Typo Creates $1.7 Million Deficit
Of all the revelations at Thursday’s budget session, none was more disconcerting than a typo by the city’s longtime auditors that mistakenly added an extra $1.7 million in revenues on the official budget statement sent to the state.
A “payment in lieu of taxes” figure for the Allen Young Apartments should have been $184,266.20 for the 2009 fiscal year, but an extra numeral pumped it up to $1,847,266.20 in anticipated revenues. The difference over last year then became $1,661,266.20.
At the meeting, City Administrator Marc Dashield said the city is in talks with the auditors, but later Dashield called this writer at home to explain that the difference will not be a deficit in revenues because the city will make adjustments so that there will be no impact on taxpayers.
According to the summary of revenues handed out at the meeting, there is a 13.103 percent drop and a $3.6 shortfall since last year even including the mistaken amount. That would indicate that the amended deficit will be more like in excess of $5 million to be made up.
Thursday’s session also included news of a plan to collapse the city’s troubled Public Information division in favor of having the web site, television channel and other information services placed under a proposed new director of technology. The public information officer’s post will be phased out, leaving just one employee in communications. The transition may begin in January.
Part of the reason for requiring a director of technology is that a shared services agreement with the Board of Education expired in August and talks as recent as the last few weeks did not result in another agreement, Dashield said.
“We’re now at the point that we know it’s not going to work,” he said.
“Do it on your own,” Councilman William Reid advised, citing “turf issues” that often come up with shared service agreements.
Councilman Cory Storch disagreed with Reid on shared services and noted that the school district is now “far ahead” on technology, saying the city has really “misfired” on getting started.
Storch also said it didn’t make him feel confident to find out just that night that the plan didn’t work.
Councilman Rashid Burney echoed Storch’s displeasure and said he felt the same about plans for Dudley House that were just unveiled Thursday.
“I don’t think it’s the right way to do things,” Burney said.
Dudley House, a residential substance abuse treatment center for men, was nearly shut down last year due to lack of compliance with state licensing requirements. Clients crowded several City Council sessions to plead for the program’s continuation, calling it a lifesaver. The issue was the city-owned building’s lack of compliance with the Americans with Disabilities Act. Volunteers offered to construct a needed ramp and to make other improvements. The presentation Thursday included a checklist of violations and timelines for remediation.
But council members objected to having the city run such a program and called for a non-profit entity to take over, with relocation so the city-owned property on Putnam Avenue could be returned to the tax rolls. The council asked the administration to come up with a transition plan for the future.
Only about six of the 16-member budget advisory committee members attended Thursday’s session. On Wednesday, the Police and Fire divisions were to be heard, but because Council President Harold Gibson announced a halt to the meeting at 8:30 due to the presidential debate, Fire Chief Cecil Allen and other Fire Division representatives did not have a chance to speak. The session was supposed to go from 7:30 to 10 p.m.
Anticipating a very short regular City Council meeting at 8 p.m. Monday, the council agreed to tack on a budget session at Municipal Court, 325 Watchung Ave. More dates may be added in November.
Citizens may ask in the City Clerk’s office in City Hall, 515 Watchung Avenue, to view both the official budget statement for FY 2009 as well as the big budget binder that lists salaries and wages and other expenses for each department and division within city government.
--Bernice Paglia
A “payment in lieu of taxes” figure for the Allen Young Apartments should have been $184,266.20 for the 2009 fiscal year, but an extra numeral pumped it up to $1,847,266.20 in anticipated revenues. The difference over last year then became $1,661,266.20.
At the meeting, City Administrator Marc Dashield said the city is in talks with the auditors, but later Dashield called this writer at home to explain that the difference will not be a deficit in revenues because the city will make adjustments so that there will be no impact on taxpayers.
According to the summary of revenues handed out at the meeting, there is a 13.103 percent drop and a $3.6 shortfall since last year even including the mistaken amount. That would indicate that the amended deficit will be more like in excess of $5 million to be made up.
Thursday’s session also included news of a plan to collapse the city’s troubled Public Information division in favor of having the web site, television channel and other information services placed under a proposed new director of technology. The public information officer’s post will be phased out, leaving just one employee in communications. The transition may begin in January.
Part of the reason for requiring a director of technology is that a shared services agreement with the Board of Education expired in August and talks as recent as the last few weeks did not result in another agreement, Dashield said.
“We’re now at the point that we know it’s not going to work,” he said.
“Do it on your own,” Councilman William Reid advised, citing “turf issues” that often come up with shared service agreements.
Councilman Cory Storch disagreed with Reid on shared services and noted that the school district is now “far ahead” on technology, saying the city has really “misfired” on getting started.
Storch also said it didn’t make him feel confident to find out just that night that the plan didn’t work.
Councilman Rashid Burney echoed Storch’s displeasure and said he felt the same about plans for Dudley House that were just unveiled Thursday.
“I don’t think it’s the right way to do things,” Burney said.
Dudley House, a residential substance abuse treatment center for men, was nearly shut down last year due to lack of compliance with state licensing requirements. Clients crowded several City Council sessions to plead for the program’s continuation, calling it a lifesaver. The issue was the city-owned building’s lack of compliance with the Americans with Disabilities Act. Volunteers offered to construct a needed ramp and to make other improvements. The presentation Thursday included a checklist of violations and timelines for remediation.
But council members objected to having the city run such a program and called for a non-profit entity to take over, with relocation so the city-owned property on Putnam Avenue could be returned to the tax rolls. The council asked the administration to come up with a transition plan for the future.
Only about six of the 16-member budget advisory committee members attended Thursday’s session. On Wednesday, the Police and Fire divisions were to be heard, but because Council President Harold Gibson announced a halt to the meeting at 8:30 due to the presidential debate, Fire Chief Cecil Allen and other Fire Division representatives did not have a chance to speak. The session was supposed to go from 7:30 to 10 p.m.
Anticipating a very short regular City Council meeting at 8 p.m. Monday, the council agreed to tack on a budget session at Municipal Court, 325 Watchung Ave. More dates may be added in November.
Citizens may ask in the City Clerk’s office in City Hall, 515 Watchung Avenue, to view both the official budget statement for FY 2009 as well as the big budget binder that lists salaries and wages and other expenses for each department and division within city government.
--Bernice Paglia
posted by Bernice at 11:52 PM
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