Township auditor Kevin Frenia of Holman and Frenia presented audit findings at last week’s meeting of an additional $3.2 million the township will utilize for primary capital improvements.
According to deputy mayor Chris Buoni, once bonds are used for a project, the account should be closed, but the practice “wasn’t done here.”
The money discovered was already paid for, but not spent.
The council needs to cancel the bonds in that category, Buoni said.
“Once you cancel the bond money, the revenue moves into the budget, but needs to be used for capital expenditures,” Buoni said.
According to Buoni, the township will be utilizing the money for a road program.
“Our goal is to build a long-term sustainable [road program] model,” he said. “Instead of waiting for a problem, and instead of reacting to failure, we’ll just be maintaining structure.”
The council does not want to repeat the $40 million spent on sewer upgrades, Buoni said.
“We want to leave behind a long-term sustainable plan so the township has a model it can work on for years to come,” Buoni said.
Additional improvements include upgrading the technology infrastructure township employees are currently working with, which, according to Buoni, runs on Windows 98.
Furthermore, the council would add live streaming video during meetings for residents to watch from home or reference after the fact.
“I’m excited about it. I hope we can get it up soon,” Buoni said. “The idea is not only going to make local government more accessible for people, but running efficient operations.”
The next step is authorizing township manager Chris Schultz to move forward with the projects.
The current financial climate of the township, reviewed by Frenia, was positive especially following an inquiry into the township’s finances last year, Buoni said.
“The township was given a clean bill of health,” Buoni said.
Last year, the township was able to stabilize the budget and grow the surplus from $800,000 to $1.8 million, according to Buoni.
“The surplus is important, because if there’s an unexpected expenditure, we need the surplus,” Buoni said.
According to the deputy mayor, the general operational budget was being funded by one-time revenue sources in 2011.
“We’re not relying on school budget referrals or cell towers. We’ve stabilized the budget through a sound financial plan,” Buoni said. “Frenia commended us on not transferring any money out of the utility budget to the general budget.”
The surplus of the utility budget has since increased $400,000, according to Buoni.
Additionally, the council will explore the possibility of refinancing the utility debt to reduce payment amounts.
The biggest issue stemming from the report, according to Buoni, is adding more staff to the finance department. According to Buoni, Schultz discussed adding people to the finance department to assist Kathy Burger, township chief financial officer, treasurer and municipal clerk, who does an “excellent job, but could use more employees.”
“I think it’s important to be optimistic about the town. People need to feel good about their township. We’re on the right track. It felt good to get that report,” Buoni said.
The next township council meeting is scheduled for Tuesday, Sept. 3 at 7:30 p.m. at the Public Safety Building, 91 Union St.
