Treasurer urges full oversight, council debates resolution on disbursement authority and schedules study follow‑up

The Dearborn Heights treasurer urged the City Council Wednesday to adopt a resolution to clarify authority under the city charter for disbursement of funds, but councilmembers asked for more time and a staff study session before taking final action.

Treasurer Lisa Hicks Clayton told the council she was enforcing the charter when she reviewed checks and warrants and sometimes returned them because they were drawn on exhausted or zero‑balance general ledger (GL) accounts. “When that 1,500 threshold does not exist in this charter except for the bid process,” she said, referring to a practice some in the meeting had suggested, “it’s up to the council body. You are the stewards of the taxpayers’ dollars.”

The proposed resolution would reaffirm the treasurer’s authority to demand supporting documentation, permit the treasurer to reject warrants drawn against exhausted line items, and require that non‑emergency expenditures be presented to council on a biweekly basis. Counsel and administration raised questions about implementation, the role of the mayor in certifying urgent payments under Charter section 5.3, and whether a formal study session was needed to work through administrative details.

Councilmembers asked for a public study session to examine processes, documentation, and the effects on payroll and accounts payable. Several members said they support transparency, budget oversight and clearer reporting of payroll and check registers, but wanted a detailed operational review before codifying new procedures.

Because councilmembers requested more information, the treasurer agreed to resubmit a clarified resolution and to bring the topic to a study session for detailed staff presentations. Several council members said they would like a line‑by‑line payroll accounting (redacting sensitive personal data) so the council can match payroll outlays to budgeted line items.

Why it matters: The treasurer’s request touches core checks and balances in municipal financial management: who may authorize emergency payments, how line‑item spending is verified, and how council oversight is exercised. The outcome will determine whether the treasurer has faster administrative authority to stop improper payments or whether such checks require broader council review.

What’s next: The treasurer will refile a clarified resolution and staff will schedule a study session for a detailed presentation on bank reconciliations, payroll reporting and the proposed disbursement procedures.