Utility board approves transfers from capital account to cover legal and operating costs

The Hamilton County Regional Utility District board on July 13 approved transfers from the district’s capital (3000-series) account to cover shortfalls in legal services and operating supplies, after the general manager said money carried over from last year was not automatically allocated into the current budget.

The request came from CJ, the district’s general manager, who told trustees that some line items were running low because carryover funds had not been posted. A commissioner with an accounting background questioned the transfer form and whether the top and bottom totals should match; CJ said he consulted the auditor and that the auditor approved the approach. "I even sent that form to the auditor's office and said this is how I wanna do it, and they said, yes," CJ said.

Commissioners described the accounting presentation as confusing and asked staff to verify the paperwork. The board voted to approve the transfers after a motion and second; the motion carried by voice vote. The chair and CJ agreed to coordinate with the auditor to ensure the documentation meets auditing requirements.

Why it matters: moving funds between capital and operating categories can affect later budget planning and reserves. Board members said the transfers were intended to cover immediate bills — including legal services and operating supplies — and asked staff to provide clearer documentation at future meetings.

Next steps: CJ and staff will follow up with the county auditor to confirm how the transfers should be recorded; the board will receive a report at a future meeting.