“WE ARE FLAT BROKE,” Mayor Mark Marin announced in his State of the City address at Loyalton City Council April 20th. He stated the Council is fighting six contractor cases not hired by the City Council with no contractor licenses and he’d met with the State Board. He told of seven cases and six contractors working illegally. He went on to tell how the City streets were falling apart with no money to take care of them. He mentioned sewer litigation on Beckwourth Street and at the wastewater plant and hoping to win litigation. Councilman Brooks Mitchell stated there’s a settlement conference on May 23rd. Each time the settlement amount goes up, Brooks said, with a number “to make the city whole.”
The mayor continued on about further litigation with public retirement the City owes for $1.6 million. Council member Pat Whitley stated there’s “no litigation.” She said they’re not suing and Brooks added negotiations are still going.
Mark ranted the audit is “off the wall.” He told how nothing had changed from last year. He continued on the electric bill issue at the new city hall with the city not getting the bill. He said the water system is a mess with pipes breaking and water running through riveted boiler pipe, the main line feeding the city. The city is in negotiations for a grant yet may not get it with the audit.
Pat stated there are only two material weaknesses, one ongoing.
Mark asked County Treasurer/Tax Collector Van Maddox to come forward. Van explained the most critical items in the audit are repeated from prior years. Most serious, he stated, is not having an accounting system. He stressed the core is no accounting system with no one who knows full blown fund accounting and system. He quoted probably $50,000 and suggested “a lot of clean up; a couple years and two clean audits in a row.” If not addressed, Van stated it may affect grants and Mark told of trying to get a grant for a new well.
The $50,000 figure brought surprise. At the April 12th special meeting, Pat, who is over protective on contingencies, suggested they use $10,000 on the fund accounting.
Councilman Ernie Teague told how he’s been on the council four years but knew there was no money and yet they’d spent tens of thousands of dollars and he didn’t think they should spend.
Pat said it would be “nice if people voted no on things.”
John Cussins was not present and wastewater and water system discussion was tabled a third time.
The mayor continued on about further litigation with public retirement the City owes for $1.6 million. Council member Pat Whitley stated there’s “no litigation.” She said they’re not suing and Brooks added negotiations are still going.
Mark ranted the audit is “off the wall.” He told how nothing had changed from last year. He continued on the electric bill issue at the new city hall with the city not getting the bill. He said the water system is a mess with pipes breaking and water running through riveted boiler pipe, the main line feeding the city. The city is in negotiations for a grant yet may not get it with the audit.
Pat stated there are only two material weaknesses, one ongoing.
Mark asked County Treasurer/Tax Collector Van Maddox to come forward. Van explained the most critical items in the audit are repeated from prior years. Most serious, he stated, is not having an accounting system. He stressed the core is no accounting system with no one who knows full blown fund accounting and system. He quoted probably $50,000 and suggested “a lot of clean up; a couple years and two clean audits in a row.” If not addressed, Van stated it may affect grants and Mark told of trying to get a grant for a new well.
The $50,000 figure brought surprise. At the April 12th special meeting, Pat, who is over protective on contingencies, suggested they use $10,000 on the fund accounting.
Councilman Ernie Teague told how he’s been on the council four years but knew there was no money and yet they’d spent tens of thousands of dollars and he didn’t think they should spend.
Pat said it would be “nice if people voted no on things.”
John Cussins was not present and wastewater and water system discussion was tabled a third time.
