I understand why some officials may view undergoing an audit as a form of torture. Being criticized in public can be, at the very least, uncomfortable. But a thorough audit can be a valuable asset for developing better policies and procedures.
I am critical of some past audits. I have tried to make sure my criticism is based on facts, not on personalities. I don't intend to point a finger of blame. There certainly is shared responsibility between the Town Board and past and present Town Managers.
The point of an audit is not to find blame, but to uncover problems and suggest better ways. Before we ever heard of Pittard, Perry and Crone, the Town Board learned of the Tourism Board's practice of "rolling over" unspent allocation of funds from one budget year to the next and adding that amount to the following year's budget. That is a budget no-no. Long before we had a new auditor, the last board revealed that the administrative fee charged by the general fund to the water fund hadn't been recalculated in eight years. The bottom line is that the general fund had subsidized the water fund to the tune of about $150,000 over that eight year period. That doesn't even take into account the fact (discussed by the previous board in open session) that we weren't allowing for depreciation. We discussed the problem created by not handling the town's occupancy tax as a restricted fund and accounting for it "off books."
I think it would be irresponsible to criticize without offering some constructive suggestions. My main recommendation is to establish (or reestablish) a functioning water board. Ten of the twenty-three control and material deficiencies identified by the auditor are directly connected with administration of our water plant and associated billings and collections (including Bay River).
The town has convened a water board in the past. However, I am unable to find an ordinance establishing the board, spelling out its membership, terms of office and duties. We need such an ordinance.
The water board could advise the Town Board on policy issues, including procedures addressing each of the ten items from the audit. The board could address the question of where about a fourth of our water goes. It could also play an essential role interacting with the Rural Water Center when they come in February to assist us with our rate structure.
This is urgent.