Morenci city council 1.16

Written by David Green.

There’s a lot to like in the City of Morenci’s financial picture, said auditor Philip Rubley, but for the third year in a row there’s a deficit in the general fund.

“That’s the bad news of the night,” Rubley said before giving positive reports on other aspects of the city budget.

“You reduced the budget by about $18,000 in the last two years,” he said, “so you’re headed in the right direction.”

Rubley’s audit for the year ending June 30, 2007, found a deficit of $32,776. The city will be required to submit a deficit reduction plan to the state.

Council member Keith Pennington hinted that the situation has improved in the past six months.

“This report is for our fiscal year,” he said. “It does not account for anything we’ve done since June 30.”

The deficit reduction plan should make note of changes since that time, Rubley said.

Rubley noted that 28 percent of the city’s revenue comes from state funds—a figure that varies with the economy.

“I would anticipate that number to go down,” he said. “With costs soaring and revenue decreasing, you’re going to have to really watch it carefully. These are tough times, very tough.”

Rubley was pleased with the condition of the two street funds, particularly the local street fund, the utilities fund and the internal service fund (DPW).

“All of them are in pretty good shape except the general fund,” he said. “That’s the hardest one to get revenue into.”

Rubley gave the city an “unqualified opinion,” the highest rating possible for accounting practices.

He gave council a list of nine comments for consideration, none of which were listed as significant deficiencies. One significant problem is labeled as segregation of duties.

He explained this by saying that no single individual should have control over two or more phases of a financial transaction or operation. Because of the layoff of Suzette Burk last May, the separation of duties between clerk and treasurer no longer exists.

“I’m not saying there’s a problem,” Rubley said. “There’s a potential for a problem. You’ll have to take a closer look at checks and balances.”

He added that he thinks controls are in place to avoid “material problems.”

 

  • Play Practice
    DRAMA—Fayette schools, in conjunction with the Opera House Theater program, will present two plays Friday night at the Fayette Opera House. From the left is Autumn Black, Wyatt Mitchell, Elizabeth Myers, Jonah Perdue, Sam Myers (in the back) and Lauren Dale. Other cast members are Brynn Balmer, Mason Maginn, Ashtyn Dominique, Stephanie Munguia and Sierra Munguia. Jason Stuckey serves as the technician and Trinity Leady is the backstage manager. The plays will be performed during the day Friday for students and for the public at 7 p.m. Friday.
  • Front.F.school
    PROGRESS continues on the agriculture classroom addition at Fayette High School. The project will add 2,900 square feet of space and include an overhead door that would allow equipment to be driven inside. The building should be ready for the start of school in August. Work on ball fields and a running track is also underway.
  • Front.rover
    CLEARING THE WAY—Road crossings in the area on the construction route of the Rover natural gas pipeline are marked with poles and flags as preliminary work nears. Ditches and field entry points are covered with thick planks in many areas to support equipment for tree clearing operations. Actual pipeline construction is progressing across Ohio toward a collecting station near Defiance. That segment of the project is expected to wrap up in July. The 42-inch line through Michigan and into Ontario is scheduled for completion in November. The line is projected to transport 3.25 billion cubic feet of natural gas every day.
  • Front.geese
    ON THE MOVE—Six goslings head out on manuevers with their parents in an area lake. Baby waterfowl are showing up in lakes and ponds throughout the area.
  • Accident
    FAYETTE resident Patricia Stambaugh, 64, was declared dead on the scene of a single-vehicle accident Friday morning south of Morenci. Rescue units were called around 9 a.m., but as of Tuesday, law enforcement officers had not yet determined the time of the accident. According to Ohio State Highway Patrol, Stambaugh was driving west on U.S. 20 when her Chevrolet Malibu traveled off the north side of the road and down a steep embankment, coming to rest in Bean Creek (Tiffin River).
  • Front.teacher Leading
    PRESCHOOL MUSIC—Fayette band director Jeffrey Dunford spends the last half hour of the day leading the full-day preschool class in musical activities. Additional photos are on page 7 of this week’s Observer.
  • Front.poles
    MOVING EAST—Utility workers continue their slow progress east along U.S. 20 south of Morenci. New electrical poles are put in place before wiring is moved into place.
  • Face Paint
    FUN NIGHT FUN—Savanna Miles sits patiently while Abbie White works on a face paint design Friday during the Morenci PTO Fun Night. Gracie Snead watches the progress after having spent time in the chair. Abbie was one of several volunteer painters, each creating their own unique look. Additional photos are on the back page of this week’s Observer.

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