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Pontiac council demands written U.S. Treasury confirmation after Ernst & Young fails to appear

Pontiac City Council · December 17, 2024
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Summary

Council members voted unanimously to demand visual and written confirmation that the city’s $38M in ARPA allocations have been legally obligated, after Ernst & Young did not attend a scheduled presentation and administration said some external MOUs were not yet received.

Pontiac City Council voted unanimously Dec. 17 to demand written confirmation from Ernst & Young and visual proof of submission to the U.S. Department of the Treasury that the city’s American Rescue Plan Act dollars were properly obligated before the federal obligation deadline.

The action followed an administration update that EY consultant Brian Jarcinski — scheduled to present the city’s final obligation documentation — did not attend. Deputy Mayor Stevens told the council it had copies of interdepartmental memorandums of understanding but not all external agreements, and that EY had given only verbal assurances earlier.

“Ernst & Young has previously verbally said a‑okay. We’re asking: trust but verify,” President McGinnis said during debate. Councilwoman Mevily Rutherford moved to suspend the rules and press for formal evidence; the roll call to demand visual confirmation passed 7–0. Council then approved a follow‑up resolution asking EY to send a written summary and copies of the documentation the firm relied on by the end of the week.

Administration members said the Treasury portal is not open for reporting until January and that legal obligation is met when MOUs and required agreements are signed within the city before Dec. 31. Deputy Mayor Stevens told council the portal’s reporting window can lag the legal obligation date, which is why members sought direct confirmation of submission and acceptance by the Treasury.

Council members pushed for transparency. “It’s unacceptable that this special presentation … is not taking place tonight,” the council president said. Members asked that any written confirmations provided to council also be made available to the public.

The council’s resolutions do not change the substance of earlier votes that allocated ARPA funds; they are requests for documentation and independent verification of the federal submission and of Ernst & Young’s certification of obligation.