Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Pleasantridge Receivable topic
No spam. Unsubscribe anytime.
Council and administration debate options to resolve Pleasant Ridge Manor receivable as auditors press for decision
Summary
Council and county officials on April 8 discussed options for resolving Pleasant Ridge Manors outstanding receivable after the facility sent a $2 million payment; auditors said the county cannot close the audit until the receivable is addressed.
Council and county officials spent a substantial portion of their April 8 meeting on Pleasant Ridge Manorthe long-running receivable and related financing and ordinance matters.
Pleasant Ridge has an outstanding receivable the county discussed with auditors; finance staff reported the current amount owed stands at $11,983,516 after a $2 million payment made on April 3. Council and administration representatives described a letter from George Joseph outlining Pleasant Ridges proposed plan to address amounts owed. Auditors said they cannot close the county audit until the county decides how to treat the receivable: council may waive the receivable by ordinance, accept a payment plan, or take another approach.
Council members and administration explained the mechanics: to eliminate a receivable on county accounting records the council would typically pass a supplemental appropriation to remove the receivable from the books or adopt an ordinance to waive the receivable. One council member said, in effect, that a fund-balance certification would be required before introducing an ordinance to forgive the amount.
Separately, a representative for the Pleasant Ridge matter requested an amendment to Ordinance No. 9 (2025) changing the previously approved credit-line timeframe. Council had earlier approved a $700,000-per-year credit line for three years; the Department of Community and Economic Development (DCED) will approve only two years at $700,000 each, and the county representative asked the council to amend the timeframe from three years to two years while leaving other terms unchanged.
Why it matters: council members noted the long-term fiscal exposure if transfers to Pleasant Ridge continue at current projected levels. One council member said payments scheduled in 2025 would add roughly $9.94 million to transfers and, combined with the outstanding balance, could deplete fund balance if not resolved. Council members urged coordination between administration and council to develop a joint approach that addresses auditors concerns and preserves fiscal stability.
Council members asked administration to present fund-balance figures before making decisions about how much of Pleasant Ridges shortfall to absorb or forgive. A council member said he and George Joseph could draft an ordinance intended to resolve the issue without immediate cash expenditures, and auditors requested a definitive response to allow closure of the audit.
No final vote or ordinance forgiving receivables was recorded in the meeting. Councilors discussed alternatives — payment plan, waiver by ordinance, or supplemental appropriation — and agreed they needed cooperation from the county executive and administration to move forward.
