Utah Auditor Tina Cannon published a report Aug. 5 about the risk of “collusion, bias and favoritism” in the small Wasatch County town of Interlaken.
At a council meeting Aug. 11, Mayor Greg Harrigan focused on what the auditor did not find.
“After seven months of investigating us, which cost the town thousands of dollars in administration and legal fees, they issued their final report, and — drum roll — there was no finding of excessive pay or favoritism,” he said.
The auditor did, however, find that the 180-person town failed to follow state law when hiring its administrator and public works manager. The audit also revealed problems with how Interlaken manages infrastructure repair and other maintenance needs.
Harrigan spoke specifically about the whistleblower, who submitted a hotline complaint to the auditor in June 2025.
“Not trying to be tatty here, but it’s pretty unfortunate that this individual, instead of going to the town and saying, ‘Hey, I think you’re doing this wrong, and you should really do it like this,’ decided to just, you know, go tattletale to the state to try to get us in trouble,” he said.
The whistleblower’s tip kicked off a monthslong inquiry into the town north of Midway.
“Unfortunately, I don’t see him online,” Harrigan said. “I wished he was here so he could speak to his reporting, but he’s not here.”
Cannon’s office found improper hiring practices and possible violations of federal tax law in the town.
“I think it’s, you know, it’s unfortunate,” Harrigan said. “It’s a waste of — but it is what it is, and we’re, you know? Anybody, thoughts, questions, comments? Nobody?”
Town councilmembers did not comment on the auditor’s report during the meeting.
Harrigan says he thinks Interlaken is “more transparent about [its] finances than many other towns.”
Cannon’s report focused on town administrator Bart Smith and public works manager Derek Becker, both of whom are classified as contractors rather than employees. The auditor said based on the scope of their roles, the town could face “significant employment tax implications.”
Harrigan says the town is working with attorneys on its legal justification for not changing those two people’s classifications.
“The chance [is] that we’ll have to adjust how we classify Bart,” he said. “We think we have a workaround with Derek. Steve Connor brought it up during public comment, the fact that if you pay an LLC as opposed to an individual.”
Connor is a resident who spoke up during the meeting.
Harrigan says having contractors instead of employees saves the town thousands of dollars every year.
He previously told KPCW Interlaken needs at least 90 days to create a procurement policy. It will also rebid the contracts for the administrator and public works manager, plus a separate contract for excavation and utilities.
