Okolona council approves budget amendments after accountant flags airport accounting issues

The Okolona Board of Mayor and City Council approved recommended budget amendments in a special-called meeting on Feb. 9 after a presentation from the city’s external accountant, David Berg Vance of Berg Vance, PA.

Berg Vance told the council he reviewed revenues and expenditures through January and recommended several line-item changes to match recent grant receipts and unanticipated expenses. He asked the council to move $10,000 from police fuel to vehicle-repair accounts after the department recorded major repairs. He also recommended reversing prior audit fees that had been charged to the airport fund — roughly $15,000 in cash the accountant said had accumulated at the airport over several years — which would restore the airport fund to solvency. Berg Vance recommended reducing the airport insurance budget because the city already paid the annual premium and it came in about $6,000 below the anticipated amount, freeing money for professional services such as mowing and engineering.

The accountant also recommended closing inactive funds, including a closed Welcome Center Fund, and cleaning up small legacy balances (he noted a long-dormant Confederate cemetery fund of about $20). He said grant revenues for storm shelters, the Loewen Center and a new CDBG award were being incorporated into the amended budget.

Council members asked clarifying questions about the presentation and the record copies. After a motion and second, the council approved the recommended budget amendments by voice vote.

The council did not debate adoption of a multi-year financing plan for vehicle replacement during this session; Berg Vance said he would return with enhanced reporting recommendations to help the council monitor budget-to-actual performance going forward.