprietary Service Total General Fund $ — $ 47,636,726 $ 11,073,228 $ 200,000 $ 22,670,278 $ — $ 3,257,729 $ 12,133,150 $ 96,971,111 Capital Projects 7,282,334 — — — — — — 2,135,977 9,418,311 Nonmajor Governmental 5,694,513 7,905,177 — — — — — — 13,599,690 Nonmajor Proprietary — — — — — 748,739 — — 748,739 Total $ 12,976,847 $ 55,541,903 $ 11,073,228 $ 200,000 $ 22,670,278 $ 748,739 $ 3,257,729 $ 14,269,127 $ 120,737,851 13. Risk Management The City is self-insured for liability claims, except liability incurred at the Airport. The Airport carries commercial general liability insurance with a $500,000,000 limit and $0 deductible. The Governmental Immunity Fund (an internal service fund) has been established solely to pay liability SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 97 claims other than those at the Airport along with certain related City Attorney expenses. The City carries cyber and technology liability insurance with a $5,000,000 per occurrence and aggregate limit with a $500,000 retention. The City is self-insured for workers’ compensation and carries excess workers’ compensation insurance with statutory limits over the self-insured retention of $1,000,000 per occurrence. Further, the City is self-insured for unemployment risk. The Risk Management Fund (an internal service fund) has been established to pay these claims along with health insurance premiums and certain administrative expenses. During the past three fiscal years, there have been no settlements that exceeded insurance coverage. The City and Airport carry separate all risk property insurance policies, summarized below: City: $500,000,000 aggregate limit with a $100,000 deductible, with the following exceptions: the flood deductible is $250,000 except for three properties located outside the standard report zone, which carry a $500,000 deductible; earth movement deductible is one percent (1%) per location subject to $100,000 minimum and $5,000,000 maximum per location; the Leonardo building has a $10,000 deductible. Sub-limits apply as follows: (1) earth movement $125,000,000 limit; (2) flood $100,000,000 limit; (3) Mountain Dell Dam and appurtenant structures $60,000,000 aggregate limit with $30,000,000 sub-limit for all other dams; (4) fine art coverage $100,000,000 limit. The City is self-insured for property loss above the limits and below the deductibles. The operating departments of the General Fund or proprietary funds assume financial responsibility for risk retained by the City for property damage. Airport: $1,000,000,000 with a $100,000 deductible. Sub-limits and deductible exceptions apply as follows: (1) earth movement is $100,000,000 with a deductible of one percent (1%) of Total Insured Values at the time of the loss at each covered location involved in the loss or damage, subject to a minimum of $100,000 deductible and maximum of $5,000,000 and flood coverage is $150,000,000 sub- limit with a deductible of $100,000 minimum, $5,000,000 maximum; (2) $1,000,000,000 windstorm or hail five percent (5%) of Total Insured Values at the time of the loss at each covered location involved in the loss or damage, subject to a minimum of $250,000 any one occurrence for all covered loss or damage arising out of named storm (3) business interruption and extra expense coverage of $200,000,000 with a $100,000 deductible. Terrorism, certified and non-certified acts, is not covered. The Treasurer, Deputy Treasurer, and Director of Finance are each covered by public official bonds in the amount of $10,000,000, with no deductible. The City has a government crime policy that provides public employee dishonesty coverage (an employee blanket bond) covering (1) employee theft with $1,000,000 limit and $20,000 deductible; (2) computer fraud with $1,000,000 limit and $20,000 deductible; (3) funds transfer fraud with $1,000,000 limit and $20,000 deductible; (4) theft of money and securities with $50,000 limit and $2,500 deductible; (5) money orders and counterfeit paper currency with $50,000 limit and $2,500 deductible; (6) forgery and alteration with $25,000 limit and $1,000 deductible. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 98 Changes in the estimated claims payable liability carried in the accrued liabilities of the Risk Management Fund since July 1, 2021 are shown in the table below: Current year Beginning of claims and Balance at Estimated fiscal year changes in Claim fiscal year due in one liability estimates payments end year 2021-2022 Workers' compensation $ 3,704,000 $ 1,296,441 $ (1,557,773) $ 3,442,668 Unemployment compensation 133,192 141,053 (141,054) 133,191 $ 3,837,192 $ 1,437,494 $ (1,698,827) $ 3,575,859 2022-2023 Workers' compensation $ 3,442,668 $ 1,874,009 $ (1,828,252) $ 3,488,425 Unemployment compensation 133,191 (27,877) (86,684) 18,630 $ 3,575,859 $ 1,846,132 $ (1,914,936) $ 3,507,055 2023-2024 Workers' compensation $ 3,488,425 $ 1,345,995 $ (1,324,942) $ 3,509,478 $ 2,319,681 Unemployment compensation 18,630 274,649 (258,982) 34,297 258,982 $ 3,507,055 $ 1,620,644 $ (1,583,924) $ 3,543,775 $ 2,578,663 A liability is recorded for any claims or judgments when information available prior to issuance of the financial statements indicates it is probable that a liability has been incurred at the date of the financial statements and the amount of the loss can be reasonably estimated. Incurred but not reported events, if any, are included in the statements. 14. Pension Plans Identification - The City participates in one cost sharing multiple employer public employee retirement system (PERS) and one multiple-employer agent PERS. These are defined benefit retirement plans covering public employees of the State of Utah and employees of participating local governmental entities. The systems are administered under the direction of the Utah State Retirement Board whose members are appointed by the governor of Utah. Plan description: Eligible plan participants are provided with pensions through the Utah Retirement Systems. The Utah Retirement Systems are comprised of the following pension trust funds: • Public Employees Noncontributory Retirement System (Noncontributory System); Public Employees Contributory Retirement System (Contributory System); Firefighters Retirement System (Firefighters System); are multiple employer, cost-sharing, retirement systems. • The Public Safety Employee Retirement System (Public Safety System) is a mixed agent and cost-sharing, multiple-employer public employee retirement system. • Tier 2 Public Employees Contributory Retirement System (Tier 2 Public Employees System); and the Tier 2 Public Safety and Firefighter Contributory Retirement System (Tier 2 Public SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 99 Safety and Firefighters System) are multiple employer cost sharing public employees retirement systems. The Tier 2 Public Employees System became effective July 1, 2011. All eligible employees beginning on or after July 1, 2011 who have no previous service credit with any of the Utah Retirement Systems, are member of the Tier 2 Retirement System. The Utah Retirement Systems (Systems) are established and governed by the respective sections of Title 49 of the Utah Code Annotated 1953, as amended. The Systems' defined benefit plans are amended statutorily by the State Legislature. The Utah State Retirement Office Act in Title 49 provides for the administration of the Systems under the direction of the Board, whose members are appointed by the Governor. The Systems are fiduciary funds defined as pension (and other employee benefit) trust funds. URS is a component unit of the State of Utah. Title 49 of the Utah Code grants the authority to establish and amend the benefit terms. URS issues a publicly available financial report that can be obtained by writing Utah Retirement Systems, 560 E. 200 S, Salt Lake City, Utah 84102 or visiting the website: www.urs.org. The liability for pension-related debt in the governmental activities is primarily liquidated by the general fund with a minimal portion liquidated by the internal service funds (Fleet Management, Information Management Services, Risk Management, and Governmental Immunity.) Contributions made after the net pension liability measurement date of December 31, 2023, are recognized in the current fiscal year through an accrual rather than in the subsequent fiscal period. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 100 Benefits provided: URS provides retirement, disability, and death benefits. Retirement benefits are as follows: System Final Average Salary Years of service required and/or age eligible for benefit Benefit percent per year of service COLA** Noncontributory System Highest 3 years 30 years any age 2.0% per year all years Up to 4% 25 years any age* 20 years age 60* 10 years age 62* 4 years age 65 Contributory System Highest 5 years 30 years any age 1.25% per year to June 1975:Up to 4% 20 years age 60* 2.00% per year July 1975 10 years age 62*to present 4 years age 65 Public Safety System Highest 3 years 20 years any age 2.5% per year up to 20 years;Up to 2.5% to 4% 10 years age 60 2.0% per year over 20 years depending on the 4 years age 65 employer Firefighters System Highest 3 years 20 years any age 2.5% per year up to 20 years;Up to 4% 10 years age 60 2.0% per year over 20 years 4 years age 65 Tier 2 Public Employees Highest 5 years 35 years any age 1.5% per year all years Up to 2.5% System 20 years age 60* 10 years age 62* 4 years age 65 Tier 2 Public Safety and Firefighter Highest 5 years 25 years any age 1.5% per year to June 30, 2020 Up to 2.5% System 20 years age 60* 2.0% per year July 1, 2020 to present 10 years age 62* 4 years age 65 *actuarial reductions are applied ** All post-retirement cost-of-living adjustments are non-compounding and are based on the original benefit except for Judges, which is a compounding benefit. The cost-of-living adjustments are also limited to the actual Consumer Price Index (CPI) increase for the year, although unused CPI increases not met may be carried forward to subsequent years. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 101 Contributions: As a condition of participation in the Systems, employers and/or employees are required to contribute certain percentages of salary and wages as authorized by statute and specified by the Utah State Retirement Board. Contributions are actuarially determined as an amount that, when combined with employee contributions (where applicable) is expected to finance the costs of benefits earned by employees during the year, with an additional amount to finance any unfunded actuarial accrued liability. Contributions rates as of June 30, 2024 are as follows: Utah Retirement Systems Employee Paid Paid by Employer for Employee Employer Contribution Rates Employer Rate for 401(k) Plan Contributory System 11 - Local Governmental Division Tier 1 N/A 6.00 % 13.96 %N/A 111- Local Governmental Division Tier 2 N/A N/A 17.77 % 0.18 % 211- Local Governmental Division Tier 2 N/A N/A 7.95 % 10.00 % Noncontributory System 15 - Local Governmental Division Tier 1 N/A N/A 17.97 %N/A 111- Local Governmental Division Tier 2 N/A N/A 16.01 % 0.18 % 211- Local Governmental Division Tier 2 N/A N/A 6.19 % 10.00 % Public Safety Retirement System 44 - Other Division A Noncontributory Tier 1 N/A N/A 46.71 %N/A 122 - Other Division A Contributory Tier 2 N/A 2.59 % 38.28 %N/A 211- Local Governmental Division Tier 2 N/A N/A 24.28 % 14.00 % Firefighters System 32 - Division B Tier 1 N/A 16.71 % 6.34 %N/A 132 - Division B Tier 2 N/A 2.59 % 14.08 %N/A Tier 2 DC Only 232 - Firefighters N/A N/A 0.08 % 14.00 % Tier 2 rates include a statutory required contribution to finance the unfunded actuarial accrued liability of the Tier 1 plans. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 102 For fiscal year ended June 30, 2024, the employer and employee contributions to the Systems were as follows: Employee Contributions System Employer Contributions paid by Employer Noncontributory System $ 13,905,294 $ — Contributory System 203,835 87,609 Public Safety System 13,833,065 96 Firefighters System 1,324,570 3,491,164 Tier 2 Public Employees System 14,060,389 — Tier 2 Public Safety and Firefighter 7,553,233 440,147 Tier 2 DC Only System 1,766,967 — Tier 2 DC Public Safety and Firefighter System 1,033,808 584 Total Contributions $ 53,681,161 $ 4,019,600 Contributions reported are the URS Board approved required contributions by System. Contributions in the Tier 2 Systems are used to finance the unfunded liabilities in the Tier 1 Systems. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 103 Combined Pension Assets, Liabilities, Expense, and Deferred Outflows and Inflows of Resources Relating to Pensions At June 30, 2024, the City reported a net pension asset of $42,605,189 and a net pension liability of $91,004,988. Net Pension Asset Net Pension Liability Proportionate Share December 31, 2022 Proportionate Share December 31, 2022 Change (Decrease) Noncontributory System $ — $ 22,767,577 9.82 % 9.70 % 0.11 % Contributory System — 910,191 11.03 % 10.76 % 0.27 % Public Safety System — 59,042,088 100.00 % 100.00 % — % Firefighters System 42,605,189 — 25.08 % 25.62 % (0.53) % Tier 2 Public Employees System — 6,052,716 3.11 % 2.99 % 0.12 % Tier 2 Public Safety and Firefighter System — 2,232,417 5.93 % 6.19 % (0.26) % Total Net Pension Asset/ Liability $ 42,605,189 $ 91,004,988 The net pension asset and liability was measured as of December 31, 2023, and the total pension liability used to calculate the net pension asset and liability was determined by an actuarial valuation as of January 1, 2023 and rolled forward using generally accepted actuarial procedures. The proportion of the net pension asset and liability is equal to the ratio of the employer's actual contributions to the Systems during the plan year over the total of all employer contributions to the System during the plan year. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 104 For the year ended June 30, 2024, we recognized pension expense of $31,216,306. At June 30, 2024, we reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Outflows of Resources Deferred Inflows of Resources Differences between expected and actual experience $ 26,496,059 $ 251,515 Changes in assumptions 15,494,634.01 50,592 Net difference between projected and actual earnings on pension plan investments 16,675,953 — Changes in proportion and differences between contributions and proportionate share of contributions 2,293,403 325,649 Contributions subsequent to the measurement date 27,142,082 — Total $ 88,102,132 $ 627,756 There is $27,142,082 reported as deferred outflows of resources related to pensions resulting from contributions made by us prior to our fiscal year end, but subsequent to the measurement date of December 31, 2023. These contributions will be recognized as a reduction of the net pension liability in the upcoming fiscal year. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense as follows: Deferred Outflows (Inflows) of Resources Year ended December 31, 2024 $ 15,226,520 2025 13,483,589 2026 32,468,095 2027 (6,150,731) 2028 824,722 Thereafter $ 4,480,098 SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 105 Noncontributory System Pension Expense, and Deferred Outflows and Inflows of Resources For the year ended June 30, 2024, the City recognized pension expense of $15,516,603. At June 30, 2024, we reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Outflows of Resources Deferred Inflows of Resources Differences between expected and actual experience $ 15,942,122 $ — Changes in assumptions 6,832,069 — Net difference between projected and actual earnings on pension plan investments 7,403,811 — Changes in proportion and differences between contributions and proportionate share of contributions — 104,586 Contributions subsequent to the measurement date 6,842,568 — Total $ 37,020,570 $ 104,586 There is $6,842,568 reported as deferred outflows of resources related to pensions resulting from contributions made by us prior to our fiscal year end, but subsequent to the measurement date of December 31, 2023. These contributions will be recognized as a reduction of the net pension liability in the upcoming fiscal year. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense as follows: Deferred Outflows (Inflows) of Resources Year ended December 31, 2024 $ 9,889,597 2025 9,373,770 2026 13,919,677 2027 (3,109,628) 2028 — Thereafter — SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 106 Contributory System Pension Expense, and Deferred Outflows and Inflows of Resources For the year ended June 30, 2024, recognized pension expense of $(68,921). At June 30, 2024, we reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Outflows of Resources Deferred Inflows of Resources Differences between expected and actual experience $ — $ — Changes in assumptions — — Net difference between projected and actual earnings on pension plan investments 409,569 — — Changes in proportion and differences between contributions and proportionate share of contributions — — Contributions subsequent to the measurement date 100,253 — Total $ 509,822 $ — There is $100,253 reported as deferred outflows of resources related to pensions resulting from contributions made by us prior to our fiscal year end, but subsequent to the measurement date of December 31, 2023 . These contributions will be recognized as a reduction of the net pension liability in the upcoming fiscal year. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense as follows: Deferred Outflows (Inflows) of Resources Year ended December 31, 2024 $ (508,851) 2025 37,933 2026 1,102,564 2027 (222,077) 2028 — Thereafter — SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 107 Public Safety System Pension Expense, and Deferred Outflows and Inflows of Resources For the year ended June 30, 2024, recognized pension expense of $12,497,589. At June 30, 2024, we reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Outflows of Resources Deferred Inflows of Resources Differences between expected and actual experience $ 4,686,168 $ — Changes in assumptions 2,585,147 — Net difference between projected and actual earnings on pension plan investments 4,287,593 — Changes in proportion and differences between contributions and proportionate share of contributions — — Contributions subsequent to the measurement date 6,855,564 — Total $ 18,414,472 $ — There is $6,855,564 reported as deferred outflows of resources related to pensions resulting from contributions made by us prior to our fiscal year end, but subsequent to the measurement date of December 31, 2023 . These contributions will be recognized as a reduction of the net pension liability in the upcoming fiscal year. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense as follows: Deferred Outflows (Inflows) of Resources Year ended December 31, 2024 $ 4,415,803 2025 765,460 2026 8,195,359 2027 (1,817,714) 2028 — Thereafter — SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 108 Firefighters System Pension Expense, and Deferred Outflows and Inflows of Resources For the year ended June 30, 2024, recognized pension expense of $(7,480,177). At June 30, 2024, we reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Outflows of Resources Deferred Inflows of Resources Differences between expected and actual experience $ 2,735,366 $ — Changes in assumptions 986,320 — Net difference between projected and actual earnings on pension plan investments 3,657,879 — Changes in proportion and differences between contributions and proportionate share of contributions 1,360,754 47,844 Contributions subsequent to the measurement date 657,017 — Total $ 9,397,336 $ 47,844 There is $657,017 reported as deferred outflows of resources related to pensions resulting from contributions made by us prior to our fiscal year end, but subsequent to the measurement date of December 31, 2023 . These contributions will be recognized as a reduction of the net pension liability in the upcoming fiscal year. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense as follows: Deferred Outflows (Inflows) of Resources Year ended December 31, 2024 $ 647,933 2025 2,223,570 2026 7,418,050 2027 (1,597,078) 2028 — Thereafter — SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 109 Tier 2 Public Employees System Pension Expense, and Deferred Outflows and Inflows of Resources For the year ended June 30, 2024, we recognized pension expense of $7,903,541. At June 30, 2024, we reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Outflows of Resources Deferred Inflows of Resources Differences between expected and actual experience $ 1,938,642 $ 99,121 Changes in assumptions 3,464,545 4,786 Net difference between projected and actual earnings on pension plan investments 683,491 — Changes in proportion and differences between contributions and proportionate share of contributions 769,963 129,418 Contributions subsequent to the measurement date 8,191,450 — Total $ 15,048,092 $ 233,324 There is $$8,191,450 reported as deferred outflows of resources related to pensions resulting from contributions made by us prior to our fiscal year end, but subsequent to the measurement date of December 31, 2023. These contributions will be recognized as a reduction of the net pension liability in the upcoming fiscal year. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense as follows: Deferred Outflows (Inflows) of Resources Year ended December 31, 2024 $ 569,323 2025 810,397 2026 1,392,606 2027 453,068 2028 616,197 Thereafter 2,781,727 SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 110 Tier 2 Public Safety and Firefighter Pension Expense, and Deferred Outflows and Inflows of Resources For the year ended June 30, 2024, recognized pension expense of $2,847,671. At June 30, 2024, we reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Outflows of Resources Deferred Inflows of Resources Differences between expected and actual experience $ 1,193,761 $ 152,394 Changes in assumptions 1,626,553 45,806 Net difference between projected and actual earnings on pension plan investments 233,610 — Changes in proportion and differences between contributions and proportionate share of contributions 162,686 43,801 Contributions subsequent to the measurement date 4,495,230 — Total $ 7,711,840 $ 242,001 There is $4,495,230 reported as deferred outflows of resources related to pensions resulting from contributions made by us prior to our fiscal year end, but subsequent to the measurement date of December 31, 2023 . These contributions will be recognized as a reduction of the net pension liability in the upcoming fiscal year. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense as follows: Deferred Outflows (Inflows) of Resources Year ended December 31, 2024 $ 212,715 2025 272,460 2026 439,839 2027 142,699 2028 208,526 Thereafter 1,698,371 SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 111 Actuarial assumptions: The total pension liability in the December 31, 2023 actuarial valuation was determined using the following actuarial assumptions, applied to all periods included in the measurement: Inflation 2.50 Percent Salary increases 3.50 - 9.50 percent, average, including inflation Investment rate of return 6.85 percent, net of pension plan investment expenses, including inflation. Mortality rates were adopted from an actuarial experience study dated January 1, 2023. The retired mortality tables are developed using URS retiree experience and are based upon gender, occupation, and age as appropriate with projected improvement using the ultimate rates from the MP-2020 improvement scale using a base year of 2020. The mortality assumption for active members is the PUB-2010 Employees Mortality Table for public employees, teachers, and public safety members, respectively. The actuarial assumptions used in the January 1, 2023, valuation were based on the results of an actuarial experience study for the period ending December 31, 2022. The long-term expected rate of return on pension plan investments was determined using a building-block method, in which best-estimate ranges of expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class and is applied consistently to each defined benefit pension plan. These ranges are combined to produce the longterm expected rate of return by weighting the expected future real rates of return by the target asset allocation percentage and by adding expected inflation. The target allocation and best estimates of arithmetic real rates of return for each major asset class are summarized in the following table: Expected Return Arithmetic Basis Asset class Target Asset Allocation Real Return Arithmetic Basis Long-Term expected portfolio real rate of return Equity securities 35.00 % 6.87 % 2.40 % Debt securities 20.00 % 1.54 % 0.31 % Real assets 18.00 % 5.43 % 0.98 % Private equity 12.00 % 9.80 % 1.18 % Absolute return 15.00 % 3.86 % 0.58 % Cash and cash equivalents — % 0.24 % — % Totals 100.00 % 5.45 % Inflation 2.50 % Expected arithmetic nominal return 7.95 % SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 112 The 6.85% assumed investment rate of return is comprised of an inflation rate of 2.50%, and a real return of 4.35% that is net of investment expense. Discount rate: The discount rate used to measure the total pension liability was 6.85%. The projection of cash flows used to determine the discount rate assumed that employee contributions will be made at the current contribution rate and that contributions from all participating employers will be made a contractually required rates that are actuarially determined and certified by the URS Board. Based on those assumptions, the pension plan’s fiduciary net position was projected to be available to make all projected future benefits payments of current active and inactive employees. Therefore, the long-term expected rate of return on pension plan investments was applied to all periods of projected benefit payments to determine the total pension liability. The discount rate does not use the Municipal Bond Index Rate. Sensitivity of the proportionate share of the net pension asset and liability to changes in the discount rate: The following presents the proportionate share of the net pension liability/(asset) calculated using the discount rate of 6.85%, as well as what the proportionate share of the net pension liability would be if it were calculated using a discount rate that is 1-percentage-point lower (5.85%) or 1-percentage-point higher (7.85%) than the current rate: 1% Decrease Discount Rate 1% Increase System 5.85%6.85%7.85% Noncontributory System $ 118,162,513 $ 22,767,577 $ (57,119,214) Contributory System 5,506,519 910,191 (3,002,816) Public Safety System 121,486,352 59,042,088 7,690,821 Firefighters System 293,323 (42,605,189) (77,896,585) Tier 2 Public Employees System 20,796,265 6,052,716 (5,380,905) Tier 2 Public Safety and Firefighter 7,192,919 2,232,417 (1,736,072) Total $ 273,437,891 $ 48,399,800 $ (137,444,771) SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 113 SALT LAKE CITY PUBLIC SAFETY FUND Total pension liability 2023 Service Cost $ 6,237,397 Interest (on the Total Pension Liability) 30,208,783 Changes of benefit terms — Difference between expected and actual experience 9,010,385 Changes of assumptions 5,258,516 Benefit payments, including refunds of employee contributions (24,076,979) Net change in total pension liability 26,638,102 Total pension liability – beginning 449,923,926 Total pension liability – ending $ 476,562,028 Plan fiduciary net position Contributions – employer $ 18,340,163 Contributions – employee 5,171 Court Fees and Fire Insurance Tax — Net investment income 35,455,715 Benefit payments, including refunds of employee contributions (24,076,979) Administrative Expense (138,168) Other 292,902 Net change in plan fiduciary net position 29,878,806 Plan fiduciary net position – beginning 387,641,134 Plan fiduciary net position – ending $ 417,519,940 Net pension liability $ 59,042,088 Plan fiduciary net position as a percentage of the total pension liability 0.88 % Covered payroll $ 26,501,797 Net pension liability as a percentage of covered payroll 2.2 % Pension plan fiduciary net position: Detailed information about the pension plan’s fiduciary net position is available in the separately issued URS financial report. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 114 15. Defined Contribution Savings Plans The Defined Contribution Savings Plans are administered by the Utah Retirement System Board and are generally supplemental plan to the basic retirement benefits of the Retirement Systems, but may also be used as a primary retirement plan. These plans are voluntary tax-advantaged retirement savings programs authorized under sections 401(k), 457(b) and 408 of the Internal Revenue code. The City participates in the following Defined Contribution Savings Plans with Utah Retirement Systems: • 401(k) Plan • 457(b) Plan • Roth IRA Plan • Traditional IRA Plan Employee and employer contributions to the Utah Retirement Defined Contribution Savings Plans for fiscal year ended June 30, were as follows: 2024 2023 2022 401(k) Plan Employer Contributions $ 4,875,810 $ 3,745,934 $ 3,299,797 Employee Contributions 5,571,685 4,764,333 4,262,121 457 Plan Employer Contributions N/A N/A N/A Employee Contributions 3,609,016 3,299,961 3,203,304 Roth IRA Plan Employer Contributions N/A N/A N/A Employee Contributions 1,849,353 1,656,148 1,539,508 Traditional IRA Employer Contributions N/A N/A N/A Employee Contributions 62,864 48,241 50,741 SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 115 16. Other Post-employment Benefits Plan Description The Library provides post-employment health care benefits through a single employer defined benefit plan. The benefits are provided through the Library to certain employees who have retired from the System prior to July 1, 2018. The benefits, benefit levels, employee and employer contributions are governed by Library policy and can be amended or terminated at any time. The Library determines whether these benefits will be funded during the annual budget process. The plan is not accounted for as a trust fund since an irrevocable trust has not been established to account for the plan. The plan does not issue a separate report. The activity of the plan is reported in the Library’s general fund. Funding Policy The Library currently pays for post-employment benefits on a “pay-as-you-go” basis. Actuarial Assumptions The total OPEB liability was determined using the following actuarial assumptions, applied to all periods included in the measurement, unless otherwise specified. Measurement Date June 30, 2024 Actuarial Valuation Date June 30, 2024 Discount Rate 3.97 % Prior year discount rate 3.86 % The discount rate was based on the June 30, 2024, Fidelity General Obligation AA 20-Year Yield. Mortality rates for retirees/disabled employees were based on the PubG.H-2010 Healthy Retiree Mortality Table, Generational with Projection Scale MP -2020 for males or females, as appropriate. Inactive employees currently receiving benefit payments 17 Inactive employees entitled to but not yet receiving benefit payments — Active employees — Total 17 SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 116 Changes in Total OPEB Liability Balance at June 30, 2023 $ 179,650 Changes for the Year Interest 6,558 Differences between expected and actual experience 6,293 Change in assumptions/inputs (1,143) Benefit Payments (19,500) Net Changes (7,792) Balance at June 30, 2024 $ 171,858 Sensitivity of the Total OPEB Liability 1% Decrease No Change 1% Increase (2.97)%(3.97)%(4.97)% Discount Rate $ 182,810 $ 171,858 $ 162,109 Healthcare Cost Trend Rates 152,895 171,858 183,152 OPEB Expense and Deferred Outflows and Deferred Inflows of Resources Related to OPEB OPEB Expense Interest on liabilities $ 6,557 Difference between actual and expected experience 6,293 Changes in Assumptions/Inputs (1,143) Total OPEB expense $ 11,708 There are no deferred outflows or deferred inflows of resources at June 30, 2024. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 117 17. Commitments and Contingencies Commitments for major construction, capital improvement and other projects at June 30, 2024 are shown below. General Fund $ 22,204,934 Special-revenue funds 33,884,990 Capital Projects Fund 55,684,538 Enterprise funds 1,043,027,045 Internal service funds 5,020,417 Total $ 1,159,821,924 The City is lessee under a number of non-capitalized lease agreements, one of which is non- cancellable, involving land, buildings and equipment. Rent expense during the fiscal year ended June 30, 2024 approximated $3,113,849 of which $1,593,047 was related to proprietary funds. Future minimum rental payments are as follows: General Fund 2025 $ 312,558 2026 312,558 2027 312,558 2028 312,558 2029 312,558 2030-2034 1,562,790 Total $ 3,125,580 There are sundry claims or lawsuits that have been filed against the City or its employees involving tort and civil rights matters. The City has evaluated those claims and based upon the advice of counsel, has recorded an estimated claims payable liability in the Governmental Immunity Fund (an internal service fund) to cover any expected losses. Changes in the reported liability carried in the Governmental Immunity Fund since July 1, resulted in the changes shown in the table below. Current year Beginning of claims and Balance at Estimated fiscal year changes in Claim fiscal year due within liability estimates payments end one year 2022-2023 $ 8,540,230 $ 2,934,208 $ (3,565,198) $ 7,909,240 $ 2,172,444 2023-2024 $ 7,909,240 $ 5,108,721 $ (2,749,672) $ 10,268,289 $ 2,669,834 As of June 30, 2024, the Utilities had outstanding commitments for the construction and acquisition of property and equipment. Commitments of the Water Utility totaled $39,214,039, of the SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 118 Sewer Utility totaled $186,442,299, of the Stormwater Utility totaled $5,849,584, and of the Street Lighting Utility totaled $16,414. Federal Stimulus Grant Funds- In 2021 and 2022 the City received over $105 million of federal grant money under the CARES Act, the American Rescue Plan Act and the Emergency Rent Assistance Plan to help combat the effects of the COVID 19 pandemic. This resulted in large cash deposits. The corresponding expenditures were not complete as of June 30, 2024 which resulted in presenting the unspent portion as Revenues collected in advance on the current financial statements. A majority of the funds have been expended. It is anticipated that the remainder of the expenditures will occur during the next fiscal year. Water Right Purchase - In 2009, the City purchased water rights connected to Big Cottonwood Canyon stream flows from one of its water exchange customers called Big Cottonwood Tanner Ditch Irrigation Company in the amount of $22,764,010. Under this new agreement the City will continue to provide culinary water to the customers of the Big Cottonwood Tanner Ditch Irrigation Company and will provide them with water vouchers which will entitle them to a set amount of water at no charge in return for their ownership in the water rights to the canyon stream. The City also agreed to upgrade the water system to meet current water system standards and to take ownership of the system. The financial statements show the increase in water rights and the value of the system purchased. Revenue collected in advance includes the value of the water vouchers issued in the amount of $5,934,543 long term and $1,022,595 in current liabilities. Litigation- The Utilities are involved in legal proceedings, primarily related to property damages and personal injury arising in the ordinary course of business. Based on the facts currently available, management accrued liabilities totaling $1,431,353, which is the estimated amount of litigation probable to have a negative outcome. Of this potential liability $1,222,568 is Water Fund related, $203,785 is Sewer Fund related, and $5,000 is Stormwater fund related. Of the $1,222,568 related to the Water Fund, $250,000 is related to a potential future environmental remediation of soils contaminated with lead as a result of shooting range activities operated by the Police Mutual Aid Association on property owned by the Water Fund. Multiple parties could be responsible. The current estimated loss could vary depending on future decisions related to the possible remediation, regulatory requirements, and cost-sharing by other responsible parties, if any. The Utilities are currently investigating the extent of lead contamination and potential remediation alternatives. There are various claims pending against the Airport from third parties. In the opinion of legal counsel for the Airport and Airport management, these are not likely to have a material adverse impact on the Airport's financial statements. Environmental Remediation- The Utilities are participating in two environmental remediation sites. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 119 The Utilities is the owner of many acres of property in Parley’s Canyon that are held for watershed purposes. Located within this area was an active shooting range that was operated by the Police Mutual Aid Association (“PMAA”) for the past 50 years. PMAA recently decided to stop operating the shooting range and control of the property has been turned back to the Utilities. An environmental assessment has been started to determine the extent of lead present at the site. The extent and manner of clean-up of the lead is not yet known, but it is anticipated that impacted soils will be stabilized and removed for proper disposal. There are multiple potentially responsible parties who operated and used the shooting range who may be required to share in the cost of the ultimate clean-up of the site. Currently, the estimate of professional fees and basic efforts to clean-up the site is $1,500,000. The clean-up costs are anticipated to be divided between the Water Enterprise Fund and Salt Lake City’s General Fund, with the General Fund paying approximately 85% of the cost. This estimate could change depending on future decisions related to the clean-up along with the value of contributions toward the clean-up received from third parties. Salt Lake City is entering into a Voluntary Cleanup Program through the Utah Department of Environmental Quality to conduct the remediation. In 2003 the Utilities began an environmental remediation process on the Sewer’s Northwest Oil Drain (NWOD) Canal under a US Environmental Protection Agency (US EPA) administrative order and with a cost-sharing agreement between the Utilities, British Petroleum (BP), and Chevron. The two oil companies contribute 2/3 of the project costs of the remediation, and the Utilities contribute 1/3. Over the life of the process, as of June 30, 2024 the oil companies have contributed approximately $21.8 million; the Utilities have capitalized as construction in progress a total of $33,624,080 in remediation costs. The Utilities estimate that the remaining remediation activities will generate about $33,500 in contributions from the oil companies, will cost about $50,000, and will continue through fiscal year 2025. The Utilities have budgeted accordingly. Airport- At June 30, 2024, the Airport was committed to contractors and vendors for approximately $795.4 million in conjunction with Airport construction programs. In the normal course of operations, the City receives grant funds from various Federal Agencies. The grant programs are subject to audit by agents of the granting authority, the purpose of which is to ensure compliance with conditions precedent to the granting of funds. Any liability for reimbursement that may arise as the result of audits of grant funds is not believed to be material. RDA- As an Agency of the City, the RDA routinely enters into Taxing Entity Contracts (TEC) and Tax Increment Reimbursement contracts (TIR). The Agency has no taxing authority, therefore enters into TEC agreements to receive Tax Increment as revenue. For the Agency, Tax Increment is deemed contributed revenues from the various taxing authorities participating in the various Project Area TEC agreements. The Tax Increment received from the City is delineated in the Agency Financial Statements as Transfers in from the City. Tax Increment revenue from all other taxing entities is included non-operating revenues with Grants and Other Contributions. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 120 To induce the private sector to participate in the redevelopment of the Project Area, the RDA will often enter into TIR agreements which reimburse the private developer actual costs over a stated period of time. These agreements return tax increment revenues annually to the developers. Currently, the Agency is party to the following TIR agreements. During the year ended June 30, 2013, the City issued $15,000,000 of Bond Anticipation Notes (BANS) to begin construction on the Eccles Theater. These bonds were issued in expectation of the issuance of the Tax Increment Bonds (as discussed in Note 7) and the Sales Tax Revenue Bonds issued by the City (as discussed below). The City received the proceeds of the BANS and paid design and pre- construction costs. During the year ended June 30, 2014, the City issued Series 2013A Sales Tax Revenue Bonds in the amount of $51,270,000 to aid in financing the construction of the Eccles Theater. With the proceeds of these bonds, the City paid off the BANS and the remaining net proceeds of $34,349,587 were transferred to the Agency as a contribution from the City. Bond issuance costs and accrued interest of $1,920,413 were recognized by the Agency as expense. In addition, upon issuance of the bonds, the Agency used private donations of $2,596,649 and contributed $1,104,957 of its own funds into an escrow account for capitalized interest on the bonds. In December 2019, the City completely refunded the Series 2013A bonds by issuing Series 2019 taxable sales and excise tax revenue refunding bonds in the amount of $58,540,000, saving the Agency over $11,000,000 in principal and interest payments. As of June 30, 2024, anticipated cumulative payments remaining under the agreement were $74,861,522. Anticipated payments are included in the table below. The Agency will remit principal and interest payments semi-annually to the City per the debt service schedules as a contribution to the City (expense). Total anticipated payments are as follows. Year Ending June 30,Annual Obligation 2025 $ 2,187,723 2026 2,186,443 2027 2,184,427 2028 2,186,796 2029 2,188,533 2030-2034 30,098,098 2035-2038 33,829,502 Total $ 74,861,522 As discussed previously, proceeds from the Series 2013 Agency bonds and Series 2013A City bonds provided financing for the construction of the Eccles Theater on Block 70 within the Central Business District (CBD). The remaining non-refunded portion of the Agency's Series 2013 bonds were paid in fiscal year 2023. The Series 2019 taxable tax increment revenue refunding bonds issued by the Agency mature in 2031. The Series 2019 taxable sales and excise tax revenue refunding bonds (advance refunding of Series 2013A) issued by the City are payable through fiscal year 2038. The annual debt service will be funded by the incremental property taxes generated from the CBD Project area, Block 70 SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 121 Community Development Area (CDA) and private donations. Annual principal and interest payments on the bonds associated with the Theater are expected to require approximately 30% of tax increment revenues generated from CBD and Block 70, beginning in fiscal year 2016. As of June 30, 2023, the total principal and interest remaining to be paid on all bonds for the Eccles Theater project was $124,179,688. The Agency has pledged future tax increment revenues to repay the remaining Series 2019 Tax Increment and Series 2019A Sales Tax Revenue Refunding bonds. Through inter-local agreements entered into with the City and Salt Lake County (the County), CBD tax increment revenue that would have been remitted to these agencies has been pledged to the Agency through tax year 2040. In December 2011, the Agency entered into an agreement with the City in which the Agency will retain a portion of the City's Taxing Entity Committee (TEC) allocation, in order to pay principal and interest on the Theater bond obligations. Each year, beginning in tax year 2015 through 2040, the City will continue to receive from the Agency a dollar amount equal to the 2014 TEC allocation. The original inter-local agreement specified that the Agency will retain 80% of the remaining TEC allocation. This inter-local agreement was subsequently amended in May 2013 to provide that the Agency will retain up to 100% of the remaining TEC allocation, as is necessary to fund debt service payments. The Agency is required to reimburse the City for any portion of this additional TEC allocation that is utilized for debt service on the Eccles Theater, with the balance accruing interest at the City's general fund rate. The Agency is required to commit CBD tax increment in an amount equal to the City allocation under these agreements. Similarly, in October 2012, the Agency entered into an interlocal agreement with the County wherein the Agency is entitled to retain the County's portion of the CBD tax increment up to a maximum of $43,000,000. The County will continue to receive from the Agency a dollar amount equal to the 2014 TEC allocation each year beginning in tax year 2015 through 2040, and the Agency will retain the remaining TEC allocation to fund debt service on the Eccles Theater project. During the fiscal year ended June 30, 2024, the Agency transferred $8,739,132 in CBD incremental tax revenue to Block 70 for Eccles debt service per the agreements, and transferred an additional $2,171,617 in available CBD tax increment revenue. In addition, the Agency entered into an inter-local agreement with the City and the Salt Lake City School District (SLCSD) wherein the Agency is entitled to receive the City's and SLCSD's portions of the tax increment from the Block 70 CDA for twenty-five years, beginning in the tax year 2016, for the purpose of funding debt service on the Eccles Theater. The tax increment funds are not limited to funding debt service, but will also be used to fund the creation of a cultural core and for debt service on the Regent Street improvement bonds. In addition, in September 2012, the Agency entered into an agreement with the County wherein the Agency is entitled to receive the County’s portion of the Tax Increment from the Block 70 CDA for 25 years, beginning in tax year 2016, up to a maximum of $7,000,000 for the purposes of funding debt service on the Eccles Theater. During the year ended June 30, 2024, the Agency received an additional $1,493,794 in incremental property taxes under these agreements. The Agency expended $8,237,153 to cover the principal and interest payments due during the year. During the year ended June 30, 2010, the Agency entered into a reimbursement agreement with 222 S. Main Investments, LLC, a developer of a project within the Agency’s Central Business District Project Area. Under this agreement, the Agency is obligated to repay to the developers 85% of the tax SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 122 increment revenues received by the Agency from the respective project up to the lesser of: 1) total developer costs less $127,300,000 or 2) $6,000,000, plus accrued interest of 5.9%, over the reimbursement term, which expires in January 2031. These obligations are also subject to the developers paying property taxes on a timely basis, the receipt of certificates of project completion, and annual certificates of compliance with the other terms of the reimbursement agreement. For the year ended June 30, 2024, the Agency recorded expenses of $543,672. During the year ended June 30, 2017, the Agency and Larry H. Miller Arena Corporation (the "Lessee"), entered into a Participation and Reimbursement Agreement for the renovation of the Delta Center Arena at 301 West South Temple, as part of the Central Business District Neighborhood Redevelopment Project Area Plan. This agreement outlines the Agency's commitment to partially reimburse the Lessee for public area upgrades through tax increment financing, with a cap of $15,946,396 for Tax Increment (TI) Reimbursement Payments and $6,753,604 for Grant Reimbursement Payments, ensuring the total reimbursement does not exceed $22,700,000. The Reimbursement Term will expire December 31, 2040, with annual payments contingent on the Lessee's compliance with specific conditions, including project completion, property tax payments, and maintaining the Arena as the home venue for Utah Jazz NBA games. The Agency retains the right to issue bonds secured by the tax increment, with the understanding that this will not absolve it of its obligations under this agreement. The Agency's financial commitment, encompassing both TI and Grant Reimbursement Payments, is firmly capped, and any shortfall in tax increment generation will not extend the Agency's obligations beyond the agreed term. For the year ended June 30, 2024, the Agency recorded expenses of $670,906, which consisted of $363,924 of TI Reimbursement Payments and $306,982 of Grant Reimbursement Payments. During the year ended June 30, 2019, the Agency entered into a reimbursement agreement with Stadler US, Inc, a developer of a project located within the Agency’s Stadler Rail Project Area. Under the agreement, the Agency is obligated to reimburse the developers, from the tax increment revenues received from the respective projects, up to $9,610,721 over a twenty (20) year term, but not in excess of the tax increment revenues received from the individual projects. These obligations are also subject to the developers paying property taxes on a timely basis and the receipts of certificates of project completion. For the years ended June 30, 2024, the Agency made reimbursements to Stadler totaling $130,505. During the year ended June 30, 2020, the Agency entered into a reimbursement agreement with NWQ, LLC, a developer of a project located within the Agency’s Northwest Quadrant Project Area. Under the agreement, the Agency is obligated to reimburse the developers, from the tax increment revenues received from the respective projects, up to $28,000,000 over a nineteen (19) year term, but not in excess of the tax increment revenues received from the individual projects. These obligations are also subject to the developers paying property taxes on a timely basis and the receipts of certificates of project completion. The total reimbursement paid for the year ended June 30, 2024 to NWQ LLC, was $803,917. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 123 During the year ended June 30, 2020, the Agency entered into a reimbursement agreement with West Quarter Residential I, LLC, a developer of a project located within the Agency’s Block 67 Project Area. Under the agreement, the Agency is obligated to reimburse the developers, from the tax increment revenues received from the respective projects, up to $15,000,000 over a twenty (20) year term as a pass-through from Salt Lake County for transportation funds from the State of Utah, but not in excess of the tax increment revenues received from the individual projects. These obligations are also subject to the developers paying property taxes on a timely basis and the receipts of certificates of project completion. The first year of reimbursement was anticipated to be for the 2022 tax year. No payments were made during the year ended June 30, 2024. In March, 2008, the Agency and the State of Utah (State) entered into a lease agreement for the rental by the State of 250 parking stalls in a parking structure owned by the Agency. The lease requires monthly payments of $20 per stall, for a total of $5,000 per month. The lease term is 20 years. In addition, the lease includes a provision for the repayment of a portion of the construction costs to be paid by the State of $350,000 over the term of the parking rental agreement. The repayment terms requires interest of 3% and monthly payments of $2,077, in addition to the monthly rent payments. The balance of the unpaid amount as of June 30, 2024, was $46,374, which has been recorded as a note receivable. 18. Related Party Transactions To meet the water supply needs of Salt Lake City and Sandy through the year 2035, the Metropolitan Water District Board, a related entity, completed a new treatment plant. The new treatment plant is located at the Point of the Mountain in Draper City and includes a conveyance pipeline connecting the new plant to the District’s Little Cottonwood Water Treatment Plant. The cost of the treatment plant and conveyance system totaled over $300 million, and the Utilities’ share of the cost is over $200 million. The 70 million gallon per day plant is funded by an assessment paid by the two cities. Salt Lake City has 62.5 percent of the capacity and cost assessment in the new treatment plant. Below are the future minimum payments due from the Water Utility through 2035: Year Ending June 30, 2025 $ 7,021,892 2026 7,021,892 2027 7,021,892 2028 7,021,892 2029 7,021,892 2030-2034 35,109,460 2035 3,510,946 Total $ 73,729,866 SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 124 19. Joint Venture The City is a member of a joint venture known as the City/County landfill in which the City and Salt Lake County (through its Municipal Affairs Fund and the remainder of the County) each have fifty percent interest. The joint venture was created to provide solid waste management and disposal services. The City’s equity in the net resources of the landfill at June 30, 2024, was $25,205,863. This equity interest is shown in the City’s Refuse Collection Fund (an enterprise fund). The inter-local cooperation agreement created the joint venture and established the Salt Lake Valley Solid Waste Management Council (the Council). The Council consists of five members: the County’s Mayor, or a designee; the City's Mayor, or a designee; one elected official, or a designee designated by the Salt Lake County Council of Governments, who is not an official or an employee of the County or the City but whose municipality is served by the Facility; one member of the Salt Lake Valley Board of Health or the Director of Health as designated by such Board, or a designee; and one member with technical expertise in the field of solid waste management, said expert member to be selected by the council members who represent the City, the County, and the Salt Lake Valley Board of Health. The Council’s responsibilities are to recommend: (1) appointment or removal of Director; (2) plan, establish and approve all construction projects for solid waste operations; and (3) determine best use of facility; (4) establish public policy for all major operations or activities; (5) prepare an annual operating budget that includes expenditures and the means of financing them. All actions by the Council are recommendations to the City Council and the County Commission, which have equal power to review, ratify, modify, or veto any action submitted by the Council. The Council has developed a master plan designed to comply with environmental standards established by the federal government and to meet accounting and financial reporting requirements under GASB Statement No. 18, Accounting for Municipal Solid Waste Landfill Closure and Post- closure Care Costs. In compliance with this standard, the Council has established user fees sufficient to cover all operating costs, including post-closure costs that have been mandated by the federal government. The estimated liability for closure and post closure care was established under the requirement set by the State of Utah’s Department of Environmental Quality (DEQ) and is based on an engineering study completed during November 2016. The estimate totals $10,930,635 at Salt Lake County’s fiscal year end and is based on 33.3% of capacity currently filled. The Landfill will recognize the remaining estimated cost of closure and post-closure care of approximately $29,793,857 as the remaining capacity is filled. The total capacity was revised in 2016 to reflect increased allowable height, slope and new technology. The landfill is expected to be filled to capacity in the year 2082. The expenses in 2023 were $983,708. Actual ongoing costs may differ due to inflation, changes in technology, or change in regulations. In November 1996, the Environmental Protection Agency (EPA) issued final regulations regarding financial assurance provisions for local government owners and operators of municipal solid waste landfills. The regulations allow compliance with financial assurance requirements by meeting a SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 125 financial test or by alternate methods. The financial test method is available only to local governments who can demonstrate that they are capable of meeting their financial obligations relating to their landfills and is sometimes referred to as “self-insurance.” The alternate methods generally involve third-party financial instruments such as trust funds, letters of credit, or insurance policies. The financial assurance requirement is the estimated total current costs of closure and post-closure care of $40,724,492 at December 31, 2023. Although the County and Salt Lake City satisfy the financial test coverage and the financial assurance requirement (therefore, an alternate method is not necessary), the Landfill has set aside resources to finance the estimated liability for landfill closure and postclosure costs; at December 31, 2023 the Landfill has set aside $10,930,635 of its pooled cash and investments.The owners are required to submit documentation of financial assurance to the Utah Department of Environmental Quality demonstrating that they meet the financial test at the close of each fiscal year. In the event the owners no longer meet the requirements of the financial test, they shall, within 210 days following the close of their fiscal years, obtain alternative financial assurance for total current costs of landfill closure and post-closure care that exceed 43% of the owners’ total annual revenue. For the year ended June 30, 2024, the City paid the landfill approximately $1,968,631 in user fees. Separately audited financial statements for the City/County landfill may be obtained from the Executive Director or Fiscal Manager, Salt Lake Valley Solid Waste Management Facility, 6030 West California Avenue, Salt Lake City, Utah 84104. The City has 50% ownership interest in the Sugarhouse House Park Authority. Salt Lake County owns the remaining 50% interest. The Sugar House Park Authority, created in 1957, maintains and improves the land known as Sugarhouse Park which includes 116 acres of land with a historical cost of $112,500. The City’s investment in the Sugar House Park Authority as of December 31, 2023 totaled $1,125,273, which has been included in governmental activity investment in joint ventures in the government-wide statement of net position. Of the total investment, $639,752 is related to capital assets. The Sugar House Park Authority is governed by a Board of Trustees consisting of nine members. The City and the County each appoint one member. The other seven members are appointed jointly by the City and County Trustees. The City provides water to the park for a fee and the county is contracted to provide maintenance services and provide for daily management, operation and maintenance of the park. Separately audited statements may be obtained from the Sugar House Park Authority, 6332 S. Airport Road, West Jordan, Utah, 84084. 20. Recent Accounting Pronouncements Newly Issued Accounting Pronouncements In June 2022, the GASB issued Statement No. 100 Accounting Changes and Errors – An Amendment of GASB Statement No. 62. The primary objective of this Statement is to enhance accounting and financial reporting requirements for accounting changes and error corrections to provide more understandable, reliable, relevant, consistent, and comparable information for making decisions or assessing accountability. The requirements of this statement are effective for reporting periods beginning SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 126 after June 15, 2023. Earlier application is encouraged. The adoption of this accounting standard will not have a significant impact on the City’s financial statements. In June 2022, the GASB issued Statement No. 101. This Statement requires that liabilities for compensated absences be recognized for (1) leave that has not been used and (2) leave that has been used but not yet paid in cash or settled through noncash means. A liability should be recognized for leave that has not been used if (a) the leave is attributable to services already rendered, (b) the leave accumulates, and (c) the leave is more likely than not to be used for time off or otherwise paid in cash or settled through noncash means. Leave is attributable to services already rendered when an employee has performed the services required to earn the leave. Leave that accumulates is carried forward from the reporting period in which it is earned to a future reporting period during which it may be used for time off or otherwise paid or settled. In estimating the leave that is more likely than not to be used or otherwise paid or settled, a government should consider relevant factors such as employment policies related to compensated absences and historical information about the use or payment of compensated absences. However, leave that is more likely than not to be settled through conversion to defined benefit post-employment benefits should not be included in a liability for compensated absences. The requirements of this Statement will take effect for financial statements starting with the fiscal year that ends December 31, 2024. The City is currently evaluating the impact this statement will have in future years. In December 2023, the GASB issued Statement No. 102 Certain Risk Disclosures. The objective of this Statement is to provide users of government financial statements with essential information about risks related to a government’s vulnerabilities due to certain concentrations or constraints. This Statement requires a government to assess whether a concentration or constraint makes the primary government reporting unit or other reporting units that report a liability for revenue debt vulnerable to the risk of a substantial impact. The requirements of this statement are effective for reporting periods beginning after June 15, 2024. Earlier application is encouraged. The City is currently evaluating the impact of this statement on the financial statements when implemented. In July 2023, the GASB issued Implementation Guide No. 2023-01 which contains new questions and answers that address application of GASB standards on leases, subscription-based information technology arrangements, and accounting changes. The guide also includes amendments to previously issued implementation guidance on leases. 21. Subsequent Events The following events occurred subsequent to June 30, 2024: During the 2024 general legislative session, the Utah legislature passed the Capital City Revitalization Zone Act to be used for the benefit of revitalization projects within a designated project area at and around Delta Center. Under the Act, the City may impose a 0.5% Sales and Use Tax in Salt Lake City that is a party to one or more professional sports franchise agreement(s) and that will play their home games in an arena downtown. On July 9, 2024 the Salt Lake City Council endorsed the SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 127 Participation Agreement and Project Area and on September 17, 2024, the Revitalization Zone Committee approved the Agreement and the City began collecting the tax in January 2025. As of November 19, 2024 the city council passed a resolution for the Utilities to issue up to $225,000,000 in revenue bonds. The bonds will have a maturity of 31 years or less and a rate of no more than 6 percent. The Utilities plan to issue $100,000,000 in revenue bonds that will be related to the Water Utility and $99,000,000 in revenue bonds that will be related to the Sewer Utility to fund treatment plant improvements. All Utilities’ revenues will be pledged as collateral for the bonds. The Utilities anticipate the bond closing in early February 2025. In September 2024, the Airport entered into a short-term revolving credit facility in which the Airport can access up to $300 million (line of credit) secured by one or more notes, which notes constitute subordinate obligations under the Subordinate Obligation Trust Indenture. SALT LAKE CITY CORPORATION NOTES TO FINANCIAL STATEMENTS June 30, 2024 128 Required Supplementary Information 129 SALT LAKE CITY CORPORATION BUDGETARY COMPARISON SCHEDULE GENERAL FUND Year ended June 30, 2024 Actual (GAAP basis) Adjustment to budgetary basis (Note to RSI 1) Actual on budgetary basis (non-GAAP) Budgeted Amounts Original Budget Final Budget Variance Revenues: General property taxes $ 139,801,077 $ — $ 139,801,077 $ 131,752,713 $ 135,468,465 $ 4,332,612 Sales, use and excise taxes 172,015,265 — 172,015,265 166,213,479 166,213,479 5,801,786 Franchise taxes 14,345,434 — 14,345,434 12,348,127 12,348,127 1,997,307 Licenses 21,123,023 — 21,123,023 18,434,301 18,434,301 2,688,722 Permits 21,024,471 — 21,024,471 22,445,026 22,445,026 (1,420,555) Fines and forfeitures 2,900,359 — 2,900,359 2,561,547 2,571,547 328,812 Interest 12,916,113 — 12,916,113 8,000,000 8,000,000 4,916,113 Intergovernmental 6,211,734 — 6,211,734 5,134,621 5,134,621 1,077,113 Interfund service charges 27,065,875 — 27,065,875 26,131,213 26,131,213 934,662 Parking meter 3,008,803 — 3,008,803 2,801,089 2,801,089 207,714 Parking ticket 2,057,827 — 2,057,827 1,500,000 1,500,000 557,827 Charges for services 6,556,077 — 6,556,077 4,745,443 4,745,443 1,810,634 Rental and other income 1,204,532 — 1,204,532 681,604 681,604 522,928 Miscellaneous 3,817,519 — 3,817,519 2,958,012 2,948,012 869,507 Total revenues 434,048,109 — 434,048,109 405,707,175 409,422,927 24,625,182 Expenditures: Current: City Council 5,316,524 7,324 5,323,848 27,295,271 28,739,986 23,416,138 Mayor 5,963,765 106,667 6,070,432 40,317,712 47,589,638 41,519,206 City Attorney 10,515,213 50,191 10,565,404 4,659,300 4,702,805 (5,862,599) Finance 11,495,949 157,648 11,653,597 6,820,067 7,209,509 (4,444,088) Fire 50,621,507 276,305 50,897,812 11,259,756 11,682,851 (39,214,961) Combined Emergency Services 10,288,938 477,985 10,766,923 10,490,844 11,121,798 354,875 Police 115,639,676 683,990 116,323,666 110,976,812 117,515,316 1,191,650 Community and Neighborhoods 34,260,751 8,330,429 42,591,180 12,168,296 12,735,356 (29,855,824) Economic Development 4,060,682 204,593 4,265,275 52,264,357 52,705,613 48,440,338 Justice Court 5,351,866 7,690 5,359,556 33,143,161 41,620,014 36,260,458 Human Resource 4,323,420 36,755 4,360,175 5,610,149 6,086,599 1,726,424 Public Services 41,278,890 4,550,014 45,828,904 43,449,292 47,223,615 1,394,711 Public Lands 27,258,939 750,158 28,009,097 5,489,720 5,489,760 (22,519,337) Nondepartmental 53,352,139 6,371,656 59,723,795 4,425,091 4,615,746 (55,108,049) Total expenditures 379,728,259 22,011,405 401,739,664 368,369,828 399,038,606 (2,701,058) Revenues over (under) expenditures 54,319,850 (22,011,405) 32,308,445 37,337,347 10,384,321 21,924,124 Other financing sources (uses): Proceeds from sale of property 8,421 — 8,421 — — 8,421 Transfers in 12,976,848 — 12,976,848 9,938,944 18,871,607 (5,894,759) Transfers out (96,971,111) — (96,971,111) (80,145,089) (116,904,451) 19,933,340 Total other financing sources (uses): (83,985,842) — (83,985,842) (70,206,145) (98,032,844) 14,047,002 Net Change in Fund Balance (29,665,992) $ (22,011,405) $ (51,677,397) $ (32,868,798) $ (87,648,523) $ 35,971,126 Fund Balance July 1, 2023 202,575,741 Fund Balance June 30, 2024 $ 172,909,749 130 SALT LAKE CITY CORPORATION SCHEDULE OF THE PROPORTIONATE SHARE OF THE NET PENSION LIABILITY UTAH RETIREMENT SYSTEMS As of the Year Ended December 31, 2023 Last 10 Fiscal Years Noncontributory System 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Proportion of the net pension liability/ (asset) 9.82 % 9.70 % 9.91 % 9.93 % 10.01 % 10.09 % 10.16 % 10.50 % 10.40 % 10.30 % Proportionate share of the net pension liability/(asset)$ 22,767,577 $16,621,860 $ (56,771,800) $ 5,095,905 $ 37,731,456 $ 74,328,318 $ 44,516,859 $ 67,230,056 $ 58,910,626 $ 44,746,492 Covered payroll 77,990,539 76,152,635 76,880,596 77,864,031 79,785,630 81,245,865 82,604,948 86,964,302 85,816,435 86,096,547 Proportionate share of the net pension liability/(asset) as a percentage of its covered payroll 29.19 % 21.83 % (73.84) % 6.54 % 47.29 % 91.49 % 53.89 % 77.30 % 68.60 % 52.00 % Plan fiduciary net position as a percentage of the total pension liability 96.90 % 97.50 % 108.70 % 99.20 % 93.70 % 87.00 % 91.90 % 87.30 % 87.80 % 90.20 % Contributory Retirement System 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Proportion of the net pension liability/ (asset) 11.03 % 10.76 % 10.43 % 10.43 % 10.93 % 12.05 % 13.90 % 14.20 % 9.50 % 9.20 % Proportionate share of the net pension liability/(asset)$ 910,191 $ 1,106,542 $ (7,552,026) $ (1,869,545) $ 716,348 $ 4,889,920 $ 1,131,317 $ 4,650,788 $ 6,662,216 $ 2,659,357 Covered payroll 1,483,630 1,509,950 1,532,256 1,720,735 1,958,697 2,255,421 2,821,107 3,401,048 4,038,849 4,934,504 Proportionate share of the net pension liability/(asset) as a percentage of its covered payroll 61.35 % 73.28 % (492.87) % (108.65) % 36.57 % 216.80 % 40.10 % 136.80 % 165.00 % 53.90 % Plan fiduciary net position as a percentage of the total pension liability 98.20 % 97.70 % 115.90 % 103.90 % 98.60 % 91.20 % 98.20 % 92.90 % 85.70 % 94.00 % 131 SALT LAKE CITY CORPORATION SCHEDULE OF THE PROPORTIONATE SHARE OF THE NET PENSION LIABILITY UTAH RETIREMENT SYSTEMS As of the Year Ended December 31, 2023 Last 10 Fiscal Years Public Safety System 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Proportion of the net pension liability/(asset) 100.00 % 100.00 % 100.00 % 100.00 % 100.00 % 100.00 % 100.00 % 100.00 % 100.00 % 100.00 % Proportionate share of the net pension liability/(asset)$59,042,088 $62,282,792 $19,818,161 $59,354,942 $79,378,833 $103,028,051 $86,194,634 $91,688,895 $85,106,335 $72,876,185 Covered payroll 29,961,872 28,012,449 27,379,781 28,690,327 29,303,158 29,710,645 29,999,431 31,087,336 28,581,857 28,254,323 Proportionate share of the net pension liability/(asset) as a percentage of its covered payroll 197.06 % 222.34 % 72.38 % 206.88 % 270.89 % 346.77 % 287.32 % 294.90 % 297.80 % 257.90 % Plan fiduciary net position as a percentage of the total pension liability 87.61 % 86.20 % 95.50 % 85.90 % 80.40 % 73.70 % 77.30 % 74.00 % 73.90 % 76.70 % Firefighters System 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Proportion of the net pension liability/(asset) 25.08 % 25.62 % 26.65 % 26.38 % 26.66 % 26.50 % 25.40 % 26.00 % 25.80 % 25.70 % Proportionate share of the net pension liability/(asset)$ (42,605,189) $ (32,243,802) $ (72,083,739) $ (35,538,594) $ (16,662,414) $ 10,708,746 $ (5,697,589) $ 3,844,181 $ 4,382,293 $ (2,831,091) Covered payroll 21,275,148 21,331,459 22,127,493 21,900,906 21,916,972 21,677,933 21,246,778 22,462,865 21,718,863 21,493,020 Proportionate share of the net pension liability/(asset) as a percentage of its covered payroll (200.26) % (151.16) % (325.77) % (162.27) % (76.03) % 49.40 % (26.82) % 17.11 % 20.20 % (13.20) % Plan fiduciary net position as a percentage of the total pension liability 113.31 % 110.30 % 122.90 % 112.00 % 105.80 % 96.10 % 102.30 % 98.40 % 98.10 % 101.30 % 132 SALT LAKE CITY CORPORATION SCHEDULE OF THE PROPORTIONATE SHARE OF THE NET PENSION LIABILITY UTAH RETIREMENT SYSTEMS As of the Year Ended December 31, 2023 Last 10 Fiscal Years Tier 2 Public Employees System 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Proportion of the net pension liability/ (asset) 3.11 % 2.99 % 2.79 % 2.87 % 2.84 % 2.74 % 2.70 % 2.70 % 2.60 % 2.50 % Proportionate share of the net pension liability/(asset)$6,052,716 $3,252,994 $(1,179,997)$ 412,448 $ 639,365 $ 1,173,741 $ 237,701 $ 305,635 $ (5,627) $ (75,674) Covered payroll 80,396,996 65,149,798 51,749,660 45,852,498 39,505,904 31,993,906 26,365,818 22,470,077 16,654,990 12,253,110 Proportionate share of the net pension liability/(asset) as a percentage of its covered payroll 7.53 % 4.99 % (2.28) % 0.90 % 1.62 % 3.67 % 0.90 % 1.40 % — % (0.60) % Plan fiduciary net position as a percentage of the total pension liability 89.58 % 92.30 % 103.80 % 98.30 % 96.50 % 90.80 % 97.40 % 95.10 % 100.20 % 103.50 % Tier 2 Public Safety and Firefighter System 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Proportion of the net pension liability/ (asset) 5.93 % 6.19 % 5.80 % 5.74 % 5.55 % 5.18 % 5.18 % 5.10 % 4.90 % 4.70 % Proportionate share of the net pension liability/(asset)$ 2,232,417 $ 516,314 $ (293,012) $ 515,287 $ 521,868 $ 129,911 $ (59,931) $ (44,337) $ (70,899) $ (69,679) Covered payroll 22,455,257 19,042,447 13,863,869 11,485,493 9,144,399 6,932,409 5,466,404 4,220,190 2,887,833 1,947,856 Proportionate share of the net pension liability/(asset) as a percentage of its covered payroll 9.94 % 2.71 % (2.11) % 4.49 % 5.71 % 1.87 % (1.10) % 1.10 % (2.50) % (3.60) % Plan fiduciary net position as a percentage of the total pension liability 89.10 % 96.04 % 102.80 % 93.10 % 89.60 % 95.60 % 103.00 % 103.60 % 110.70 % 120.50 % 133 SALT LAKE CITY CORPORATION SCHEDULE OF CONTRIBUTIONS UTAH RETIREMENT SYSTEMS June 30, 2024 Last 10 Fiscal Years * Noncontributory System 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Actuarial determined contributions $ 13,905,294 $ 13,669,162 $ 13,987,824 $ 14,211,603 $ 14,468,883 $ 14,784,183 $ 15,587,651 $ 15,203,842 $ 15,620,205 $ 15,813,000 Contributions in relation to the contractually required contribution (13,905,294) (13,669,162) (13,987,824) (14,211,603) (14,468,883) (14,784,183) (15,587,651) (15,203,842) (15,620,205) (15,813,000) Contribution deficiency — — — — — — — — — — Covered payroll 78,219,285 75,622,149 76,229,226 77,436,235 78,833,598 80,557,707 84,994,448 82,857,075 85,124,380 86,242,509 Contributions as a percentage of covered payroll ** 17.78 % 18.08 % 18.35 % 18.35 % 18.35 % 18.35 % 18.34 % 18.40 % 18.40 % 18.30 % Contributory Retirement System 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Actuarial determined contributions $ 203,835 $ 209,380 $ 220,194 $ 230,348 $ 269,579 $ 295,509 $ 385,624 $ 440,076 $ 521,065 $ 663,580 Contributions in relation to the contractually required contribution (203,835) (209,380) (220,194) (230,348) (269,579) (295,509) (385,624) (440,076) (521,065) (663,580) Contribution deficiency — — — — — — — — — — Covered payroll 1,460,119 1,490,725 1,522,794 1,593,017 1,864,326 2,043,653 2,667,741 3,043,441 3,603,536 4,589,128 Contributions as a percentage of covered payroll ** 13.96 % 14.05 % 14.46 % 14.46 % 14.46 % 14.46 % 14.50 %14.5% 14.50 % 14.50 % * Amounts presented were determined as of fiscal year July 1 - June 30. ** Contributions as a percentage of covered payroll may be different than the Board certified rate due to rounding or other administrative issues. 134 SALT LAKE CITY CORPORATION SCHEDULE OF CONTRIBUTIONS UTAH RETIREMENT SYSTEMS June 30, 2024 Last 10 Fiscal Years * Public Safety System 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Actuarial determined contributions $ 13,833,065 $ 13,146,106 $ 12,767,488 $ 12,550,149 $ 13,455,117 $ 13,599,853 $ 14,249,526 $ 13,983,065 $ 13,373,761 $ 13,142,387 Contributions in relation to the contractually required contribution (13,833,065) (13,146,106) (12,767,488) (12,550,149) (13,455,117) (13,599,853) (14,249,526) (13,983,065) (13,373,761) (13,142,387) Contribution deficiency — — — — — — — — — — Covered payroll 30,328,086 28,351,640 27,876,833 27,456,348 29,318,067 29,492,416 30,940,836 30,315,192 28,977,940 28,508,216 Contributions as a percentage of covered payroll ** 45.61 % 46.37 % 45.80 % 45.71 % 4580.00 % 45.90 % 46.11 % 46.10 % 46.20 % 46.20 % 46.10 % Firefighters System 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Actuarial determined contributions $ 1,324,570 $ 1,301,449 $ 1,534,954 $ 1,584,137 $ 1,594,213 $ 1,575,638 $ 1,492,942 $ 1,415,652 $ 1,478,858 $ 1,423,828 Contributions in relation to the contractually required contribution (1,324,570) (1,301,449) (1,534,954) (1,584,137) (1,594,213) (1,575,638) (1,492,942) (1,415,652) (1,478,858) (1,423,828) Contribution deficiency — — — — — — — — — — Covered payroll 21,239,302 20,898,457 21,507,692 22,144,611 22,042,984 21,763,435 22,283,254 21,256,546 21,877,162 21,606,471 Contributions as a percentage of covered payroll ** 6.24 % 6.23 % 7.14 % 7.15 % 7.23 % 7.24 % 6.70 % 6.70 % 6.80 % 6.60 % * Amounts presented were determined as of fiscal year July 1 - June 30. ** Contributions as a percentage of covered payroll may be different than the Board certified rate due to rounding or other administrative issues. 135 SALT LAKE CITY CORPORATION SCHEDULE OF CONTRIBUTIONS UTAH RETIREMENT SYSTEMS June 30, 2024 Last 10 Fiscal Years * Tier 2 Public Employee System***2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Actuarial determined contributions $ 14,060,389 $ 11,675,940 $ 9,282,036 $ 7,581,247 $ 6,812,120 $ 5,538,150 $ 4,540,799 $ 3,554,282 $ 2,862,396 $ 2,144,571 Contributions in relation to the contractually required contribution (14,060,389) (11,675,940) (9,282,036) (7,581,247) (6,812,120) (5,538,150) (4,540,799) (3,554,282) (2,862,396) (2,144,571) Contribution deficiency — — — — — — — — — — Covered payroll 87,821,141 71,143,338 57,760,755 47,983,204 43,501,516 35,640,144 30,052,109 23,838,638 19,200,283 14,354,821 Contributions as a percentage of covered payroll ** 16.01 % 16.41 % 16.07 % 15.80 % 15.66 % 15.54 % 15.10 % 14.90 % 14.90 % 14.90 % Tier 2 Public Safety and Firefighter System***2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Actuarial determined contributions $ 7,553,233 $ 6,537,069 $ 5,165,630 $ 3,605,014 $ 3,079,494 $ 2,273,400 $ 1,700,143 $ 1,268,783 $ 958,067 $ 723,268 Contributions in relation to the contractually required contribution (7,553,233) (6,537,069) (5,165,630) (3,605,014) (3,079,494) (2,273,400) (1,700,143) (1,268,783) (958,067) (723,268) Contribution deficiency — — — — — — — — — — Covered payroll 24,429,862 20,603,402 16,575,313 11,814,994 10,711,284 8,055,737 6,249,529 4,734,619 3,478,846 2,424,518 Contributions as a percentage of covered payroll ** 30.92 % 31.73 % 31.16 % 30.51 % 28.75 % 28.22 % 27.20 % 26.80 % 27.50 % 29.80 % * Amounts presented were determined as of fiscal year July 1 - June 30. ** Contributions as a percentage of covered payroll may be different than the Board certified rate due to rounding or other administrative issues. *** Contributions in Tier 2 include an amortization rate to help fund the unfunded liabilities in the Tier 1 systems. Tier 2 systems were created effective July 1, 2011. 136 SALT LAKE CITY CORPORATION SCHEDULE OF CONTRIBUTIONS UTAH RETIREMENT SYSTEMS June 30, 2024 Last 10 Fiscal Years * Tier 2 Public Employees DC Only System***2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Actuarial determined contributions $ 1,766,967 $ 1,325,692 $ 1,164,900 $ 1,044,855 $ 839,449 $ 718,595 $ 612,119 $ 469,208 $ 350,234 $ 223,610 Contributions in relation to the contractually required contribution (1,766,967) (1,325,692) (1,164,900) (1,044,855) (839,449) (718,595) (612,119) (469,208) (350,234) (223,610) Contribution deficiency — — — — — — — — — — Covered payroll 27,391,503 20,088,131 16,699,079 14,939,673 11,951,099 10,299,788 8,817,876 6,802,409 5,235,399 3,327,655 Contributions as a percentage of covered payroll ** 6.45 % 6.60 % 6.98 % 6.99 % 7.02 % 6.98 % 6.94 % 6.90 % 6.70 % 6.70 % Tier 2 Public Safety and Firefighter DC Only System***2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Actuarial determined contributions $ 1,033,808 $ 698,569 $ 567,245 $ 453,281 $ 389,830 $ 358,354 $ 273,217 $ 167,364 $ 144,511 $ 138,623 Contributions in relation to the contractually required contribution (1,033,808) (698,569) (567,245) (453,281) (389,830) (358,354) (273,217) (167,364) (144,511) (138,623) Contribution deficiency — — — — — — — — — — Covered payroll 5,213,995 3,540,475 2,872,082 2,327,822 2,025,004 1,826,747 1,357,040 892,166 738,510 660,215 Contributions as a percentage of covered payroll ** 19.83 % 19.73 % 19.75 % 19.47 % 19.25 % 19.62 % 20.10 % 18.80 % 19.60 % 21.00 % * Amounts presented were determined as of fiscal year July 1 - June 30. ** Contributions as a percentage of covered payroll may be different than the Board certified rate due to rounding or other administrative issues. *** Contributions in Tier 2 include an amortization rate to help fund the unfunded liabilities in the Tier 1 systems. Tier 2 systems were created effective July 1, 2011. 137 SALT LAKE CITY CORPORATION SCHEDULE OF CONTRIBUTIONS UTAH RETIREMENT SYSTEMS June 30, 2024 Last 10 Fiscal Years * SALT LAKE CITY PUBLIC SAFETY FUND 2024 2023 2022 2021 2020 2019 2018 2017 2016 Actuarially Determined Contribution $ 18,340,163 $ 16,505,799 $ 15,350,247 $ 15,608,224 $ 15,608,919 $ 15,294,371 $ 14,899,169 $ 15,260,367 $ 14,100,050 Contribution in relation to the actuarially determined contribution (18,340,163) (16,505,799) (15,350,247) (15,608,224) (15,608,919) (15,294,371) (14,899,169) (15,260,367) (14,100,050) Covered payroll 26,501,797 25,994,490 26,735,927 28,519,448 28,862,618 29,357,367 30,142,604 28,331,159 28,581,857 Contributions as a percentage of covered payroll 2.2 % 63.5 % 57.4 % 54.7 % 54.1 % 52.1 % 49.43 % 53.86 % 49.33 % * Amounts presented were determined as of fiscal year July 1 - June 30. The City is required to prospectively develop this table in future years to show 10-years of information. However, until a full 10 year trend is compiled, the City will present information available. 138 SALT LAKE CITY CORPORATION SCHEDULE OF CHANGES IN NET PENSION LIABILITY December 31, 2024 Last 10 Fiscal Years Schedule of Changes in Net Pension Liability Total pension liability 2023 2022 2021 2020 2019 2018 2017 2016 2015 Service Cost $ 6,237,397 $ 6,140,012 $ 6,146,543 $ 6,566,784 $ 6,664,578 $ 6,763,108 $ 6,704,194 $ 6,316,421 $ 5,963,330 Interest (on the Total Pension Liability) 30,208,783 29,255,041 28,604,572 27,597,013 26,741,309 25,880,971 24,936,718 23,099,095 23,023,003 Difference between expected and actual experience 9,010,385 3,310,822 (769,824) 3,340,606 345,357 533,365 2,143,293 2,814,918 2,062,462 Changes of assumptions 5,258,516 — 5,194,335 (242,821) — — 11,736,690 11,312,611 — Benefit payments, including refunds of employee contributions (24,076,979) (24,649,742) (23,562,271) (21,546,165) (21,233,951) (20,264,462) (18,746,721) (17,682,059) (17,073,847) Net change in total pension liability 26,638,102 14,056,133 15,613,355 15,715,417 12,517,293 12,912,982 26,774,174 25,860,986 13,974,948 Total pension liability – beginning 449,923,926 435,897,793 420,284,438 404,569,021 392,051,728 379,138,746 352,364,572 326,503,586 312,528,638 Total pension liability – ending $ 476,562,028 $ 449,953,926 $ 435,897,793 $ 420,284,438 $ 404,569,021 $ 392,051,728 $ 379,138,746 $ 352,364,572 $ 326,503,586 Plan fiduciary net position Contributions – employer $ 18,340,163 $ 16,505,799 $ 15,350,247 $ 15,608,224 $ 15,608,919 $ 15,294,371 $ 14,899,169 $ 15,260,367 $ 14,100,050 Contributions – employee 5,171 88,709 3,338 88,759 — — — 7,662 198 Net investment income 35,455,715 (21,787,130) 61,654,861 40,543,142 41,115,915 (1,074,920) 34,603,100 20,441,556 4,177,400 Benefit payments, including refunds of employee contributions (24,076,979) (24,649,742) (23,562,271) (21,546,165) (21,233,951) (20,264,462) (18,746,721) (17,682,059) (17,073,847) Administrative Expense (138,168) (134,148) (130,628) (129,919) (125,839) (134,501) (129,436) (118,082) (115,895) Other 292,902 1,538,014 1,834,589 1,175,267 801,467 2,259,077 1,642,323 1,368,982 656,892 Net change in plan fiduciary net position 29,878,806 (28,438,498) 55,150,136 35,739,308 36,166,511 (3,920,435) 32,268,435 19,278,426 1,744,798 Plan fiduciary net position – beginning 387,641,134 416,079,632 360,929,496 325,190,188 289,023,677 292,944,112 260,675,677 241,397,251 239,652,453 Plan fiduciary net position – ending $ 417,519,940 $ 387,641,134 $ 416,079,632 $ 360,929,496 $ 325,190,188 $ 289,023,677 $ 292,944,112 $ 260,675,677 $ 241,397,251 Net pension liability $ 59,042,088 $ 62,282,792 $ 19,818,161 $ 59,354,942 $ 79,378,833 $ 103,028,051 $ 86,194,634 $ 91,688,895 $ 85,106,335 Plan fiduciary net position as a percentage of the total pension liability 87.6 % 86.2 % 95.5 % 85.9 % 80.4 % 73.7 % 77.3 % 74.0 % 73.9 % Covered-employee payroll 26,501,797 25,994,490 26,735,927 28,519,448 28,862,618 29,357,367 30,142,604 28,331,159 28,581,857 Net pension liability as a percentage of covered payroll 222.8 % 239.6 % 74.1 % 208.1 % 275.0 % 350.9 % 286.0 % 323.6 % 297.8 % Pension plan fiduciary net position: Detailed information about the pension plan’s fiduciary net position is available in the separately issued URS financial report. 139 SALT LAKE CITY CORPORATION COMPONENT UNIT LIBRARY SCHEDULE OF CHANGES IN THE TOTAL OPEB LIABILITY AND RELATED RATIOS June 30, 2024 Last 10 Fiscal Years * Schedule of Changes in the Total OPEB Liability and Related Ratios 2024 2023 2022 2021 2020 2019 2018 Service Cost $ — $ — $ — $ — $ — $ — $ — Interest 6,558 6,824 4,455 5,876 7,958 9,568 10,234 Changes of benefit terms — — — — — — — Differences between expected and actual experience 6,293 — (6,241) (1,113) (398) (764) 1,985 Changes in assumptions or other inputs (1,143) (1,897) (24,306) 9,647 1,857 8,215 — Benefit Payments (19,500) (20,400) (21,600) (22,900) (24,750) (29,250) (31,950) Net Change in Total OPEB liability (7,792) (15,473) (47,692) (8,490) (15,333) (12,231) (19,731) Total OPEB Liability - Beginning 179,650 195,123 242,815 251,305 266,638 278,868 298,599 Total OPEB Liability - Ending $ 171,858 $ 179,650 $ 195,123 $ 242,815 $ 251,305 $ 266,637 $ 278,868 Covered Payroll $ — $ — $ — $ — $ — $ — $ — Total OPEB Liability as a percentage of covered Payroll N/A N/A N/A N/A N/A N/A N/A Notes to Schedule: Changes of Benefit Terms: None Discount rates used in each period:3.97%3.86%3.69%1.92%2.45%3.13%3.62% Changes of assumptions and other inputs reflects the effects of changes in the discount rate each period, as shown above. * In accordance with paragraph 170.a of GASB Statement No. 75, employers will need to disclose a 10-year schedule of changes in the total OPEB liability in their required supplementary information. However, until a full 10-year schedule is compiled, the Library will present information for those years for which information is available. 140 Notes to Required Supplementary Information 141 1. Budgetary-GAAP Reporting Reconciliation The City Council can amend the budget to any extent, provided the budgeted expenditures do not exceed revenues and appropriated fund balance. During the year ended June 30, 2024, General Fund appropriations increased by a net $54,779,725. The first increase was for encumbrances totaling $20,147,898. The third budget amendment increased funding for deeply affordable housing to address immediate and long-term homeless needs by $6 million. The fourth budget amendment totaled $7,584,328 and included requests for five new positions. It also included $750,000 for fire station gender equity, $2,539,019 for police patrol response, $500,000 for the tennis court reconstruction and $800,000 for substation improvements and various smaller projects. The fifth and sixth budget amendment increased general fund budgets by $5,940,349 and $12,219,731 respectively. These amounts included funding increases for repairs to City Hall for earthquake damages, improvements to the City physical security, repairs to the Steiner building roof, and ARPA revenue replacement. Other smaller budget amendments made up the difference. The Schedules of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual include comparisons of the legally adopted budget (more fully described in Note 1 of the Notes to the Financial Statements) with actual data on a budgetary basis for the General Fund and proprietary funds that have a budgetary basis that differs from GAAP. Accounting principles applied for purposes of developing data on a budgetary basis differ from those used to present financial statements in conformity with GAAP. The difference in expenditures between GAAP and budgetary basis for the General Fund is reconciled in the following table. General Fund Expenditures Actual on reporting basis Plus encumbrances as of Change in compensation obligations Actual on budgetary basisJune 30, 2024 City Council $ 5,316,524 $ 8,991 $ (1,667) $ 5,323,848 Mayor 5,963,765 156,700 (50,033) 6,070,432 City Attorney 10,515,213 69,825 (19,634) 10,565,404 Finance 11,495,949 219,810 (62,162) 11,653,597 Fire 50,621,507 337,125 (60,820) 50,897,812 Combined Emergency Services 10,288,938 447,563 30,422 10,766,923 Police 115,639,676 694,537 (10,547) 116,323,666 Community and Neighborhoods 34,260,751 8,432,791 (102,362) 42,591,180 Economic Development 4,060,682 182,014 22,579 4,265,275 Justice Courts 5,351,866 10,000 (2,310) 5,359,556 Human Resources 4,323,420 6,000 30,755 4,360,175 Public Services 41,278,890 4,587,615 (37,601) 45,828,904 Public Lands 27,258,939 680,307 69,851 28,009,097 Nondepartmental 53,352,139 6,371,656 — 59,723,795 Debt service principle 96,971,111 — — 96,971,111 Total expenditures 476,699,370 22,204,934 (193,529) 498,710,775 Transfers out (96,971,111) — — (96,971,111) Total $ 379,728,259 $ 22,204,934 $ (193,529) $ 401,739,664 SALT LAKE CITY CORPORATION NOTES TO REQUIRED SUPPLEMENTARY INFORMATION June 30, 2024 142 2. Post-employment Benefits other than pensions: No assets are accumulated in a trust that meets the criteria in paragraph four of GASB Statement 75. The plan is not accounted for as a trust fund since an irrevocable trust has not been established to account for the plan. The plan does not issue a separate report. The activity of the plan is reported in the Library’s general fund. 3. Pension changes in Assumptions: Changes include updates to the mortality improvement assumption, salary increase assumption, disability incidence assumption, assumed retirement rates, and assumed termination rates, as recommended with the January 1, 2023 actuarial experience study. SALT LAKE CITY CORPORATION NOTES TO REQUIRED SUPPLEMENTARY INFORMATION June 30, 2024 143 This page intentionally left blank 144 Supplementary Information 145 Nonmajor Governmental Funds Arts Council Fund - To account for activities of the Arts Council and the purchase or construction of art in City owned facilities. Downtown Economic Development Fund - To account for special assessments which are restricted for downtown projects or improvements. Community Development Operating Fund - To account for monies received by the City as grantee participant in the Community Development Block Grant (CDBG) program, except for CDBG monies to be used for capital improvements which are accounted for in the Capital Projects Fund. Grants Operating Fund - To account for monies received by the City under the Home Program, Emergency Medical Services, Emergency Shelter Grants, Housing Opportunities for Persons with Aids Grants, Urban Area Security Initiative Grants, Metropolitan Medical Response System Grants, Local Emergency Planning Committee Hazardous Materials Grants, Drug Free Communities Grants, Rocky Mountain Drug Trafficking Grants, Justice Assistance Grants, Historic Preservation Grants, and other studies and grants. Street Lighting Fund - To account for the operation of additional street lights, the cost of which is paid by the City and by property owners who benefit from these improvements. Demolition, Weed and Forfeiture Fund - To account for City mandated demolition, weed abatement activities and certain police forfeiture activities. Emergency 911 Dispatch Fund - To account for the City's portion of the County-wide emergency dispatch system. Salt Lake City Donation Fund - This fund was established to account for individual private and intergovernmental contributions held in trust by the City for the Child Abduction Fund, Youth City Programs, Imagination Celebration, Police and Fire Equipment Endowments, Environmental Issues Fund, Police High School Scholarship Fund, Historic Preservation Fund, Mayor’s Sponsorship Fund, and other contributions received to be held for a specific purpose. Transportation Fund - In 2018 the State of Utah imposed a statewide 0.25% sales tax to be used for transportation. The state legislature allowed the Cities to receive this funding directly in July 2019. In the fiscal year ended June 30, 2020, the City created a separate governmental transportation fund to collect and spend their portion of the sales to improve transportation within the City. DEA Metro Narcotic Task Force Fund - The Drug Enforcement Administration Metropolitan Narcotic Task Force (DEA Metro Narcotic Task Force) is dedicated to the reduction of illegal drug trafficking. Financial resources are provided by federal grants and asset forfeitures. 146 Special Improvement Debt Service Fund - This fund is used to account for the cost of servicing the debt created by financing the construction of public improvements deemed to benefit the properties against which special assessments are levied. 147 SALT LAKE CITY CORPORATION COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS June 30, 2024 Special Revenue Funds Special Improvement Debt Service Fund Total Nonmajor Governmental Funds ASSETS Cash and cash equivalents Unrestricted $ 49,060,406 $ 187,365 $ 49,247,771 Receivables: Property tax receivable 2,270,678 — 2,270,678 Accounts receivable 1,252,122 122,931 1,375,053 Loan and other receivables 124,464 — 124,464 Due from other governments 6,621,398 — 6,621,398 Other — 83,589 83,589 Prepaids 49,745 — 49,745 Total assets $ 59,378,813 $ 393,885 $ 59,772,698 LIABILITIES Accounts payable $ 11,199,350 $ — $ 11,199,350 Accrued liabilities 84,825 — 84,825 Current deposits and advance rentals 1,926,241 — 1,926,241 Revenues collected in advance 20,768,949 — 20,768,949 Other liabilities payable from restricted assets 362,695 206,520 569,215 Total liabilities 34,342,059 206,520 34,548,580 DEFERRED INFLOWS OF RESOURCES Unavailable grant revenue 650 — 650 Total liabilities and deferred inflows of resources 34,342,709 206,520 34,549,229 FUND BALANCE Nonspendable 49,745 — 49,745 Restricted 10,265,465 — 10,265,465 Committed 8,035,006 187,365 8,222,371 Assigned 6,685,886 — 6,685,886 Total fund balance 25,036,102 187,365 25,223,467 Total liabilities and fund balance $ 59,378,812 $ 393,885 $ 59,772,698 148 SALT LAKE CITY CORPORATION COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS Year ended June 30, 2024 Special Revenue Funds Special Improvement Debt Service Fund Total Nonmajor Governmental Funds Revenues: Sales, use, and excise taxes $ 13,509,426 $ — $ 13,509,426 Assessments 1,513,167 11,441 1,524,608 Fines and forfeitures 175,897 — 175,897 Interest 997,745 7,827 1,005,572 Intergovernmental 17,713,272 — 17,713,272 Charges for services 136,849 — 136,849 Contributions 2,447,836 — 2,447,836 Miscellaneous 525,987 — 525,987 Total revenues 37,020,179 19,268 37,039,447 Expenditures: Fire 20,697 — 20,697 Police 174,955 — 174,955 Community and Neighborhoods 24,738,791 — 24,738,791 Economic Development 2,494,332 — 2,494,332 Public Services 740,230 — 740,230 Nondepartmental — 120 120 Total expenditures 28,169,005 120 28,169,125 Revenues over expenditures 8,851,174 19,148 8,870,322 Other financing sources: Contribution of assets (1,352,747) — (1,352,747) Transfers in 748,739 — 748,739 Transfers out (13,599,690) — (13,599,690) Total other financing sources (14,203,698) — (14,203,698) Net change in fund balances (5,352,524) 19,148 (5,333,376) Fund Balance July 1, 2023 30,388,629 168,217 30,556,844 Fund Balance June 30, 2024 $ 25,036,105 $ 187,365 $ 25,223,468 149 SALT LAKE CITY CORPORATION COMBINING BALANCE SHEET NONMAJOR SPECIAL REVENUE FUNDS June 30, 2024 Arts Council Downtown Economic Development Community Development Operating Grants Operating ASSETS Cash and cash equivalents Unrestricted $ 997,742 $ 2,101,356 $ (1,991,981) $ 27,318,999 Receivables: Property tax receivable — — — — Accounts receivable — 362,695 876,732 — Loan and other receivables, net 124,464 — — — Due from other governments — — 2,094,656 4,526,742 Prepaids 5,731 — — 44,014 Total assets $ 1,127,937 $ 2,464,051 $ 979,407 $ 31,889,755 LIABILITIES Accounts payable $ 50,580 $ 417,825 $ 906,941 $ 9,713,726 Accrued liabilities 84,825 — — — Current deposits and advance rentals — — — — Total current liabilities 135,405 417,825 906,941 9,713,726 Noncurrent liabilties: Revenues collected in advance — — — 20,768,949 Other liabilities payable from restricted assets — 362,695 — — Total liabilities 135,405 780,520 906,941 30,482,675 DEFERRED INFLOWS OF RESOURCES Unavailable grant revenue 650 — — — Total liabilities and deferred inflows of resources 136,055 780,520 906,941 30,482,675 FUND BALANCE Nonspendable 5,731 — — 44,014 Restricted — — 72,466 1,363,066 Committed 138,483 — — — Assigned 847,668 1,683,531 — — Total fund balance 991,882 1,683,531 72,466 1,407,080 Total liabilities deferred inflows of resources and fund balance $ 1,127,937 $ 2,464,051 $ 979,407 $ 31,889,755 150 Street Lighting Demolition, Weed and Forfeiture Emergency 911 Dispatch Salt Lake City Donation Fund Salt Lake City Transportation Fund DEA Metro Narcotic Task Force Nonmajor Special Revenue Total $ 627,874 $ 3,714,050 $ 7,347,372 $ 1,976,362 $ 5,890,349 $ 1,078,283 $ 49,060,406 — — 827,393 — 1,443,285 — 2,270,678 — — — 12,695 — — 1,252,122 — — — — — — 124,464 — — — — — — 6,621,398 — — — — — — 49,745 $ 627,874 $ 3,714,050 $ 8,174,765 $ 1,989,057 $ 7,333,634 $ 1,078,283 59,378,813 $ — $ 5,450 $ — $ 104,536 $ — $ 292 11,199,350 — — — — — — 84,825 — 1,926,241 — — — — 1,926,241 — 1,931,691 — 104,536 — 292 13,210,416 — — — — — — 20,768,949 — — — — — — 362,695 — 1,931,691 — 104,536 — 292 34,342,060 — — — — — — 650 — 1,931,691 — 104,536 — 292 34,342,710 — — — — — — 49,745 — — 827,393 — 7,333,634 668,906 10,265,465 — 549,151 7,347,372 — — — 8,035,006 627,874 1,233,208 — 1,884,520 — 409,085 6,685,886 627,874 1,782,359 8,174,765 1,884,520 7,333,634 1,077,991 25,036,102 $ 627,874 $ 3,714,050 $ 8,174,765 $ 1,989,057 $ 7,333,634 $ 1,078,283 $ 59,378,813 151 SALT LAKE CITY CORPORATION COMBINING STATEMENT OF REVENUE EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR SPECIAL REVENUE FUNDS Year ended June 30, 2024 Arts Council Downtown Economic Development Community Development Operating Grants Operating Revenues: Sales, use, and excise taxes $ — $ — $ — $ — Assessments — 1,513,167 — — Fines and forfeitures — — — — Interest — 80,211 — 139,230 Intergovernmental — — 3,772,451 13,813,180 Charges for services 125,749 — — — Contributions 2,447,836 — — — Miscellaneous 30,538 — 28,162 — Total revenues 2,604,123 1,593,378 3,800,613 13,952,410 Expenditures: Fire — — — — Police — — — — Community and Neighborhoods — 2,315,119 3,967,616 18,240,609 Economic Development 2,494,332 — — — Public Services — — — — Total expenditures 2,494,332 2,315,119 3,967,616 18,240,609 Revenues over (under) expenditures 109,791 (721,741) (167,003) (4,288,199) Other financing sources (uses): Contribution of assets — — — — Transfers in — — 748,739 — Transfers out — — (608,342) (877,256) Total other financing sources (uses) — — 140,397 (877,256) Net change in fund balances 109,791 (721,741) (26,606) (5,165,455) Fund Balance July 1, 2023 882,091 2,405,272 99,073 6,572,535 Fund Balance June 30, 2024 $ 991,882 $ 1,683,531 $ 72,467 $ 1,407,080 152 Street Lighting Demolition, Weed and Forfeiture Emergency 911 Dispatch Salt Lake City Donation Fund Salt Lake City Transportation Fund DEA Metro Narcotic Task Force Nonmajor Special Revenue Total $ — $ — $ 4,934,903 $ — $ 8,574,523 $ — $ 13,509,426 ——————1,513,167 —175,897 ————175,897 27,902 139,435 366,981 98,225 145,761 —997,745 —127,641 ————17,713,272 ———11,100 ——136,849 ——————2,447,836 —201,690 —66,180 —199,417 525,987 27,902 644,663 5,301,884 175,505 8,720,284 199,417 37,020,179 ———20,697 ——20,697 ———16,168 —158,787 174,955 —215,447 ————24,738,791 ——————2,494,332 ———740,230 ——740,230 —215,447 —777,095 —158,787 28,169,005 27,902 429,216 5,301,884 (601,590)8,720,284 40,630 8,851,174 ———(1,352,747)——(1,352,747) ——————748,739 ——(3,800,385)—(8,313,707)—(13,599,690) — — (3,800,385) (1,352,747) (8,313,707) — (14,203,698) 27,902 429,216 1,501,499 (1,954,337) 406,577 40,630 (5,352,524) 599,972 1,353,143 6,673,266 3,838,857 6,927,057 1,037,361 30,388,629 $ 627,874 $ 1,782,359 $ 8,174,765 $ 1,884,520 $ 7,333,634 $ 1,077,991 $ 25,036,103 153 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE ARTS COUNCIL Year ended Year ended June 30, 2024 Budgeted Amounts Actual (GAAP basis)Original Final Variance Revenues: Charges for services $ 125,749 $ 85,850 $ 101,150 $ 24,599 Contributions 2,447,836 2,401,074 2,468,652 (20,816) Miscellaneous 30,538 — 28,900 1,638 Total revenues 2,604,123 2,486,924 2,598,702 5,421 Expenditures: Arts Council 2,494,332 2,486,924 2,570,202 75,870 Total expenditures 2,494,332 2,486,924 2,570,202 75,870 Revenues over expenditures 109,791 $ — $ 28,500 $ 81,291 Net change in fund balance 109,791 Fund Balance July 1, 2023 882,091 Fund Balance June 30, 2024 $ 991,882 154 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE DOWNTOWN ECONOMIC DEVELOPMENT Year ended June 30, 2024 Budgeted Amounts Actual (GAAP basis)Original Final Variance Revenues: Assessments $ 1,513,167 $ 1,700,000 $ 1,700,000 $ (186,833) Interest 80,211 — — 80,211 Total revenues 1,593,378 1,700,000 1,700,000 (106,622) Expenditures: Community and Economic Development 2,315,119 1,700,000 2,364,294 49,175 Total expenditures 2,315,119 1,700,000 2,364,294 49,175 Revenues under expenditures (721,741) $ — $ (664,294) $ (57,447) Net change in fund balance (721,741) Fund Balance July 1, 2023 2,405,272 Fund Balance June 30, 2024 $ 1,683,531 155 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE COMMUNITY DEVELOPMENT OPERATING FUND Year ended June 30, 2024 Budgeted Amounts Actual (GAAP basis)Original Final Variance Revenues: Intergovernmental $ 3,772,451 $ 5,597,763 $ 5,597,763 $ (1,825,312) Miscellaneous revenue 28,162 — — 28,162 Total revenues 3,800,613 5,597,763 5,597,763 (1,797,150) Expenditures: Community and Economic Development 3,967,616 5,597,763 13,324,270 9,356,654 Total expenditures 3,967,616 5,597,763 13,324,270 9,356,654 Revenues under expenditures (167,003) — (7,726,507) 7,559,504 Other financing sources (uses): Transfers in 748,739 — 6,133,511 (5,384,772) Transfers out (608,342) — — (608,342) Total other financing sources: 140,397 $ — $ 6,133,511 $ (5,993,114) Net change in fund balance (26,606) Fund Balance July 1, 2023 99,073 Fund Balance June 30, 2024 $ 72,467 156 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE GRANTS OPERATING FUND Year ended June 30, 2024 Budgeted Amounts Actual (GAAP basis)Original Final Variance Revenues: Interest $ 139,230 $ — $ — $ 139,230 Intergovernmental 13,813,180 8,919,917 31,146,206 (17,333,026) Miscellaneous — — 100,549 (100,549) Total revenues 13,952,410 8,919,917 31,246,755 (17,294,345) Expenditures: Community and Economic Development 18,240,609 8,919,917 73,592,480 55,351,871 Total expenditures 18,240,609 8,919,917 73,592,480 55,351,871 Revenues under expenditures (4,288,199) — (42,345,725) (72,646,216) Other financing uses: Transfers out (877,256) — — (877,256) Total other financing uses: (877,256) $ — $ — $ (877,256) Net change in fund balance (5,165,455) Fund Balance July 1, 2023 6,572,536 Fund Balance June 30, 2024 $ 1,407,080 157 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE STREET LIGHTING Year ended June 30, 2024 Budgeted Amounts Actual (GAAP basis)Original Final Variance Revenues: Interest $ 27,902 $ — $ — $ 27,902 Total revenues 27,902 — — 27,902 Revenues over expenditures 27,902 $ — $ — $ 27,902 Net change in fund balance 27,902 Fund Balance July 1, 2023 599,972 Fund Balance June 30, 2024 $ 627,874 158 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE DEMOLITION, WEED AND FORFEITURE Year ended June 30, 2024 Budgeted Amounts Actual (GAAP basis)Original Final Variance Revenues: Fines and forfeitures $ 175,897 $ — $ — $ 175,897 Interest 139,435 — — 139,435 Intergovernmental 127,641 — — 127,641 Miscellaneous 201,690 300,000 300,000 (98,310) Total revenues 644,663 300,000 300,000 344,663 Expenditures: Community and Economic Development 215,447 400,000 465,472 250,025 Total expenditures 215,447 400,000 465,472 250,025 Revenues over expenditures 429,216 (100,000) (165,472) 594,688 Other financing sources: Transfers in — 100,000 162,416 162,416 Total other financing sources: — $ 100,000 $ 162,416 $ 162,416 Net change in fund balance 429,216 Fund Balance July 1, 2023 1,353,143 Fund Balance June 30, 2024 $ 1,782,359 159 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE EMERGENCY 911 DISPATCH Year ended June 30, 2024 Budgeted Amounts Actual (GAAP basis)Original Final Variance Revenues: Sales, use and excise taxes $ 4,934,903 $ 3,850,000 $ 3,850,000 $ 1,084,903 Interest 366,981 75,000 75,000 291,981 Total revenues 5,301,884 3,925,000 3,925,000 1,376,884 Revenues over expenditures 5,301,884 3,925,000 3,925,000 1,376,884 Other financing uses: Transfers out (3,800,385) (3,800,385) (3,800,385) — Total other financing uses: (3,800,385) $ (3,800,385) $ (3,800,385) $ — Net change in fund balance 1,501,499 Fund Balance July 1, 2023 6,673,266 Fund Balance June 30, 2024 $ 8,174,765 160 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE SALT LAKE CITY DONATION FUND Year ended June 30, 2024 Budgeted Amounts Actual (GAAP basis)Original Final Variance Revenues: Interest $ 98,225 $ — $ — $ 98,225 Charges for services 11,100 — — 11,100 Miscellaneous 66,180 500,000 500,000 (433,820) Total revenues 175,505 500,000 500,000 (324,495) Expenditures: Nondepartmental 10,000 — — (10,000) Community and Neighborhoods 185 — — (185) Public Lands 747,982 — — (747,982) Police 18,928 — — (18,928) Public Services — 500,000 1,000,000 1,000,000 Total expenditures 777,095 500,000 1,000,000 222,905 Revenues under expenditures (601,590) — (500,000) (101,590) Other financing uses: Transfers out (1,352,747) — (2,006,268) 653,521 Total other financing uses: (1,352,747) $ — $ (2,006,268) $ 653,521 Net change in fund balance (1,954,338) Fund Balance July 1, 2023 3,838,857 Fund Balance June 30, 2024 $ 1,884,519 161 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE SALT LAKE CITY TRANSPORTATION FUND Year ended June 30, 2024 Budgeted Amounts Actual (GAAP basis)Original Final Variance Revenues: Sales tax $ 8,574,523 $ 9,700,000 $ 9,700,000 $ (1,125,477) Interest 145,761 — — 145,761 Total revenues 8,720,284 9,700,000 9,700,000 (979,716) Expenditures: Total expenditures — — — — Revenues over expenditures 8,720,284 9,700,000 9,700,000 (979,716) Other financing uses: Transfers out (8,313,707) (9,700,000) (10,594,823) (8,313,707) Total other financing uses: (8,313,707) $ (9,700,000) $ (10,594,823) $ (8,313,707) Net change in fund balance 406,577 Fund Balance July 1, 2023 6,927,057 Fund Balance June 30, 2024 $ 7,333,634 162 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE DEA METRO NARCOTIC TASK FORCE FUND Year ended June 30, 2024 Budgeted Amounts Actual (GAAP basis)Original Final Variance Revenues: Miscellaneous $ 199,417 $ 1,397,355 $ 1,397,355 $ (1,197,938) Total revenues 199,417 1,397,355 1,397,355 (1,197,938) Expenditures: Police 158,787 1,397,355 1,397,355 (1,238,568) Total expenditures 158,787 1,397,355 1,397,355 (1,238,568) Revenues over expenditures 40,630 $ — $ — $ 40,630 Net change in fund balance 40,630 Fund Balance July 1, 2023 1,037,361 Fund Balance June 30, 2024 $ 1,077,991 163 SALT LAKE CITY CORPORATION COMBINING BALANCE SHEET NONMAJOR DEBT SERVICE FUND Year ended June 30, 2024 Special Improvement ASSETS Cash and cash equivalents Unrestricted $ 187,365 Receivables: Accounts 122,931 Other 83,589 Total assets $ 393,885 LIABILITIES Other liabilities $ 206,520 Total liabilities 206,520 FUND BALANCE Committed 187,365 Total fund balance 187,365 Total liabilities and fund balance $ 393,885 164 SALT LAKE CITY CORPORATION COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR DEBT SERVICE FUND Year ended June 30, 2024 Special Improvement Revenues: Assessments $ 11,441 Interest 7,827 Total revenues 19,268 Expenditures: Operating and Maintenance 120 Total expenditures 120 Net change in fund balance 19,148 Fund Balance July 1, 2023 168,217 Fund Balance June 30, 2024 $ 187,365 165 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE SPECIAL IMPROVEMENT FUND Year ended June 30, 2024 Actual (GAAP basis) Budgeted Amounts Original Budget Final Budget Variance Revenues: Assessments $ 11,441 $ 3,000 $ 3,000 $ 8,441 Interest 7,827 — — 7,827 Total revenues 19,268 3,000 3,000 16,268 Expenditures: Operating and maintenance 120 1,200 1,200 1,080 Administrative Services — 1,800 1,800 1,800 Total expenditures 120 3,000 3,000 2,880 Revenues over expenditures 19,148 $ — $ — $ 13,388 Net change in fund balance 19,148 Fund Balance July 1, 2023 168,217 Fund Balance June 30, 2024 $ 187,365 166 Major Governmental Funds Budgetary Comparison Schedule 167 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE CAPITAL PROJECTS FUND Year ended June 30, 2024 Actual (GAAP basis) Budgeted Amounts Original Budget Final Budget Variance Revenues: Sales, use and excise taxes $ — $ 8,191,470 $ — $ — Permits 5,872,333 2,968,850 —5,872,333 Interest 14,106,466 —114,011 13,992,455 Intergovernmental 17,974,386 3,650,500 11,233,001 6,741,385 Charges for Services 57,311 ——57,311 Rental & other income 11,323 ——11,323 Miscellaneous 318,020 200,000 1,018,000 (699,980) Total revenues 38,339,839 15,010,820 12,365,012 25,974,827 Expenditures: Capital improvements 73,436,026 27,876,986 329,100,930 255,664,904 Total expenditures 73,436,026 27,876,986 329,100,930 255,664,904 Revenues under expenditures (35,096,187)(12,866,166)(316,735,918)281,639,731 Other financing sources (uses): Proceeds from bond issuance 24,660,000 —24,660,000 — Proceeds from sale of property 100,006 ——100,006 Transfers in 55,541,903 15,188,936 53,252,715 2,289,188 Transfers out (9,418,311)(1,831,300)—(9,418,311) Total other financing sources (uses):70,883,598 13,357,636 77,912,715 (7,029,117) Net Change in Fund Balance 35,787,411 $ 491,470 $ (238,823,203) $ 274,610,614 Fund Balance July 1, 2023 257,580,265 Fund Balance June 30, 2024 $ 293,367,676 168 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE OTHER IMPROVEMENT FUND Year ended June 30, 2024 Budgeted Amounts Actual (GAAP basis)Original Final Variance Revenues: Property taxes $ 17,342,055 $ 17,342,055 $ 17,342,055 $ — Sales, use and excise taxes 1,100,000 1,100,000 1,100,000 — Intergovernmental 2,179,461 2,179,461 2,179,461 — Interest 284,977 — — 284,977 Rental and other income 648,342 646,842 646,842 1,500 Miscellaneous 3,012,739 — — 3,012,739 Total revenues 24,567,574 21,268,358 21,268,358 3,299,216 Expenditures: Administrative Services — 2,500 1,102,500 1,102,500 Debt service: Principal 21,100,171 20,792,906 20,792,906 (307,265) Interest 12,444,205 12,399,573 12,399,573 (44,632) Total expenditures 33,544,376 33,194,979 34,294,979 750,603 Revenues under expenditures (8,976,802) (11,926,621) (13,026,621) 2,548,613 Other financing sources (uses): Refunding bonds issued 225,893 — — 225,893 Transfers in 11,073,228 11,073,228 12,173,228 (1,100,000) Transfers out — (1,700,000) (1,700,000) 1,700,000 Total other financing sources (uses): — $ (1,700,000) $ (1,700,000) $ 1,700,000 Net change in fund balance 2,322,319 Fund Balance July 1, 2023 13,449,360 Fund Balance June 30, 2024 $ 15,771,679 169 This page intentionally left blank 170 Nonmajor Enterprise Funds Street Lighting Utility – This fund is used to account for the activities related to operations, repairs and maintenance of the street lights. Refuse Collection Fund – This fund is used to account for the operations and activities related to garbage collection and disposal. Housing and Loan Fund – This fund is used to account for the loan servicing activities of the City’s grand and leveraged bank funded loans, except for the Urban Development Action Grant loans. Golf Fund – This fund is used to account for the operation of golf courses for use by the general public. 171 SALT LAKE CITY CORPORATION COMBINING STATEMENT OF NET POSITION NONMAJOR PROPRIETARY FUNDS June 30, 2024 Street Lighting Utility ASSETS Current assets: Cash and cash equivalents Unrestricted $ 4,998,177 Restricted — Receivables: Accounts, less allowance for doubtful accounts of $4,996, $17,472, $353,000, and $0 respectively, totaling $375,468. 452,360 Current portion of loans receivable 15,367 Prepaid expenses 2,740 Inventory of supplies — Total current assets 5,468,644 Property and equipment, at cost: Land and water rights — Buildings — Improvements other than buildings 14,424,116 Machinery and equipment — Accumulated depreciation (5,374,846) Net property and equipment 9,049,270 Loans and other long-term receivables, less allowance for doubtful accounts of $0, $0, $351,000, $0, respectively, totaling $351,000. — Restricted cash and cash equivalents 80,633 Land and buildings held for resale — Investment in joint venture — Total noncurrent assets 9,129,903 Total assets 14,598,547 DEFERRED OUTFLOWS OF RESOURCES Deferred Outflows - Pension 18,507 Total Deferred Outflows 18,507 Total assets and deferred outflows of resources $ 14,617,054 172 Refuse Collection Housing & Loan Golf Total $ 7,041,812 $ 33,663,491 $ 15,228,390 $ 60,931,870 912,513 — — 912,513 1,477,179 — 29,610 1,959,149 — 2,086,603 — 2,101,970 83,908 — 40,300 126,948 — — 287,853 287,853 9,515,412 35,750,094 15,586,153 66,320,303 — — 5,831,658 5,831,658 — — 4,509,301 4,509,301 497,426 — 18,547,708 33,469,250 21,304,124 — 3,654,749 24,958,873 (13,669,800) — (15,841,469) (34,886,115) 8,131,750 — 16,701,947 33,882,967 — 24,890,962 — 24,890,962 — — — 80,633 — 2,687,371 — 2,687,371 25,205,863 — — 25,205,863 33,337,613 27,578,333 16,701,947 86,747,796 42,853,025 63,328,427 32,288,100 153,068,099 818,582 — 567,370 1,404,459 818,582 — 567,370 1,404,459 $ 43,671,607 $ 63,328,427 $ 32,855,470 $ 154,472,558 173 SALT LAKE CITY CORPORATION COMBINING STATEMENT OF NET POSITION NONMAJOR PROPRIETARY FUNDS June 30, 2024 Street Lighting Utility LIABILITIES Current liabilities: Accounts payable $ 376,533 Accrued liabilities — Accrued interest 35,442 Current deposits and advance rentals 25,383 Current portion of long-term compensated absences 2,293 Current portion of long-term debt 108,460 Total current liabilities 548,111 Noncurrent liabilties: Deposits, advance rentals and long-term accruals — Bonds, mortgages, and notes payable 1,932,568 Long-term compensated absences liability 26,175 Net pension liability 7,925 Total noncurrent liabilities 1,966,668 Total liabilities 2,514,779 DEFERRED INFLOWS OF RESOURCES Deferred Inflows - Pension 305 Total deferred inflows 305 NET POSITION Invested in capital assets 6,961,814 Unrestricted 5,140,156 Total net position 12,101,970 Total liabilities, deferred inflows of resources and net position $ 14,617,054 174 Refuse Collection Housing & Loan Golf Total $ 454,399 $ (55,302) $ 1,387,405 $ 2,163,035 16,397 ——16,397 ———35,442 —622,969 —648,352 71,283 —183,259 256,835 1,319,145 660,764 413,761 2,502,130 1,861,224 1,228,431 1,984,425 5,622,191 81,844 —945,456 1,027,300 1,765,400 2,050,251 3,986,636 9,734,855 352,082 —306,760 685,017 416,879 —306,376 731,180 2,616,205 2,050,251 5,545,228 12,178,352 4,477,429 3,278,682 7,529,653 17,800,543 7,400 —3,523 11,228 7,400 —3,523 11,228 ——12,301,550 19,263,364 39,186,778 60,049,745 13,020,744 117,397,423 39,186,778 60,049,745 25,322,294 136,660,787 $ 43,671,607 $ 63,328,427 $ 32,855,470 $ 154,472,558 175 SALT LAKE CITY CORPORATION COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET POSITION NONMAJOR PROPRIETARY FUNDS June 30, 2024 Street Lighting Utility Sales and charges for services $ 4,766,960 Rental and other 250 Total operating revenue 4,767,210 Personnel services 242,956 Operating and maintenance 1,702 Charges and services 3,825,573 Depreciation and amortization 739,716 Total operating expenses 4,809,947 Operating income/(loss) (42,737) Interest income 239,534 Interest expense (73,181) Equity in joint venture income — Gain on disposition of property and equipment — Total nonoperating revenues 166,353 Income/(loss) before transfers 123,616 Transfers in — Transfers out — Change in net position 123,616 Net Position July 1, 2023 11,978,354 Net Position June 30, 2024 $ 12,101,970 176 Refuse Collection Housing & Loan Golf Total $ 17,011,323 $ — $ 12,574,916 $ 34,353,199 104,266 909,824 55,113 1,069,453 17,115,589 909,824 12,630,029 35,422,652 6,365,068 — 5,161,438 11,769,462 328,606 3,917 1,792,926 2,127,151 9,712,686 605,103 3,836,637 17,979,999 2,002,955 — 780,828 3,523,499 18,409,315 609,020 11,571,829 35,400,111 (1,293,726) 300,804 1,058,200 22,541 320,365 2,084,950 550,242 3,195,091 (124,879) (110,499) (129,452) (438,011) 1,970,659 — — 1,970,659 163,400 — — 163,400 2,329,545 1,974,451 420,790 4,891,139 1,035,819 2,275,255 1,478,990 4,913,680 1,170,900 — 2,086,829 3,257,729 — (748,739) — (748,739) 2,206,719 1,526,516 3,565,819 7,422,670 36,980,059 58,523,229 21,756,475 129,238,117 $ 39,186,778 $ 60,049,745 $ 25,322,294 $ 136,660,787 177 SALT LAKE CITY CORPORATION COMBINING STATEMENT OF CASH FLOWS NONMAJOR PROPRIETARY FUNDS June 30, 2024 Street Lighting Utility Cash Flows from Operating Activities Receipts from customers and users $ 4,648,889 Payments to internal fund services (82,518) Payments to suppliers (3,880,382) Payments to employees (232,700) Net cash provided by operating activities 453,289 Cash flows from noncapital and related financing activities: Transfers in — Transfers out — Net cash provided by (used in) noncapital and related financing activities — Cash flows from capital and related financing activities: Proceeds from sale of equipment — Payment on long-term obligations, net of capitalized interest (193,588) Payments for purchase and construction, including capitalized interest (1,175,622) Net cash used for capital and related financing activities (1,369,210) Cash flows from investing activities: Interest received on investments and loans 239,540 Net cash provided by investing activities 239,540 Net increase (decrease) in cash and cash equivalents (676,381) Cash and cash equivalents at beginning of year 5,755,191 Cash and cash equivalents at end of year $ 5,078,810 Cash and cash equivalent components: Unrestricted $ 4,998,177 Restricted - current — Restricted - noncurrent 80,633 Cash and cash equivalents at end of year $ 5,078,810 Cash flows from operating activities - Operating income (loss)$ (42,737) Adjustments to reconcile operating income (loss) to net cash provided by (used in) operating activities: Depreciation and amortization 739,716 Increase (decrease) due to changes in: Accounts receivable (112,322) Prepaids — Other current assets (685) Accounts payable (135,625) Deferred outflows — Accrued liabilities affecting operating activities 3,312 Other liabilities (5,999) Pension liability (6,541) Deferred inflows 14,170 Compensation liability — Total adjustments 496,026 Net cash provided by operating activities $ 453,289 178 Refuse Collection Housing & Loan Golf Total $ 16,991,948 $ 3,056,735 $ 12,613,723 $ 37,311,295 — — — (82,518) (10,041,292) (1,229,685) (4,421,509) (19,572,868) (6,570,015) — (5,384,882) (12,187,597) 380,641 1,827,050 2,807,332 5,468,312 1,170,900 — 2,086,829 3,257,729 — (748,739) — (748,739) 1,170,900 (748,739) 2,086,829 2,508,990 204,570 — — 204,570 (1,871,370) (853,576) (514,760) (3,433,294) (1,513,488) — (954,588) (3,643,698) (3,180,289) (853,576) (1,469,348) (6,872,423) 320,365 2,084,950 550,242 3,195,097 320,365 2,084,950 550,242 3,195,097 (1,308,383) 2,309,685 3,975,055 4,299,976 9,262,708 31,353,806 11,253,336 57,625,041 7,954,325 33,663,491 15,228,390 61,925,016 $ 7,041,812 $ 33,663,491 $ 15,228,390 $ 60,931,870 912,513 — — 912,513 — — — 80,633 $ 7,954,325 $ 33,663,491 $ 15,228,390 $ 61,925,016 $ (1,293,726) $ 300,804 $ 1,058,200 $ 22,541 2,002,955 — 780,828 3,523,499 (267,268) 1,814,518 (29,610) 1,405,318 — — (40,300) (40,300) (22,408) (5,065) 172,393 144,235 163,795 (283,207) 1,035,661 780,624 (171,103) — (110,643) (281,746) (106,099) — (82,840) (185,627) (20,168) — — (26,167) 103,741 — 58,799 155,999 (2,345) — (1,491) 10,334 (6,733) — (33,665) (40,398) 1,674,367 1,526,246 1,749,132 5,445,771 $ 380,641 $ 1,827,050 $ 2,807,332 $ 5,468,312 179 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE STREET LIGHTING UTILITY FUND Year ended June 30, 2024 Actual on GAAP basis Budgetary Basis Actual on budgetary basis Budgeted Amounts Original Final Variance Revenues and other sources: Operating revenue - sales and charges for current services $ 4,767,210 $ 4,568,705 $ 4,592,185 $ 4,592,185 $ (23,480) Interest income 239,534 239,540 44,000 44,000 195,540 Contributions and nonoperating grants — — 25,000 25,000 (25,000) Transfers in — — 20,000 20,000 (20,000) Total revenues and other sources 5,006,744 4,808,245 4,681,185 4,681,185 127,060 Expenses and other uses: Personnel services 242,956 235,327 412,432 412,432 177,105 Operating and maintenance 1,702 1,702 6,994 6,994 5,292 Charges and services 3,825,573 3,824,193 3,191,161 3,281,432 (542,761) Depreciation and amortization 739,716 — — — — Expenses before debt service and capital outlay 4,809,947 4,061,222 3,610,587 3,700,858 (360,364) Debt Service Principal — 105,485 — — (105,485) Interest 73,181 88,075 — — (88,075) Infrastructure — 1,267,241 2,000,000 2,016,415 749,174 Total expenses and other uses 4,883,128 5,522,023 5,610,587 5,717,273 195,250 Change in net position $ 123,616 $ (713,778) $ (929,402) $ (1,036,088) $ 322,310 180 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE REFUSE COLLECTION FUND Year ended June 30, 2024 Actual on GAAP basis Budgetary Basis Actual on budgetary basis Budgeted Amounts Original Final Variance Revenues and other sources: Refuse collection fees $ 17,011,323 $ 16,952,255 $ 16,558,733 $ 16,558,733 $ 393,522 Fixed asset disposition proceeds — — 425,000 425,000 (425,000) Gain on fixed asset disposition 163,400 163,400 — — 163,400 Rental and other 104,266 104,266 52,826 52,826 51,440 Proceeds from debt — — 7,000,000 7,000,000 (7,000,000) Interest income 320,365 320,365 33,000 33,000 287,365 Equity in joint venture income 1,970,659 — — — — Transfer in 1,170,900 1,170,900 1,170,900 1,400,900 (230,000) Total revenues and other sources 20,740,913 18,711,186 25,240,459 25,470,459 (6,759,273) Expenses and other uses: Personnel services 6,365,068 6,441,509 6,752,544 6,752,544 311,035 Operating and maintenance 328,606 356,917 633,100 633,100 276,183 Charges and services 9,712,686 9,403,238 9,492,684 10,655,933 1,252,695 Depreciation 2,002,955 — — — — Transfers out — — 275,000 275,000 275,000 Total expenses before debt service and capital outlay 18,409,315 16,201,664 17,153,328 18,316,577 2,114,914 Debt service: Principal — 1,746,491 2,960,616 2,960,616 1,214,125 Interest 124,879 134,525 25,781 25,781 (108,744) Capital outlay - purchase of equipment — 811,252 8,124,067 8,195,732 7,384,480 Total expenses and other uses 18,534,194 18,893,931 28,263,792 29,498,706 10,604,775 Change in net position $ 2,206,719 $ (182,745) $ (3,023,333) $ (4,028,247) $ 3,845,502 181 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE HOUSING LOANS FUND Year ended June 30, 2024 Actual on GAAP basis Budgetary Basis Actual on budgetary basis Budgeted Amounts Original Final Variance Revenues and other sources: Operating revenue - sales and charges for current services $ 909,824 $ 3,061,831 $ 12,683,432 $ 12,683,432 $ (9,621,601) Interest income 2,084,950 2,084,950 866,000 866,000 1,218,950 Proceeds from debt — — 70,000 70,000 (70,000) Transfers in — — 1,039,611 1,039,611 (1,039,611) Total revenues and other sources 2,994,774 5,146,781 14,659,043 14,659,043 (9,512,262) Expenses and other uses: Charges and services 605,103 942,591 8,257,432 4,793,736 3,851,145 Operating and maintenance 3,917 3,917 — — (3,917) Transfers out 748,739 — 1,039,611 (1,630,204) (1,630,204) Expenses before debt service and capital outlay 1,357,759 946,508 9,297,043 3,163,532 2,217,024 Debt service: Principal — 742,884 770,000 770,000 27,116 Interest 110,499 110,692 145,000 145,000 34,308 Total expenses and other uses 1,468,258 1,800,085 10,212,043 4,078,532 2,278,447 Change in net position $ 1,526,516 $ 3,346,696 $ 4,447,000 $ 10,580,511 $ (7,233,815) 182 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE GOLF FUND Year ended June 30, 2024 Actual on GAAP basis Budgetary Basis Actual on budgetary basis Budgeted Amounts Original Final Variance Revenues and other sources: Charges for services $ 12,539,844 $ 12,539,844 $ 10,497,548 $ 10,497,548 $ 2,042,296 Equipment and facility rental 55,113 55,113 53,105 53,105 2,008 Interest income 550,242 550,242 65,000 65,000 485,242 Other revenue 35,072 35,072 7,585 7,335 27,737 Transfers in 2,086,829 2,086,829 2,086,829 2,086,829 — Total revenues and other sources 15,267,100 15,267,100 12,710,067 12,709,817 2,557,283 Expenses and other uses: Personnel services 5,161,438 5,248,438 5,039,458 5,039,458 (208,980) Operating and maintenance 1,792,926 1,797,591 1,783,533 1,826,378 28,787 Charges and services 3,836,637 3,092,232 3,571,083 3,861,083 768,851 Depreciation 780,828 — — — — Total expenses before debt service and capital outlay 11,571,829 10,138,261 10,394,074 10,726,919 588,658 Debt Service: Principal — 392,238 385,309 385,309 (6,929) Interest 129,452 122,523 125,118 125,118 2,595 Capital outlay-purchase of equipment — 1,698,993 7,034,483 8,435,858 6,736,865 Total expenses and other uses 11,701,281 12,352,015 17,938,984 19,673,204 7,321,189 Change in net position $ 3,565,819 $ 2,915,086 $ (5,228,917) $ (6,963,387) $ 9,878,472 183 Major Enterprise Funds Budgetary Comparison Schedule 184 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE DEPARTMENT OF AIRPORTS FUND Year ended June 30, 2024 Actual on GAAP basis Budgetary Basis Actual on budgetary basis Budgeted Amounts Original Final Variance Revenues and other sources: Airfields $ 169,528,827 $ 154,247,196 $ 194,989,500 $ 194,989,500 $ (40,742,304) Terminals 29,095,668 29,095,668 27,383,200 27,383,200 1,712,468 Landside 117,295,844 117,295,844 106,316,500 106,316,500 10,979,344 Lease Revenue 12,525,656 12,525,656 11,434,400 11,434,400 1,091,256 General aviation 4,360,841 4,360,841 3,934,000 3,934,000 426,841 State aviation tax 2,888,781 2,888,781 3,161,000 3,161,000 (272,219) Other revenue 6,258,366 6,258,366 4,851,900 4,851,900 1,406,466 Equipment disposition proceeds 590,788 590,788 — — 590,788 Debt Proceeds — 656,221,230 — — 656,221,230 Interest income 55,116,019 55,116,019 18,619,900 18,619,900 36,496,119 Passenger facility charges 51,933,241 51,933,241 — — 51,933,241 Customer facility charges 16,942,812 16,942,812 — — 16,942,812 Contributions for aid in construction 100,232,925 100,232,925 45,870,000 45,870,000 54,362,925 Airline revenue sharing (15,296,928) (15,296,928) (13,047,400) (13,047,400) (2,249,528) Total revenues and other sources 551,472,840 1,192,412,439 403,513,000 403,513,000 788,899,439 Expenses and other uses: Personnel services 66,723,633 73,567,020 71,089,300 71,089,300 (2,477,720) Operating and maintenance 17,819,717 17,819,717 18,939,600 18,939,600 1,119,883 Charges and services 96,295,169 99,900,162 118,646,397 520,934,046 421,033,884 Depreciation and amortization 162,698,321 — — — — Bond Issuance costs 2,327,123 — 2,134,900 2,134,900 2,134,900 Total expenses before capital outlay 345,863,963 191,286,899 210,810,197 613,097,846 421,810,947 Debt service: Interest 143,045,325 146,822,127 121,528,000 121,528,000 (25,294,127) Capital outlay: Land — 224,849 — — (224,849) Equipment — 5,632,853 12,107,800 12,107,800 6,474,947 Construction, including multi-year projects — 516,960,049 175,993,000 1,175,993,000 659,032,951 Total expenses and other uses 488,909,288 860,926,777 520,438,997 1,922,726,646 1,061,799,869 Change in net position $ 62,563,552 $ 331,485,662 $ (116,925,997) $ (1,519,213,646) $ 1,850,699,308 185 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE WATER UTILITY FUND Year ended June 30, 2024 Actual on GAAP basis Budgetary Basis Actual on budgetary basis Budgeted Amounts Original Final Variance Revenues and other sources: Operating revenue - sales and charges for current services $ 108,901,068 $ 99,643,066 $ 93,786,300 $ 93,786,300 $ 5,856,766 Equipment disposition proceeds 6,094 6,094 40,000 40,000 (33,906) Gain on sale of assets 163,271 ——— — Interest income 7,338,110 6,977,003 456,502 456,502 6,520,501 Bond Proceeds ——62,346,000 62,346,000 (62,346,000) Contributions and non-operating grants 2,108,382 381,092 12,905,000 12,905,000 (12,523,908) Interfund service charge 4,216,390 4,216,390 4,215,396 4,215,396 994 Rental and other income 1,229,097 1,918,874 788,090 788,090 1,130,784 Impact fees 1,484,940 1,484,940 2,000,000 2,000,000 (515,060) Transfers in 200,000 200,000 100,000 100,000 100,000 Total revenues and other sources 125,647,352 114,827,459 176,637,288 176,637,288 (61,809,829) Expenses and other uses: Personnel services 26,339,849 27,139,913 33,150,755 33,150,755 6,010,842 Operating and maintenance 5,066,807 5,874,158 5,973,044 6,034,357 160,199 Charges and services 38,517,135 37,939,510 48,973,599 51,776,182 13,836,672 Depreciation and amortization 11,276,130 ———— Expenses before debt service and capital outlay 81,199,921 70,953,581 88,097,398 90,961,294 20,007,713 Debt service: Principal —1,603,123 1,603,124 1,603,124 1 Interest 5,277,832 5,883,233 8,567,242 8,567,242 2,684,009 Capital outlay: Land and water rights —615 ——(615) Buildings —16,293,007 —8,594,049 (7,698,958) Infrastructure —23,187,983 79,686,023 96,917,196 73,729,213 Improvements other than buildings —456,473 —586,690 130,217 Equipment —1,352,926 —339,420 (1,013,506) Total expenses and other uses 86,477,753 119,730,941 177,953,787 207,569,015 87,838,074 Change in net position $ 39,169,599 $ (4,903,482) $ (1,316,499) $ (30,931,727) $ 26,028,245 186 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE SEWER UTILITY FUND Year ended June 30, 2024 Actual on GAAP basis Budgetary Basis Actual on budgetary basis Budgeted Amounts Original Final Variance Revenues and other sources: Operating revenue - sales and charges for current services $ 81,664,901 $ 77,979,081 $ 76,303,000 $ 76,303,000 $ 1,676,081 Equipment disposition proceeds 250 50,000 50,000 (49,750) Gain on sale of assets 14,678 — — — — Interest income 9,147,742 8,556,924 849,448 849,448 7,707,476 Impact fees 1,736,402 1,736,402 1,650,000 1,650,000 86,402 Debt proceeds — — 209,802,000 209,802,000 (209,802,000) Contributions and non-operating grants 733,065 — 898,230 898,230 (898,230) Rental and other income 1,545,057 1,811,073 388,500 388,500 1,422,573 Total revenues and other sources 94,841,845 90,083,730 289,941,178 289,941,178 (199,857,448) Expenses and other uses: Personnel services 13,073,563 13,058,439 15,388,675 15,388,675 2,330,236 Operating and maintenance 3,781,121 3,306,575 3,396,134 3,608,957 302,382 Charges and services 8,506,011 8,514,096 11,679,448 12,063,308 3,549,212 Depreciation and amortization 10,053,362 — — — — Expenses before debt service and capital outlay 35,414,057 24,879,110 30,464,257 31,060,940 6,181,830 Debt service: Principal — 7,960,716 7,960,718 7,960,718 2 Interest 17,388,040 18,999,827 21,208,008 21,208,008 2,208,181 Capital outlay: Infrastructure — 35,529,362 242,199,639 286,844,261 251,314,899 Buildings — 198,560,638 — 191,293,886 (7,266,752) Improvements other than buildings — 12,243 — — (12,243) Equipment —1,481,161 —49,094 (1,432,067) Total expenses and other uses 52,802,097 287,423,057 301,832,622 538,416,907 250,993,850 Change in net position $ 42,039,748 $ (197,339,327) $ (11,891,444) $ (248,475,729) $ 51,136,402 187 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE STORMWATER UTILITY FUND Year ended June 30, 2024 Actual on GAAP basis Budgetary Basis Actual on budgetary basis Budgeted Amounts Original Final Variance Revenues and other sources: Operating revenue - sales and charges for current services $ 15,851,069 $ 15,213,991 $ 13,616,906 $ 13,616,906 $ 1,597,085 Gain on sale of assets 14,429 — — — — Interest income 1,325,721 1,321,979 118,986 118,986 1,202,993 Impact fees 785,112 750,000 750,000 35,112 Contributions and non-operating grants 2,922,035 —352,000 352,000 (352,000) Proceeds from sale of bonds ——5,028,000 5,028,000 (5,028,000) Total revenues and other sources 20,113,254 17,321,082 19,865,892 19,865,892 (2,544,810) Expenses and other uses: Personnel services 4,215,242 4,148,164 5,299,970 5,299,970 1,151,806 Operating and maintenance 187,737 202,812 385,097 420,438 217,626 Charges and services 3,914,081 4,091,767 5,019,548 5,629,298 1,537,531 Depreciation and amortization 3,279,520 ———— Transfers out ——583,605 583,605 583,605 Expenses before debt service and capital outlay 11,596,580 8,442,743 11,288,220 11,933,311 3,490,568 Debt service: Principal —926,509 926,510 926,510 1 Interest 491,868 591,742 808,744 808,744 217,002 Capital outlay: Infrastructure —5,044,309 9,924,000 15,459,564 10,415,255 Buildings —37,548 ——(37,548) Improvements other than buildings —45,732 —61 (45,671) Equipment —636,372 —67,884 (568,488) Total expenses and other uses 12,088,448 15,724,955 22,947,474 29,196,074 13,471,119 Change in net position $ 8,024,806 $ 1,596,127 $ (3,081,582) $ (9,330,182) $ 10,926,309 188 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE REDEVELOPMENT AGENCY FUND Year ended June 30, 2024 Actual on GAAP basis Budgetary Basis Actual on budgetary basis Budgeted Amounts Original Final Variance Operating income - rental and other $ 1,879,513 $ 1,879,513 $ 1,403,600 $ 1,403,600 $ 475,913 Contributions 36,244,995 36,244,995 46,801,826 46,801,826 (10,556,831) Interest income loans receivable 521,872 675,669 116,394 116,394 559,275 Interest income leases receivable 771,924 771,924 — — 771,924 Interest on Investments 7,286,446 7,209,688 — — 7,209,688 Miscellaneous 28,216 4,339 — 4,339 Loan principal receipts — 1,167,664 403,347 403,347 764,317 Change in equity interest in joint venture (506,837) — — — — Fund balance — — 5,040,831 5,040,831 (5,040,831) Transfers in 22,670,278 22,670,278 27,037,843 27,037,843 (4,367,565) Total revenues and other sources 68,896,407 70,624,070 80,803,841 80,803,841 (10,179,771) Expenses and other uses: Personnel services 2,686,069 2,686,069 2,754,195 2,754,195 (68,126) Fund balance — — — — — Operating and maintenance 1,407,280 1,407,280 1,519,467 1,594,467 (187,187) Charges and services 9,697,127 9,697,127 19,625,502 28,446,473 (18,749,346) Loans made to residents and businesses 16,287,546 16,287,546 — — 16,287,546 Depreciation and amortization 643,083 — — — — Transfers out — — 45,695,783 40,704,080 (40,704,080) Total expenses before debt service 30,721,105 30,078,022 69,594,947 73,499,215 (43,421,193) Debt service: Principal — 6,047,363 6,565,000 6,565,000 (517,637) Interest and fiscal charges 1,864,166 1,864,166 3,034,991 3,034,991 (1,170,825) Capital Outlays — — 1,608,903 788,605 (788,605) Total expenses and other uses 32,585,271 37,989,551 80,803,841 83,887,811 (45,898,260) Change in net position $ 36,311,136 $ 32,634,519 $ — $ (3,083,970) $ 35,718,489 189 This page intentionally left blank. 190 Internal Service Funds Fleet Management Fund - This fund is used to account for the costs of the fleet management system which provides vehicles for use by City departments, and which provides vehicle maintenance on a cost- reimbursement basis. Information Management Services Fund - This fund is used to account for the costs of providing data processing services to City departments. Costs are recovered by charges to user departments. Risk Management Fund - This fund is used to account for the costs of providing insurance for employee health, accident, long-term disability, unemployment and worker's compensation. It also accounts for costs of the City's property damage insurance. Governmental Immunity Fund - This fund is used to account for payment of general liability claims against the City. Local Building Authority Fund - This fund is used to account for the acquisition and lease to the City of purchased or constructed property and equipment. This fund accounts for the bonds which were issued to purchase or construct the property and equipment and also accounts for the retirement of those bonds. 191 SALT LAKE CITY CORPORATION COMBINING STATEMENT OF NET POSITION INTERNAL SERVICE FUNDS June 30, 2024 Fleet Management Information Management Services ASSETS Current assets: Cash and cash equivalents Unrestricted $ 19,112,748 $ 10,565,296 Restricted 913,268 — Accounts receivable — 6,798 Prepaid expenses 88,890 172,841 Inventory of supplies 1,109,827 — Total current assets 21,224,733 10,744,935 Noncurrent assets: Property and equipment, at cost: Land and water rights — — Buildings 948,512 60,411 Machinery and equipment 95,168,438 8,543,827 Construction in progress 1,929,349 950,596 Accumulated depreciation (68,442,192) (7,289,633) Net property and equipment 29,604,107 2,265,201 Total noncurrent assets 29,604,107 2,265,201 Total assets 50,828,840 13,010,136 DEFERRED OUTFLOWS OF RESOURCES Deferred outflows - Pension 711,552 2,246,970 Total deferred outflows 711,552 2,246,970 Total assets and deferred outflows of resources $ 51,540,392 $ 15,257,106 LIABILITIES Current liabilities: Accounts payable $ 820,075 $ 771,395 Accrued liabilities 23,199 — Current portion of long-term compensated absences 42,641 379,498 Current portion of long-term debt: 1,294,573 — Accrued interest, payable from unrestricted assets — — Total current liabilities 2,180,488 1,150,893 Noncurrent liabilties: Bonds, mortgages, and notes payable 4,273,616 — Estimated claims liability — — Long-term compensated absences liability 243,222 1,381,907 Net pension liability 369,160 1,269,212 Total noncurrent liabilities 4,885,998 2,651,119 Total liabilities 7,066,486 3,802,012 DEFERRED INFLOWS OF RESOURCES Deferred inflows - Pension 5,808 14,831 Total deferred inflows 5,808 14,831 NET POSITION Invested in capital assets 24,035,918 2,265,201 Unrestricted 20,432,180 9,175,062 Total net position 44,468,098 11,440,263 Total liabilities, deferred inflows of resources and net position $ 51,540,392 $ 15,257,106 192 Risk Management Governmental Immunity Local Building Authority Total $ 6,724,459 $ 13,687,159 $ 64,181 $ 50,153,843 — — 4,590 917,858 — — — 6,798 742,734 11,346 — 1,015,811 — — — 1,109,827 7,467,193 13,698,505 68,771 53,204,137 — — 1,069,180 1,069,180 — — 27,661,384 28,670,307 81,154 — — 103,793,419 — — — 2,879,945 (81,154) — (4,068,480) (79,881,459) — — 24,662,084 56,531,392 — — 24,662,084 56,531,392 7,467,193 13,698,505 24,730,855 109,735,529 98,265 198,704 — 3,255,491 98,265 198,704 — 3,255,491 $ 7,565,458 $ 13,897,209 $ 24,730,855 $ 112,991,020 $ 404,086 $ 5,921 $ 2,800 $ 2,004,277 — — — 23,199 29,342 14,817 — 466,298 — — 630,000 1,924,573 — — 112,780 112,780 433,428 20,738 745,580 4,531,127 — — 12,087,767 16,361,383 3,543,775 10,268,289 — 13,812,064 95,021 67,556 — 1,787,706 91,005 100,284 — 1,829,661 3,729,801 10,436,129 12,087,767 33,790,814 4,163,229 10,456,867 12,833,347 38,321,941 850 1,880 — 23,369 850 1,880 — 23,369 — — — 26,301,119 3,401,379 3,438,462 11,897,508 48,344,591 3,401,379 3,438,462 11,897,508 74,645,710 $ 7,565,458 $ 13,897,209 $ 24,730,855 $ 112,991,020 193 SALT LAKE CITY CORPORATION COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET POSITION INTERNAL SERVICE FUNDS Year ended June 30, 2024 Fleet Management Information Management Services Sales and charges for services $ 15,382,783 $ 32,064,257 Rental and other 36,630 78,292 Total operating revenue 15,419,413 32,142,549 Personnel services 4,657,921 14,087,812 Operating and maintenance 8,462,553 3,816,550 Charges and services 1,921,423 15,538,121 Depreciation and amortization 6,873,310 1,061,062 Total operating expenses 21,915,207 34,503,545 Operating loss (6,495,794) (2,360,996) Interest income — — Interest expense (211,629) (116,901) Gain on disposition of property and equipment 543,020 — Total nonoperating revenues (expenses) 331,391 (116,901) Income before transfers (6,164,403) (2,477,897) Transfers in 13,088,327 — Change in net position 6,923,924 (2,477,897) Net Position July 1, 2023 37,544,174 13,918,160 Net Position June 30, 2024 $ 44,468,098 $ 11,440,263 194 Risk Management Governmental Immunity Local Building Authority Total $ 61,618,397 $ 3,888,581 $ — $ 112,954,018 215,000 5,902 339,006 674,830 61,833,397 3,894,483 339,006 113,628,848 6,859,821 1,579,587 — 27,185,141 4,860 1,611 — 12,285,574 56,783,778 2,974,212 — 77,217,534 — — 553,229 8,487,601 63,648,459 4,555,410 553,229 125,175,850 (1,815,062) (660,927) (214,223) (11,547,002) 159,848 — 3,865 163,713 — — (427,679) (756,209) — — — 543,020 159,848 — (423,814) (49,476) (1,655,214) (660,927) (638,037) (11,596,478) — — 1,180,800 14,269,127 (1,655,214) (660,927) 542,763 2,672,649 5,056,593 4,099,389 11,354,744 71,973,060 $ 3,401,379 $ 3,438,462 $ 11,897,508 $ 74,645,710 195 SALT LAKE CITY CORPORATION COMBINING STATEMENT OF CASH FLOWS INTERNAL SERVICE FUNDS Year ended June 30, 2024 Fleet Management Information Management Services Cash Flows from Operating Activities Receipts from internal fund services $ 15,419,413 $ 32,135,751 Payments to suppliers (10,577,785) (19,960,618) Payments to employees (4,842,053) (14,444,873) Net cash provided by (used in) operating activities (425) (2,269,740) Cash flows from noncapital and related financing activities: Transfers in 13,088,327 — Net cash used in noncapital and related financing activities 13,088,327 — Cash flows from capital and related financing activities: Proceeds from issuance of debt (net of discount and issuance costs) 913,268 — Proceeds from sale of equipment 3,737,469 — Payment on long-term obligations (3,215,959) (378,036) Payments for purchase and construction (15,389,744) (323,681) Net cash provided by (used in) capital and related financing activities (13,954,965) (701,717) Cash flows from investing activities: Interest received on investments and loans — — Interest paid on investments and loans — (116,901) Net cash provided by investing activities — (116,901) Net increase (decrease) in cash and cash equivalents (867,061) (3,088,358) Cash and cash equivalents at beginning of year 20,893,078 13,653,654 Cash and cash equivalents at end of year 20,026,017 10,565,296 Cash and cash equivalent components: Unrestricted 19,112,748 10,565,296 Restricted 913,268 — Cash and cash equivalents at end of year 20,026,016 10,565,296 Cash flows from operating activities Operating loss (6,495,794) (2,360,996) Adjustments to reconcile operating loss to net cash provided by (used in) operating activities: Depreciation and amortization 6,873,310 1,061,062 Increase (decrease) due to changes in: Other current assets (31,243) (64,091) Accounts payable (162,564) (605,947) Deferred outflows (231,977) (486,106) Accrued liabilities affecting operating activities (49,564) (201,486) Other liabilities — — Pension liability 132,971 258,509 Deferred inflows (1,114) (6,204) Compensation liability (34,449) 142,318 Total adjustments 6,495,370 91,256 Net cash provided by (used in) operating activities $ (424) $ (2,269,740) 196 Risk Management Governmental Immunity Local Building Authority Total $ 61,833,397 $ 3,894,483 $ 339,006 $ 113,622,050 (56,683,384) (611,692) — (87,833,479) (7,345,442) (1,623,658) — (28,256,026) (2,195,429) 1,659,133 339,006 (2,467,455) — — 1,180,800 14,269,127 — — 1,180,800 14,269,127 — — — 913,268 — — — 3,737,469 — — (1,513,649) (5,107,644) — — (15,713,425) — — (1,513,649) (16,170,331) 159,849 — 3,865 163,714 — — — (116,901) 159,849 — 3,865 46,813 (2,035,580) 1,659,133 10,022 (4,321,843) 8,760,038 12,028,026 58,749 55,393,545 6,724,459 13,687,159 68,771 51,071,702 6,724,459 13,687,159 64,181 50,153,843 — — 4,590 917,858 6,724,459 13,687,159 68,771 51,071,701 (1,815,062) (660,927) (214,222) (11,547,001) — — 553,228 8,487,600 (511,603) — — (606,937) 105,256 3,486 — (659,769) 8,023 (91,174) — (801,234) (16,769) (19,103) — (286,923) 36,719 2,359,049 — 2,395,768 (15,179) 52,737 — 429,038 (378) (49) — (7,744) 13,565 15,114 — 136,548 (380,366) 2,320,060 553,228 9,079,548 $ (2,195,428) $ 1,659,133 $ 339,006 $ (2,467,454) 197 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE FLEET MANAGEMENT FUND Year ended June 30, 2024 Budgetary Basis Actual on GAAP basis Actual on budgetary basis Budgeted Amounts VarianceOriginalFinal Revenues and other sources: Charges for services $ 15,382,783 $ 15,382,783 $ 18,037,796 $ 18,437,705 $ (3,054,922) Other revenue 36,630 36,630 964,903 964,903 (928,273) Proceeds from note — — 1,000,000 1,000,000 (1,000,000) Proceeds from sale of equipment 543,020 543,020 335,465 335,465 207,555 Transfers in 13,088,327 13,088,327 11,770,805 13,115,782 (27,455) Total revenues and other sources 29,050,760 29,050,760 32,108,969 33,853,855 (4,803,095) Expenses and other uses: Personnel services 4,657,921 4,792,491 5,014,377 5,106,186 313,695 Operating and maintenance 8,462,553 8,725,209 10,850,506 11,116,506 2,391,297 Charges and services 1,921,423 2,221,423 2,351,309 2,393,409 171,986 Depreciation 6,873,310 — — — — Transfers out — 290,945 654,855 654,855 363,910 Total expenses before debt service and capital outlay 21,915,207 16,030,068 18,871,047 19,270,956 3,240,888 Debt service: Principal — 3,004,330 3,114,436 3,114,436 110,106 Interest 211,629 188,431 241,467 241,467 53,036 Capital outlay — 10,265,697 10,271,800 26,041,770 15,776,073 Total expenses and other uses 22,126,836 29,488,526 32,498,750 48,668,629 19,180,103 Change in net position $ 6,923,924 $ (437,766) $ (389,781) $ (14,814,774) $ 14,377,008 198 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE INFORMATION MANAGEMENT FUND Year ended June 30, 2024 Budgetary Basis Actual on GAAP basis Actual on budgetary basis Budgeted Amounts VarianceOriginalFinal Revenue: Charges for services $ 32,064,257 $ 32,064,257 $ 36,254,357 $ 36,281,357 $ (4,217,100) Interest income — 116,901 — — 116,901 Miscellaneous revenue 78,292 78,292 — 12,000 66,292 Total revenues and other sources 32,142,549 32,259,450 36,254,357 36,293,357 (4,033,907) Expenses and other uses: Personnel services 14,087,812 14,179,296 15,797,602 15,797,602 1,618,306 Operating and maintenance 3,816,550 3,816,550 1,298,843 5,180,077 1,363,527 Charges and services 15,538,121 13,609,380 16,319,808 22,136,303 8,526,924 Depreciation 1,061,062 — — — — Total expenses before capital outlay 34,503,545 31,605,225 33,416,253 43,113,982 11,508,757 Debt Service: Interest 116,901 — — — — Capital outlay — 2,252,423 5,285,918 543,960 (1,708,463) Total expenses and other uses 34,620,446 33,857,648 38,702,171 43,657,942 9,800,294 Change in net position $ (2,477,897) $ (1,598,198) $ (2,447,814) $ (7,364,585) $ 5,766,387 199 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE RISK MANAGEMENT FUND Year ended June 30, 2024 Budgetary Basis Actual on GAAP basis Actual on budgetary basis Budgeted Amounts VarianceOriginalFinal Revenues and other sources: Charges for services $ 61,618,397 $ 61,618,397 $ 59,482,137 $ 59,482,137 $ 2,136,260 Interest 159,848 159,848 — — 159,848 Miscellaneous 215,000 215,000 200,000 200,000 15,000 Transfers in — — 1,250,000 1,250,000 (1,250,000) Total revenues and other sources 61,993,245 — 61,993,245 60,932,137 60,932,137 1,061,108 Expenses and other uses: Personnel services 6,859,821 6,853,790 938,087 938,087 (5,915,703) Operating and maintenance 4,860 4,860 28,959 28,959 24,099 Premiums and other charges for services 56,783,778 56,747,058 59,165,248 59,165,248 2,418,190 Transfers out — — 3,442,361 3,442,361 3,442,361 Total expenses and other uses 63,648,459 63,605,708 63,574,655 63,574,655 (31,053) Change in net position $ (1,655,214) $ (1,612,463) $ (2,642,518) $ (2,642,518) $ 1,030,055 200 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE GOVERNMENTAL IMMUNITY FUND Year ended June 30, 2024 Budgetary Basis Actual on GAAP basis Actual on budgetary basis Budgeted Amounts VarianceOriginalFinal Revenues and other sources: Property taxes $ 3,888,581 $ 3,888,581 $ 3,888,581 $ 3,888,581 $ — Miscellaneous 5,902 5,902 — — 5,902 Total revenues 3,894,483 3,894,483 3,888,581 3,888,581 5,902 Expenses: Personnel services 1,579,587 1,602,959 1,590,688 1,590,688 (12,271) Operating and maintenance 1,611 1,611 9,996 9,996 8,385 Claims, charges and services 2,974,212 615,163 1,769,328 1,769,328 1,154,165 Total expenses 4,555,410 2,219,733 3,370,012 3,370,012 1,150,279 Change in net position $ (660,927) $ 1,674,750 $ 518,569 $ 518,569 $ 1,156,182 201 SALT LAKE CITY CORPORATION BUDGET COMPARISON SCHEDULE LOCAL BUILDING AUTHORITY FUND Year ended June 30, 2024 Budgetary Basis Actual on GAAP basis Actual on budgetary basis Budgeted Amounts VarianceOriginalFinal Revenues and other sources: Other income $ 339,006 $ 339,006 $ 336,600 $ 336,600 $ 2,406 Interest income 3,865 3,865 — — 3,865 Transfers in 1,180,800 1,180,800 1,180,800 1,180,800 — Total revenues and other sources 1,523,671 1,523,671 1,517,400 1,517,400 6,271 Expenses and other uses: Depreciation and amortization 553,229 — — — — Total expenses before debt service 553,229 — — — — Debt service: Principal — 930,000 930,000 930,000 — Interest 427,679 583,650 587,400 587,400 3,750 Total expenses and other uses 980,908 1,513,650 1,517,400 1,517,400 3,750 Change in net position $ 542,763 $ 10,021 $ — $ — $ 10,021 202 This page intentionally left blank 203 STATISTICAL SECTION (unaudited) This part of the Salt Lake City Corporation’s Annual Comprehensive Financial Report presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information says about the City’s overall financial health. CONTENTS Financial Trends 205 These schedules contain trend information to help the reader understand how the City’s financial performance and well-being have changed over time. Revenue Capacity 214 These schedules contain information to help the reader assess the City’s most significant local revenue source, the property tax. Debt Capacity 218 These schedules present information to help the reader assess the affordability of the City’s current levels of outstanding debt and the City’s ability to issue additional debt in the future. Demographic and Economic Information 223 This schedule offers demographic and economic indicators to help the reader understand the environment within which the City’s financial activities take place. Operating Information 224 These schedules contain service and infrastructure data to help the reader understand how the information in the City’s financial report relates to the services the City provides and the activities it performs. 204 SALT LAKE CITY CORPORATION NET POSITION BY COMPONENT Last Ten Fiscal Years (accrual basis of accounting) (amounts expressed in thousands) Fiscal Year 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Governmental Activities Net Investment in capital assets $ 504,457 $ 601,185 $ 621,194 $ 642,013 $ 668,907 $ 563,203 $ 579,048 $ 639,083 $ 692,661 536,578 Restricted 73,564 61,065 45,981 57,371 58,630 83,296 102,077 101,247 194,727 253,288 Unrestricted (38,242) (96,707) (79,375) (102,160) (86,548) 43,293 98,416 190,799 182,509 329,753 Total governmental activities net position $ 539,779 $ 565,543 $ 587,800 $ 597,224 $ 640,990 $ 689,791 $ 779,542 $ 931,128 $ 1,069,897 $ 1,119,619 Business-type activities Net investment in capital assets $ 1,479,894 $ 1,583,508 $ 1,523,569 $ 1,931,014 $ 1,902,167 $ 2,048,313 $ 2,186,042 $ 2,186,081 $ 2,168,322 $ 1,999,534 Restricted 333,118 260,356 529,457 290,422 441,593 350,691 308,680 449,725 375,410 236,819 Unrestricted 315,364 373,693 267,204 81,255 70,532 106,912 71,683 (19,978) 179,977 681,265 Total business-type activities net position $ 2,128,376 $ 2,217,557 $ 2,320,229 $ 2,302,690 $ 2,414,292 $ 2,505,916 $ 2,566,405 $ 2,615,828 $ 2,723,709 $ 2,917,618 Primary Government Net investment in capital assets $ 1,984,351 $ 2,184,693 $ 2,144,762 $ 2,573,027 $ 2,571,075 $ 2,611,516 $ 2,765,090 $ 2,825,163 $ 2,860,983 $ 2,536,112 Restricted 406,682 321,422 575,438 347,792 500,223 433,987 410,758 550,972 570,136 490,107 Unrestricted 277,122 276,986 187,829 (20,905) (16,017) 150,205 170,099 170,821 362,486 1,011,019 Total primary government net position $ 2,668,155 $ 2,783,101 $ 2,908,029 $ 2,899,914 $ 3,055,282 $ 3,195,707 $ 3,345,947 $ 3,546,956 $ 3,793,605 $ 4,037,238 205 SALT LAKE CITY CORPORATION CHANGE IN NET POSITION Last Ten Fiscal Years (accrual basis of accounting) (amounts expressed in thousands) 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 EXPENSES Governmental Activities: General Government $ 8,051 $ 6,740 $ 14,006 $ 10,220 $ 29,168 $ 9,477 $ 14,976 $ 17,266 $ 41,232 $ 8,173 City Council 2,122 3,126 3,565 3,554 3,941 4,116 3,646 3,785 4,333 5,880 Mayor 2,576 3,400 3,773 3,904 4,190 4,001 4,617 3,953 5,569 6,971 City Attorney 5,274 7,008 7,088 7,441 8,232 10,149 7,290 8,210 9,747 12,092 Finance 7,579 9,912 10,223 10,941 11,334 10,523 9,617 9,452 11,052 27,246 Justice Court 3,255 4,237 4,402 4,495 4,576 4,538 3,861 3,786 4,050 5,395 Human Resources 1,697 2,502 2,625 2,163 2,993 3,188 2,917 3,234 3,850 4,402 Fire 34,380 42,822 40,043 42,766 44,885 44,831 40,757 38,335 41,287 52,037 Combined Emergency Services (1) 5,220 7,143 7,121 7,448 8,201 8,293 6,360 7,424 8,600 10,466 Police 47,922 68,901 75,487 72,518 82,722 87,414 80,595 75,368 94,882 120,022 Community and Neighborhoods 29,444 36,799 37,492 36,059 36,751 43,507 59,715 62,242 64,180 82,584 Public Services 46,062 64,203 61,768 62,854 1,724 2,292 2,286 67,298 65,281 10,577 Public Lands (5) — — — — — — — — — 39,304 Transportation (4) — — — — — 65,007 62,996 — — 51,201 Economic Development (2) — — 1,261 1,677 63,852 389 367 — — — Unallocated infrastructure depreciation 8,564 8,626 8,671 9,038 9,540 9,769 10,098 11,484 13,143 11,614 Interest on long-term debt 12,950 16,627 12,093 20,857 1,489 10,540 4,938 15,359 10,752 11,255 Total governmental activities expenses 215,097 282,046 289,618 295,935 313,598 318,031 315,035 331,663 399,767 459,221 Business-type activities: Airport Authority $ 135,997 $ 152,432 $ 180,492 $ 198,267 $ 237,030 $ 252,664 $ 310,817 $ 404,480 $ 438,257 $ 492,514 Water 51,497 59,268 63,454 62,761 68,035 68,071 72,582 71,131 82,228 86,478 Sewer 18,456 20,232 21,964 22,857 25,523 27,533 31,851 33,455 48,158 52,802 Storm Water 6,645 7,860 7,515 8,012 8,395 7,935 9,311 9,543 11,020 12,088 Street Lighting (1) 1,984 2,130 2,827 2,641 2,739 3,603 4,394 4,359 5,055 4,883 Refuse 11,428 12,786 13,117 13,114 13,985 14,303 14,631 15,159 16,144 18,534 Golf 5,932 7,460 8,456 8,081 8,389 7,971 8,103 8,684 10,165 11,701 Housing and Loan 1,630 959 888 2,925 1,839 3,423 1,177 28,290 1,049 720 Redevelopment Agency 29,154 37,129 37,455 27,473 28,914 31,124 32,863 37,755 35,135 32,585 Total business-type activities expenses 262,723 300,255 336,168 346,131 394,848 416,628 485,729 612,856 647,211 712,306 Total primary government expenses $ 477,820 $ 582,301 $ 625,786 $ 642,066 $ 708,446 $ 734,659 $ 800,764 $ 944,519 $ 1,046,978 $ 1,171,527 REVENUES Governmental Activities: Charges for Services: General Government $ 18,185 $ 18,574 $ 16,973 $ 15,105 $ 25,133 $ 23,760 $ 29,164 $ 30,826 $ 30,360 $ 22,404 City Council 200 198 472 483 437 418 418 422 429 496 Mayor 463 189 369 303 275 274 277 274 1,323 1,603 City Attorney 796 832 911 874 901 896 896 895 1,336 1,652 Finance 12,926 12,820 12,812 26,501 27,457 22,047 19,503 28,192 26,049 18,817 Justice Court 2,964 3,514 3,398 3,296 3,015 2,394 1,795 1,805 2,266 2,823 Human Resources 961 1,017 930 895 1,080 1,036 1,036 1,036 633 726 Fire 6,803 9,947 6,500 7,291 7,440 7,084 7,163 8,689 8,442 8,023 Combined Emergency Services (1) 417 485 468 601 657 1,038 478 816 712 460 Police 3,857 4,499 5,518 2,471 6,563 10,628 10,580 11,775 13,779 18,020 Community and Neighborhoods 18,062 21,630 28,385 4,154 1,797 2,025 2,133 1,204 1,146 27,058 Economic Development (2) — — 3,151 4,363 1,916 1,648 2,107 2,202 2,784 4,117 Public Services 9,654 11,645 12,205 9,741 9,735 9,828 8,825 13,428 15,527 21,796 Public Lands (5) — — — — — — — — — 1,844 Operating Grants and Contributions 7,069 4,969 2,076 — 10,394 8,079 31,019 53,077 64,853 13,928 Capital Grants and Contributions 14,745 15,772 13,919 16,422 12,800 24,174 19,273 29,545 32,331 3,801 Total governmental activities program revenues $ 97,101 $ 106,092 $ 108,086 $ 92,501 $ 109,599 $ 115,328 $ 134,667 $ 184,184 $ 201,972 $ 147,569 206 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Business-type activities: Charges for Services: Airport Authority $ 188,853 $ 199,451 $ 216,241 $ 224,618 $ 248,598 $ 216,065 $ 197,347 $ 398,019 $ 441,741 $ 395,664 Water 63,275 67,388 75,115 75,940 78,023 83,899 87,003 81,725 101,968 113,975 Sewer 21,026 23,545 25,238 34,346 39,986 45,109 51,485 62,172 82,057 82,853 Storm Water 8,287 8,530 8,445 8,657 9,606 10,579 10,763 14,215 19,652 15,702 Street Lighting (1) 3,280 3,265 4,223 4,208 4,302 4,259 4,231 4,581 4,425 4,765 Refuse 12,419 12,363 15,176 12,387 12,295 11,380 11,686 15,804 18,725 16,884 Golf 8,235 7,475 6,734 7,040 7,044 7,034 10,035 12,295 13,556 12,508 Housing and Loan 421 846 1,025 2,433 595 1,132 1,091 5,459 2,935 910 Redevelopment Agency (3) 2,135 2,215 1,745 5,894 3,622 684 2,389 37,755 35,135 3,634 Capital grants and contributions (3) 67,546 53,162 57,828 45,083 44,767 73,193 140,062 37,755 35,135 144,707 Total business-type activities program revenues 375,475 378,240 411,770 420,608 448,838 453,335 516,092 669,781 755,329 791,603 Total primary government program revenues $ 472,576 $ 484,332 $ 519,856 $ 513,109 $ 558,437 $ 568,663 $ 650,759 $ 853,964 $ 957,301 $ 1,160,946 Net (expense)/revenue Governmental activities $ (117,996) $ (175,954) $ (181,532) $ (203,434) $ (203,999) $ (202,704) $ (180,368) $ (147,479) $ (197,795) $ (311,652) Business-type activities 112,752 77,985 75,603 74,476 53,991 36,708 30,363 56,925 108,118 79,297 Total primary government net expense $ (5,244) $ (97,969) $ (105,930) $ (128,957) $ (150,009) $ (165,996) $ (150,005) $ (90,554) $ (89,677) $ (232,355) General Revenues and Other Changes in Net Position Governmental activities: Taxes: Property taxes, levied for general purposes $ 98,062 $ 114,685 $ 118,782 $ 119,116 $ 122,282 $ 129,951 $ 136,635 $ 136,635 $ 146,170 $ 157,143 Franchise taxes 28,133 27,973 28,418 27,286 27,238 26,863 11,750 11,750 12,757 14,345 Sales tax 60,849 62,709 65,812 72,208 103,727 120,778 175,106 175,106 188,409 186,625 Investment earnings 1,421 1,996 2,283 3,930 6,698 3,991 (5,693) (5,693) 18,237 28,641 Transfers 2,627 (5,645) (11,506) (9,683) (12,168) (30,078) (18,734) (18,734) (29,009) (25,379) Total governmental activities 191,092 201,718 203,789 212,858 247,778 251,505 299,065 299,065 336,564 361,375 Business-type activities: Investment earnings $ 4,395 $ 5,552 $ 15,563 $ (101,698) $ 45,219 $ 24,838 $ 13,558 $ 13,947 $ 51,668 89,234 Transfers (2,627) 5,645 11,506 9,683 12,168 30,078 18,734 18,734 29,009 25,379 Total business-type activities: 1,768 11,197 27,069 (92,016) 57,387 54,916 32,292 32,681 80,677 114,613 Total primary government $ 192,859 $ 212,915 $ 230,858 $ 120,842 $ 305,165 $ 306,421 $ 331,356 $ 331,746 $ 417,241 $ 475,987 Change in Net Position Governmental activities $ 73,095 $ 25,764 $ 22,257 $ 9,424 $ 43,778 $ 48,802 $ 118,697 $ 151,586 $ 138,769 $ 49,723 Business-type activities 114,520 89,182 102,672 (17,539) 111,378 91,624 62,655 89,606 107,881 193,909 Total primary government $ 187,615 $ 114,946 $ 124,929 $ (8,115) $ 155,156 $ 140,426 $ 181,351 $ 241,191 $ 246,650 $ 243,632 (1) Combined Emergency Services and Street Lighting were created as new departments in 2013. (2) Economic Development was created as a new department in 2017. (3) In 2014, the RDA reclassified Tax Increment revenues from Charges for Services to Contributions. (4) Transportation was created as a new department in 2020. (5) In 2024 Public Lands is being split out from Public Services 207 SALT LAKE CITY CORPORATION FUND BALANCES OF GOVERNMENTAL FUNDS Last Ten Fiscal Years (modified accrual basis of accounting) Fiscal Year 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 General Fund Non-spendable $ 6,847,368 $ 10,936,767 $ 11,427,654 $ 10,865,289 $ 12,550,163 $ 9,302,914 $ 2,212,414 $ 2,257,746 $ 2,484,423 $ 3,188,435 Restricted — — — — — — 12,139,443 20,423,209 21,157,932 22,204,934 Assigned 6,691,500 7,098,940 7,298,041 8,731,775 15,891,696 9,899,196 — — — — Unassigned 29,434,362 23,056,190 31,945,300 36,507,205 51,372,150 70,040,066 101,934,113 137,442,727 178,933,386 147,516,381 Total General Fund $ 42,973,230 $ 41,091,897 $ 50,670,995 $ 56,104,269 $ 79,814,009 $ 89,242,176 $ 116,285,970 $ 160,123,682 $ 202,575,741 $ 172,909,750 All other governmental funds Non-spendable $ 4,046,895 $ 6,318,978 $ 7,937,221 $ — $ — $ 750 $ 69,352 $ 81,062 $ 148,087 $ 49,745 Restricted 80,892,464 66,829,911 50,575,884 70,144,335 72,903,342 72,276,994 95,566,196 125,867,645 223,070,434 236,719,952 Committed 494,867 498,933 807,045 1,490,604 2,305,531 2,733,500 3,666,892 4,782,191 6,190,152 8,222,371 Assigned 31,789,906 41,019,925 43,697,149 31,773,377 31,691,183 33,833,304 37,189,480 51,290,747 72,177,798 89,370,753 Unassigned — — — — — 410,203 — — — — Total all other governmental funds $ 117,224,132 $ 114,667,747 $ 103,017,299 $ 103,408,316 $ 106,900,056 $ 109,254,751 $ 136,491,920 $ 182,021,645 $ 301,586,471 $ 334,362,821 208 This page intentionally left blank 209 SALT LAKE CITY CORPORATION CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS Last Ten Fiscal Years (modified accrual basis of accounting) Fiscal Year 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Revenues: General property taxes $ 98,061,588 $ 114,684,820 $ 118,781,679 $ 119,116,165 $ 122,282,030 $ 129,950,795 $ 130,832,830 $ 136,635,069 $ 146,170,152 $ 157,143,132 Sales, use and excise taxes $ 60,849,368 $ 62,709,499 $ 65,812,192 $ 72,208,200 $ 103,726,901 $ 120,778,266 $ 136,182,444 $ 175,106,499 $ 188,409,346 $ 186,624,691 Franchise taxes $ 28,132,535 $ 27,972,665 $ 28,418,423 $ 27,286,331 $ 27,238,435 $ 26,863,146 $ 23,952,168 $ 11,750,309 $ 12,756,615 $ 14,345,434 Licenses $ 12,933,000 $ 14,414,308 $ 15,194,896 $ 15,592,788 $ 16,448,180 $ 13,106,709 $ 11,418,021 $ 15,913,519 $ 17,599,344 $ 21,123,023 Permits $ 19,125,866 $ 16,553,089 $ 19,846,874 $ 17,690,139 $ 28,079,199 $ 32,203,164 $ 36,230,698 $ 45,405,284 $ 39,390,963 $ 26,896,804 Fines and forfeitures $ 4,806,599 $ 3,632,916 $ 3,524,067 $ 3,516,251 $ 3,429,044 $ 2,802,888 $ 2,034,542 $ 2,528,232 $ 2,375,561 $ 3,076,256 Assessments $ 1,481,908 $ 1,717,909 $ 1,520,023 $ 1,542,731 $ 2,221,543 $ 553,248 $ 2,382,919 $ 2,120,750 $ 1,581,962 $ 1,524,608 Interest $ 1,384,400 $ 1,725,498 $ 1,918,902 $ 3,481,352 $ 6,385,907 $ 3,918,928 $ 1,680,001 $ (5,741,746) $ 18,238,569 $ 28,313,128 Intergovernmental $ 21,806,791 $ 27,518,703 $ 28,912,864 $ 20,634,430 $ 23,641,518 $ 26,503,556 $ 43,194,915 $ 71,377,414 $ 83,847,654 $ 44,078,853 Interfund service charges $ 10,372,337 $ 11,051,279 $ 11,450,521 $ 11,413,982 $ 16,363,849 $ 20,574,064 $ 20,971,348 $ 21,717,361 $ 25,857,520 $ 27,065,875 Parking meter $ 3,294,774 $ 3,324,616 $ 3,463,592 $ 3,404,582 $ 3,509,898 $ 2,771,331 $ 1,915,888 $ 2,997,333 $ 2,616,329 $ 3,008,803 Parking ticket $ 2,876,299 $ 2,844,690 $ 3,204,769 $ 2,110,245 $ 1,824,561 $ 1,186,561 $ 1,701,881 $ 1,797,865 $ 1,180,128 $ 2,057,827 Charges for services $ 6,098,659 $ 5,150,765 $ 5,711,868 $ 6,666,381 $ 5,970,488 $ 1,207,120 $ 870,318 $ 1,379,562 $ 1,629,310 $ 1,864,197 Rental and other income $ — $ 887,017 $ 1,199,688 $ 1,047,047 $ 1,152,867 $ 5,208,006 $ 5,475,845 $ 7,087,172 $ 8,518,771 $ 6,750,237 Contributions $ 4,367,439 $ 2,083,791 $ 2,333,604 $ 1,009,291 $ 516,568 $ 354,168 $ 588,722 $ 2,541,067 $ 765,787 $ 2,447,836 Miscellaneous $ 9,191,484 $ 10,288,192 $ 8,986,498 $ 7,602,234 $ 5,790,115 $ 7,958,960 $ 3,576,443 $ 9,186,662 $ 16,545,569 $ 7,674,265 Total Revenues $ 284,783,047 $ 306,559,757 $ 320,280,460 $ 314,322,149 $ 368,581,103 $ 395,940,910 $ 423,008,983 $ 501,802,352 $ 567,483,580 $ 533,994,969 Expenditures: City Council $ 2,426,454 $ 2,721,621 $ 3,201,795 $ 3,137,125 $ 3,573,889 $ 3,759,472 $ 3,910,937 $ 4,178,561 $ 4,725,621 $ 5,316,524 Mayor $ 2,635,082 $ 2,456,932 $ 2,752,337 $ 2,856,010 $ 3,121,458 $ 3,862,232 $ 3,495,653 $ 4,158,916 $ 5,120,100 $ 5,963,765 City Attorney $ 5,324,431 $ 5,442,492 $ 5,549,139 $ 5,896,933 $ 6,643,806 $ 6,788,279 $ 6,840,902 $ 7,195,428 $ 8,683,519 $ 10,515,213 Finance $ 6,146,789 $ 6,367,181 $ 6,658,550 $ 6,759,597 $ 7,596,941 $ 7,827,573 $ 7,872,632 $ 8,519,579 $ 10,039,270 $ 11,495,948 Fire $ 37,049,088 $ 38,203,990 $ 38,251,674 $ 39,165,845 $ 42,266,968 $ 42,336,507 $ 40,360,501 $ 45,671,210 $ 48,025,803 $ 50,642,204 Combined Emergency Services $ 6,439,631 $ 6,976,571 $ 6,916,570 $ 7,377,133 $ 8,066,766 $ 8,337,076 $ 7,697,181 $ 8,860,503 $ 10,109,426 $ 10,288,938 Police $ 57,719,656 $ 60,822,121 $ 64,158,367 $ 66,609,711 $ 74,956,306 $ 82,368,338 $ 80,751,205 $ 83,178,160 $ 103,468,103 $ 115,814,631 Community and Neighborhoods $ 27,129,564 $ 28,256,219 $ 28,489,773 $ 28,770,263 $ 30,346,901 $ 31,742,909 $ 49,828,864 $ 58,465,624 $ 55,729,459 $ 58,999,542 Economic Development $ — $ — $ 1,190,020 $ 1,650,691 $ 1,689,398 $ 1,985,238 $ 2,243,608 $ 4,783,862 $ 5,843,602 $ 6,555,014 Justice Court $ 3,892,584 $ 4,024,112 $ 4,183,738 $ 4,276,010 $ 4,389,467 $ 4,428,065 $ 4,340,743 $ 4,642,516 $ 4,928,656 $ 5,351,866 Human Resources $ 2,090,499 $ 2,165,444 $ 2,330,599 $ 2,524,603 $ 2,614,565 $ 2,663,132 $ 2,576,008 $ 3,153,725 $ 3,722,452 $ 4,323,420 Public Services $ 37,806,472 $ 41,567,552 $ 42,053,566 $ 42,647,148 $ 45,880,531 $ 46,703,582 $ 45,952,402 $ 54,190,829 $ 64,167,797 $ 42,019,120 Public Lands (1)$ — $ — $ — $ — $ — $ — $ — $ — $ — $ 27,258,939 Transportation $ — $ — $ — $ — $ — $ 273,914 $ 366,807 $ — $ — $ — Arts Council (2)$ 3,315,434 $ 3,114,035 $ 3,449,071 $ 3,075,356 $ 1,570,622 $ 1,391,833 $ 1,699,285 $ — $ — $ — Nondepartmental $ 23,547,487 $ 27,761,151 $ 26,450,242 $ 27,602,288 $ 29,585,365 $ 35,162,898 $ 37,572,779 $ 43,892,793 $ 52,459,213 $ 53,352,259 Capital Improvement $ 38,074,057 $ 34,340,213 $ 32,506,631 $ 31,823,086 $ 25,425,953 $ 34,081,787 $ 32,643,280 $ 44,913,364 $ 47,211,498 $ 73,436,026 Debt service: Principal $ 65,642,758 $ 45,471,871 $ 24,024,992 $ 23,745,487 $ 24,845,252 $ 31,991,991 $ 24,804,145 $ 19,856,897 $ 19,273,120 $ 21,100,171 Interest and other fiscal charges $ 14,226,360 $ 15,194,085 $ 11,194,490 $ 11,416,231 $ 9,721,047 $ 15,360,100 $ 7,859,429 $ 16,741,916 $ 27,203,980 $ 12,444,205 Total Expenditures 333,466,346 324,885,590 303,361,554 309,333,517 322,295,235 361,064,926 360,816,361 412,403,883 453,578,497 514,877,785 Revenues over (under) expenditures $ (48,683,299) $ (18,325,833) $ 16,918,906 $ 4,988,632 $ 46,285,868 $ 34,875,984 $ 62,192,622 $ 89,398,469 $ 113,905,083 $ 19,117,184 210 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Other financing sources (uses): Issuance of debt $ 66,794,960 $ 21,715,000 $ 6,460,000 $ 15,572,310 $ 1,224,775 $ 20,200,935 $ 20,454,886 $ 29,171,734 $ 86,040,000 24,765,000 Payment to refunding bond escrow agent — — (6,431,321) — — (67,725,371) — — — — Premiums from issuance of debt — 2,924,990 — — — 4,008,775 — 4,390,914 4,493 120,893 Contribution of assets — — — — — — — — — (1,352,747) Proceeds from sale of property 707,444 3,532,698 660,985 1,389,903 298,758 419,105 454,518 131,398 62,801 108,427 Transfers in 35,939,515 37,894,700 38,069,111 39,995,991 32,409,795 36,721,177 41,478,118 58,980,768 100,767,090 80,340,718 Transfers out (39,506,944) (52,179,190) (57,749,028) (56,122,590) (53,017,799) (80,516,974) (70,299,015) (101,259,741) (143,250,893) (119,989,112) Total other financing sources (uses) 63,934,975 13,888,198 (18,990,253) 835,614 (19,084,471) (86,892,353) (7,911,493) (8,584,927) 43,623,491 (16,006,821) Net change in fund balances $ 15,251,676 $ (4,437,635) $ (2,071,347) $ 5,824,246 $ 27,201,397 $ (52,016,369) $ 54,281,129 $ 80,813,542 $ 157,528,574 $ 3,110,363 Debt service as a percentage of non-capital expenditures 49.1 % 21.0 % 12.7 % 12.7 % 11.1 % 13.7 % 9.5 % 8.9 % 10.2 % 7.6 % Debt service as a percentage of total expenditures 24.0 % 18.7 % 11.6 % 11.4 % 10.7 % 13.1 % 9.1 % 10.0 % 11.4 % 6.5 % (1) In 2024 Public Lands is being split out from Public Services (2) Arts Council now reports with Economic Development. 211 SALT LAKE CITY CORPORATION GOVERNMENTAL ACTIVITIES TAX REVENUES BY SOURCE Last Ten Fiscal Years (modified accrual basis of accounting) (amounts expressed in thousands) Fiscal Year Real Property Tax Personal Property Tax Motor Vehicle Property Tax Franchise Tax Sales Tax Total 2015 $ 83,513 $ 10,594 $ 4,171 $ 28,133 $ 60,849 $ 187,260 2016 98,279 12,049 4,356 27,973 62,709 205,366 2017 105,927 8,272 4,583 28,418 65,812 213,012 2018 87,552 9,583 4,597 27,286 67,940 196,958 2019 90,172 10,441 4,326 27,238 99,404 231,581 2020 115,920 9,790 4,241 26,863 120,778 277,592 2021 115,093 11,607 4,133 23,952 136,182 290,967 2022 121,128 13,255 2,252 11,750 174,106 322,492 2023 112,416 11,822 4,563 12,757 172,197 313,756 2024 118,202 16,834 4,766 14,345 172,015 326,162 212 SALT LAKE CITY CORPORATION BUSINESS TYPE ACTIVITIES REVENUES BY SOURCE Department of Airports Last Ten Fiscal Years (modified accrual basis of accounting) (amounts expressed in thousands) Fiscal Year Landing Fees Terminal Space Rentals Other Airline Revenues Car Rental Auto Parking Facilities Terminal Other Revenues Credit Revenue Sharing (1) Total Operating Revenue 2015 $ 23,199 $ 29,019 $ 7,201 $ 19,341 $ 31,117 $ 29,467 $ 2,864 $ (9,938) $ 132,270 2016 27,023 28,500 6,931 22,142 33,409 30,859 3,110 (10,941) 141,033 2017 30,020 29,775 6,844 27,186 34,297 35,042 3,811 (12,169) 154,806 2018 32,742 31,028 6,799 29,181 35,323 39,041 4,441 (13,007) 165,548 2019 35,434 33,432 6,769 29,856 36,297 42,046 3,704 (14,077) 173,461 2020 35,638 34,645 7,031 25,372 27,974 37,634 3,129 (10,097) 161,326 2021 35,996 66,680 7,015 24,317 23,491 31,608 3,287 (7,710) 184,684 2022 45,158 83,480 8,182 35,378 48,813 48,015 3,485 (13,566) 258,945 2023 53,497 86,486 8,373 36,053 60,140 49,286 3,336 (13,844) 283,327 2024 59,818 97,945 11,765 39,723 68,596 61,032 3,076 (15,297) 326,658 Source: Salt Lake City Department of Airports Audited Financial Statements (1) As of FY22, Credit Sharing Revenues have been broken out from Terminal Space Rentals. 213 SALT LAKE CITY CORPORATION ASSESSED AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY Last Ten Fiscal Years (amounts expressed in thousands) 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Taxable Value Real Property (1)$ 18,447,638 $ 19,620,931 $ 21,510,210 $ 23,166,703 $ 25,742,619 $ 28,457,992 $ 31,554,371 $ 34,035,020 $ 41,820,707 $ 46,392,896 Taxable Personal Property 2,122,489 2,132,244 2,422,498 2,497,760 2,655,599 3,079,769 3,212,675 3,446,042 3,652,857 4,697,369 Total Taxable value (2)$ 20,570,128 $ 21,753,175 $ 23,932,708 $ 25,664,463 $ 28,398,219 $ 31,537,761 $ 34,767,046 $ 37,481,062 $ 45,473,564 $ 51,090,264 Estimated actual value $ 26,971,067 $ 28,594,182 $ 31,386,040 $ 33,819,886 $ 37,255,666 $ 41,493,433 $ 45,901,482 $ 49,835,270 $ 61,263,585 $ 67,444,015 Ratio of total taxable value to estimated actual value 76.3 % 76.1 % 76.3 % 75.9 % 76.2 % 76.0 % 75.7 % 75.2 % 74.2 % 75.8 % Total Direct Tax Rate 0.004893 0.004862 0.004557 0.004286 0.003977 0.003878 0.003540 0.003424 0.003012 0.002755 Source: Utah State Tax Commission (1) Centrally Assessed Values are included in Real Property Values. (2) All taxable property is assessed and taxed on the basis of its fair market value. Utah law requires that the fair market value of property that is assessed by county assessors using a comparable sales or a cost appraisal method exclude expenses related to property sales transactions. For tax purposes, the fair market value of primary property is reduced by 45% under present law. Does not include Fee-in-lieu. 214 SALT LAKE CITY CORPORATION DIRECT AND OVERLAPPING PROPERTY TAX RATES Last Ten Fiscal Years (rates per $1 of assessed value) Components of Direct Rate Overlapping Rates Fiscal Year Discharge of Judgement Interest and Sinking Fund General Operations Total Direct Rate Salt Lake City Library Salt Lake City Schools Salt Lake County Mosquito Abatement District Central Utah Water Conservation Metropolitan Water District 2015 0.000040 0.001066 0.003787 0.004893 0.000782 0.006303 0.003036 0.000127 0.000422 0.000391 2016 0.000012 0.000989 0.003861 0.004862 0.000749 0.006497 0.002531 0.000121 0.000405 0.000373 2017 0.000030 0.000910 0.003617 0.004557 0.000705 0.006180 0.002371 0.000171 0.000400 0.000349 2018 0.000032 0.000772 0.003482 0.004286 0.000834 0.005748 0.002238 0.000160 0.000400 0.000325 2019 0.000049 0.000692 0.003236 0.003977 0.000766 0.005500 0.002025 0.000141 0.000400 0.000302 2020 0.000025 0.000648 0.003205 0.003878 0.000745 0.005393 0.001933 0.000133 0.000400 0.000289 2021 0.000015 0.000583 0.002942 0.003540 0.000683 0.005047 0.001948 0.000122 0.000400 0.000265 2022 0.000014 0.000556 0.002854 0.003424 0.000652 0.004809 0.001777 0.000115 0.000400 0.000253 2023 0.000037 0.000519 0.002456 0.003012 0.000587 0.003964 0.001394 0.000159 0.000400 0.000200 2024 0.000003 0.000453 0.002299 0.002755 0.000646 0.003775 0.001297 0.000147 0.000400 0.000350 Source: Utah State Tax Commission 215 SALT LAKE CITY CORPORATION PRINCIPAL PROPERTY TAX PAYERS Current Year and Ten Years Ago December 31, 2023 taxable valuation December 31, 2014 taxable valuation Taxpayer Taxable Assessed Value Rank Percentage of Total City Taxable Assessed Value Taxable Assessed Value Rank Percentage of Total City Taxable Assessed Value LDS Church (City Creek Reserve, Deseret Title, Property Reserve)$ 1,512,867,449 1 3.27%$ 1,502,379,678 1 7.30% Landmark LLC 800,305,791 2 1.73% Pacificorp 492,167,246 3 1.06% 441,669,052 2 2.16% Delta Airlines 437,953,290 4 0.95% Questar Gas 256,979,273 5 0.56% 122,501,872 9 0.60% Oakmont Properties 250,104,260 6 0.54% Wasatch Plaza Holdings LLC 256,979,273 7 0.56% 170,372,000 5 0.83% ATP SLC LLC 231,935,300 8 0.50% MPLD Husky LLC 230,291,000 9 0.50% Grand America Hotel 229,351,500 10 0.50% Boyer Properties 217,243,500 3 1.06% Qwest Corporation 138,807,445 6 0.67% KBSIII 222 Main 131,003,700 7 0.64% Skywest Airlines 126,514,987 8 0.62% Inland Western Salt Lake City Gateway $ 4,698,934,382 $ 3,123,041,964 Total City Taxable Assessed Value $ 46,290,824,605 $ 20,570,127,589 Source: State of Utah and Salt Lake County 216 SALT LAKE CITY CORPORATION PROPERTY TAX LEVIES AND COLLECTIONS Last Ten Fiscal Years (amounts expressed in thousands) Fiscal Year Ended June 30, Total Tax Levy for Fiscal Year (1) Collected within the Fiscal Year of the Levy Collection in Subsequent Years Total Collections to Date Amount Percentage of Levy Amount Percentage of Levy 2015 $ 101,010 $ 98,763 97.78 %$ 2,170 $ 100,933 99.92 % 2016 105,826 103,764 98.05 % 1,995 105,759 99.94 % 2017 110,331 107,585 97.51 % 2,736 110,322 99.99 % 2018 110,751 108,500 97.97 % 2,207 110,707 99.96 % 2019 113,989 111,402 97.73 % 2,466 113,867 99.89 % 2020 122,801 120,693 98.28 % 1,812 122,505 99.76 % 2021 124,272 121,630 97.87 % 1,817 123,446 99.34 % 2022 133,935 131,026 97.83 % 1,729 131,026 97.83 % 2023 144,867 141,598 97.74 % 2,804 144,402 99.68 % 2024 154,968 151,900 98.02 % 1,753 153,654 99.15 % (1) Property taxes are assessed January 1 and due by November 30. Payments are not considered delinquent until after November 30. 217 SALT LAKE CITY CORPORATION RATIOS OF OUTSTANDING DEBT BY TYPE Last Ten Fiscal Years (amounts expressed in thousands except per capita amount) Fiscal Year Ended June 30, Governmental Activities Business-type Activities Total Primary Government Debt Debt as a Percentage of Personal Income (1) Per Capita Debt (1) General Obligation Bonds Special Assessment Bonds Revenue Bonds Gov't Bank Notes Payable Lease Revenue Bonds ISF Bank Notes Payable Discounts / Premiums Revenue Bonds Notes Payable Discounts / Premiums 2015 $ 155,383,027 1,092,000 158,659,372 13,446,081 14,637,260 13,992,118 — 133,082,026 18,917,800 — $ 509,209,684 9.94 %$ 2,707 2016 $ 141,774,839 779,000 152,180,076 12,177,210 21,546,804 12,817,493 — 124,306,030 19,672,287 — $ 485,253,739 8.30 %$ 2,564 2017 $ 128,161,987 548,000 141,752,091 10,877,435 30,465,962 12,050,580 — 1,314,528,924 19,447,295 — $ 1,657,832,274 29.39 %$ 8,694 2018 $ 127,100,000 373,000 128,505,000 9,513,210 27,340,000 12,485,463 9,356,662 1,181,180,000 19,023,112 133,674,644 $ 1,648,551,091 30.41 %$ 8,611 2019 $ 113,420,000 190,000 119,035,000 9,225,734 26,550,000 13,782,429 8,873,645 2,023,560,000 17,115,266 205,111,966 $ 2,536,864,040 42.49 %$ 13,064 2020 $ 102,045,000 — 115,845,000 8,263,371 25,465,000 15,247,377 10,577,589 2,014,790,000 16,534,858 197,284,816 $ 2,506,053,011 39.16 %$ 12,495 2021 $ 106,525,000 — 105,310,000 7,259,227 24,345,000 12,253,469 11,256,588 2,157,895,000 280,937,922 228,370,373 $ 2,934,152,579 44.39 %$ 14,691 2022 $ 114,105,000 — 109,235,000 13,321,090 13,710,000 13,208,161 13,231,447 3,390,437,999 12,749,288 (31,092) $ 3,679,966,893 52.86 %$ 18,356 2023 $ 123,320,000 — 168,130,000 11,977,969 12,500,000 10,154,635 15,796,746 3,355,142,190 13,070,833 (27,637) $ 3,710,064,736 38.59 %$ 18,506 2024 $ 136,340,000 — 160,315,000 10,606,945 11,570,000 7,822,194 13,918,189 3,915,455,566 10,195,956 480,699,345 $ 4,746,923,195 45.62 %$ 23,195 (1) - Demographic information is found on page 227. 218 SALT LAKE CITY CORPORATION RATIOS OF GENERAL BONDED DEBT OUTSTANDING Last Ten Fiscal Years (amounts expressed in thousands, except per capita amount) Fiscal Year Ended June 30, General Obligation Bonds Less: Amounts Available In Debt Service Fund Total Percentage of Estimated Actual Taxable Value of Property Per Capita 2015 $ 155,383 $ 4,677 $ 150,706 0.56%$ 801 2016 141,775 1,975 139,800 0.49% 739 2017 128,163 1,829 126,334 0.40% 663 2018 127,100 17,401 109,699 0.32% 573 2019 113,420 19,162 94,258 0.25% 485 2020 102,045 5,252 96,793 0.23% 483 2021 102,045 5,252 96,793 0.21% 485 2022 114,105 4,943 109,162 0.22% 545 2023 123,320 13,449 109,871 0.18% 537 2024 136,340 15,772 120,568 0.18% 575 219 SALT LAKE CITY CORPORATION COMPUTATION OF DIRECT AND OVERLAPPING BONDED DEBT June 30, 2024 Total debt Applicable to City Debt ratios (1) Percentage Amount Total taxable value of (2) Total fair market value of (2) Per capita - population of $51,090,264,209 $67,444,015,248 209,593 Total governmental activities direct debt 363,946,108.03 100.00%$ 363,946,108 0.71%0.54%$1,736.44 Overlapping debt: Salt Lake County (3)106,725,954 26.00% 27,748,748 Central Utah Water Conservancy District (4)116,401,403 16.91%19,683,477 Salt Lake City School District (4) 2,130,000 100% 2,130,000 Total Overlapping debt (5)$ 225,257,357 49,562,225 Total debt applicable to the City $ 413,508,333 0.81%0.61%$1,972.91 Source: Salt Lake City Department of Finance (1) The State of Utah general obligation debt is not included in the debt ratios because the State of Utah currently levies no ad valorem tax for payment of general obligation bonds. (2) Total taxable and fair market values exclude Fees in Lieu. (3) Salt Lake County GO bonds per ACFR (12/31/23). (4) Salt Lake City School District and Central Utah Water Conservancy District GO bonds per ACFR (6/30/24). (5) Overlapping debt is calculated using all debt from Salt Lake City School District and debt from Salt Lake County allocated by geographical percentage. 220 SALT LAKE CITY CORPORATION LEGAL DEBT MARGIN INFORMATION Last Ten Fiscal Years (amounts expressed in thousands) 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 General Purposes - 4% Debt Limit $ 1,078,843 $ 1,143,767 $ 1,255,442 $ 1,352,795 $ 1,490,227 $ 1,659,737 $ 1,836,059 $ 1,993,411 $ 2,450,543 $ 2,697,761 Less: Total net debt applicable to limit (2) 150,706 139,800 126,334 109,699 94,258 96,793 96,793 109,162 109,871 120,568 Legal Debt Margin $ 928,137 $ 1,003,967 $ 1,129,108 $ 1,243,096 $ 1,395,969 $ 1,562,944 $ 1,739,266 $ 1,884,249 $ 2,340,672 $ 2,577,193 Total net debt applicable to the limit as a percentage of debt limit 13.97 % 12.22 % 10.06 % 8.11 % 6.33 % 5.83 % 5.27 % 5.48 % 4.48 % 4.47 % Water, sewer and lighting - 4% Debt Limit $ 1,078,843 $ 1,143,767 $ 1,255,442 $ 1,352,795 $ 1,490,227 $ 1,659,737 $ 1,836,059 $ 1,993,411 $ 2,450,543 $ 2,697,761 Total net debt applicable to limit — — — — — — — — — — Legal Debt Margin $ 1,078,843 $ 1,143,767 $ 1,255,442 $ 1,352,795 $ 1,490,227 $ 1,659,737 $ 1,836,059 $ 1,993,411 $ 2,450,543 $ 2,697,761 Total net debt applicable to the limit as a percentage of debt limit — % — % — % — % — % — % — % — % — % — % Total - 8% (1) Debt Limit $ 2,157,685 $ 2,287,535 $ 2,510,883 $ 2,705,591 $ 2,980,453 $ 3,319,475 $ 3,672,119 $ 3,986,822 $ 4,901,087 $ 5,395,521 Total net debt applicable to limit 150,706 139,800 126,334 109,699 94,258 96,793 96,793 109,162 109,871 120,568 Legal Debt Margin $ 2,006,979 $ 2,147,735 $ 2,384,549 $ 2,595,892 $ 2,886,195 $ 3,222,682 $ 3,575,326 $ 3,877,660 $ 4,791,216 $ 5,274,953 Total net debt applicable to the limit as a percentage of debt limit 6.98 % 6.11 % 5.03 % 4.05 % 3.16 % 2.92 % 2.64 % 2.74 % 2.24 % 2.23 % (1) The general obligation bonded debt of the City is limited by statute to 8% of the "reasonable fair cash value" of taxable property in the City. Of this amount, a maximum of 4% may be used for general purposes. The remaining 4% and any unused portion of the 4% available for general purposes up to the maximum 8% may be utilized for sewer and/or water purposes. Legal Debt Margin Calculation for Fiscal Year 2024 Total estimated actual value $ 67,444,015 Debt limit (8% of total estimated actual value) 5,395,521 Debt applicable to limit: (2) The total net debt applicable to limit is netted with Restricted Fund Balance of Debt Service Fund.General obligation bonds 136,340 Less: Amount set aside for repayment of general obligation debt 15,772 Total net debt applicable to limit 120,568 Legal debt margin $ 5,274,953 221 SALT LAKE CITY CORPORATION PLEDGED-REVENUE COVERAGE Last Ten Fiscal Years (amounts expressed in thousands) Revenue Bonds Special Improvement Bonds Fiscal Year Ended June 30, Gross Revenues (1) Less: Operating Expenses (2) Net Available Revenues Debt Service (5) Coverage Special Improvement Collections Debt Service Principal Interest Principal Interest Coverage Revenue Bonds - Governmental Activities 2015 $ 60,943 — 60,943 6,586 4,406 5.54 %$ 371 299 67 1.01 % 2016 $ 63,727 — 63,727 8,110 7,391 4.11 %$ 332 311 54 0.91 % 2017 $ 68,082 — 68,082 9,285 5,128 4.72 %$ 244 313 42 0.69 % 2018 $ 72,322 — 72,322 9,570 6,985 4.37 %$ 241 231 28 0.93 % 2019 $ 108,894 — 108,894 10,020 5,984 6.80 %$ 212 175 18 1.10 % 2020 $ 125,604 — 125,604 10,260 5,737 7.85 %$ 41 190 6 0.21 % 2021 $ 130,859 — 130,859 10,535 3,497 9.33 %$ 33 —— 0.00 % 2022 $ 171,078 — 171,078 2,020 3,267 32.36 %$ 20 —— 0.00 % 2023 $ 180,281 — 180,281 5,360 3,261 20.91 %$ 29 —— 0.00 % 2024 $ 177,000 — 177,000 8,080 6,514 12.13 %$ 19 — — 0.00 % Fiscal Year Ended June 30, Gross Revenues (3) Less: Operating Expenses (4) Net Available Revenues Debt Service Principal Interest Coverage Revenue Bonds - Business-type activities 2015 $ 341,731 180,960 160,771 12,532 9,541 7.28 % 2016 $ 354,161 210,349 143,812 9,264 8,821 7.95 % 2017 $ 388,238 220,679 167,558 11,572 2,964 11.53 % 2018 $ 406,269 215,619 190,650 11,834 10,868 8.40 % 2019 $ 437,553 222,618 214,935 10,437 10,560 10.24 % 2020 $ 424,623 240,680 183,943 55,910 15,022 2.59 % 2021 $ 408,403 259,097 149,307 18,458 101,034 1.25 % 2022 $ 522,565 283,720 238,845 284,889 154,225 0.54 % 2023 $ 592,878 326,488 266,390 37,897 156,253 1.37 % 2024 $ 684,763 350,000 334,763 45,595 185,223 1.45 % (1) Gross revenues includes sales, use and excise taxes, Class C Road funds and rental income from the Local Building Authority Fund. (2) Excludes depreciation and amortization. (3) Gross revenues include operating revenues, property tax increments, gains/(losses) on the sale of property and equipment, and passenger facility charges. (4) Excludes depreciation and amortization. (5) Principal payments are net of any defeased or refinanced amounts. 222 SALT LAKE CITY CORPORATION DEMOGRAPHIC AND ECONOMIC STATISTICS Last Ten Fiscal Years Fiscal Year Ended June 30, Population Estimate (1) Per Capita Personal Income (1) Total Personal Income (amount expressed in thousands) Number of residents 18 years and older (1) High School Graduates (2) Average Daily School Membership (2) Unemployment Rate (3) 2015 188,141 $ 31,065 $ 5,844,600 145,634 1,473 24,447 3.6 % 2016 189,267 29,803 5,640,724 147,619 1,517 24,127 3.4 % 2017 190,679 28,428 5,420,623 149,552 1,499 24,211 3.3 % 2018 191,446 31,188 5,970,818 150,894 1,603 23,726 3.1 % 2019 194,188 32,954 6,399,271 153,512 1,505 23,336 2.7 % 2020 200,567 34,711 6,961,881 160,824 1,651 22,921 7.4 % 2021 199,723 33,095 6,609,833 159,379 1,614 20,782 3.2 % 2022 200,478 34,728 6,962,200 161,986 1,471 20,244 2.5 % 2023 204,657 46,972 9,613,149 167,819 1,520 19,317 2.7 % 2024 209,593 49,642 10,404,616 171,866 1,626 19,488 3.6 % (1) U.S. Census Bureau, QuickFacts (2) Salt Lake City School District (3) United States Bureau of Labor Statistics, Local Area Unemployment Statistics, SLC at June 30. 223 SALT LAKE CITY CORPORATION FULL-TIME EQUIVALENT CITY GOVERNMENT BY FUNCTIONS Last Ten Fiscal Years 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 DEPARTMENT General Fund Attorney's Office 53.75 53.25 50.25 51.25 49.25 50.25 50.25 55.25 58.50 60.50 City Council 28.00 28.00 30.00 33.00 33.00 35.00 35.00 35.00 36.00 36.00 Communications Bureau 81.00 81.00 94.00 97.00 97.00 100.00 100.00 108.00 100.00 100.00 Community and Neighborhood 200.25 206.00 190.00 192.00 195.00 207.00 207.00 176.00 190.00 195.00 Economic Development — — 11.00 13.00 15.00 16.00 18.00 18.00 22.00 22.00 Finance 58.20 63.70 64.70 65.70 68.70 69.70 69.70 71.70 76.70 81.70 Fire 340.00 340.00 341.00 345.00 347.00 366.00 366.00 374.00 392.00 402.00 Human Resources 22.56 22.56 22.56 22.66 21.05 22.05 21.20 26.05 31.40 33.40 Justice Courts 47.00 44.00 44.00 44.00 44.00 44.00 42.00 42.00 42.00 42.00 Mayor's Office 25.00 21.00 21.00 23.00 23.00 24.00 26.00 30.00 32.00 34.00 Police 533.00 558.00 555.00 565.00 620.00 711.00 711.00 720.00 750.00 761.00 Public Lands — — — — — — — 117.35 143.35 157.85 Public Services (1) 286.03 294.40 298.75 306.75 332.35 341.35 329.35 249.00 261.00 270.00 General Fund Total 1,674.79 1,711.91 1,722.26 1,758.36 1,845.35 1,986.35 1,975.50 2,022.35 2,134.95 2,195.45 Enterprise Funds Airport 557.30 555.30 555.30 564.80 570.80 563.80 610.80 610.80 619.30 639.30 Golf 40.65 40.65 34.65 33.65 34.65 34.65 34.65 33.65 33.65 34.15 Public Utilities 390.00 392.00 394.00 397.00 411.00 427.00 435.00 452.00 459.00 475.00 Redevelopment Agency 15.80 15.80 16.50 16.00 16.00 19.00 32.00 32.00 32.00 34.00 Sustainability 53.95 53.95 57.95 57.95 63.00 63.00 63.00 63.00 63.00 65.00 Enterprise Fund Total 1,057.70 1,057.70 1,058.40 1,069.40 1,095.45 1,107.45 1,175.45 1,191.45 1,206.95 1,247.45 Internal Service Funds Information Management Services 70.00 70.00 70.00 71.00 71.00 71.00 69.00 84.00 92.00 100.00 Fleet Management 40.00 41.00 42.00 45.00 45.00 45.00 45.00 45.00 46.00 46.00 Government Immunity 5.50 6.50 6.50 6.50 8.50 8.50 8.50 9.00 9.00 9.00 Risk Management 6.24 5.74 5.74 5.64 6.25 6.25 6.10 7.75 7.40 7.40 Internal Service Fund Total 121.74 123.24 124.24 128.14 130.75 130.75 128.60 145.75 154.40 162.40 Funding Our Future Special Revenue Fund Total — — — — — 3.00 3.00 3.00 — — TOTAL POSITIONS 2,854.23 2,892.85 2,904.90 2,955.90 3,071.55 3,227.55 3,282.55 3,362.55 3,496.30 3,605.30 Source: Salt Lake City Mayor's Recommended Budget, Staffing Document Summary. (1) Public Services was split in 2022, creating a Public Lands department. 224 SALT LAKE CITY CORPORATION PRINCIPAL EMPLOYERS Current Year and Ten Years Ago December 31, 2024 December 31, 2014 Employer Number Employees Rank Percent of all Employees Number Employees Rank Percent of all Employees UNIVERSITY HOSPITAL**7,000 - 9,999 1 1.00% - 1.50%7,000 - 9,999 1 1.30% - 1.80% AMAZON SLC1 5,000 - 6,999 2 0.70% - 1.00% SALT LAKE COUNTY 5,000 - 6,999 3 0.70% - 1.00%5,000 -6,999 2 0.90%-1.30% DELTA AIRLINES 4,000 - 4,999 4 0.60% - 0.70%3,000 -3,999 5 0.50%-0.70% ASSOCIATED REG & UNIV PATHOLOGY 3,000 - 3,999 5 0.40% - 0.60% PRIMARY CHILDREN'S MEDICAL CENTER 3,000 - 3,999 6 0.40% - 0.60%3,000 -3,999 8 0.50%-0.70% FIDELITY BROKERAGE SERVICES LLC 2,000 - 2,999 7 0.30% - 0.40% L3 TECHNOLOGIES, INC.2,000 - 2,999 8 0.30% - 0.40%3,000 -3,999 7 0.50%-0.70% SKYWEST AIRLINES INC 2,000 - 2,999 9 0.30% - 0.40% UNITED PARCEL SERVICE 2,000 -2,999 10 0.30% - 0.40%2,000 -2,999 9 0.40%-0.50% UNIVERSITY OF UTAH**4,000 - 4,999 3 0.70%-0.90% C.R. ENGLAND 3,000 - 3,999 4 0.50%-0.70% DISCOVER PRODUCTS INC 3,000 -3,999 6 0.50%0.70% VA SALT LAKE CITY HEALTH CARE SYS 2,000 - 2,999 10 0.40%-0.50% 35,000 -48,990 5.00%-7.00%35,000 -47,990 6.30%-8.70% * - Estimated total number of people employed in Salt Lake City. 700,000 554,142 ** - University Hospitals have been separated from the University of Utah. Source: Workforce Services - Based on yearly averages 225 SALT LAKE CITY CORPORATION OPERATING INDICATORS BY FUNCTION Last Ten Fiscal Years 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Function Fire Medical Calls 23,030 24,297 24,024 22,045 21,417 22,086 22,292 25,363 26,100 26,869 Fire Calls 5,542 5,777 6,406 6,776 6,891 7,132 7,884 8,978 8,923 9,557 Average dispatch time on medical emergencies :58 :49 :46 :55 :53 :52 :53 1:34 1:29 2:32 Average time responding to life threatening emergencies 3:54 2:11 4:00 4:00 3:49 4:54 N/A 2:39 2:53 4:30 Police (calendar year) Median Priority 1 Response Time In Minutes (1)5:44 5:40 6:00 6:19 6:02 5:36 12.55 11:34 10:15 7:17 Community Development Percent of business license inspections conducted within 30 days 100%100%100%100%100%100 %100 %100 %100 %100 % Number of building inspections conducted per day 136 161 160 167 207 239 195 182 218 234 Percent of transportation service requests completed within 10 working days 81%84%80%82%92%87 %84%86%81%75% Public Services Forestry - Number of trees pruned per month (average)325 244 392 278 266 442 292 281 353 310 Water Total million gallons water delivered 27,853 25,991 24,491 25,438 23,954 24,423 25,127 21,196 22,845 21,492 Per capita delivered - gallons per day 185 207 193 198 184 186 191 157 166 155 Airport Total enplaned passengers (in thousands)10,834 11,293 11,850 12,420 13,090 10,096 7,710 12,802 13,143 13,850 Cargo pounds (in thousands)330,712 350,906 367,050 380,286 407,899 399,971 424,521 404,492 359,431 332,408 Sewer Total Plant Flow (million gallons)10,087 10,418 10,554 10,211 12,217 11,849 10,492 10,945 10,842 11,711 Total influent (TBOD) biochemical oxygen demand (in thousand pounds)17,864 18,765 19,659 26,985 29,729 21,333 22,869 17,890 20,061 34,222 Housing & Loan Rehab Loans 108 80 72 113 60 35 26 17 7 12 Rehab units 125 89 217 113 74 35 26 31 29 34 First Time Home Buyer projects 8 4 4 8 7 7 2 5 1 0 Storm Water Utility Line Installation (Linear Feet)5,872 5,960 11,039 11,940 6,899 13,013 13,541 25,427 16,560 15,368 Refuse Collection Recycling Contamination Rate in Curbside Cans 5.7%7%7%15%23.5%19.7%16%15.8%15.3%15.2% Percentage of waste stream recycled 17%17.2%17%15%12.8%12.1%12.1%12.2%12.2%12.3% Golf Number of golf rounds (9 holes equivalent)415,831 365,671 343,670 355,655 350,550 374,139 455,556 441,087 425,698 498,010 Source: Internal department records (1) The measurement basis for this metric has been changed to be more consistent with the reporting of other local agencies. Previously, the measurement reflected time from dispatch to arrival on-scene. Now the measurement reflects time from initial call to arrival on-scene. 226 SALT LAKE CITY CORPORATION CAPITAL ASSET STATISTICS BY FUNCTION Last Ten Fiscal Years Function 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Fire Number of stations 14 14 14 14 14 14 14 14 14 14 Sworn fire fighters 323 328 328 324 329 338 345 347 361 361 Non-sworn civilian employees.13 13 13 17 18 18 23 27 31 31 Police protection: Number of officers with power of arrest 417 447 457 508 589 589 589 604 604 612 Number of other police employees 111 111 108 120 122 122 117 124 146 149 Public Services Recreation and culture: Number of municipal parks (2)126 130 81 81 81 81 81 81 81 80 Number of municipal playgrounds 65 67 71 71 77 77 77 77 77 79 Number of municipal golf courses 8 7 7 7 7 7 7 7 7 7 Number of municipal swimming pools (1)5 5 5 5 5 5 5 5 5 5 Lane miles of city owned streets 1,855 1,849 1,850 1,840 1,854 1,863 1,873 1,888 1,893 1,877 Street Lighting Number of Street Lights 16,405 15,533 15,565 15,615 15,668 15,677 15,690 15,851 15,883 16,000 Municipal water plants: Number of service connections 90,451 91,467 91,545 91,802 92,026 94,013 92,374 91,990 92,034 88,180 City 56,710 55,409 55,435 55,577 55,656 55,772 55,958 56,147 56,258 56,435 County 33,741 36,058 36,110 36,225 36,370 38,241 36,416 35,843 35,776 31,745 Water supplied to conduits (gallons/year) per thousand 27,853,330 25,990,768 24,490,890 26,231,120 32,840,422 29,331,670 31,027,510 26,023,720 27,442,799 27,846,937 Water shed managed (square miles)190 190 190 190 190 190 190 190 190 190 Number of fire hydrants 10,441 10,494 9,687 9,747 9,835 9,899 9,768 9,870 10,160 10,596 City 6,547 6,592 6,361 6,387 6,460 6,496 6,552 6,628 6,751 6,998 County 3,894 3,902 3,326 3,360 3,375 3,403 3,216 3,242 3,409 3,598 Sewer Utility Number of sewer connections 49,835 49,917 49,924 50,019 50,119 50,235 50,310 50,394 50,515 50,584 Miles of sanitary sewer lines 653 654 655 655 656 667 677 679 679 684 Storm Water Utility: Miles of storm water lines 342 343 345 348 351 351 356 359 364 360 Public Libraries 6 8 8 8 8 8 8 8 8 8 (1) City owns 5 but they are operated by Salt Lake County (2) Beginning in FY17, the City no longer counts medians, greenways, off ramps or open space locations in the parks inventory. Source: Internal department records Miscellaneous Statistics - Most current information available Date of Incorporation January 5, 1851 Form of government (adopted January 7, 1980)Council/Mayor Area (square miles)110.34 Election data: (Presidential Election) Registered (active voters), November 2016 106,504 Number of votes cast in 2016 local election 95,947 Percentage of registered voters voting 90.09% 227 This page has intentionally been left blank SALT LAKE CITY TRANSMITTAL To: Salt Lake City Council Chair Submission Date: 02/11/2025 Date Sent to Council: 02/11/2025 From: Department * Finance Employee Name: Najarro, Andrea E-mail andrea.najarro@slc.gov Department Director Signature Director Signed Date 02/11/2025 Chief Administrator Officer's Signature Chief Administrator Officer's Signed Date 02/11/2025 Subject: Salt Lake City - Single Audit & Compliance Reports - 2024 Additional Staff Contact: Mary Beth Thompson - marybeth.thompson@slc.govSuzanne Swanson - suzanne.swanson@slc.gov Presenters/Staff Table Mary Beth Thompson - marybeth.thompson@slc.govSuzanne Swanson - suzanne.swanson@slc.gov Document Type Information Item Budget Impact? Yes No Recommendation: The Council will receive a briefing from the Administration and the external auditors, Eide Bailly. Background/Discussion Please see the attachments. Will there need to be a public hearing for this item?* Yes No Public Process N/A This page has intentionally been left blank eidebailly.com Federal Awards Reports in Accordance with the Uniform Guidance and State of Utah Compliance Report June 30, 2024 Salt Lake City Corporation Salt Lake City Corporation Table of Contents June 30, 2024 Independent Auditor’s Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards ................................................................................................................................ 1 Independent Auditor’s Report on Compliance and Report on Internal Control over Compliance as Required by the State Compliance Audit Guide .................................................................................................... 3 Independent Auditor’s Report on Compliance for Each Major Federal Program; Report on Internal Control Over Compliance; and Report on the Schedule of Expenditures of Federal Awards Required by the Uniform Guidance ........................................................................................................................................... 7 Schedule of Expenditures of Federal Awards .......................................................................................................... 10 Notes to the Schedule of Expenditures of Federal Awards ..................................................................................... 14 Schedule of Findings and Questioned Costs ............................................................................................................ 15 What inspires you, inspires us. | eidebailly.com 5 Triad Center, Ste. 600 | Salt Lake City, UT 84180-1106 | T 801.532.2200 | F 801.532.7944 | EOE 1 Independent Auditor’s Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards The Honorable Mayor and Members of the City Council Salt Lake City Corporation Salt Lake City, Utah We have audited, in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States (Government auditing Standards), the financial statements of the governmental activities, the business-type activities, the aggregate discretely presented component units, each major fund, and the aggregate remaining fund information of Salt Lake City Corporation, as of and for the year ended June 30, 2024, and the related notes to the financial statements, which collectively comprise Salt Lake City Corporation’s basic financial statements and have issued our report thereon dated February 10, 2025. Report on Internal Control over Financial Reporting In planning and performing our audit of the financial statements, we considered Salt Lake City Corporation’s internal control over financial reporting (internal control) as a basis for designing audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of Salt Lake City Corporation’s internal control. Accordingly, we do not express an opinion on the effectiveness of Salt Lake City Corporation’s internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the Salt Lake City Corporation’s financial statements will not be prevented, or detected and corrected, on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies and therefore, material weaknesses or significant deficiencies may exist that have not been identified. We identified certain deficiencies in internal control, described in the accompanying Schedule of Findings and Questioned costs as items 2024-001 and 2024-002 that we consider to be material weaknesses. 2 Report on Compliance and Other Matters As part of obtaining reasonable assurance about whether Salt Lake City Corporation’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the financial statements. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. Salt Lake City Corporation’s Response to Findings Government Auditing Standards requires the auditor to perform limited procedures on Salt Lake City Corporation’s responses to the findings identified in our audit and described in the accompanying Schedule of Findings and Questioned Costs. Salt Lake City Corporation’s responses were not subjected to the auditing procedures applied in the audit of the financial statements and, accordingly, we express no opinion on them. Purpose of this Report The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the Salt Lake City Corporation’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Salt Lake City Corporation’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose. Salt Lake City, Utah February 10, 2025 What inspires you, inspires us. | eidebailly.com 5 Triad Center, Ste. 600 | Salt Lake City, UT 84180-1106 | T 801.532.2200 | F 801.532.7944 | EOE 3 Independent Auditor’s Report on Compliance and Report on Internal Control over Compliance as Required by the State Compliance Audit Guide To the Honorable Mayor and Members of the City Council Salt Lake City Corporation Salt Lake City, Utah Report on Compliance with State Requirements Qualified and Unmodified Opinions We have audited Salt Lake City Corporation’s compliance with the following applicable state compliance requirements described in the State Compliance Audit Guide, issued by the Office of the State Auditor, for the year ended June 30, 2024. Budgetary Compliance Fund Balance Justice Court Restricted Taxes and Other Related Restricted Revenue Fraud Risk Assessment Government Fees Cash Management Enterprise Fund Transfers, Reimbursements, Loans, and Services Tax Levy Revenue Recognition Qualified Opinion on Cash Management In our opinion, except for the noncompliance described in the Basis for Qualified and Unmodified Opinions section of our report, Salt Lake City Corporation complied, in all material respects, with the state compliance requirements referred to above that could have a direct and material effect on Salt Lake City Corporation’s compliance with the applicable regulations and statutes for the year ended June 30, 2024. Unmodified Opinion on Each of the Other State Compliance Requirements In our opinion, Salt Lake City Corporation complied, in all material respects, with the types of compliance requirements referred to above that could have a direct and material effect on Salt Lake City Corporation’s compliance with applicable regulations and statutes for the year ended June 30, 2024. Basis for Qualified and Unmodified Opinions We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America (GAAS); the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States (Government Auditing 4 Standards); and the audit requirements outlined in the State Compliance Audit Guide (Guide), issued by the Office of the State Auditor. Our responsibilities under those standards and the Guide are further described in the Auditor's Responsibilities for the Audit of Compliance section of our report. We are required to be independent of Salt Lake City Corporation and to meet our other ethical responsibilities, in accordance with relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion on compliance for the requirements identified above. Our audit does not provide a legal determination of Salt Lake City Corporation's compliance with the compliance requirements referred to above. Matter Giving Rise to Qualified Opinion on Cash Management As described in the accompanying Schedule of Findings and Questioned Costs as item 2024-003, Salt Lake City Corporation did not comply with the requirements regarding Cash Management. Compliance with such requirements is necessary, in our opinion, for Salt Lake City Corporation to comply with the requirements applicable to Cash Management. Responsibilities of Management for Compliance Management is responsible for compliance with the requirements referred to above and for the design, implementation, and maintenance of effective internal control over compliance with the requirements of laws, statutes, regulations, rules, and provisions of contracts or grant agreements applicable to Salt Lake City Corporation’s government programs. Auditor’s Responsibilities for the Audit of Compliance Our objectives are to obtain reasonable assurance about whether material noncompliance with the compliance requirements referred to above occurred, whether due to fraud or error, and express an opinion on Salt Lake City Corporation's compliance based on our audit. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS, Government Auditing Standards, and the Guide will always detect material noncompliance when it exists. The risk of not detecting material noncompliance resulting from fraud is higher than for that resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Noncompliance with the compliance requirements referred to above is considered material if there is a substantial likelihood that, individually or in the aggregate, it would influence the judgment made by a reasonable user of the report on compliance about Salt Lake City Corporation's compliance with the requirements of the government program as a whole. In performing an audit in accordance with GAAS, Government Auditing Standards, and the Guide, we: • Exercise professional judgment and maintain professional skepticism throughout the audit. • Identify and assess the risks of material noncompliance, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding Salt Lake City Corporation’s compliance with the compliance requirements referred to above and performing such other procedures as we considered necessary in the circumstances. 5 • Obtain an understanding of the Salt Lake City Corporation’s internal control over compliance relevant to the audit in order to design audit procedures that are appropriate in the circumstances and to test and report on internal control over compliance in accordance with the State Compliance Audit Guide but not for the purpose of expressing an opinion on the effectiveness of Salt Lake City’s internal control over compliance. Accordingly, no such opinion is expressed. We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and any significant deficiencies and material weaknesses in internal control over compliance that we identified during the audit. Other Matters The results of our auditing procedures disclosed other instances of noncompliance, which are required to be reported in accordance with the Guide and which are described in the accompanying Schedule of Findings and Questioned Costs as item 2024-004. Our opinion on each compliance requirement referred to above is not modified with respect to these matters. Government Auditing Standards require the auditor to perform limited procedures on the Salt Lake City Corporation’s response to the noncompliance findings identified in our audit described in the accompanying Schedule of Findings and Questioned Costs. Salt Lake City Corporation’s response was not subjected to the other auditing procedures applied in the audit of compliance and, accordingly, we express no opinion on the response. Report On Internal Control over Compliance Our consideration of internal control over compliance was for the limited purpose described in the Auditor’s Responsibilities for the Audit of Compliance section above and was not designed to identify all deficiencies in internal control over compliance that might be material weaknesses or significant deficiencies in internal control over compliance and therefore, material weaknesses or significant deficiencies may exist that were not identified. However, as discussed below, we did identify certain deficiencies in internal control over compliance that we consider to be a material weakness. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. A material weakness in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a type of compliance requirement of a federal program will not be prevented, or detected and corrected, on a timely basis. We consider the deficiencies in internal control over compliance described in the accompanying schedule of findings and questioned costs as items 2024-003 and 2024-004 to be material weaknesses. Government Auditing Standards requires the auditor to perform limited procedures on the Salt Lake City Corporation’s response to the noncompliance findings identified in our compliance audit described in the accompanying schedule of findings. Salt Lake City Corporation’s response was not subjected to the other auditing procedures applied in the audit of compliance and, accordingly, we express no opinion on the response. 6 The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control and compliance and the results of that testing based on the requirements of the Guide. Accordingly, this report is not suitable for any other purpose. Salt Lake City, Utah February 10, 2025 What inspires you, inspires us. | eidebailly.com 5 Triad Center, Ste. 600 | Salt Lake City, UT 84180-1106 | T 801.532.2200 | F 801.532.7944 | EOE 7 Independent Auditor’s Report on Compliance for Each Major Federal Program; Report on Internal Control Over Compliance; and Report on the Schedule of Expenditures of Federal Awards Required by the Uniform Guidance The Honorable Mayor and Members of the City Council Salt Lake City Corporation Salt Lake City, Utah Report on Compliance for Each Major Federal Program Opinion on Each Major Federal Program We have audited Salt Lake City Corporation’s compliance with the types of compliance requirements subject to audit in the OMB Compliance Supplement that could have a direct and material effect on each of Salt Lake City Corporation’s major federal programs for the year ended June 30, 2024. Salt Lake City Corporation’s major federal programs are identified in the summary of auditor’s results section of the accompanying Schedule of Findings and Questioned Costs. In our opinion, Salt Lake City Corporation complied, in all material respects, with the compliance requirements referred to above that could have a direct and material effect on each of its major federal programs for the year ended June 30, 2024. Basis for Opinion on Each Major Federal Program We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America (GAAS); the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States (Government Auditing Standards); and the audit requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Our responsibilities under those standards and the Uniform Guidance are further described in the Auditor’s Responsibilities for the Audit of Compliance section of our report. We are required to be independent of Salt Lake City Corporation and to meet our other ethical responsibilities, in accordance with relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion on compliance for each major federal program. Our audit does not provide a legal determination of Salt Lake City Corporation’s compliance with the compliance requirements referred to above. Responsibilities of Management for Compliance Management is responsible for compliance with the requirements referred to above and for the design, implementation, and maintenance of effective internal control over compliance with the requirements of laws, statutes, regulations, rules and provisions of contracts or grant agreements applicable to Salt Lake City Corporation‘s federal programs. 8 Auditor’s Responsibilities for the Audit of Compliance Our objectives are to obtain reasonable assurance about whether material noncompliance with the compliance requirements referred to above occurred, whether due to fraud or error, and express an opinion on Salt Lake City Corporation’s compliance based on our audit. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS, Government Auditing Standards, and the Uniform Guidance will always detect material noncompliance when it exists. The risk of not detecting material noncompliance resulting from fraud is higher than for that resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Noncompliance with the compliance requirements referred to above is considered material, if there is a substantial likelihood that, individually or in the aggregate, it would influence the judgment made by a reasonable user of the report on compliance about Salt Lake City Corporation’s compliance with the requirements of each major federal program as a whole. In performing an audit in accordance with GAAS, Government Auditing Standards, and the Uniform Guidance, we: • Exercise professional judgment and maintain professional skepticism throughout the audit. • Identify and assess the risks of material noncompliance, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding Salt Lake City Corporation’s compliance with the compliance requirements referred to above and performing such other procedures as we considered necessary in the circumstances. • Obtain an understanding of Salt Lake City Corporation’s internal control over compliance relevant to the audit in order to design audit procedures that are appropriate in the circumstances and to test and report on internal control over compliance in accordance with the Uniform Guidance, but not for the purpose of expressing an opinion on the effectiveness of Salt Lake City Corporation’s internal control over compliance. Accordingly, no such opinion is expressed. We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and any significant deficiencies and material weaknesses in internal control over compliance that we identified during the audit. Report on Internal Control over Compliance A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. A material weakness in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a type of compliance requirement of a federal program will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a federal program that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance. 9 Our consideration of internal control over compliance was for the limited purpose described in the Auditor’s Responsibilities for the Audit of Compliance section above and was not designed to identify all deficiencies in internal control over compliance that might be material weaknesses or significant deficiencies in internal control over compliance. Given these limitations, during our audit we did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses, as defined above. However, material weaknesses or significant deficiencies in internal control over compliance may exist that were not identified. Our audit was not designed for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, no such opinion is expressed. The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of the Uniform Guidance. Accordingly, this report is not suitable for any other purpose. Report on Schedule of Expenditures of Federal Awards Required by the Uniform Guidance We have audited the financial statements of the governmental activities, the business-type activities, the aggregately discretely presented component units, each major fund, and the aggregate remaining fund information of Salt Lake City Corporation as of and for the year ended June 30, 2024, and the related notes to the financial statements, which collectively comprise Salt Lake City Corporation’s basic financial statements. We issued our report thereon dated February 10, 2025, which contained unmodified opinions on those financial statements. Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the basic financial statements. The accompanying Schedule of Expenditures of Federal Awards is presented for purposes of additional analysis as required by the Uniform Guidance and is not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with GAAS. In our opinion, the schedule of expenditures of federal awards is fairly stated in all material respects in relation to the basic financial statements as a whole. Salt Lake City, Utah February 10, 2025 See Notes to Schedule of Expenditures of Federal Awards 10 Salt Lake City Corporation Schedule of Expenditures of Federal Awards Year Ended June 30, 2024 Pass-through Federal Financial Entity Amounts Passed- Assistance Identifying Through to Listing Number Expenditures Subrecipients Department of Agriculture Passed through Utah State Office of Education Child and Adult Care Food Program 10.558 Not provided 25686 2947 Total Department of Agriculture 25,686 2,947 Department of Housing and Urban Development CDBG - Entitlement Grants Cluster Community Development Block Grants/Entitlement Grants 14.218 N/A 4,575,999 1,996,616 Total CDBG - Entitlement Grants Cluster 4,575,999 1,996,616 Emergency Solutions Grant Program 14.231 N/A 272,210 272,210 COVID-19 Emergency Solutions Grant Program 14.231 N/A 242,651 242,651 Total Emergency Solutions Grant Program 514,861 514,861 HOME Investments Partnership Program 14.239 N/A 1,797,671 1,794,527 Housing Opportunities for Persons With HIV/AIDS 14.241 N/A 751,766 751,766 Total Department of Housing and Urban Development 7,640,297 5,057,770 Federal Grantor/Pass-Through Grantor/Program or Cluster Title See Notes to Schedule of Expenditures of Federal Awards 11 Salt Lake City Corporation Schedule of Expenditures of Federal Awards Year Ended June 30, 2024 Pass-through Federal Financial Entity Amounts Passed- Assistance Identifying Through to Listing Number Expenditures Subrecipients Department of JusticePassed through Utah State Office for Victims of Crime Crime Victim Assistance 16.575 23/24VOCA32 174,067$ -$ Public Safety Partnership and Community Policing Grants 16.710 N/A 325,638 - Edward Byrne Memorial Justice Assistance Grant Program 16.738 N/A 293,812 104,462 Total Department of Justice 793,517 104,462 Department of Transportation Airport Improvement Program 20.106 N/A 100,235,925 - Passed through Utah Department of Transportation Highway Planning and Construction (Federal-Aid Highway Program)20.205 N/A 732,298 732,298 Highway Planning and Construction (Federal-Aid Highway Program)20.205 10,500 10,500 Total Highway Planning and Construction (Federal-Aid Highway Program)742,798 742,798 Total Department of Transportation 100,978,723 742,798 Department of Treasury COVID-19 Emergency Rental Assistance 2 21.023 N/A 167,590 17,474 COVID-19 Coronavirus State and Local Fiscal Recovery Fund 21.027 N/A 7,173,020 372,640 Total Department of Treasury 7,340,610 390,114 Federal Grantor/Pass-ThroughGrantor/Program or Cluster Title See Notes to Schedule of Expenditures of Federal Awards 12 Salt Lake City Corporation Schedule of Expenditures of Federal Awards Year Ended June 30, 2024 Pass-through Federal Financial Entity Amounts Passed- Assistance Identifying Through to Listing Number Expenditures Subrecipients Environmental Protection Agency Climate Pollution Reduction Grants 66.046 N/A 122,226 122,226 Water Infrastructure Finance and Innovation 66.958 N/A 13,112,999 - Total Environmental Protection Agency 13,235,225 122,226 Department of Health and Human Services 477 Cluster Passed through from Utah Department of Workforce Services Temporary Assistance for Needy Families 93.558 23-DWS-0306 316,582 - Temporary Assistance for Needy Families 93.558 24-DWS-0191 323,827 - Temporary Assistance for Needy Families 93.558 24-DWS-0205 344,519 - Total Temporary Assistance for Needy Families 984,928 - Child Care and Development Block Grant 93.575 23-DWS-0061 36,214 - Child Care and Development Block Grant 93.575 23-DWS-0251 381,583 - Total Child Care and Development Block Grant 417,797 - Total 477 Cluster 1,402,725 - Office of Refugee Resettlement 93.566 23-DWS-0350 56,568 56,568 Total Department of Health and Human Services 1,459,293 56,568 Federal Grantor/Pass-ThroughGrantor/Program or Cluster Title See Notes to Schedule of Expenditures of Federal Awards 13 Salt Lake City Corporation Schedule of Expenditures of Federal Awards Year Ended June 30, 2024 Pass-through Federal Financial Entity Amounts Passed- Assistance Identifying Through to Listing Number Expenditures Subrecipients Executive Office of the President High Intensity Drug Trafficking Areas Program 95.001 N/A 544246 0 Total Executive Office of the President 544,246 - Department of Homeland Security Passed through Utah Department of Public Safety Emergency Management Performance Grants 97.042 DEM-EMPG-2022-021 37,126 37,126 Passed through Federal Emergency Management Agency Assistance to Firefighters Grant 97.044 2022-FP-00071 57,558 - Passed through Utah Department of Public Safety Pre-Disaster Mitigation 97.047 EMD-2019-PC-0006 829,495 829,495 Pre-Disaster Mitigation 97.047 PDMC-PJ-08-UT-2018-001 273,527 273,527 Pre-Disaster Mitigation 97.047 PDMC-PJ-08-UT-2019-016 1,778 - Total Pre-Disaster Mitigation 1,104,800 1,103,022 National Explosives Detection Canine Team Program 97.072 N/A 84,167 - Law Enforcement Personnel Reimbursement Agreement 97.090 N/A 132,676 - Total Department of Homeland Security 1,416,327 1,140,148 Total Federal Financial Assistance 133,433,924$ 7,617,033$ Federal Grantor/Pass-Through Grantor/Program or Cluster Title 14 Salt Lake City Corporation Notes to Schedule of Expenditures of Federal Awards Year Ended June 30, 2024 Note 1 – Basis of Presentation The accompanying schedule of expenditures of federal awards (the schedule) includes the federal award activity of Salt Lake City Corporation under programs of the federal government for the year ended June 30, 2024. The information is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of Salt Lake City Corporation, it is not intended to and does not present the financial position, changes in net position or fund balance, or cash flows of Salt Lake City Corporation. Note 2 – Summary of Significant Accounting Policies Expenditures reported in the schedule are reported on the modified accrual basis of accounting, except for subrecipient expenditures, which are recorded on the cash basis. When applicable, such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Note 3 – Indirect Cost Rate Salt Lake City Corporation has not elected to use the 10% de minimis cost rate. Note 4 – Loan Programs Expenditures reported under the Water Infrastructure Finance and Innovation program in the schedule consist of the beginning of the year outstanding loan balance plus advances made on the loan during the year. The outstanding balance at June 30, 2024 was $13,112,999. 15 Salt Lake City Corporation Schedule of Findings and Questioned Costs Year Ended June 30, 2024 Section I – Summary of Auditor’s Results FINANCIAL STATEMENTS Type of auditor's report issued Unmodified Internal control over financial reporting: Material weaknesses identified YesSignificant deficiencies identified not considered to be material weaknesses None Reported Noncompliance material to financial statements noted?No FEDERAL AWARDS Internal control over major program: Material weaknesses identified NoSignificant deficiencies identified not considered to be material weaknesses None Reported Type of auditor's report issued on compliance for major programs:Unmodified Any audit findings disclosed that are required to be reported in accordance with Uniform Guidance 2 CFR 200.516 No Identification of major programs: Federal Financial Assistance Listing Airport Improvement Program 20.106Coronavirus State and Local Fiscal Recovery Fund 21.027Community Development Block Grants 14.218 Dollar threshold used to distinguish between type A and type B programs $3,000,000 Auditee qualified as low-risk auditee?No Name of Federal Program 16 Salt Lake City Corporation Schedule of Findings and Questioned Costs Year Ended June 30, 2024 Section II – Financial Statement Findings 2024-001 Account Reconciliation Material Weakness in Internal Control Criteria: Salt Lake City Corporation and its management are responsible for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement in accordance with accounting principles generally accepted in the United States, whether due to fraud or error. Condition: During the audit we identified multiple account types which were not reconciled in a timely manner and had the possibility of being materially misstated within the financial statements. The materially affected account types include cash, investments, capital assets, and revenues. Additionally, audit adjustments were proposed that impacted accrued compensation, compensation expense, investments, investment income, notes receivable, charges and services expenses, and grants revenue. Cause: Multiple schedules supporting financial statement balances contained errors leading to inaccurate financial reporting. These issues were not reconciled or reviewed by an appropriate individual prior to the initial financial close or during the financial statement preparation process. The reconciliation process was significantly delayed in the current year due to a change in the Salt Lake City Corporation’s financial reporting system, causing the need for new or modified reconciliation procedures. Effect: If the audit adjustments had not been made, or additional reconciliation procedures were not performed, the financial statements could have material misstatements. Recommendation: We recommend that management review the process and timing of reconciliation of year end items and continue to improve account reconciliation and review as the Salt Lake City Corporation’s employees become more familiar with the new accounting software. Views of Responsible Officials: 2024-002 Preparation of the Schedule of Expenditures of Federal Awards Material Weakness in Internal Control Over Preparation of the Schedule of Expenditures of Federal Awards Criteria: Title 2 Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires the City to prepare a Schedule of Expenditures of Federal Awards (SEFA) that includes all of the federal awards expended during the year. 17 Salt Lake City Corporation Schedule of Findings and Questioned Costs Year Ended June 30, 2024 Condition: The original SEFA provided to the auditors for major program determination was incorrect for two programs. The Community Development Block Grant awards were originally reported on the cash-basis of accounting on the SEFA. Additionally, the SEFA did not include the loan received under the WIFIA program. Cause: The City’s internal controls related to preparation of the SEFA did not result in proper recording of the two programs. Effect: The original SEFA provided a balance for CDBG that was materially different from the correct amount. When this was corrected, the CDBG program was determined to be a Type A programs, and CDBG was required to be tested as a major program. The major program determination would have been incorrect. Recommendation: We recommend that the City enhance internal controls to ensure all program expenditures are appropriately reported on the SEFA. Views of Responsible Officials: Management agrees with the finding. Section III – State of Utah Compliance Findings 2024-003 Cash Management Material Instance of Noncompliance with State Compliance Requirements Criteria: Under UCA 51-7-15(3) the City is required to file the Deposit and Investment Report with the Money Management Council on or before January 31 or July 31 each year. The report should contain information about information about the deposits and investments of Salt Lake City Corporation during the preceding six months and should include all deposit and investment accounts held by Salt Lake City Corporation. Condition: The year-end report did not contain all required deposit and investment accounts, contained duplicate amounts, and was materially incorrect. The report was also filed after the due date on August 1, 2024. Cause: The City’s internal controls related to preparation of the report did not result in proper recording of all deposit and investment accounts. Effect: The City was not in compliance with UCA 51-7-15(3) in relation to accurate and timely filing of the Deposit and Investment Report. Recommendation: We recommend that the City review its processes for producing accurate and timely Deposit and Investment Reports. Views of Responsible Officials: Management agrees with the finding. 18 Salt Lake City Corporation Schedule of Findings and Questioned Costs Year Ended June 30, 2024 2024-004 Budgetary Compliance Material Instance of Noncompliance with State Compliance Requirements Criteria: Under UCA 10-6-147 and UCA 10-6-148, the City is required to prepare quarterly financial reports that are reviewed by the governing body. Condition: No quarterly reports were produced by Salt Lake City Corp during the fiscal year ended June 30, 2024. Cause: The City’s process for producing the quarterly reports was hindered by the transition in accounting software during the year. Effect: The City was not in compliance with UCA 10-6-147 and UCA 10-6-148 in relation to producing quarterly financial reports. Recommendation: We recommend that the City review its processes for timely producing of the quarterly financial reports. Views of Responsible Officials: Management agrees with the finding. Section IV – Federal Award Findings and Questioned Costs None This page has intentionally been left blank SALT LAKE CITY TRANSMITTAL To: Salt Lake City Council Chair Submission Date: 02/11/2025 Date Sent to Council: 02/11/2025 From: Department * Finance Employee Name: Najarro, Andrea E-mail andrea.najarro@slc.gov Department Director Signature Director Signed Date 02/11/2025 Chief Administrator Officer's Signature Chief Administrator Officer's Signed Date 02/11/2025 Subject: State of Utah Fraud Risk Assessment for FY25 Additional Staff Contact: Mary Beth Thompson - marybeth.thompson@slc.govSuzanneSwanson - suzanne.swanson@slc.gov Presenters/Staff Table Mary Beth Thompson - marybeth.thompson@slc.govSuzanneSwanson - suzanne.swanson@slc.gov Document Type Information Item Budget Impact? Yes No Recommendation: We recommend the Council receive a briefing from the Administration on the FY25 State of Utah Fraud Risk Assessment. Background/Discussion Please see the attachments. Will there need to be a public hearing for this item?* Yes No Public Process N/A This page has intentionally been left blank Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes No 375 Salt Lake City Corporation June 30, 2025 02/11/2025 Rachel Otto Mary Beth Thompson Rachel Otto (Feb 11, 2025 11:59 MST) Rachel Otto X X X X X X X X X X X X This page has intentionally been left blank Fraud Risk Assessment FY25 Final Audit Report 2025-02-11 Created:2025-02-11 By:Andrea Najarro (andrea.najarro@slc.gov) Status:Signed Transaction ID:CBJCHBCAABAAHrQaa_COdG3_JWZnwO9PWJJrIQ7O7LYd Fraud Risk Assessment FY25" History Document created by Andrea Najarro (andrea.najarro@slc.gov) 2025-02-11 - 6:36:36 PM GMT Document emailed to Mary Beth Thompson (marybeth.thompson@slc.gov) for signature 2025-02-11 - 6:38:24 PM GMT Document emailed to rachel.otto@slc.gov for signature 2025-02-11 - 6:38:24 PM GMT Email viewed by Mary Beth Thompson (marybeth.thompson@slc.gov) 2025-02-11 - 6:58:02 PM GMT Document e-signed by Mary Beth Thompson (marybeth.thompson@slc.gov) Signature Date: 2025-02-11 - 6:58:15 PM GMT - Time Source: server Email viewed by rachel.otto@slc.gov 2025-02-11 - 6:59:25 PM GMT Signer rachel.otto@slc.gov entered name at signing as Rachel Otto 2025-02-11 - 6:59:49 PM GMT Document e-signed by Rachel Otto (rachel.otto@slc.gov) Signature Date: 2025-02-11 - 6:59:51 PM GMT - Time Source: server Agreement completed. 2025-02-11 - 6:59:51 PM GMT This page has intentionally been left blank The City’s Parental Leave policy has been updated to include two distinct leave opportunities; Recovery Leave and Bonding Leave. Each form of leave is designed to meet specific needs of an eligible employee. In addition to new leave options, SDI (Short-term Disability Insurance) will no longer be required as part of the parental leave process. Consideration was given to the impact and benefit for both the employee and the employer in the final policy changes. Key points of the new policy: •What previously was known as parental leave is now Recovery Leave and is made available only to a birthing parent who may take up to six (6) consecutive weeks and begins at the birth of their child. •(New) Bonding Leave may now be taken on an intermittent basis. Coordination with an employee’s department will be needed to ensure operational needs are met. Bonding Leave is addressed in hours because of the new way in which it may be utilized. o A birthing parent may take an additional 240 hours (336 hours for Fire Operations employees) of Bonding Leave per rolling 12-month period in addition to Recovery Leave. o Non-birthing parents (including employees who become parents through legal adoption, court-ordered foster care or court-ordered guardianship) may take up to 240 hours (336 for Fire Operations employees) of Bonding Leave per rolling 12-month period. •(New) Bonding leave may be taken any time but must be completed by the first anniversary of the child’s birth or date of placement in the employee’s home. •The effective date of the new policy will be July 7, 2024. Considerations: •The new extended leave for a birthing parent allows a longer period to recover and bond with a child and is competitive with other organizations. Because only a birthing parent is eligible for the full 12 weeks of leave, the financial impact on departments will be minimal. Financial impact is further mitigated by the ability to use the benefit on an intermittent basis. •The ability to take Bonding Leave on an intermittent basis for both a birthing parent and a non-birthing parent, introduces flexibility and convenience. Birthing parents expressed a desire to return to work part-time which is now possible. Additionally, both birthing and non-birthing parents are now able to use flexible hours however best meets their needs. •Bonding Leave does not need to be taken immediately upon a child’s birth or placement in an employee’s home. This allows greater flexibility and individuality in how and when an employee uses their leave. •(Retroactive benefit) a birthing parent who gave birth after July 7, 2024, will be allowed to utilize six (6) weeks of Bonding Leave. Bonding Leave will not be retroactively provided to non-birthing parents since the allowed leave time is the same, has already been used, and cannot be altered to accommodate an intermittent schedule. •A birthing and/or non-birthing Parent currently out on Parental Leave can contact the Benefit’s Department to discuss options. I.Parental Leave There are two forms of Parental Leave: Recovery Leave, which is available only for a parent who has physically given birth to a child (i.e. a birthing parent), and Bonding Leave, which is available for both birthing parents and non-birthing parents. Like vacation or personal leave, Parental Leave only provides base wage income replacement for the duration of the leave period. The Family and Medical Leave Act (FMLA), and not Parental Leave, provides job protection on behalf of the employee for the duration of the leave period. If an employee does not qualify for FMLA, they may request job protection by applying for a leave of absence from their department director. Eligibility: To be eligible for Parental Leave an employee must: a. Be a full-time employee and eligible to enroll in the City’s health benefit program; and b. Become a parent through birth, legal adoption, court-ordered foster care placement or court- ordered guardianship. The following conditions apply to the use of Parental Leave: a. Parental Leave begins on the date of the child’s birth; or, in the case of legal adoption, court- ordered foster care placement or court-ordered guardianship, the date the child is placed in the employee’s home. b. Parental Leave may be taken during an employee’s probationary period. The employee’s probationary period will be extended by an amount of time equal to the Parental Leave taken. c. Parental Leave will run concurrently (at the same time) with FMLA leave. An employee on parental leave is not required to utilize Short-Term Disability (SDI) concurrently with Parental Leave. d. FMLA requires 30-days advance notice for foreseeable events, including the birth or placement of a child. Employees seeking Parental Leave are required to inform the HR leave team of the need for Parental Leave and provide applicable documentation and paperwork. Parental Leave for a birthing parent: a. A birthing parent may take up to six (6) consecutive weeks of Recovery Leave for physical recovery. Recovery Leave begins on the date of the child’s birth and must be taken continuously (all at once). A return to work, regardless of the time spent on Recovery Leave or the time spent back at work, will end the Recovery Leave. b. A birthing parent may take an additional 240 hours (336 hours for Fire Operations employees) of Bonding Leave per rolling 12-month period to bond with, and care for, the child. Bonding Leave may be taken on an intermittent basis but is subject to department approval to balance operational needs. c. Birthing parents may utilize both Recovery Leave and Bonding Leave. d. Bonding Leave may be taken at any time but must be completed by the first anniversary of the child’s birth. Parental Leave for a non-birthing parent: a. A non-birthing parent may take up to 240 hours (336 hours for Fire Operations employees) of Bonding Leave per rolling 12-month period to bond with, and care for, the child. Bonding Leave may be taken on an intermittent basis but is subject to department approval to balance operational needs. b. Bonding Leave may be taken at any time but must be completed by the first anniversary of the child’s birth. Parental Leave for employees who become parents through legal adoption, court- ordered foster care or court-ordered guardianship: a. The non-birthing parent may take up to 240 hours (336 hours for Fire Operations employees) of Bonding Leave per rolling 12-month period to bond with, and care for, the child. Bonding Leave may be taken on an intermittent basis but is subject to department approval to balance department operational needs. b. Bonding Leave may be taken at any time but must be completed by the first anniversary of the date the child is placed in the employee’s home. SALT LAKE CITY TRANSMITTAL To: Salt Lake City Council Chair Submission Date: 02/12/2025 Date Sent to Council: 02/12/2025 From: Department * Mayor Employee Name: Jill Love E-mail jill.love@slc.gov Department Director Signature Director Signed Date 02/12/2025 Chief Administrator Officer's Signature Chief Administrator Officer's Signed Date 02/12/2025 Subject: Administration Appointment Recommendation: Mark Kittrell as the City Attorney. Additional Staff Contact: Alejandro Sanchez - alejandro.sanchez@slc.gov Presenters/Staff Table Document Type Information Item Budget Impact? Yes No Recommendation: The administration recommends the city council consider the following advice and consent to appoint Mark Kittrell as the City Attorney – Attorney’s Office. Background/Discussion Currently, Mark is filling the position of City Attorney in an acting capacity, in this role and in the time. He has served in the City Attorney’s office. Mark has demonstrated a strong skill set as a legal advisor and has proven to have excellent leadership skills. Mark brings nearly 28 years of legal experience spanning both the public and private sectors, with 18 years dedicated to professional civil law. Of those, he spent a decade serving the City, where he played a pivotal role in advancing its interests, achieving its goals, resolving complex issues, and advocating for effective solutions. His work also required a deep understanding of the separation of powers between governmental branches, ensuring balanced and efficient governance. Significant roles he has filled include advising police, public utilities, and being the Deputy City Attorney since January of 2020; and lastly, he has been the Acting City Attorney since December 2024. We are delighted to include Mark’s resume redacted to exclude personal information for your consent to install him as the City Attorney. Will there need to be a public hearing for this item?* Yes No Public Process This page has intentionally been left blank MARK E. KITTRELL EXPERIENCE SALT LAKE CITY ATTORNEY’S OFFICE MAY 2014 – PRESENT SALT LAKE CITY, UTAH Acting City Attorney •Serve, in an acting role, as the Chief Legal Officer for Salt Lake City Corporation •Manage and lead a team of 45 among the Attorney’s Office various divisions •Advise both branches of government on a variety of legal issues impacting the City •Responsible for all legal matters for the City •Draft and advocate for legislation and ordinances to advance the City’s goals •Manage, advise, protect, and defend the City in litigation matters •Negotiate and draft contracts with private and public entities to protect the City’s interests •Experience with successfully navigating high profile legal matters •Establish and maintain positive working relationships with other governmental partners •Gained significant knowledge of City processes and interests by serving as Deputy City Attorney (5 years), counsel to the Department of Public Utilities (2.5 years), and counsel to the Salt Lake City Police Department (8 years) FABIAN & CLENDENIN (NKA FABIAN VANCOTT) SEPT 2007 – MAY 2014 SALT LAKE CITY, UTAH Shareholder Handled various matters involving all aspects of complex civil litigation, which included representing clients in pre-litigation discussions, discovery, pre-trial motions, and trial Conducted internal investigations of corporations to ensure legal compliance with state and federal laws Drafted and negotiated various contractual agreements Co-managed a team of attorneys in a document review project involving over a half-million documents where firm defended a client in a $30 million civil suit Served as lead counsel on complex white-collar matters, felonies, and misdemeanors in federal, state, and municipal courts Appointed as a Criminal Justice Act panel attorney for federal criminal matters Served on Fabian’s Hiring and Recruitment Committee to target and hire candidates with non- traditional backgrounds SALT LAKE LEGAL DEFENDER ASSOCIATION JUNE 2004 – SEPT 2007 SALT LAKE CITY, UTAH Trial Attorney Represented criminal defendants on felony and misdemeanor matters in Salt Lake County’s Third District Courts, Salt Lake City Justice Court, and Salt Lake County Justice Court Trained and mentored younger attorneys in trial and motion practice Prepared hundreds of cases for trial and tried 14 cases to jury verdicts THE CHAMBERS OF THE HON. JAMES Z. DAVIS MAY 2003 – JUNE 2004 UTAH COURT OF APPEALS SALT LAKE CITY, UTAH Law Clerk Researched and advised Judge Davis about legal issues raised in civil and criminal appeals Drafted bench memoranda for Judge Davis’s opinions and memorandum decisions Prepare Judge Davis and co-clerk for oral arguments MARK E. KITTRELL EDUCATION ARTICLES & PRESENTATIONS PROFESSIONAL COMMUNITY PERSONAL UNIVERSITY OF UTAH AUG 2000 – MAY 2003 S.J. QUINNEY COLLEGE OF LAW SALT LAKE CITY, UTAH Juris Doctor Degree, May 2003 Teaching Assistant, Legal Methods Articles Editor and Staff Member, Journal of Law and Family Studies Awarded Utah Minority Bar Association’s Diversity Scholarship Awarded S.J. Quinney College of Law’s Minority Law Caucus Scholarship Awarded the Diversity in Law Fellowship from the S.J. Quinney College of Law NORTHWESTERN UNIVERSITY SEPT 1994 – JUNE 1998 SCHOOL OF COMMUNICATION EVANSTON, ILL. Bachelor of Science Degree, June 1998 Major in Communication Studies (Concentration in Political Rhetoric) Minor in Political Science CLE Presentation: Utah’s Medical Cannabis Bill: If You’re Dazed and Confused, You’re Not Alone (2019) CLE Presentation: Adventures in GRAMA Land (2018) CLE Presentation: GRAMA Should Not Involve Adversarial Combat, But What Happens When It Does? (2018) CLE Presentation: Riley v. California: The Supreme Court Enters the Digital Age (2015) Cost Effectively Resolving MSHA Citations, Utah Enterprise (Mining Focus Edition, 2013) (co- authored with Jason Hardin) Presentation: Crisis Management: the ABCs of Conducting an Internal Investigation Following Executive or Employee Misconduct, Fabian 2012 Business Law Update Presentation Defining the Boundaries of Race: Love on Trial, 4 J. L. & Fam. Stud. 331 (2002) Member, Utah State Bar Past President of the Salt Lake County Bar Association Member, Utah Minority Bar Association and the Energy, Natural Resources & Environmental Law Section Utah Business Magazine Legal Elite (2008-2013) SuperLawyers Mountain States Rising Star (2011-2013) Graduate, Gerry Spence’s Western Trial Advocacy Institute Past Member, S.J. Quinney College of Law Young Alumni Association Past Vice President and Board Member, Sugar House Park Authority (served as de facto legal counsel for the Park Authority and drafted contracts and agreements with other entities) Past Chair, Salt Lake County Justice Court Nominating Commission Past Fabian Representative, Tuesday Night Bar Legal Clinic Past Volunteer Attorney, Small Business Clinic at the S.J. Quinney College of Law •Cooking, Sneakers, Attending Concerts This page has intentionally been left blank ERIN MENDENHALL Mayor OFFICE OF THE MAYOR P.O. BOX 145474 451 SOUTH STATE STREET, ROOM 306 SALT LAKE CITY, UT 84114-5474 WWW.SLCMAYOR.COM TEL 801-535-7704 CITY COUNCIL TRANSMITTAL ______________________________ Date Received: 2/10/2025 Rachel Otto, Chief of Staff Date Sent to Council: 2/10/2025 TO: Salt Lake City Council DATE: 2/10/2025 Chris Wharton, Chair FROM: Rachel Otto, Chief of Staff Office of the Mayor SUBJECT: Board Appointment Recommendation: Human Rights Commission STAFF CONTACT: April Patterson april.patterson@slc.gov DOCUMENT TYPE: Board Appointment Recommendation: Human Rights Commission RECOMMENDATION: The Administration recommends the Council consider the recommendation in the attached letter from the Mayor and appoint Channae Haller a member of the Board Appointment Recommendation: Human Rights Commission ERIN MENDENHALL Mayor OFFICE OF THE MAYOR P.O. BOX 145474 451 SOUTH STATE STREET, ROOM 306 SALT LAKE CITY, UT 84114-5474 WWW.SLCMAYOR.COM TEL 801-535-7704 February 10, 2025 Salt Lake City Council 451 S State Street Room 304 PO Box 145476 Salt Lake City, UT 84114 Dear Council Member Wharton, Listed below is my recommendation for the membership appointment for the Board Appointment Recommendation: Human Rights Commission Channae Haller to be appointed for a four year term starting from date of City Council advice and consent and ending on Monday, December 31, 2029. I respectfully ask for your consideration and support for this appointment. Respectfully, Erin Mendenhall, Mayor City Council Announcements February 18, 2025 Information Needed: A. Utah Association of Municipal Councils Meetings The Utah Association of Municipal Councils (AMC) is an opportunity for City Council members across municipalities to connect, share experiences, and bring valuable insights back to their Councils. Meetings are held on the 3rd Thursday of every other month starting February 20th at Murray City Hall. ➢Would a Council Member like to represent the Council in these meetings?