If This is Not a Slush Fund - Please Explain!

by Ron West

The City Budget for the year 2004-2005 contains $4,843,134 for two non-departmental budgets.  This represents over 20% of the total property tax revenue budgeted for this fiscal year.  Of the above amount $3,766,573 is identified as "sundries".  The incumbents up for re-election have not questioned this area and vigorously deny that it is a slush fund.  In the interest of full disclosure, don't you think the following questions would warrant either some answers or at least some further investigation?

RE:  A Report from Mr. Cunningham to the NRH City Council regarding the non-departmental budgets - dated 3/21/05

The following questions are a result of a line by line comparison of Mr. Cunningham's report as compared to the budget approved by the council.

1)    When did the city council approve a transfer from the general fund non-departmental sundries budget to building services that exceeded the approved budget for same by $62,500?    If this was not approved by council action, where is such power to exceed the budget in such amounts granted to Mr. Cunningham?

2)    When did the city council approve a transfer from the utility fund non-departmental sundries budget to building services that exceeded the approved budget for same by $112,500?    If this was not approved by council action, where is such power to exceed the budget in such amounts granted to Mr. Cunningham?

3)    Please explain the $364,000 write off taken out of general fund sundries for ambulance bad debt write off.   This would seem to be a non-cash entry entered as a real expenditure out of "sundries".

4)    Please explain how Mr. Cunningham was allowed to exceed the "sundries" portion of the general fund non-departmental budget by $172,725 per his report to the council.

5)    Please provide information on the disposition of the $503,637 that is unaccounted for in Mr. Cunningham's report to the council on the general fund non-departmental budget.

6)    Please explain what is planned for the "sundries" portion of the utility fund non-departmental budget in the amount of  $272,554 that was not accounted for in Mr. Cunningham's  report to the council.

7)    Please provide information on the disposition of the $672,553 that is unaccounted for in Mr. Cunningham's report to the council on the utility fund non-departmental budget.

The figures in the report do not add up and these are just some of the questions that should be ask of our City Manager.

Similar questions apply to the prior two years as to the accounting for the "sundries" budgeting by NRH City Staff.   Based on the magnitude of these figures for the current accounting year, I would like to think that the Council - regardless of composition - would want a full and complete explanation of the actual disbursements.