CPA reports on Climax’s financials
Published 8:59 pm Tuesday, August 17, 2010
Bruce Mann, public accountant for the City of Climax, gave a yearly audit report on the city’s financial status at the meeting on Aug. 9.
He said in his opinion, the city’s financial statements presented fairly the financial position of the city as of Dec. 31, 2009.
Mann reported, the total assets as $1,156,266, with governmental activities totaling $992,944, and business type activities at $165,322.
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Total liabilities were $131,595, governmental liabilities at $118,910, and business type at $12,685. Total net assets were $1,026,671, with governmental at $874,034 and business type $152,637.
He said in his opinion this told him that the City of Climax was in good financial state.
The total governmental expenses of $289,559 were up some from last year, most of that he said was depreciation expenses.
In the business-type activities, he said there was a deficit of $26,137 with $26,157 being depreciation charge off. He said as far as cash goes, the city pretty much broke even.
The taxes in the general fund were down from last year, Mann said primarily due to the economic conditions. However, some expenses were down, and he encouraged the council to continue to be diligent in seeking ways to cut cost since the economy is still down.
After a report from Councilman Bob Thomas, the council voted unanimously to approve the committee of Barbara Pugh, Liz Phillips, Karen Toole, Amy Jenkins and Sandra Toole as the recreational committee for the Little Park seeking grants and equipment.
The fence at the Little Park has been installed, but some work can not be completed due to standing water standing, Maintenance supervisor Greg Toole said.
Due to the cost of the shed for the Maintenance Department at present time, Toole suggested the council postpone any action until more funds might be available. Toole purchased three cross ties for the small bridge at the Little Park, and the long bridge also needs to be replaced, according to Councilman Ronnie Bishop.
The council voted to approve $60 to repair the bridges at the Little Park.
Mayor Charles Hadsock presented a detailed drawing/design to the council on needed repairs and a new design of the hand rails for the depot.
The mayor said bids had been obtained from three retailers for required materials to replace existing hand rails and cracked or warped boards, and any flooring on porch. The council voted to accept the bid from Stone’s as it was the least expensive at $1,542.
Hadsock said he had requested the use of the prisoner labor from County Administrator Tom Patton, and it was approved with a starting date approximately Sept. 1. The work will consist of demolition of current hand rails and problem floor area and replacement of new hand rails and flooring as requested.
He said the flooring on the porch is 2 1/2 inches thick, and may be salvaged by turning boards over. Other flooring problems can be resolved by re-nailing with ring shank nails. The mayor said the top of the porch needs to be pressured washed with a Clorox solution to remove mildew.
The council also voted to place the depot, like other city buildings, under a termite contract with Junior Pest Control for $500 initial treatment with $168., Yearly, after studying two other bids. Money for repairs and the initial termite treatment will come from the $10,000 grant, according to the Mayor.
Hadsock announced that the lease between Southwest Georgia Tumbling Academy and the city has been signed by the representative of the academy. He also said 2011 road resurfacing has been submitted and is from Madison Street going west on Broad Street to the city limit sign.
Mayor Hadsock presented a new approach to obtaining a grant for upgrading the city water system to the council for consideration.
He said recently he had talked with the mayor of another municipality, which has the same problem with polybutylene pipe and other old pipe, and in 2009 they contacted Bob Roberson and Associates out of Moultrie for help in obtaining grants.
In 2010, they filed for a grant and succeeded in getting $500,000, which they matched with $140,000.
While this is a matching grant, Hadsock said, he felt that if the city is willing to match with around $40,000 to $50,000, a grant of around $300,000 might be available. He said the more matching funds the city is able to submit along with samples and picture of the blue pipe and old metal pipes; it would provide the city with enough points to have a realistic chance in receiving a grant.
Bob Roberson will meet with the council in November or December to provide more information on how to obtain bids and other data, the mayor said.
The city has until April 2011 to apply for a grant. Some water pipes in the city, according to the mayor, were installed in 1913, and there is a real problem he said when it comes to the maintenance department trying to repair them.
To ensure better water for the city, it was also said there was a possibility of having to raise the water rates, even though Hadsock said he didn’t want to do this due to the economy. Everyone agreed that something needed to be done before more damage was done causing more expense than a matching grant would be. This matter is under study by the council.
Police Chief Joel Jenkins reported that he had 61 citations for the month of July for a total of $6,856. The representative for the volunteer fire department had no report.