10-09-86 Finance Comm MinutesFINANCE & ADMINISTRATION
OCTOBER 9, 1986
The committee met at 8:00 am., with Mayor Kennedy, Councilmen Palmer, Ruiz
• and Nystul, Police Chief Stefanie, City Attorney Neier, DPW Hammer, C/T
Halver and Roger Hopkins.
Chairman Palmer called the meeting to order and said the meeting was called
to define the responsibility of the Finance Committee when they sign claims,
as well as the responsibility of the City Clerk/Treasurer and Department
heads. He also wanted to define the procedures for handling any
investigation of claims which may appear improper.
Palmer asked what was being looked for in the investigation of the LHC
claims.
City Attorney explained there appeared to be some discrepancy regarding these
claims and the requirement to call for bids. He said he had talked to the
County Attorney's office and wrote an opinion on it and that's about all that
happened.
There was no proposed action against the councilmen signing the claims.
Councilman Nystul explained he had taken the claims to the City. Attorney
because he wanted to know if there was a conflict of the bidding requirement.
He felt DPW Hammer didn't need to be consulted because the City Attorney
could resolve the question.
Councilman Ruiz said he became involved when he was asked about some claims
• by one of the detectives, and once the claims were looked up, they were
self-explanatory. Most of them were on the Ball Park.
Chief Stefanie said it was not a "Police Investigation" but a documentation
of facts and a look to see if there was a problem.
DPW Hammer wondered why there was so much concern over two claims totaling
$13,000 when there was $132,000 spent on Begg Park without any bids.
Councilman Palmer wondered why the Mayor wasn't consulted promptly.
City Attorney Neier said he didn't think the Mayor needed to be informed
until enough facts are developed to determine if there is a problem and that
is what he and the Police Detectives were doing.
Neier said it was not likely the Finance Committee would be held liable from
their action of signing the claim. Their signatures indicate the claim had
been processed through the proper channels and has the necessary information.
Palmer asked what the Department Head's responsibility was.
Neier felt the Department Head was responsible for verifying the goods or
services are received and are a proper charge to the City.
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FINANCE & ADMINISTRATION
OCTOBER 9, 1986
Palmer suggested the Mayor write a memo to department heads explaining their
• responsibilities on reviewing and initialing claims.
C/T Halver felt the Department Head having the authority to make the purchase
be responsible for reviewing the claim.
•
Chairman Palmer said the Finance Committee would like to see some
recommendations to establish controls and procedures for the bill paying
process.
Palmer asked what procedures are in effect to prevent overspending budgets.
C/T Halver explained the budget laws and asked the Council to decide
whether transfers should be approved for each budget line item or when the
total budget for the department is depleted. No recommendation was reached.
Palmer asked what the procedure will be for investigations; he felt the Mayor
should be brought into it right away. The Mayor has the responsibility for
the administration of City Hall.
The committee discussed the problems and conditions of the work at Begg Park
and concluded the Mayor needed to be aware and take control of these
problems.
Meeting adjourned at 9:10 am.
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