Malden council orders review of financial management; state‑audit request placed on file

The Malden City Council voted to adopt an order directing the finance committee to coordinate with the mayor’s financial team to research the feasibility of applying to the Massachusetts Department of Revenue Division of Local Services Financial Management Resource Bureau for a financial management review.

Councilor Lewong, sponsor of Paper 52‑26, said the most recent full financial management review was completed in 2011 and the city’s operations have changed sufficiently to warrant an updated review. Councilor McDonald and several others spoke in favor, with members asking that the finance committee report back to the full council upon completion of the review.

Councilors noted the difference between an independent accountant audit (which checks accounting accuracy) and a Division of Local Services financial management review, which focuses on financial practices, planning, and organizational efficiency. Councilors presented co‑sponsorships and the order was adopted on a council vote.

Separately, the council discussed Paper 53‑26, a proposal to explore costs and procedures for requesting a municipal audit by the Office of the State Auditor. Councilor Cologne Hayes sponsored that paper and said the state audit process could take a year or longer and may incur costs; the council placed Paper 53‑26 on file after discussion.

Next steps: the finance committee and mayor’s financial team will research the feasibility of a Division of Local Services review and report back to the council with findings and possible next steps.