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Torrington officials flag dispute over internal service fund; Board of Education considered forensic audit
Summary
Board members discussed a longstanding disagreement between the City of Torrington and the Board of Education over the internal service fund; the Board of Education turned the matter over to legal counsel and proposed a forensic audit that was tabled May 7 for lack of quorum.
Members of the Torrington Board of Finance raised concerns about a dispute between the city and the Board of Education over accounting in the city's internal service fund, and noted that the Board of Education has involved legal counsel and considered a forensic audit.
Mrs. Straub, a member of the Board of Finance, said the matter was turned over to the Board of Education's legal counsel and noted the Board of Education had placed a proposed executive session on its May 7 agenda to discuss a potential forensic audit; that item was tabled for lack of quorum. "There might be different ways to calculate things...to suggest that there has been some type of mismanagement or fraud in the way those funds are transferred in and out, is disturbing," Straub said, cautioning about the use of the term "forensic."
Why it matters: the disagreement concerns the internal service fund, which staff described as a non‑lapsing fund separate from the operating budget. Board members debated whether pursuing legal action or an audit would be a prudent use of scarce resources and whether the issue could affect budgeting timelines.
Key points from the meeting - Board members said the Board of Education turned the matter over to its legal counsel and that a May 7 Board of Education agenda item proposing an executive session on a forensic audit was tabled for lack of quorum. - Councilman Cabanero (referenced in discussion) and others expressed concern about legal costs and urged direct reconciliation between city finance staff and the Board of Education to resolve calculation differences. - City staff said the internal service fund is non‑lapsing and unlikely to block finalization of the operating budgets for the next fiscal year, though they did not provide a firm timetable for resolution.
Discussion versus direction - Discussion: Board members debated terminology ("forensic audit"), the scope of possible audits, legal spending, and the difficulty of reconciling differing spreadsheets between the city and the Board of Education. - Direction: No formal action or vote was recorded on the internal service fund issue at this meeting; board members said they would monitor for future agenda items.
Ending note: Board members said they will watch for the issue to reappear on future agendas and work with the Board of Education if the boards agree to further audit or reconciliation steps.
