The Wayland City Council Monday night accepted a clean financial audit report from certified public accountant Peter Woldman.
Woldman told council members that the city at the end of fiscal year 2015-16 had a fund balance of $1,661,446, or about 12% of the total budget of just over $10 million.
The fund balance actually was down by about $419,000 because of pension expenses and depreciation, the auditor said.
Wayland receives most of its revenue from property taxes, state revenue sharing payments and grants.
“The finances are in good order,” said City Manager Tim McLean. “I think that speaks volumes about the city being fiscally responsible.”
Mayor Pro Tem Jennifer Antel also gushed about the report and she and fellow council members gave a lot of the credit to City Treasurer Cheri Parrish.
“It’s exciting to sit here and hear the audit, and it‘s completely uneventful,” Antel commented. We’ve come a long way, baby,” she added, noting that when she first came on the council the fund balance (sometimes called a rainy day fund) only amounted to about $7,000.
However, it also was noted that the Downtown Development Authority by state law must submit to the state a deficit reduction plan, because the books reported a shortfall at the end of the fiscal year. City officials said that problem was the result of cash flow issues and different fiscal year endings for the city and many businesses that make payments for sponsorships.
“I think it was a situational issue,” Antel said. “It’s not like the DDA was in actual financial deficit. We had the money. We just had to move money around. It was more of a paper work deficit.
“It’s fixable. It’s not as bad as it sounds.”
Parrish said, “The state requires a deficit plan to be presented to them” as a result.
The deficit plan was approved on a 6-1 vote, with Mayor Tim Bala casting the dissenting vote.
“If you don’t get the sponsorships, it’s (deficits) going to happen again,” he explained.
In other business, the council decided against adding Veterans Day to the roster of paid holidays.
Councilman Tim Rose said local city government allows for holiday pay more often than most businesses.
Council also set public hearings for 7 p.m. Monday, Jan. 16, for adoption of a proposed sign ordinance and for revisions to site plan review to make the process faster and less cumbersome.
PHOTO: Kelle Tobolic has been named new chair of the Downtown Development Authority. She is a former member of the Planning Commission.
