Piqua ended 2025 in better financial shape than it ended 2024. The city’s total net position—the value left after debts and other bills are taken from assets—rose by $4.34 million to $158.62 million. One year earlier, it had fallen by $1.44 million. The city also received an unmodified audit opinion. In plain terms, the auditors found that the financial statements fairly presented the city’s finances under accepted accounting rules.
That is good news. Still, the report has warning lights. Some major operating funds lost ground. Costs rose in public safety, streets, electric service, and water. Two smaller funds ended the year in a deficit. The report also says the city did not follow state budget laws in several funds because approved spending was higher than estimated resources.
The strongest change came in the city’s broad financial results. Governmental activities, such as police, fire, streets, parks, and administration, gained $1.82 million in net position during 2025. Those same activities lost $2.58 million in 2024. The city’s utility and other business activities also improved. Their net position rose by $2.51 million in 2025, compared with a $1.14 million gain in 2024.
Governmental fund balances also moved in the right direction. Together, those funds ended 2025 with $31.84 million, up $1.31 million. In 2024, the combined balance fell by $815,008. Governmental revenues rose by $3.85 million in 2025, while spending rose by $1.30 million. This gave the city more room than it had the year before.
Income-tax revenue rose from $14.53 million to $14.84 million, a 2.1% growth rate. Charges for services also rose. Yet much of the larger gain came from sources that may not repeat each year. Capital grants increased in part because the city closed out the Great Miami River Trail Bridge project. Investment earnings also increased because of market changes. These gains helped 2025, but they should not be treated as sure income for future budgets.
The city also reduced utility-related loans by about $3.7 million, leaving $83.4 million at year-end. Total capital assets grew by $2.73 million. Much of that increase came from heating, cooling, and lighting work at the Municipal Government Complex and Fort Piqua Plaza, along with the trail bridge project.
The General Fund remains large, but its balance fell by $508,757 to $13.59 million. Its unassigned balance—the money with the fewest limits—fell from $11.32 million to $10.76 million. The report says higher costs for administration, capital purchases, and transfers helped cause the drop.
The Safety Fund also lost ground. Its balance fell by $466,844 to $2.34 million. Police and fire spending was almost $3 million higher than revenue before transfers. The General Fund sent in about $2.77 million to help close that gap. Public safety costs also rose by about $849,000 on the city-wide statements, mainly because of pay, benefits, and upkeep of vehicles, equipment, and buildings.
The Street Maintenance Fund fell by $263,471. It spent $282,665 more than it received in 2025. One year earlier, it brought in $1.23 million more than it spent. Street spending jumped from $2.88 million to $4.63 million. Some of that may reflect needed work, but the swing is large enough to deserve a clear explanation.
Utility results were mixed. Electric expenses rose by $5.15 million, partly because of power-plant asbestos work that was mostly grant-funded. Purchased-power costs also rose 6.9 percent. Water expenses rose by $1.41 million because of outside services, an emergency generator repair, and dam consulting. On the city-wide report, electric and water program costs were higher than related program revenue by $622,308 and $328,507.
Two smaller funds also showed deficits: $2.78 million for the Lock 9 Park Improvements Fund and $7,007 for the Scarbrough TIF Fund. The General Fund must provide cash when needed. The city also issued about $3.38 million in new general obligation bonds for building improvements. None of these facts alone show a crisis. Together, they show why strong total numbers should not end the discussion.
One more change matters. The 2025 report adds the Piqua Improvement Corporation as a separate component unit. The auditor warns that this change makes the full 2025 report not directly comparable with prior years. The city’s own main totals are still shown apart from the corporation, but readers should keep the change in mind. This publication will provide a much deeper review of the information provided about the Piqua Improvement Corporation in a future edition of this newsletter.
The fair reading is simple: Piqua had a better year in 2025, but not every part of city government improved. The Commission should ask which revenue gains can be repeated, why three major fund balances fell, how fast utility costs are rising, and how the city will correct its budget-rule problems.
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