During the Winslow City Council meeting last week, Ben Hur of the group Fester and Chapman presented the results of the City’s financial audit for the fiscal year ending June 30, 2021. According to Hur, the City remains in sound financial condition with the major expenditures remaining the same as they move into the next fiscal year. Those are public safety and employee salaries. He did note some deficiencies in the audit.
He said, “We have performed this audit in accordance with generally accepted accounting principles. Our finding was reported as a significant deficiency in internal controls.”
The finding, according to Hur was an issue in misstatements of general ledger accounts that resulted in audit adjustments due to limited staffing in the accounting department. Further, it was reported that the City’s annual financial report was not prepared and submitted within the required due date, also assumed to be due to a staffing shortage.
Hur did report there were no difficulties in performing the audit, nor were there any disagreements from City administrators.
He continued, “The City reported total assets and deferred outflows as $81 million for the fiscal year of 2021. At the same time, the liabilities, and deferred inflows as $27.8 million.”
Therefore, according to Hur, the City’s net position at the conclusion of fiscal year 2021 was $53.7 million, with $39 million of that involved in investment capital, $9.7 million is restricted and $5.1 million is unrestricted.
Revenues for 2021, Hur said, “Were reported as $23 million. About 20% of that is related to charges for services such as fees for water or wastewater. Another 20% came from federal or state resources and the other from City sales tax and state shared revenues.”
In other business, and in the absence of council members Robin Boyd, Samantha Crisp and Peter Cake, the council:
* Received a financial report for the month of April from Finance Director Elias Jouen. Citywide revenues were $2.1 million bringing the year-to-date total to $16 million. Citywide expenditures were $1.4 million bringing the year-to-date total to $15.6 million.
* Heard the status report from City Manager John Barkley. In his report, Barkley noted there would be construction equipment entering and leaving Mike’s Pike Blvd. over the next few weeks as workers break ground on a new residential development in the area.
* Heard a quarterly report from Winslow Fire Chief James Hernandez. In his report, Hernandez said, “This quarter, we spent a lot of time in trainings and testing. We had our hoses tested and attended fire extinguisher training.
* Heard a quarterly report from Northland Pioneer College Friends and Family Director Betsyann Wilson. The fall semester at NPC begins Aug. 22 and Friends and Family has already awarded nearly $37,000 in scholarships with a projected $40,000 more available.
* Approved a bingo license renewal application for American Legion Post 15, located at 1015 N. Kinsley Ave.
* Approved an agreement with Northern Arizona Council of Governments (NACOG) for the administration of the City’s Utility Assistance Program and authorized a budget transfer of American Rescue Plan Act (ARPA) funds. The motion reads, “The finance department administers the billing for utilities (water, sewer, and garbage) and with the moratorium on late fees and shut offs ending, many customers affected financially by the COVID-19 pandemic are unable to pay their outstanding balances. The council will allocate $100,000 from ARPA for assistance with this.
* Approved the cancellation of the regular council meeting scheduled for Aug. 9 due to the Rural Policy Forum.
* Approved an amendment to City ordinance to add language stating, “The driver of a bicycle involved in an accident resulting in injury or death of any person shall immediately give notice of such accident to law enforcement.” Failure to do so can result in a misdemeanor and/or fine up to $2,500.
* Approved amendments to city code as it pertains to planning and zoning. The amendments will allow the City to move from a planning and zoning commission to a zoning hearing officer and establish the position of zoning hearing officer.
* Approved an intergovernmental agreement between the City and the Navajo County Flood Control District (NCFCD) for planning, design and cost sharing of the Little Colorado River Flood Risk Management Project. The purpose is to formalize the roles of participating entities. The NCFCD will act as the non-federal local sponsor for the project and will be responsible for all official communications between the United States Army Corps of Engineers. The City will support the project in financial, legal, and logistical matters.
* Approved a resolution adopting the revised federal transportation administration and the Arizona Department of Transportation (ADOT) plan for the City of Winslow. The Federal Transportation Authority and ADOT requires a set of guidelines regarding limited English proficient persons and this resolution brings the Winslow transportation department into compliance.
The next meeting of the Winslow City Council will be held at 6:30 p.m. on Tuesday, July 12, in the Hubbell Building, located at 523 W. Second St.
