Five local municipalities listed delinquent under Oregon auditing rules

The Oregon Secretary of State on Jan. 16 published a statewide list of municipal entities that were delinquent on required financial filings as of December 2025, and five municipalities in the combined Union and Wallowa county area appear on that list. The disclosure puts local governments under renewed scrutiny for meeting the Municipal Audit Law’s reporting requirements and highlights a statewide trend of elevated delinquencies compared with earlier years.

Under the Municipal Audit Law most public entities must submit an independent financial audit. Smaller entities that fall below statutory thresholds may instead file a self-reported statement of exempt expenditures. The filings and audits are intended to ensure fiscal transparency and allow residents, lenders and state officials to assess how public dollars are managed.

Statewide delinquencies remain higher than in prior reporting cycles, a pattern the Secretary of State has called attention to in recent communications urging improved compliance. For Union County residents, that elevated delinquency rate underscores risks to local transparency and can complicate oversight of municipal budgets, bonds and grant-funded projects.

Consequences for failing to meet Municipal Audit Law requirements can include administrative sanctions and restrictions designed to compel compliance. Municipalities that do not file on time are typically given specified opportunities to submit missing audits or exemption statements; persistent failure can lead to further steps by the Secretary of State’s office to enforce reporting obligations. For local officials, the immediate next step is to work with the Secretary of State’s auditors to clear outstanding filings and document corrective actions.

For residents and taxpayers the practical implications are tangible: delayed audits can slow public review of expenditures, complicate financial planning for cities and districts, and interfere with eligibility for certain state or federal funding that depends on current, audited financial records. Local boards and councils that rely on volunteer members and limited staff capacity may face particular strain meeting the deadlines and standards the law requires.

Union and Wallowa county leaders now face a window to address the delinquencies and restore routine reporting. Expect local jurisdictions flagged on the list to announce timelines for filing and to engage with the Secretary of State’s office to resolve outstanding items. For residents, the key takeaway is to follow municipal meeting agendas and budget updates closely this winter; the coming weeks will determine whether these governments can return to regular, transparent financial reporting.