The City of Paintsville received news at its regular meeting Monday evening about the prior fiscal year with the presentation of its annual audit.
James Bryant, with Wells and Company, PSC, addressed the city council and presented the city’s audit for the fiscal year ending June 30, 2018.
Bryant said total revenues for the year were $7,237,298, and total expenditures were $6,647,362. Together with more than $283,000 paid in from tourism, the sale of capital assets, and a loan for approximately $41,000, the final
increase in the city’s general fund was $929,297, bringing the city’s general fund account from approximately $1.1 million to more than $2 million.
The year’s overall increase in revenue, Bryant said, was up dramatically from the increase the prior year of approximately $351,000, due in large part to one-time grants. Even with the grant revenue removed, Bryant said, the city still earned hundreds of thousands of dollars more in revenue this past year, partly on the strength of ambulance services, the occupational tax, more money incoming from tourism, and other revenue sources running in the black.
As in past audits, the 911 fund ran at a loss, and at this point owes the general fund $532,000. Revenues from 911 fees are outstripped annually by the cost of running 911 services.
“That’s been accumulating for the last 10 years,” Bryant said. “I’ve talked to the mayor about this. At some point, my recommendation is the general fund is probably going to have to forgive this. Because 911 is most likely never going to be able to repay that half-million dollars. Where the city has done such a good job with its finances the last two years, now you have a $2 million fund balance, it can absorb that amount due from 911.”
Bryant said the audit did produce the relatively routine finding of a lack of appropriate segregation of duties.
“The same finding I have every year, where it’s such a small city, you don’t have that required segregation,” Bryant said. “You have the city clerk taking in property tax receipts, posting it on the ledger and so forth, you just don’t have enough people to segregate everything that needs to be.”
The Paintsville City Council also:
Reinstated Gary McClure as local emergency management director, appointed former city council member Patricia Nelson to the Paintsville Utilities board and appointed Chase Caudill to the Paintsville Tourism Commission as the representative for the Paintsville/Johnson County Chamber of Commerce.
Heard a presentation from Bryan Balch for the need for new golf carts at the Paintsville Golf Course. Balch presented proposals from interested bidders for trading in and replacing the fleet of carts, but because of the size of the expense, the council agreed the project must be opened and advertised for bidding from potential other golf cart suppliers.
Held the first reading of an amendment to the current budget to move money from the contingency fund into the city’s donation to the Johnson County Animal Shelter, which it had voted to increase from $5,000 to $8,000 in a meeting last year.
Discussed the state of the city pool, which has been plagued by leaks and damage to the concrete surrounding it and the need to rebuild the onsite building for changing facilities, showers and restrooms. No action was taken, but the council discussed first pursuing grants for the project. If the primary pool needs to be closed for repairs this year, Paintsville Recreation Director Scott “Shoes” Hale said the work would be safely barricaded off, and Mayor Bill Mike Runyon said the adjacent Olympic-sized pool would remain open for the summer.