No one finds the city controller's Comprehensive Annual Financial Report very sexy, but the items it scrutinizes -- Pittsburgh's budget and spending patterns -- touch on a subject of universal interest: taxes.

Controller Michael Lamb released his first CAFR last week. He noted some impressive findings -- a surplus of $89 million and slightly higher spending despite the city's official status as fiscally distressed.

But this is no time for a chorus of "We're in the Money." Mr. Lamb cautioned that the city has to confront problems with long-term debt, a pension system only 42 percent funded and costly workers' compensation.

The report came with no gold-plated solutions, but the controller recommended actions that city officials need to pursue, like tougher enforcement of tax collection and more lucrative government consolidations. "From here on out, expenses are going to rise unless we do something significant," Mr. Lamb said.

He also warned that while the city's debt has slipped to $764 million, the combined debt of its redevelopment, stadium, parking and water authorities is $845 million. The next day, the water authority borrowed another $100 million. Not good.

The mayor and City Council should delve into this dry audit and heed the controller's advice. There's nothing sexy about raising taxes.